National Property Management Association 10 Worst Mistakes to Make in Property Management Bill Beedle, CPPM CF Cheri Cross, CPPM CF 1

National Property Management Association Disclaimer: The 10 mistakes in this presentation are randomly selected. The numbering from 1 to 10 does not rank the mistakes according to severity or importance, but merely gives the workshop attendees an overview of mistakes that can be made within the asset management industry.. 2

National Property Management Association 1. Failure to read the requirements in your organization’s contract Contract requirements:  Request a copy of the contract  Understand details and legal requirements  Work closely with quality assurance personnel and customers Example – Executive Orders & Regulations 3

National Property Management Association 2. Failure to ensure organizational Lifecycle Asset Management Plans are developed Property Management Professionals (lead) Plans should include:  Maintenance costs  Operation costs  Replacement costs  Asset life  Disposition Periodically reviewed and updated Example – Lifecycle Asset Mgt PLAN 4

National Property Management Association 3. Failure to back-up and maintain a Recovery Plan for asset management records System features Alternative locations Data recovery companies IT recovery plan Custodian records:  Electronic  Hard-copy Example – Natural & Man made disasters 5

National Property Management Association 4. Failure to properly train new hires and custodians of asset management responsibilities Level of training new hires versus custodians Development of a training curriculum  Level of training (new hires v. custodians)  Method of training (classroom, online, reading)  Formal/Informal grading Refresher training Periodic training bites Corrective action training Example – Training requirements 6

National Property Management Association 5. Failure to establish a process for terminations Employees terminating for a variety of reasons (planned and unplanned) Items remained in the custodianship of terminated employees Established an electronic process for clearing terminations Established a procedure for transferring property when employees do not complete the termination process Example – Ballistic vest 7

National Property Management Association 6. Failure to appropriately conduct major asset transfers between custodians Exiting custodian:  Provide inventory  Offer to conduct joint walk-down  Reconcile records Exiting/Incoming joint inventory Acceptance/Documentation Offer follow-up inventory Example – Major receipt holder transfers 8

National Property Management Association 7. Failure to keep warehouse and storage clean and free of hazards Safety indicator Responsibility Procedures/Accountability Participation/Set example Example – Warehouse accidents 9

National Property Management Association 8. Failure to conduct periodic walk- through reviews of the organization Scheduling walkthroughs Inventory inspection Damaged/Excess/Idle Customer service Markets Property Department Reports Corrective measures Example – Walkthrough experience 10

National Property Management Association 9. Failure to check repositories for assets/documents prior to disposition Check drawers Test combinations Record combinations Movement requirements Example – Transfer repositories 11

National Property Management Association 10. Failure to understand how to advance your Asset Management career Provide value Expert  Certifications  Licensing  College degree Network  NPMA  Organization  Community Market yourself Experience – Recent career change 12

National Property Management Association Failure to Identify assets Appropriately tag assets Account for subcontractor held property Understand ownership & streams of finance Hold employees & subcontractors accountable Develop maintenance plans Take advantage of audits Effectively initiate, and analyze inventories Track assets Sanitize computers Remove tags Conduct export control reviews Appropriately demil/dispostion assets 13

National Property Management Association Thank you – feel free to contact us! Bill Beedle - Cheri Cross – 14