Working with Associations: Lessons from Young Presidents Organization Bob Halperin

1. Working with Associations: Lessons from Young Presidents Organization Bob Halperin rhalperin@ypo.org November 28, 2007

2. Discussion Topics • Engaging participants (even CEO’s!) in program design • Using “forums” to maximize learning • Sharing best practice “hall of fame” designs and programs • Creating effective networks among participants and alumni • Working effectively with associations like YPO.

3. The E-CODE • Extraordinary resources. • Content tailored to YPO and leadership perspectives. • Out-of-comfort zone, innovative, interactive formats. • Delivers change-inducing take-home value. • Employs activities that strengthen YPO networks and member-to-member connections.

4. Harley Davidson Case Study • Individually read and prepare the case (5 min) • In ad hoc groups of ~4, review and discuss the case (10 min) • What works and what doesn’t? • What would you do to improve the event? • Report-outs and sharing of additional insights and case wrap-up (15 min)

5. YPO is… the world’s largest premier CEO network, with more than 15,000 members organized in 300 chapters across 100+ nations and 20,000 alumni, the most exclusive and well-connected network for business leaders YPO succeeds by… creating a personal experience for members through the hundreds of events, industry seminars and networking programs provided every year, in addition to monthly chapter and forum meetings YPO has gained… unparalleled trust and loyalty from our members: 98.5% renew each year; with unprecedented growth in the past five years, we expect to grow more than 100% over the next five years. YPO International

6. YPO International To be eligible for YPO, members must • Join by age 45, and be less than 55 years old • hold the equivalent title of CEO, President or Chairman • manage a company with at least 50 employees • have annual revenue exceeding US$10 million. Our average member is 43 years old, and manages a company with more than 1000 employees and annual revenue of US$206 million.

7. YPO International In aggregate,YPO companies employ over12 million people Andgenerate more than US$2 trillion a yearin revenue, equivalent to theseventh (7th) largest economyin the world.

8. YPO Educational Alliances

9. The power of YPO Forums • Definition:   Forum is a group of 8 – 10 members or spouses who meet as peers on a regular basis in an atmosphere of confidentiality, trust and openness to share in each other’s business, family and personal experiences. • What Makes Forum Work? • Commonalities and Diversity • Peer Relationships • Regular Meetings • Confidentiality • Trust and Openness

10. Member Testimonials • My forum has been an integral part of my life in my time in YPO.  Each month I anticipate my Forum meeting as I would anticipate returning home after a long journey.  It is a place to be secure, to share and be with those who truly care about my well-being as a person. • Forum is the best YPO product, for it goes far beyond just a group of people who share stories and meet once a month.  It is a sanctuary, a place where I am free to be myself, free to express my rawest thought and emotions and not be judged, and continually feel the support of all my Forum buddies in any and all situations. • Forum has helped me become better:  a better president, a better husband, a better father, a better person.

11. Introducing Forum into Executive Education • Choose study group leaders • Invite study group leaders to serve • Hold initial conference call with study group leaders • Create study groups • Each study group leader communicates with members of his study group • Follow-up communication to study group leaders from program champion • Follow-up communication from each study group leader to his group members • Agenda for in-person meeting of study group leaders on the opening day of the program • Agenda for first meeting of the study group • Meetings of study group leaders during the program • Adding “Forum” value to the study group during the program • Adding “Forum” value to the study group at the end of the program

15. Creating Effective Networks with the YPO Network Navigator

16. Building participant and alumni networks A fast and easy way to match up with other members by leadership style, business background, region, chapter, or even as attendees at an international YPO event.

17. Value of association programs in a business school’s portfolio • Increases diversity • Hybrid between custom (company focused) and open enrollment (participant focused) • Potentially an annuity • Rewarding, satisfying professional relationships Business School Participant Company

18. Characteristics of a good partnership • Faculty interest in the needs and concerns of the association and its members • Joint curriculum design process • Reaches people outside of the school’s typical market (unique or specialized audiences) • Provides future opportunities (e.g. alumni update programs; additional programs targeted for different management levels) • Serves the needs of the members versus just a revenue-producing vehicle for the association

19. Other factors in assessing associations • Appropriate demographics and numbers • Knowledge of and connection to members • Marketing sophistication, capability and bandwidth • Other business school relationships

20. Examples of what to avoid • Associations that want to use the event primarily as a platform for their speakers with minimal university faculty involvement • Associations using the business school to market services to prospective members • Those seeking a “resort” location versus a development experience • One-time offerings in areas outside of faculty expertise/interest • “Dueling” associations

21. The difference between an executive education program and a conference

22. Program Design & development – collaborative, school leads Thematic & content descriptions – school leads, association input Teaching & facilitation -- primarily school except outside speakers Cases and other materials – school Marketing materials – association leads, school input Prospect outreach/closing the sale – association Registration processing – association unless lacking capability Classroom and accommodations – typically on campus Participant management – primarily school Sharing responsibilities Marketing Facilities & logistics

23. Marketing and co-branding issues • The need for proactive business school support of the marketing effort • Multiple modes: print, web, email, conferences, faculty interviews/speeches • Early discussion of branding policies and preferences • Reciprocal protections and rights of review

24. CustomHybridOpen Enrollment Fixed total up to a certain number of participants, modest Incremental per-participant fee Some fixed total plus incremental per-participant fee Per-participant fee only, no upper limit Choosing a revenue sharing model “real” minimum stated minimum target maximum Total dollars from association to school Other considerations • Competitive/comparable fees • Member vs. non-member pricing • Upfront or amortized development fees, other cost factors Number of participants

25. Faculty development and research • Planned vs. opportunistic • Custom cases and materials • Other company and participant connections • University research centers as quasi-associations • Shared learning experiences

26. Working with Associations: Lessons from Young Presidents Organization Bob Halperin rhalperin@ypo.org November 28, 2007