Multifamily owners and operators are inundated with inquiries from supplier partners regarding their tech stack and operational tools. Offers come fast and furious from potential partners for demos and participation in pilot programs that could potentially improve performance, save money, and save on-site teams’ time.
BH’s Director of Strategic Solutions, Amy Chien, recently moderated a panel discussion at the National Multifamily Housing Council’s (NMHC) OPTECH Conference. The panel included Mark Chrisman, 29th Street Capital; Shawn Mahoney, RET; and Eglae Recchia, Berkadia.
Amy said the first step is to ask, “What method or means do you have in place to help identify a need or opportunity to address a pain point, replace subpar technology, or incorporate a new solution for future growth and efficiencies?”
One of BH’s core values is to “Hear Every Voice.” One way we achieve this is through our virtual suggestion box. It helps us identify needs based on comments from BH’ers working on-site at our 330+ communities.
For example, feedback such as creating rental application forms in other languages, using a tech partner to track and log unit inspections, and adding a recurring payment reminder to the resident lease renewal letters are among the ideas that have been implemented.
The panel said companies should determine whether building the technology in-house makes more sense than leveraging what’s available from industry providers. BH has often used in-house methods with great success. For example, we built our own in-house digital advertising platform Aylist, which uses local data, real-time pricing, and availability to automate ad targeting.
Amy said it’s essential to define your success metrics.
“Does this practice of identifying a goal differ from replacing a current solution to potentially solving a new need or adapting to a new, unchartered area for advancement?” she said.
As for the stakeholders involved in the process, Amy said a systematic approach should be taken to identify which departments or leaders should be included in the discovery and assessment. The company must also determine at what point the leaders of impacted departments should be brought in.
When it comes to buy-in, Amy said companies should find ways to create momentum and accumulate buy-in for needed replacements or advancements across the organization.
The panel suggested that just as important is companies asking whether their organization wants to be at the forefront, in the middle of the pack, or at the rear of advancement relative to their peers.
Is It a ‘Go’ or ‘No-Go’?
When deciding if the tool or solution is a “go” or “no-go,” assess the deal breakers, identify requirements before proof of concept, before the pilot, and before the full portfolio-wide rollout,” Amy said. Don’t hesitate to ask for a free trial or a pilot program.
The panel added that these steps should include integrations and other vital aspects of a new product’s long-term success.
Amy said another aspect is ensuring that the vendor is a company “you want and trust to have a long-term relationship with – especially when it comes to key technology for your company.”
Amy said BH has worked with many vendors over the years, but not all of them became true partners. In a partnership, both parties listen to each other and work to incorporate changes and compromises to the application to make the experience and product a success that betters each organization.
The panel started with a quote from the famous John Donne poem, No Man Is an Island, and neither are any operators/owners in our space. We all depend on each other for success and must have trust and alliance for a successful, long-term partnership.
It’s not always about the lowest cost but about a fair price. Owners/operators should want their vendor partners to profit and succeed. Our vendor partners should want the same for their clients when we focus on improving our own company, with the understanding that the other party should want to do the same.
It’s not about one party being expected to sacrifice direction and development freedom but about understanding that the product being developed isn’t being used by the people who designed it. Some vendor partners understand the need for client advisors and feedback, and some don’t.
Tracking Onboarding and Adoption
The panel said to have a “re-implementation come to Jesus” session for onboarding and adoption. Have a way to summarize the assessment, discovery, and pilot.
Additionally, determine if the product does at least what it was initially intended to do, and if it does more, is that good or bad? Look to see if it “runs into” other products, what impact that could have, and what solution is available if it does.
Measure and be honest about the “lift” this will have on implementation, training, ongoing use, and monitoring for on-site teams.
Amy said crucial milestones, success points, and progress should be established throughout the pilot’s movement from launch to rollout.
“There’s also a headache factor,” she said. “How do you determine when and how to call it quits?” she said. “Assess your potential ‘breaking point’ and what to do if you aren’t hitting your needed milestones for progress. At what point does the level of effort supersede the potential benefit, not only from a technology perspective but the cost of change,” Amy and the panel said.
One tip the panel shared is to include various support departments (IT, HR, marketing, etc.) during the onboarding with the vision and the why behind it – and not just focus on operations.
Develop a “trickle” campaign that builds excitement and momentum, leading to a change. Use the words and success stories of the on-site staff at the pilot sites to let the teams who have yet to make the change hear from their peers about the value.
Training is a big component of the launch strategies, and so are feedback opportunities. So, don’t dump all the firewood on the building fire at once when you move from pilot to rollout. Instead, systematically plan for groups of properties to transition in stages. During these phased-in rollouts, build in time for feedback calls and live support to ensure an opportunity to hear and address feedback and concerns and provide clarity if and where it’s needed. Also, have those success metrics ready with baseline data to compare progress.
The panel said to lean into your vendors. Ask them to share best practices for implementation, setup, and anything pertinent to their product. According to the panel, they should be able to provide great answers and support. If not, that might be a glimpse into the future as to whether your vendor is great at sales or sales, support, and partnership.
Vendors must ably handle product suggestions and demonstrate proof—everyone has a roadmap, but not everyone executes it.
Ask the potential partner who its first customer was. If something was built to suit that company, would it also fit yours? Changing property management software is more complicated than adding a layer.
Ongoing Monitoring, Sustaining Partnership, and Compliance
Vendors should have a future roadmap for items versus live features. Product development teams are often led by revolutionary thinkers who are passionate visionaries. While this is what drives innovation and creative problem-solving, it is also what can, at times, cause confusion. Regular roadmap review meetings are crucial to ensure we are in alignment with the direction our vendor is going and the direction we are headed. Still, constant future deliverable promises that do not make it to the live production environment lead to disappointment and stagnation.
Determine when to cut off the potential options and discovery mode. In other words, focus on the problems to be solved versus getting excited about the new available tools. All technology should come with a way to improve the current situation, or the issue being addressed.
Companies must aim to “stay current and top of the class” without suffering change fatigue. How long is too long to wait for the enhancements needed? Determine when to reevaluate and go to RFP.
“Ask the partner for feedback on how [the operator] is missing key features and potentially missing important enhancements,” Amy said. “And determine when to add supplemental software vs. replace it with a holistic solution.”
The panel said to consider hiring a consultant to help identify vendor partners that can meet your needs if you don’t have the internal resources to vet and discover. Be sure to outline the expectations of a pilot, including price, duration of time, and other important factors for success.
Exploring and experimenting with new technology tools is part of the BH culture. It aligns with our company values, “Embrace Evolution” and “Have the Guts for Greatness,” and helps keep us stay ahead in apartment management.