International Congress and Convention Association

WORKING WITH MEETINGS COMPANIES Advice for international association meet- ing planners and decision makers

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ICCA White Paper 1 November 2019 About ICCA

Shaping the future and value of international Join the ICCA Association Community: association meetings To serve the associations in a more efficient ICCA - the International Congress and way, ICCA has launched the ICCA Association Convention Association - is the global Community - a unique platform providing community and knowledge hub for the Association Executives with access to ICCA services international association meetings industry. and benefits:

ICCA is the global association leader for the -ICCA Meetings Intelligence tools, including international meetings industry. Since its Association Meetings Database, Destination establishment in 1963, ICCA specialises in the Comparison tool and Big Data Search. international association meetings sector, offering unrivalled data, education, communication -Education and networking opportunities at the channels, and business development and ICCA events networking opportunities. -ICCA’s publications and reports ICCA’s founders were a small, visionary group of travel agency friends based on 4 continents who To be able join the ICCA Association Community, saw the potential of internationally rotating medical your meeting must rotate between at least 3 association meetings. They set up systems to share countries, must occur on a regular basis and must information about these meetings and to introduce attract a minimum of 50 participants. their clients to trustworthy contacts in countries where they might not know any local contacts. If you would like to join the ICCA Association These principles of sharing knowledge and Community please visit the ICCA website www. building trust between suppliers and international associations.iccaworld.org. associations continue to be the foundation stones of ICCA today. For more information on the ICCA Association Community and ICCA products available for ICCA represents the world’s top destinations and Association Executives please contact: Ksenija most experienced suppliers specialised in handling, Polla, CMP, Director Association Relations at transporting and accommodating international [email protected]. meetings and events, and comprises of over 1,100 member companies and organisations in almost 100 countries and territories worldwide.

As of 2020 ICCA encompasses all major stakeholders in the world of association meetings, by opening its doors to associations with the launch of the “ICCA Association Community”, offering education, connections, tools and resources to associations to organise more effective meetings.

This guide is part of a series of publications specifically designed for the international association community to assist them running more efficient and effective meetings.

© December 2019. Copying this publication, or any portion of it, is strictly prohibited without the prior approval of ICCA. ICCA makes every effort to ensure the accuracy of published material, but cannot be held liable for errors, misprints or out of date information in this publication. ICCA is not responsible for any conclusions drawn from this publication. All images are self-captured by staff/designer/employee and/or paid for.

2 Acknowledgements

Our special thank you goes to the following experts, who have actively contributed to this document:

Francesca Manzani, AIM Group International Spa and Chairperson ICCA Meetings Management, [email protected]

David Williams, Executive Director, International Association for Energy Economics, [email protected]

Tina Wehmeir, Talley Management Group Inc. [email protected]

Ivo Franschitz, dm&c | destination management & consulting gesmbh, [email protected]

Juan Jose Garcia, Barcelo Congresos, [email protected]

Nina Freysen-Pretorius, The Conference Company, [email protected]

Mariano Castex, MCI Latin America (INCON Group), [email protected]

Sarah Markey-Hamm, ICMS Pty Ltd., [email protected]

3 Table of Contents

p. 5 01 Introduction

p. 6 02 What is a Professional Congress Organiser (PCO)?

p. 9 03 What is a Destination Management Company (DMC)?

p. 11 04 What is an Association Management Company (AMC)?

p. 14 05 Useful links

4 1. Introduction

1.1. What are Meetings Management Associations should take note that some companies companies? don’t easily fit into standard AMC, PCO or DMC definitions, with varying skill-sets and specialist This publication is designed to help associations expertise, or very different business models, understand the differences between Association sometimes because of different country-specific Management Companies (AMCs), Professional business environments or regulatory requirements. Congress Organisers (PCOs), Destination Companies (DMCs) and other agencies Also, some companies specialise in providing a range dealing with association meetings, and the many of efficient, good value “commodity” services, whilst different options for collaborative and contractual others are becoming better known as consultancy relationships. partners, or for their technical or production expertise. Some provide the vast range of their services in- This publication will introduce different types of event house, whilst others are experts in coordinating specialists; explain the range of business models teams of partner and services, and how to find simple solutions in an companies. often complicated market. There exists a perfect partner for every association The resources provided in this publication will guide and its meetings, whether this is an AMC, PCO, DMC you to other associations and organisations, which or other meetings management company, and this specialise in each of the specific fields and which can publication is the first step in identifying the ideal give you more in-depth information on the various match. event specialists.

5 2. What is a Professional Congress Organiser (PCO)?

The definition of a Professional Congress Organiser PCOs can provide references from other associations according to the APEX industry glossary by the whose meetings have similar profiles and needs Convention Industry Council states: “Professional to your own, so that you can match their areas of Congress Organiser. Companies or individuals expertise to your own requirements. specialised in organising events on behalf of a client organisation. Not to be confused with Destination A PCO has the experience and skills to deal with all Management Company (DMC).” challenges and necessary tasks surrounding your meeting, from budget preparation, to venue sourcing, The term originated to describe companies, which housing, registration, safety issues and much more, specialise in organising international congresses, and can save you and your team valuable time to but is now more widely used. Although it is most concentrate on the core business of your association. common for Professional Congress Organisers to organise one-off meetings, a number have positioned themselves as “core-PCOs” and establish a long-term 2.2 Services provided by a Professional cooperation with associations to take care of their Congress Organiser meetings on a more permanent basis. When using a PCO you should clearly define what the PCOs role should be in relation to your own in-house 2.1. Why use a PCO rather than team’s tasks? The PCO usually provides: organising Do-It-Yourself “DIY” events? And how to integrate PCO services with • Advice and guidance your own in-house Events Team • Strategic consultancy

As the definition says, a Professional Congress • Assisting with bidding process Organiser (PCO) is specialised in organising meetings. Organising meetings is something a PCO does day • Venue selection and negotiation in day out; many of the PCOs belong to a trade association or have acquired special meetings • and budgeting accreditation. As this is a specialised field, many top professionals such as doctors, lawyers, and • Tax and exchange rate issues engineers usually make use of the services of a PCO. Unless your association already has a full professional • Abstract Handling and speaker communications meetings team in-house, you should also entrust the organisation of your meetings to professionals • Registration and with expertise in planning and administering small to very large congresses. • Marketing, communication & social media

As the PCO works with many meetings from a wide variety of other association disciplines, they can apply what they have seen work successfully to other associations to your events, which will result in saving you time and money.

6 • Sponsorship and exhibition sales • Relationships with suppliers, venue, hotels

• • , specialised software systems • Technical management (AV, IT, WIFI, etc.) • Creativity + solutions • Assistance with scientific programme • Knowledge, know what to do when, calm in • Accommodation negotiation and bookings crisis

• Special social events/banqueting/other • Budget management and reduced expenditure catering functions

• & security issues 2.3 Different financial models: • Administration of Congress communication Depending on the support provided by the PCO, there are various financial models. The • Onsite communication/delegate Apps etc. most common pricing structures are: • Ground handling/logistics • Fixed management fee • Pre and post tours • Management fee per delegate/abstract/square metre of exhibition space

Association tasks usually include: • Percentage of budget • Programme content • Profit sharing • Selection of keynote speakers It is not unusual that more than one model is used at a time. For in-depth information please • Topics or themes of abstract review the resources provided in Chapter 5, page 14 of this document. • Compliance In some countries the payment of commissions • Lobbying are commonplace for certain PCO and DMC services (i.e. hotel booking services), and it is • Profile Public Relations advisable that associations should request full transparency with regard to a PCO’s commission • Profit (revenue surplus) policy.

The above is just an indication of the most 2.4 Contractual relationships: common division of tasks. In some cases a PCO can take on some of the responsibilities The following types of contracts are most an association would handle itself and vice commonly used: versa. It is important to understand that every single relationship between an association and • Multi-year contract a PCO will be specific and based on mutual arrangements best suited for all parties at • Event-specific contract that time. Those associations with in-house meeting departments may still employ PCOs • Service-specific contract for events which are larger or more complex than normal, or where they are taking place For more information and sample templates please in unfamiliar countries. check the resources provided in Chapter 5, page 14 of this document.

Using a PCO will bring added value to your associations’ meeting through:

• Experienced personnel, attention to detail (project managers)

7 2.5 Evaluating a PCO • Membership of industry associations – ensure to request information on which When assessing which PCO to use you will international associations the PCO is a have to consider many factors, here are some member of, as this will guarantee that the suggestions what to evaluate: PCO in question has met certain international standards and quality criteria. • Track record and references – when appointing a PCO always ask for a list of • Systems – Ask if current and/or past clients, get the unbiased the PCO has any internationally recognised opinion of one of the other associations who business certifications or standards. have used or are using the PCO in question. • Innovative proposals – In today’s world • Size/scale of operations – the size of the with fierce competition you will receive highly operation will have an influence on the scale professional levels of services from most of services the PCO will be able to offer, if PCOs, however what will distinguish the good the PCO is a smaller organisation they might PCOs from outstanding PCOs is the level of not take on the full scale of services a larger innovation, creativity and enthusiasm they put operation might. This does not necessarily in their proposal, and their focus on assisting have an influence on the quality of services, the association to achieve its own strategic however you simply need to be aware of what objectives. It will be a sure sign that your you can expect and what not. meeting can also make the transition from a great to an exceptional meeting. • International scope – when evaluating the international scope you will be able to • Company Organisation Chart and specific distinguish between national operating PCOs; skills of the personnel in charge of the event – PCOs operating internationally through their a company organisation chart will provide you own branch offices (multinational companies) with a clear picture that the PCO will be able and PCOs operating internationally through a to provide you with the appropriately skilled network of partners (consortium). The best staff for all parts of your meeting needed. option for your meeting will depend on your specific needs. For more information and sample templates, please check the resources provided in Chapter 5, p. 14 • Finances – transparency is an important part of this document. for a good long-term relationship. Be sure to ask for financial statements to prove the healthy operation of the PCO of your choice.

8 3. What is a Destination Management Company (DMC)?

DMC stands for Destination Management • Make a personal phone call Company. According to the APEX industry By making a personal phone call to your glossary by the Convention Industry Council DMC you will ensure that there will be no a DMC is: “A professional services company communication challenges and that they are possessing extensive local knowledge, fluent in the language you are operating in. If expertise and resources, specialising in you require support in any other languages, the design and implementation of events, check that they also have this skill-set amongst activities, tours, transportation and program their staff. logistics.” • Ask for professional certification and The local expertise of a DMC is one of the client references crucial elements contributing to the success Depending on the country and specialisation of your meeting! They, in essence know the of the agency, specific certifications can “how and who” to get business accomplished highlight the DMC’s professionalism. Even if logistically in your meeting destination. information on certification is readily available on the DMC website, don’t hesitate to ask the DMC for client references including phone numbers/email addresses, so that you can 3.1 Why use a DMC verify references.

A DMC is your local expert and has developed • Contact two or three DMCs to get a quote a long-standing relationship with the suppliers Give them of quick brief on your event, and in the meeting destination, hence saving you ask for quotation. The Convention Industry time and money in planning your meeting. Council has created a set of templates you can use for your RFPs (Request for Proposal). A 3.2 How to choose a DMC? link to the Convention Industry Council and the templates is given in the back of this brochure. • Make sure the DMC is specialised in The level of detail of the quotations (whether the destination you intend to use: The all of your needs have been addressed) and geographical spectrum of a DMC can vary from the swiftness of the response will assist you in local to international. Check out the references choosing the right DMC. While it is important and examples of client projects on their website to contact more than one DMC for a quote, to make sure they are knowledgeable about watch out not to contact too many agencies your meeting destination. Ensure they possess as this might be equally ineffective as having the local knowledge you are expecting. too few offers.

• Make sure the DMC has experience in the association meetings market: many DMCs are specialists in corporate meetings or incentive travel programmes, and whilst their core skills may be excellent, it’s a good idea to check that your DMC has experience with similar association meetings to your own, and understands your particular business needs.

9 Social Programme 3.3 What services does a DMC • provide? The DMC will carefully tailor the social programme to the needs of the meeting and DMCs provide a variety of services, below is all delegates, taking into consideration the an indication of some of the main services season, budget and theme of the meeting. you can expect from a DMC: Speaker logistics and management • The DMC provides speaker assistance - from 3.3.1 Destination Consultancy accommodation, transport, social programme and-, tours, etc. Destination selection • The DMC provides advice and information Sourcing of local staff about the chosen destination, the advantages • The DMC sources or outsources local personnel and disadvantages for a specific meetings - from multilingual staff to industry experts type, group size, and the level of security, or amateurs that are familiar with the topic climate and all the local elements contributing of the meeting. to the success of the association’s meeting. Design and print management Matching destination to association • The DMC assists in or manages the design • objectives and printing of all material, respecting the The DMC, as the local expert, is the insider association’s standards and gives advice and in close cooperation with the association on trends and options. This part is usually selects and matches the destination depending outsourced from a local provider, but can also on the association’s objectives. be managed in-house. Creation and design of meeting • The DMC creates together with the association the desired theme in and around the meeting, assists with the choice of locations, materials and food, depending on the association’s wishes and budget.

3.3.2 Ground Handling

Meeting, staging and AV management • The DMC offers their own AV equipment if available or selects the best local provider that matches the standards expected and budget available.

Accommodation • The DMC acts as a local expert and consultant for accommodation issues providing necessary information, booking system.

Welcome, gala and off-site functions • The DMC acts as local expert and consultant by providing information on prices, discounts, venues etc.

Airport transfers and hospitality • The DMC arranges all necessary transport by land, sea or air in the destination. Some DMCs will own their own fleet of buses and/or cars, while others will know which local providers will best meet the association’s needs and budget.

10 4. What is an Association Management Company (AMC)?

An Association Management Company 4.2 Choosing an AMC (AMC) provides management and specialised administrative services to associations and Provide the below key components when professional societies of varying sizes and selecting an AMC: annual budgets. AMCs typically provide strategic planning, financial management, • Define the organisation’s structure executive management, membership development, marketing and public relations, • Provide current budget and financial educational and professional development and statements, including most recent audit meeting and event planning. The AMC is most commonly used for the management of daily • Provide the organisation’s By-laws issues related to the life of the Association. AMCs sometimes can engage a local PCO or a • Provide the strategic plan, if one exists DMC (according to the services and experience required) for the organisation of congresses • Provide the current number of members and and events for the association. the dues structure

• Provide information on all of your meetings 4.1 Why use an AMC? that take place annually, including number of delegates, registration fees, special events, As most Association Management Companies exhibits, etc. manage more than one association administration costs become more cost • Provide the current staffing situation and your effective. Below are just some of the advantages expectations for staff, especially the chief staff of using an AMC: executive (often referred to as the Executive Director of Managing • Director) No need for in-house administration and associated costs • Provide a timetable and procedure for the • entire process - from proposal through Professional administration initiation of the contract • Professional accounting • Once you receive the proposals keep in mind Latest technology that all proposals contain proprietary and • confidential information and should be shared Membership services only with those involved in the decision-making • process. Experienced meetings organisation (depending on the region) • Cross-association knowledge exchange

11 4.3 Evaluating AMC proposals • Assignment- Who/how would the AMC recommend the client service team be • Company/Stability – How many years has structured? How would they oversee the the AMC been in business? Has it had the account and how would that breakdown offer same ownership? Can they provide solid complete event management coverage for references from long time clients? the client?

• Flexibility – Is the AMC willing to listen and • Proposal/cost- The AMC should provide the respond to what you need or are they pushing detailed proposal outlining all of the items a “full package” that is more than what you discussed in this section with a comprehensive need/want? outline of the cost associated with management of these items. • Location – Does it matter to the client where the AMC is located? • Terms- The AMC will state the period of time or scope of work the proposal covers. It • Other Clients – The AMC should provide a should also include the review process as well list of their current clients or in some cases as the payment schedule. their client portfolio for the last 5 -10 years. Do you want a firm with expertise in your • Services- The AMC should define in the events industry or just size and scope of events proposal exactly what services will be provided managed? for what fee. The services provided are usually based on the client’s request/needs. • Resources/-Office Facilities – Location of AMC office(s), convenience to an airport, • References- The AMC should provide 1–3 does the AMC have conference room/resource references with complete contact information capabilities for meetings? for the potential client to speak to.

• Equipment - What type of phone system does 4.4 Contractual relationships the AMC have, does it connect remotely? What Association (s) does the In order to develop a solid relationship of AMC use? What accounting system? Is mobile trust with the AMC, you should consider the connectivity provided to staff? How current is following guidelines: their technology? • Have a written agreement defining the • Specialty Divisions –What divisions does the scope of work to be performed, the fees and AMC offer? Full Service, Event & Tradeshow charges associated with that work, and other Management, Consulting, Accounting, obligations and responsibilities of both parties. Marketing, etc.? • Clarify ownership of all intellectual property, • Staff Number- How large is the AMC’s and ensure that your association retains all current staff? Provide the number broken copyrights, trademarks, trade secrets, or down by fulltime, part time and contracted other intellectual property developed for your or by divisions? How many certifications do association. the staff carry (e.g. CAE, CMP, etc.) • The AMC should be recognised as the authorised • Experience - How does the AMC’s experience agent for acting on behalf of the association. relate to potential client? Have they managed other associations in the same industry, event • Specify the duration of your agreement and size, scope, complexity? What industries any renewal/termination provisions. does the AMC have experience in? Would that experience be beneficial in getting attendees, • As laws differ across jurisdictions, the written exhibitors or sponsors? agreement should identify the jurisdiction’s laws under which the agreement will be enforced.

12 4.5 Services an AMC offers

• Strategic planning

• Government relations

• Financial administration

• Membership development

• Meeting & event planning

• Public relations

• Educational programming

• development

• Marketing communications

• Headquarter infrastructure

• Board / committee support

• Web management

• Organisational development

• Non-dues revenue programs

• Publication management

• Sponsorship development

13 5. Useful links:

More information on PCOs: More information on DMCs:

ICCA Meetings Management Sector ADME (Association of Destination Management members: www.iccaworld.org Executives International): http://www.adme.org/ IAPCO (International Association of - providing more information on services Professional Congress Organisers): provided by Destination Management www.iapco.org Companies - provides general PCO information, while the following website gives more specific Convention Industry Council: information/papers on PCOs, Core PCOs, and - The following link provides you with a how to select them, as well as templates on RFP template for Destination Management how to submit an RfP for an international Companies: meeting: http://www.iapco.org/publications/ http://www.conventionindustry.org/Files/ white-papers/ APEX/APEX_Destination_Management_RFP. pdf

More information on AMCs:

ASAE (American Society of Association Executives): - A comprehensive resource on Association Management Companies www.asaecenter. org and http://www.asaecenter.org/ Resources/EnewsletterArticleDetail. cfm?ItemNumber=5706

AMCI (AMC Institute): - A complete reference site of Association Management Companies where Requests for Proposals can be received. Best practices in the field of Association Management www.amcinstitute.org

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