FROM REPORTING TO ACTION: BUILDING AN OPERATING SYSTEM AROUND WHAT HAPPENS NEXT

THE PURPOSE OF OPERATIONAL REPORTING IS NOT SIMPLY TO DESCRIBE WHAT HAPPENED. IT IS TO ESTABLISH WHAT MANAGEMENT WILL DO NEXT.

DATA ALONE DOES NOT IMPROVE OPERATIONS

RESIDENTIAL REAL ESTATE PRODUCES AN ENORMOUS AMOUNT OF DATA.

OCCUPANCY, AVAILABILITY, TRAFFIC, TOURS, APPLICATIONS, LEASES, RENEWALS, DELINQUENCY, WORK ORDERS, TURN STATUS, EXPENSES, REVENUE, AND RESIDENT FEEDBACK CAN ALL BE MEASURED. YET MORE DATA DOES NOT AUTOMATICALLY PRODUCE BETTER OPERATIONS.

THE VALUE COMES FROM TURNING INFORMATION INTO ACTION

REPORTING SHOULD EXPLAIN WHAT HAPPENS NEXT

TRADITIONAL PROPERTY REPORTING OFTEN LOOKS BACKWARD. IT EXPLAINS WHAT HAPPENED DURING THE PREVIOUS WEEK OR MONTH, BUT IT MAY NOT CLEARLY IDENTIFY WHY PERFORMANCE CHANGED, WHO IS RESPONSIBLE FOR RESPONDING, OR WHAT SHOULD HAPPEN NEXT.

BASE LIVING IS BUILDING ITS REPORTING MODEL AROUND THOSE QUESTIONS.

MANAGE THE EXCEPTIONS THAT REQUIRE ATTENTION

WE FOCUS ON THE INDICATORS THAT REVEAL WHERE ATTENTION IS NEEDED. IF LEAD VOLUME IS STRONG BUT TOURS ARE WEAK, THE ISSUE MAY BE RESPONSE TIME, FOLLOW-UP QUALITY, PRICING, AVAILABILITY, OR THE PROSPECT EXPERIENCE. IF TOURS ARE OCCURRING BUT APPLICATIONS ARE NOT, THE TEAM NEEDS TO UNDERSTAND WHERE PROSPECTS ARE DISENGAGING. IF OCCUPANCY IS PROJECTED TO DECLINE, RENEWAL EXPOSURE, FUTURE MOVE-OUTS, LEASING VELOCITY, AND TURN READINESS MUST BE REVIEWED TOGETHER.

THE SAME DISCIPLINE APPLIES BEYOND LEASING

RISING DELINQUENCY REQUIRES MORE THAN A BALANCE REPORT. MANAGEMENT NEEDS TO KNOW WHICH ACCOUNTS CHANGED, WHAT COMMUNICATION HAS OCCURRED, WHAT COMMITMENTS WERE MADE, AND WHAT ACTION IS SCHEDULED. AGING WORK ORDERS REQUIRE AN UNDERSTANDING OF PRIORITY, RESIDENT IMPACT, PARTS AVAILABILITY, VENDOR INVOLVEMENT, AND EXPECTED COMPLETION. FINANCIAL VARIANCES SHOULD BE CONNECTED TO OPERATIONAL CAUSES AND A DEFINED RESPONSE.

FOUR QUESTIONS SHOULD DRIVE EVERY REVIEW

WHAT CHANGED? WHY DOES IT MATTER? WHAT ARE WE DOING ABOUT IT? WHO OWNS THE NEXT ACTION?

THIS EXCEPTION-BASED APPROACH HELPS CENTRALIZED LEADERS AND PROPERTY TEAMS CONCENTRATE ON THE AREAS THAT REQUIRE INTERVENTION RATHER THAN SPENDING EQUAL TIME REVIEWING EVERY METRIC.

IT ALSO CREATES A STRONGER CONNECTION BETWEEN ASSET MANAGEMENT AND PROPERTY OPERATIONS. OWNERSHIP RECEIVES CLEARER VISIBILITY INTO EMERGING RISKS, WHILE OPERATORS RECEIVE MORE DIRECT PRIORITIES AND FASTER SUPPORT.

A GOOD REPORT SHOULD START THE RIGHT CONVERSATION

AT BASE LIVING, OPERATIONAL INTELLIGENCE MEANS KNOWING WHAT HAPPENED, UNDERSTANDING WHY IT HAPPENED, AND BEING ACCOUNTABLE FOR WHAT HAPPENS NEXT.