EVENT MANAGEMENT

ENVIRONMENT AND MARKET

 LEARNING OUTCOMES
Upon completing this lesson, the learner is expected to:

1. Explain the structure of the events industry, the role of industry stakeholders
and their relationship with each other;

2. Identify the types of event suppliers and the means to source them; and

3. Identify the role of the government in the events industry

 WHAT IS EVENT MANAGEMENT?

• Event Management

-isthe application of project management to the creation

and development of large-scale events such as festivals,
conferences, ceremonies, weddings, formal parties, concerts,
or conventions. It involves studying the brand, identifying its
target audience, devising the event concept, and
coordinating the technical aspects before actually launching
the event.
 ENVIRONMENT AND MARKET OF
EVENTS’ INDUSTRY
What is a stakeholder?

A stakeholder is anyone with an interest in a business.

They are individuals, groups or organizations that are

affected by the activity of the business. (i.e., creditors,
directors, employees, government and its agencies,
owners (shareholders), suppliers, unions, and the
community from which the business draws its resources.)
 WHO ARE THE EVENTS INDUSTRY
STAKEHOLDERS?
• Internal stakeholders are groups within a business or people who work
directly within the business, such as employees, owners, and investors.

• External stakeholders are groups outside a business or people who are

not directly working within the business but are affected in some way from the
decisions of the business, such as customers, suppliers, creditors, community,
trade unions, and the government.
 FOUR MAJOR CATEGORIES
The Stakeholders in the Events Industry can be classified into
Four Major Categories:

1. Professional Congress/ Events Organizers (PCO)

2. The Community
3. Service Suppliers
4. Government Offices and Regulatory Bodies
 INTERRELATIONSHIPS OF
STAKEHOLDERS
External factors such as forces of nature
and global economy

PCO

Community Suppliers

Regulatory
Bodies

External factors such as forces of nature

and global economy
 THE EVENT MANAGER/ PROFESSIONAL
CONGRESS ORGANIZER
Two types of Event Managers:

1. Outsourced Event Managers- event management

companies or individuals that organize events on a
per contract basis on behalf of their clients.
2. In-house Event Managers- positions or departments
within an organization that is not into the business
of event management.
 THE COMMUNITY

The Community represents both the target market and the people living
in and around the destination.

The Target Market includes, exhibitors, visitors, sponsors, and other

attendees.

They are the main reason for organizing the event.

Other markets include key industry sectors, such as construction, real

estate, financing, automotive, hospitality, and medical companies
 THE EVENT INDUSTRY SUPPLIER
• In events management, suppliers refer
to those who provide the services
necessary to organize and execute
events properly. g. Ground Handlers
List of Event Industry Supplier: h. Freight Forwarders
a. Venues i. Booth Contractors
b. Hotels j. Audiovisual/Meeting Technologies
c. Food and Beverage Suppliers
Suppliers/Caterers k. Security
d. Airlines l. Manpower Agencies
e. e. Airports m. Photography Services
f. f. Ground Transportation n. Advertising Agencies and Public
Relations Companies
 • Hotels
• Venues
I.e., Shangri-La, Sofitel,
I.e., PICC, Araneta Coliseum, Philippine
Arena etc.
• Food and Beverage Suppliers • Airlines
I.e., Restaurants, Caterer I.e., International and local airlines
 • Ground Transportation Suppliers
• Airports
I.e., Cruise liner, Train, Car rentals etc.
I.e., NAIA, Clark Int’l Airport, etc.
• Ground handlers • Freight forwarders
I.e., Tour agencies, tour operators I.e., LBC, JRS, Cargo etc.
• Technology Suppliers • Security
I.e., Video conferencing, Online I.e., PNP, security guard, bouncer
Social Networks, Podcast etc. etc.,
• Manpower Agencies • Photography Services and
I.e., Universal Staffing Inc., CDK Advertising Agencies
I.e.,
 PROCUREMENT
• Procurement involves the process of selecting vendors, establishing
payment terms, strategic vetting, selection, the negotiation of
contracts and actual purchasing of goods. It is concerned with
acquiring (procuring) all of the goods, services, and work that is vital
to an organization.

• It is the jargon for getting or purchasing something from a supplier. You

can do this through shopping or bidding.

• Bidding is a process wherein you announce the details of what you

need, which can either be goods or services, and interested suppliers
will give you an offer.
 THE GOVERNMENT AND EVENT
INDUSTRY REGULATORS
Roles of Associations as Regulatory Bodies
-some associations regulate the staging of some events in order to maintain
certain standards.

Examples of these associations:

1. Union de Faire Internationales (UFI)

2. Bureau of International Expositions (BIE)
3. Convention and Visitors Bureaus (CVBs)
 THE GOVERNMENT’S ROLE IN
THE EVENTS INDUSTRY
Government plays important roles in the events industry,
such as:
• Development of needed infrastructure
• Peace and Order
• Creation of Policies and Incentives
• Destination Management Services
 SOLVING PROBLEMS IN EVENTS
MANAGEMENT
Event managers are organized, thorough people who pay attention to detail, but
running an event can be a very complex task, and open to many problems and
challenges.
• It’s vital to have an understanding of what these challenges are:
1. Identify the problem
What are the common problems in Events Industry?
a. Overspending or not having enough money.
b. Choosing the venue.
c. Uncooperative weather.
d. Too many people.
e. Running out of time, etc.
Depending upon the complexity of your goals, figure out a specific time to touch base
your progress on the calendar.

Here is a sample timeline for you to incorporate.

1 Year From Event—Define goals, event schedule, external schedules, define budget
8 Months From Event—Make sure venue, speakers, topics are defined and revisit goals
6 Months From Event—Revisit budget, refine messaging and purpose, reconfirm with all
participants
4 Months From Event—Finalize invitation strategy (mail, online, calls, other outreach)
2 Months From Event—Begin invitations and external messaging as appropriate
1 Month From Event—Confirm attendee list, continue outreach as necessary. I coming
weeks send “reminder” to guests make sure they know the purpose of your event and all
pertinent information.
1 Week Post Event—Meet with organizing time to discuss success / failures of event and if
goals were met. Document all and develop success plan for next time. Begin any outreach
follow up needed.
2. Application of Analytical Techniques

- An analytical technique (analytical method) is a procedure or a

method for the analysis of some problem, status or a fact.

- Analytical techniques are usually time-limited and task-limited.

- They are used once to solve a specific issue. Opposed to

management methods that affect management of the organization
in a longer term.
 EXAMPLES OF ANALYTICAL
TECHNIQUES
1. Brainstorming- is a group creativity technique. The aim is to generate as
many ideas on the topic. It is used in many fields - from problem solving to
generate highly creative ideas.
2. SWOT Analysis- is an universal analytical technique focused on the
evaluation of internal and external factors affecting the success of the
organization or any other evaluated system. Naturally and most
commonly, the SWOT analysis is used in the strategic management of the
organization in evaluating a strategic intention.
 SWOT ANALYSIS
• The author of SWOT analysis is Albert Humphrey, who designed it in the sixties
of the 20th century.
• Internal and external factors within the SWOT analysis are evaluated.
• Internal factors include the Strengths and Weaknesses of the
organization/system. External factors include Opportunities and Threats
which are related to the surroundings of the organization/system.
• SWOT is an acronym formed by the first letters of the designations of the
individual factors.
 SWOT ANALYSIS IN EVENT PLANNING

If you are organizing a corporate event then it is necessary for you as an event manager to do
research of the products/ services promoted and sold by your corporate client.

Products/Services Research

• - Find out how the company promotes its products

• - How the company wants to build/enhance the image associated with its product (also known as the
brand image)?
• - What is the market value and market share of the company and its products?
• - Who are the customers of the product?
• - What are the features of the product?
• - What are the advantages and disadvantages of the product in comparison to competitors' products?
• All this research will later help you in making an effecting promotional campaign for your corporate
event.
 SWOT ANALYSIS IN EVENT PLANNING
Strengths:
• These are the attributes of your project/organization which are helpful in
achieving project's objectives.
• For e.g.: experienced event team, high motivation level, excellent PR, good
market share etc.
Weaknesses:
• These are those attributes of your project/organization which are harmful in
achieving project's objectives.
• For e.g.: social loafing, lack of funds, inexperienced event team, low energy
level, lack of media and corporate contacts etc.
• Opportunities:
-These are those external factors which are helpful in achieving the project's objectives.
For e.g.: little competition, favorable economic conditions, support from the local
authorities, availability of the state of the art infrastructure etc.

• Threats
-These are those external factors which are harmful in achieving the project's objectives.
For e.g.: high competition, little or no support from local authorities, bad weather, poor
infrastructure, high lab our rate, unavailability of raw material etc. It is very important that
you conduct SWOT analysis before developing an event plan to develop a strategy which
maximizes the potential of strengths and opportunities of your project and at the same
time, minimizes the impact of the weaknesses and threats.

Analysis Report
• After conducting market, competitors, product/service research and SWOT analysis,
create a report which contain details of all the research work done by you.
Documentation of your research work is important, later for event evaluation. Your
analysis report will also help you in getting sponsorship for your event.
 OTHER PROBLEM SOLVING
SKILLS IN EVENT PLANNING
• Every event planning professional will need to have problem solving skills in
order to effectively do their job. Good problems solving skills can be the
difference between being successful and failing in your career.

Here are some problem solving skills every event planning professional should
possess.
• Critical Thinking Skills
• People Skills
• Decisiveness
 PROBLEM SOLVING SKILLS

Critical Thinking Skills People Skills Decisiveness

Critical thinking skills are the With no people skills, event In order to efficiently solve
most important problem planning professionals will not go problems, event planning
solving skills a event planning far in problem solving or in their professionals need to be
job overall for that matter. In
professional can possess. addition to simply understanding
decisive. Once you have
and relating to people, in order analyzed the problem and
Critical thinking skills are
to be a good problem solver, contemplated prospective
those skills that allow event
event planning professionals solutions, you must be able
planning professionals to see
must understand how to think to select a solution and then
the intricate details of a with a team, not just make a one implement it without being
problem unemotionally and sided decision when solving “flighty” or changing your
then turn the problem into an problems. Understanding mind. You must be able to
opportunity – an opportunity teamwork and utilizing the
make a solution quickly and
to improve, learn, or earn. strengths of team members can
help every event planning implement it quickly in order
professional be an effective to keep additional problems
problem solver. from forming.
 HOW TO SOLVE ANY EVENT
PROBLEM
• Here’s an example of Problem in an Event:
• Problem: vegetarians at my conference complained that there wasn’t any
vegetarian food available, even though we provided it.
• Why did they complain about a lack of vegetarian options? Because the
attendees who didn’t have dietary restrictions ate the vegetarian food.
• Why did they eat the vegetarian food? Because there was no signage to
indicate it was the vegetarian option.
• Why was there no signage? Because we didn’t ask the catering company
to provide it.
• Why didn’t we ask the catering company to provide it? Because we didn’t
hold a pre-event briefing meeting.
 FISHBONE DIAGRAMS & ROOT CAUSE
ANALYSIS
• Also known as cause and effect diagrams. This method is a more visual way
of getting to the root cause of an issue and works particularly well for more
complex problems. Here’s how it works:

1. Identify the exact problem. Define it as clearly as possible. Write it down on

the left hand side of a large piece of paper.
2. Draw a horizontal line from the box, so that it looks like the head and spine
of a fish. This gives you space to develop your ideas
3. Brainstorm the main factors or categories that could be involved. Not
the solutions, but the buckets of related factors. For example: suppliers,
venue, staff, technology, etc. Draw a line off the “spine” for each
factor, and label it with the theme.

4. For each of these factors, brainstorm what the possible causes could
be. Add each of these causes as labels along the line for that factor.

5. You’ll now have a diagram showing the problem, the main factors
that may be involved, and all the possible causes that you can think of.
 USING MATHEMATICAL CONCEPTS
AND TECHNIQUES IN EVENT INDUSTRY

Planners are called upon to use all sorts of math skills.

"Besides having to have a solid understanding of accounting and financial

management procedures, meeting planners would use math in the following
areas," says Ted Wykes, a meeting and event planning professor.
• Calculating percentages
• Measuring areas -- determining the square footage of a room
• Measuring volume -- number of cups of coffee in 10 liters
• Calculating interest rates
• Calculating fractions
• Determining averages, medians and modes
• Doing break-even analysis
• Doing metric conversions
• Determining gratuities
• Determining correct screen size and placement for audio-video
presentations
• Calculating no-show factors
 EXAMPLE OF MATHEMATICAL
PROBLEMS
A stockbroker has approached you about organizing a one-day seminar for her customers. She wants you
to provide her with a budget before she decides whether to schedule the seminar. If she has to charge
more than $50 per person, she won't hold the seminar.

She's asked you to include your fees in the budget. Most planners set their fees by charging a certain
amount per delegate attending. In this way, your fee is a surcharge on the other costs of attending, like
room rental and food.

Usually, the event planner's fee is calculated as a percentage of the total bill for the event. Based upon past
experience, you estimate your fee to be 10 per cent of the fee per person.

Some planners earn income in other ways. They charge a commission to their suppliers, or "vendors." For
example, they may charge the hotel a percentage of the total bill for room rental and food on the grounds
it was the planner who brought the hotel the business in the first place.)

The stockbroker estimates that 35 of her customers will participate in the seminar. After some research,
you've come up with these numbers:
 GIVEN
a. Food and beverage -$12.50 per person
b. Meeting room rental fee-$350
c. Printing and copying (estimated) -$195
d. Speaker's fee -$275
e. Miscellaneous costs (estimated) -$165

• From this, calculate the total budget for the seminar, your pay rate and the
registration cost per person.

• Will your stockbroker client hold the seminar?

 COMPUTATION
• First, you'll want to calculate the total expense.

• Multiply the number of people who will attend the seminar by the cost of each
expense:

• Food and beverage (35 x $12.50) = $437.50

• Meeting room rental = $350
• Printing and copying = $195
• Speaker's fee = $275
• Miscellaneous costs = $165

• Total cost = $1,422.50

 Now you need to calculate how much you will charge for the seminar:

Total Cost x 10% (Service Fee)

= $1,422.50 x 0.10 = $142.25

• You would charge $142.25 for your services.

The total cost of the seminar would be:

=$1,422.50 + $142.25 = $1,564.75

• She's expecting 35 people, so the minimum charge per person would be:

=$1,564.75 / 35 = $44.70

• It will cost $44.70 for each person to attend the seminar. So yes, the stockbroker will hold the seminar
• https://www.quora.com/How-do-wedding-planners-use-math