get mice new
get mice new
CHAPTER ONE
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grew, cities became the meeting places for people who wanted to trade goods or discuss common
problems. As cities became the center of activities for geographical regions and transportation improved,
the desire of the people to gather to discuss things of common interest became more wide spread. Trade
associations, professional, fraternal and religious organizations assembled to discuss relevant issues.
Discussion of trade regulations as well as selling or trading of goods were the main reasons for
convening. Many trade, Professional, fraternal and religious associations had their historical roots in
Europe.
Meetings, incentives, conventions and exhibitions have become an important source of income for travel
industry suppliers. In the past 35 years, the meetings and convention business has grown from
comparative insignificance into a multi-billion-a-year industry. Thousands of corporations have
introduced incentive travel programs spending millions of dollars a year on these programs.
Until the 1950s, most meetings were regional. National meetings were rare because long distance travel
was impractical. Business executives could rarely afford the time to travel to meetings on the other side
of the country.
In the MICE industry, there are there are three major components, namely planners and groups they
represent, host facilities and services.
Planners are individuals or groups that plan meetings, conventions and exhibitions. Planners are
classified in to a number of categories such as corporate meeting planners, association meeting planners
and independent meeting planners. Corporate meeting planners are those who work exclusively for a
corporation. Association meeting planners work exclusively for an association. Independent meeting
planners contract their services to both associations and corporations. Organizers function both as
planners and actors of the event.
Host facilities
provide lodging, meeting rooms and food and beverage as well as a number of other services for groups
attending meetings, conventions or exhibitions. Host facilities include hotels, conference centers, resort
hotels, universities, tourist inns, etc.
Services refer to individuals and organizations that provide support for meetings, conventions and
exhibitions segments of the tourism industry. Service suppliers include the transportation companies,
attractions, tour guiding companies and entertainers.
Exhibitors/promoters (is sometimes considered as the fourth component). They are financially linked
with all segments of the MICE industry. They provide much of the revenue needed for the planners to
hold meetings, conventions or exhibitions. Exhibitors are persons who work for the company. The main
aim of exhibitors is to introduce their products, both new and old, to an interested audience.
The growth of MICE industry
The breakthrough for the meetings business came with advances in the transportation industry. The
advent of the jet age brought major changes. Jet planes made travel for meetings faster, more convenient
and in many cases, less expensive. With the extension of domestic jet routes, many destinations became
accessible for national meetings. International meetings became possible with the introduction of daily
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flights to overseas destinations. In recent years, lowers fares resulting from airline deregulation have
acted as a further stimulus to the growth of the meetings business.
Improvements in ground transportation services/ground handlers have also contributed to the expansion
of the meetings market. Car rental fleets have been expanded to accommodate even the largest of
meeting crowds.
One final factor in the growth of the meetings market has been the increased use of
automation/technology in the travel industry. Computer reservation systems have made it possible to
coordinate meetings of as many as 10,000 delegates.
Not only has the volume of the meetings business grown; so, too, the number of destinations with
facilities to handle large meetings. Hub cities-those cities at the center of an air carrier’s route structure-
have presented themselves as ideal meeting sites. Convention centers were constructed. Resort locations
have also become increasingly attractive as sites for meetings.
The increased demand for meetings expertise has created a new field of services, including meeting
planning and destination management.
The growth of the MICE industry can also be attributed to several factors: meeting planners’ association,
the lodging industry, convention and conference centers, convention bureaus and meeting technology.
1.2 THE ROLE AND IMPORTANCE OF MICE IN THE TOURISM INDUSTRY
The MICE sector is an exciting and profitable segment of the tourism industry. A major source of
revenue for the tourism industry comes from meetings, conventions and exhibitions segment of the
industry. It stimulates the local economy through multiplier effects. These events can contribute
significantly to a city’s overall economic regeneration plan. The expenditures in the city by participants,
spectators, officials and visitors boost the local economy. Hotels, restaurants, clubs, shopping centers
and local transportation all benefit from the event. MICE generates a tremendous amount of revenue for
a particular destination or sector. Travel sales from meetings, conventions and exhibitions are so
important to the economy that all levels of government have organized advertized and provided services
to attract these groups. For example, the US has offices in major industrial countries to help
organizations with travel arrangements to it/US. Each state allots a major part of its budget to
advertising to encourage conventions and business travel to their state. Studies showed that
approximately 82 million delegates attended 267,810 meetings with a direct economic impact of more
than USD 56.6 billion for the year 2000.
A destination, which wants to attract tourists, can make MICE or any event to draw them, as a form of
promotions and marketing. Development is later evolving in the process.
There is a much greater need for communication in the business world because of the advent of
technology. Companies must keep up-to-date with the latest technological advances if they are to remain
competitive. Sales people must be aware of new products coming in to the market.
Face-to-face meetings have proved to be the most effective way of sharing information and knowledge.
In addition, they present a valuable opportunity to exchange viewpoints, resolve problems and discuss
matters of mutual concern.
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Events can be the thrill of a lifetime if properly done; yet, it can bring a very unpleasant experience, if
poorly done.
CHAPTER TWO
INTERNATIONAL AND NATIONAL ORGANIZATIONS RELATED TO MICE
International Organizations
World Tourism Organization (UNWTO)
It is the largest and most significant governmental organization in the area of travel and tourism, a
specialized executing agency of the UN. It is the most widely recognized organization in tourism today.
It is the only organization that represents all national and official tourist interests. The office is located
in Madrid, Spain. Its membership is composed of 160 countries and territories and over 300 members
from public and private sectors.
The agency is headed by the Secretary-General and composed of three main bodies, namely:
1. General Assembly
2. Executive Council
3. Regional commissions-Americas, Europe, Africa, Middle East, South Asia, East Asia and the Pacific.
UNWTO’s mission is to promote and develop tourism as a significant means of fostering international
peace and understanding, economic development and international trade.
To pursue its mission, UNWTO engages in a wide range of activities specifically designed to assist
developing countries in the following areas:
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-Inventories of existing and potential tourism resources, national tourism development master plans,
formulation of policies, plans and programs for development of domestic tourism;
-Institutional framework of national tourism administrative structures, tourism development
corporations, legislations and regulations;
-Evaluation of the impact of tourism on the national economy and on the environment;
-Statistics, forecasting, statistical analysis, market research, market analysis, promotion and public
relations;
-Training, knowledge management, feasibility studies for tourism and hotel school’s management
development;
-Planning and management of national, social and cultural goals of tourism;
-Area development, development of new tourist sites and development of new tourism products;
-Planning, location, operation and improvement of tourist accommodations;
-Sources and methods of finance for tourism investments, pre-investment studies, feasibility studies of
investment projects, cost benefit analysis;
-Safety of tourist and tourist facilities.
World Travel and Tourism Council (WTTC)
This council is a global coalition of chief executive officers from all sectors of the industry. These
include transportation, accommodation, catering, recreational, cultural, and travel agency industries.
Officers are located in Brussels, Belgium (headquarter); Canada, the UK and New York. As a private
sector organization, several of WTTC’s primary objectives are concerned with making changes in the
public sector. The mission of WTTC is threefold:
1. To convince governments of the enormous contribution of travel and tourism to national and world
economic development and to ensure that policies appropriately reflect this fact (improving the
recognition of tourism’s importance).
2. To promote the expansion of travel and tourism markets in harmony with the environment.
3. To eliminate barriers (such as trade restrictions and airline agreements) to the growth of the industry.
The environment is the core of travel and tourism and a critical political issue. WTTC shares the global
concern for environmental protection. In 1992, guidelines for travel and tourism companies were
formally adopted by the WTTC, focusing on audits, impact assessment and management commitment.
Bureaucratic barriers to travel such as entry and exit procedures irritate consumers and lower the quality
of the travel experience. WTTC urges visa-free travel consistent with security requirements while
challenging all forms of exit barriers.
United Nations Economic Commission for Africa (UNECA)
{United Nations Conference Center (UNCC-AA)}
The UNECA holds regular and big international meetings in UNCC, and UNCC has a very good
expertise in conducting meetings. The UNCC facilities are at par with the international standards. These
facilities are used for other major conventions and meetings aside from regular meetings by head of
African States, leaders and high-ranking officials from various countries.
Organization for Economic Cooperation and Development (OECD)
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The OECD was formed in 1961 by the United States, Canada and 18 European nations. It is not only
concerned with tourism related issues, but in economic development in general.
The OECD focuses on governmental policies and how they interact with those of other countries. It is
based in Paris, France.
International Civil Aviation Organization (ICAO)
The ICAO is an intergovernmental body devoted to cooperation in setting international aviation
standards. The ICAO was established in 1944 by 52 nations. In 1966, the membership rose to 180. The
headquarters is located in Montreal, Quebec, Canada.
The purpose of ICAO is to establish international standards, recommended practices and procedures
covering the technical fields of commercial and private aviation, such as:
Developing a satellite-based system concept to meet the future communications, air traffic
management needs.
Facilitating travel by reducing formalities and obstacles
Providing assistance to nations in planning safe and economical aviation systems
Promoting airlines in developing countries
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It was founded in 1951 as a non profit organization to develop, promote and facilitate travel to and
among the many pacific destinations. It has 44 founding members. Its head quarter was established in
San Francisco, USA in 1953. The underlying philosophy of PATA is that the entire travel industry must
work together to develop an ever increasing flow of pleasure travel from which each member will derive
a fair share of the total business.
It primarily operates in the US market which is the world’s biggest travel market. It focuses attention on
travel opportunities in member countries and building greater awareness and specific contracts among
the travel trade in countries from where the tourist originates. It contributes to the growth, value and
quality of travel and tourism to and within the Asia-Pacific region. The activities of PATA are as
follows:
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These organizations are involved in financing and giving grants/aids for member countries’ government
projects and programs involving infrastructure and services like in tourism destinations and
infrastructure development and rehabilitation.
International Bank for Reconstruction and Development (IBRD)
It is the best known international organization involved in direct funding for tourism-related projects.
National Organizations
The ministry of culture and tourism, which was established last 2005, is the supreme body of tourism
promotion and administration in Ethiopia. The head office is based at Addis Ababa. It has the following
roles:
Promoting of Ethiopia as a MICE destination.
Enlisting MICE facilities available in the country.
Measurement of MICE tourism.
Maintaining MICE tourism statistics.
Creating and promoting infrastructure investment in MICE.
Maintaining all tourism related information.
Creation of MICE projects.
Operating tours through National Tour Operator for MICE tourists. (but currently, NTO is
privatized)
MICE planning and development.
Conducting familiarization tours for making national and international planners aware of the
MICE facilities in Ethiopia.
Maintain a section for accounting and administration of MICE tourism (business travel).
The ministry is a member of UNWTO and aims at creating a cordial atmosphere for proliferation of
MICE tourism works I close liaison with all other departments functioning in MICE for the promotion
of Addis Ababa and its facilities for the present and future MICE events.
Ministry of Finance
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The one in charge of providing the needed budget for any government project, activity or infrastructural
reforms like road construction, airports, terminals and other basic services either through the national
budget or loan from other financial institutions.
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Many car rental companies and agencies exist in Addis Ababa and other places. Cars and four-wheel
drives are easily hired from agencies in Addis Ababa. The chief advantage of car rental is the time that
can be saved in moving around for an event. The car can be hired by any person who has international
driver’s license and is between 25 and 70 years old. For a MICE traveler, incorporating an organized car
rental is vital for movement around.
Tourist Destinations
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During post MICE, these places of attractions serve as an additional engagement to the MICE tourist.
This is important since participants of the event have the aim also of touring the attractions of the host
country.
CHAPTER THREE
KINDS OF FORMAL ACTIVITIES
3.1 MEETINGS
Human beings are, by their nature, social animals. It seems inconceivable that our evolution as a species
could have taken place at the same extraordinary rate without our natural predisposition to congregate
regularly in order to our ideas and experiences, enhance our knowledge and skills, and celebrate our
most laudable achievements.
The practice of meeting to exchange and disseminate information, once so vital to our collective survival
remains an essential feature of the professional, political, spiritual and recreational lives of a significant
proportion of the population. Now several hundred million people travel each year in order to attend
meetings. Some, such as the 2010 Copenhagen meeting in Denmark are truly global in nature, amassing
tens of thousands of delegates and media representatives from all over the world. Others may consist of
a mere handful of delegates spending a one-day brainstorming session in a meeting room in a local
market. But, whatever the scale and location of the event, the fundamental motivation underlying the
arranging of the meeting are invariable: to combine the knowledge, talents and ideas of those present in
order to solve problems, share enthusiasms or simply find a way of doing things better.
Definition: The term meeting refers to all types of gatherings. It is an assembly or gathering of people as
for a business, social or religious purpose. It includes the vast range of events such as conferences,
training seminars and annual general meetings that are held by companies and associations in order to
facilitate communication with and between their employees, customers, stakeholders and members.
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WHY has the number of meetings held every year grown so dramatically in recent years? The simplest
explanation is that technology has made the world we live in a much more complicated place than it was
in the past. As a result, there is a much greater need for communication in the business world.
Companies must keep up-to-date with the latest advances if they are to remain competitive. Sales people
must be aware of new products coming in to the market. Technicians, scientists and members of the
medical profession need to learn about the new discoveries and techniques in their respective fields on a
regular basis. Employees must be trained to operate sophisticated new machinery.
Face-to-face meetings have proved to be the most effective way of sharing information and knowledge.
In addition, they present valuable opportunity to exchange viewpoints, resolve problems, and discuss
matters of mutual concern.
Kinds of Meetings
There are different classifications used in the meetings field. The classification used depends on the
number of participants, the kinds of discussions and presentations involved, the amount of audience
participation and whether the meeting is formal or informal.
1. Convention: conventions typically involve a general group session held in a large auditorium,
followed by committee meetings in small breakout rooms. (The term breakout is used when a
large group “breaks out” in to several smaller groups.) Most conventions are held regularly
(usually annually) and meet for a minimum of three days. Trade and technical conventions are
often held in conjunction with exhibitions. Attendance varies from less than a hundred to 30,000.
2. Conferences: are similar to conventions, but they usually deal with specific problems or
developments rather than with matters of a general nature. The American Medical Association,
for example, might call a conference to discuss a breakthrough in the treatment of a particular
disease. Conferences involve much member participation. Attendance varies, though it is rarely
as high as conventions.
3. Congresses: more commonly used European designation for conferences, and mainly
international in scope.
4. Forum: involves back and forth (panel) discussion on a particular issue taking opposite sides. It
is usually led by expert panelists or presenters. Audience participation is expected and
encouraged.
5. Symposium: is similar to forum, though it tends to be more formal. It is a panel discussion by
experts in a given field before a large audience. Some audience participation, but appreciably
less than a forum.
Lectures: are even more formal. An individual expert addresses the audience, usually from a raised
platform or podium. The presentation is sometimes followed by question and answer portion. Another
definition is, it is an exposition of a given subject delivered before an audience or a class, as for the
purpose of instruction.
Seminars: are informal meetings involving face-to-face discussion. Participants share their knowledge
and experiences in a particular field under the supervision of an expert discussion leader. Attendance is
generally less than 50.
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6. Workshops: are small group sessions (usually a maximum of 35 participants) held for a period of
intense study or training; a general session and face-to-face groups of participants training each
other to gain knowledge, skills or insights in to problems. Emphasis is on exchanging ideas and
demonstrating skills and techniques.
7. Panel: is a meeting format that calls for two or more speakers and a moderator. Panelists present
their viewpoints on a particular subject. The meeting is then open for discussion among the
speakers and with the audience.
8. Colloquium: an informal meeting/program in which the participants determine the matter to be
discussed. The leaders (usually led by a different lecturer) would then construct the program
around the most frequent problems. Usually, it is attended by 40 persons or less with equal
emphasis on instruction and discussion.
9. Teleconferencing: is a way of holding a meeting from several different locations
simultaneously. Participants use advanced communications technology that enables to see and
hear participants at other locations. Teleconferencing is a way of bringing people together
without the time and expense of long distance travel. Several hotel chains, convention and
conference centers have introduced teleconferencing facilities in response to the growing
demand for this means of communication.
Buyers, intermediaries and suppliers are involved in the meetings industry.
BUYERS
The meeting market is the most diverse of all the sectors of business travel and tourism. Demand for
meeting facilities and services originates from a multitude of different types of customers, all extremely
varied in terms of the sizes and purposes of the meetings they hold. In our context, ‘buyer’ describes the
organizations that are the initiators of meetings.
Segments of the Market
The meetings market can be divided in to the following segments:
a. Corporate market: it is generally recognized that the corporate sector, consisting essentially of
private businesses of all sizes, dominates in terms of the sheer number of meetings it needs in
order to function effectively.
b. Association market: association demand derives from the meetings held by the countless
sectoral organizations that operate on behalf of their members. Such organizations may be
professional or trade associations or they serve to bring together those with a common cause or
leisure interest.
c. Other categories: apart from corporate and association buyers, other categories often identified
in segmentation systems include governmental bodies (local authorities, central government
departments and agencies), intergovernmental structures, as well as religious and trade union
agencies, none of which fits convincingly in to the two main market segments.
SUPPLIERS OF THE MEETINGS MARKET
In order to respond to the extensive and varied demand for meetings of all kinds, a comprehensive
infrastructure of suppliers offering a wide range of facilities and supporting services must operate
efficiently and in harmony. The suppliers in this market are those who make available for hire the
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venues other services that make it possible for meetings to take place. This section concentrates on the
actual buildings in which meetings are held. These include the following:
A. Hotels: despite the rise of many different, competing forms of venue, hotels are still where the bulk
of meetings take place. It brings much benefit for the hotel as it increases occupancy rates and can
often generate higher room rates than the leisure market.
B. Conference centers: it is not for nothing that conference centers; with their striking architecture, vast
dimensions and often prominent locations are ‘palaces’ in several European languages. Whether
purpose-built or converted from buildings originally used for other purposes, a conference centre
usually provides the most visible indication that the city in which it is located is an active player in
the meeting market.
Many venues forget that there is a need for an average of at least five working rooms in addition
to the actual function rooms: for speakers, the organizer, the program committee, the
organization team, and last but not least, the press. Added to which, at multi-lingual conferences,
the interpreters also need rest room.
C. Academic venues: academic venues, especially universities, play a significant role in both
stimulating and responding to the development of the meetings market, while earning vital income
for educational establishments. Universities are built with ‘learning spaces’-auditoria, lecture
theatres, classrooms- which are highly suited to the meetings market. Moreover, during vacation
periods, universities can provide residential conferences, making use of campus accommodations.
D. Residential conference centers: in contrast with the academic venues favored largely by the
association market, residential conference centers-also known as management training centers- have
traditionally attracted a mainly corporate market. Training is essential to the continuing success of
all businesses, and new technology, a more flexible workforce, more demanding employees and the
growing recognition from managers of the importance of investing in staff.
In providing meeting facilities and accommodation under one roof, residential conference centers
are often considered to be in direct competition with hotel conference venues.
E. Unusual venues: comprise a wide range of facilities that are used for conferences, including
museums, historic houses, art galleries, theatres, sports venue, cruiseships and a number of other
buildings normally used for quite different purposes. The main appeal of unusual venues is the high
recall and entertainment value they can bring to events held in them.
Summary of the advantages and disadvantages of venues
1. Purpose-built conference centers
Advantage:
-Space for large events
-Extensive range of technology available
-Technical know-how
Disadvantage:
- Many may not always be suitable for the growing number of smaller events
-No on-site accommodation
2. Hotels
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Advantage Disadvantage
-Everything under one roof -Mixing leisure and business guests
-All-inclusive quotes -Can appear too frivolous
-Airport hotels: time saving -Not suitable for large events
-American preference
3. Universities
Advantage
-Good value for money
-Learning ambience
-Everything on-site Disadvantage
-Range of sizes of meeting rooms -Lack of comfort and facilities
-Ancient/modern style -May be limited to vacation periods
4. Residential/management training centers
Advantage
-Business-like ambience
-Few distractions, more focused
Disadvantage
5. Unusual venues
Advantage -Limited by design restrictions due to
-Memorable, novelty value primary function
-Criuseships: all in prices -No on-site accommodation
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It is clear from what we have already said about selection criteria that however good a venue’s facilities are,
its fortunes are linked intrinsically to those of the destinations in which it is situated. Location came in both
segments’ list of factors influencing their choice of venue. Next, we will see some of the most important
criteria used by meeting planners and buyers when choosing a destination for their event.
1. The existence in the destination of a venue offering the capacity required to host the meeting being
planned.
2. Accessibility: the destination’s accessibility to those invited- or instructed to attend the event is a key
consideration. In almost every case, the speed, ease and cost of accessing the destination are more
important than the actual distance between the delegates’ homes and the place where the meeting is to
be held. For this reason, being served by an efficient transport infrastructure is more important for a
destination than its actual geographical location.
It is, however, worthy of note that there is one category of meetings for which lack of accessibility is
an advantage rather than drawback. Events characterized by the confidential or sensitive nature of
the discussion to be held-whether by politicians, financiers or the military.
3. Image: the perception of any destination will always have a strong influence on the decision of whether
to hold a meeting there. Images can be formed through various means, including personal experience,
but most are created through the media-bulletins, newspapers, cinema, etc.
4. Support from the destination: the degree to which the destination itself receives financial support from
its own local or regional government for use in enticing meeting planners to choose that particular
destination over others.
5. Cost to the organization and participants
6. The availability of Hotel Accommodations
7. Network Infrastructure: The venue must permit the installation of cables and wireless access points
in hallways, meeting rooms, and open areas.
8. Safety and security: disclosure is required from the prospective host about security, the political
situation in the host city and country, and any other issues that could affect the success of the meeting.
Seven Simple Steps for a Selecting the Right Venue”
Selecting a venue to host a corporate meeting from product launch to team building becomes simple once
you determine your needs.
Step one – Determine your seminar needs so that you can select the appropriate venue.
What is the mission or objective of this event?
• What is the Image does management wants to portray at the event? Formal, casual, cutting edge or
laid back. Inside, outside or maybe both.
What is the budget?
Step Two: Determine the audience
• number of attendees
• Positions (i.e., Owners, Management, engineers, support staff, etc.)
• demographics of attendees
Male/female, % of both
Age
Special needs (wheel chairs, new moms, hearing or sight impaired, etc.)
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Food requirements (some groups can be offended, by certain food groups, on or near their
food selection)
Step Three: Determine Method of communication for the seminar
• Classroom style:good for longer seminars or training sessions, attendants can take notes or use
laptops
• Small Groups. Use of round tables seating of 8-10. Good for breakout sessions, Semi-casual events
such as sales dinners and promotional events
• Theater seating. Good for short informational seminars
• Walk around/mingling. Good for social events.
Step Four – Identify desired location for the seminar.
• Hotel
• Museum
• Event Center
• Zoo
• Ball Park
• Boat
• Race Track…..Yes think outside of the box..You will be greatly surprised
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Incentive travel programs have become an important segment of the corporate market. (They are not used
by the association market.)
Definition: although there is no one agreed definition of incentive travel, it is universally agreed that
incentive travel is used as a motivational reward for top company producers and achievers.
Incentive travel is the application of travel as a motivational award for the accomplishment of a business
objective. The objective is most commonly a sales target. A company sets specific quota for its sales staff.
Sales people who meet the quota qualify for the trip. The theory is that the increase in sales more than
covers the cost of the trips awarded. Companies run incentive travel programs not only to reward sales
performance, but also to achieve new sales goals and to improve morale and reduce employee turnover.
Whatever the reasons for incentive travel programs, all involve travel as a motivational tool.
Sales, dealers and distributors are the most popular targets for incentive travel programs.
Characteristics of Incentive Travel Programs
Incentive travel programs can be categorized as either pure incentives or sales incentives.
1. Pure incentives: as the name implies, are strictly for pleasure. No business meetings or sales calls
are scheduled during the vacation. Having reached the required performance objective, the employee
is rewarded with the prize of a luxury vacation for a job well done. Destination is the key motivator.
2. Sales incentives: are combinations of business and vacation trips that usually include mandatory
meetings. As such, the incentive trip is used as a vehicle for meetings. The amount of time spent on
business related activities varies, depending on the objectives of the sponsoring organization. In
general, more time is allotted to pleasure than business. An attractive destination is still the most
important factor, but the availability of suitable meeting facilities must also be considered. Sales
incentives represent two-third of incentive travel programs.
Regardless of whether the trip is a pure incentive or a sales incentive, it is always of the highest quality.
Winners expect a better class of service than do most other travel clients-accommodations is deluxe and all-
inclusive. Employees are often accompanied by their spouses whose vacation expenses are also paid for by
the company.
Incentive travel programs typically last for about 5 days, few are longer than a week. Almost all programs
involve group rather than individual trips.
Incentive Travel Planners
Large corporations and businesses that sponsor incentive travel programs sometimes have their own in-
house incentive planners. These company employees rarely spend all of their time on incentive travel. They
can also be involved in meeting planning, tradeshows, public relations and advertising. Incentive travel is
often the responsibility of the corporate meeting planner.
3.3 EXHIBITIONS
Introduction
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Practically, any product or service, if it can be bought and sold, will have its own regular exhibition or
exhibitions somewhere in the world. These events are ‘shop windows’ where, on a regular basis, those who
produce the products and services can display them, explain them, and sell them to potential customers.
Exhibitions of this type, also known as ‘expositions’, are market places of products and services-usually
lasting from a few days to a week-that brig together two groups of people: those with something to sell (the
exhibiting companies and organizations) and those who attend with a view to making a purchase or getting
information (the visitors). Both groups create a high level of demand for travel services, catering and
accommodation at the destination. They are usually joined by another group-people from print and
broadcast media, since exhibitions are often extremely news worthy events, with exhibitors often choosing
them as occasions on which to launch new products, for example.
Definition: exhibitions are events to which businesses send sales staff in order to display their products to
potential customers who attend in order to receive expert information about the goods being exhibited,
usually straight from the manufacturers.
Generally speaking, exhibitions may be divided in to two categories: trade fairs/shows and consumer
fairs/shows. Trade fairs are business-to-business events, usually restricted to those seeking to purchase
products or services for use in their business or professions. Consumer fairs are generally open to the public,
and feature any products or services that people are prepared to purchase, from cars and kitchen appliances
to holidays and investment opportunities.
The same exhibition may be open to both the trade and public, sometimes on separate days, with often the
first day or two being restricted to professionals and the press. However, both types of exhibitions differ in
the patterns of travel they stimulate. Public exhibitions attract large numbers of visitors, but most of them
attend for only one day and are drawn mainly from local or regional area. Very large or specialized trade
fairs, on the other hand, generally attract visitors and exhibitors from a number of countries, and are
regarded as important stimulators of inbound tourism for the host nation.
Trade fairs and exhibitions often become regular, usually annual or biannual, events held in the same
location, or rotation between a number of cities.
Uses of exhibitions
The main purposes of exhibitions are to generate sales, promote new products, maintain or create industry
contacts, and to act as places that that facilitate the exchange of ideas and information between exhibitors,
industry experts and visitors. Thus, from the point of view of those exhibiting trade/consumers fairs, these
events are a key component of their communications and marketing mix. As such, exhibitions provide a
number of advantages to visitors, exhibitors and destinations as discussed below.
Advantages to visitors
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For visitors seeking to make a purchase or find out about a particular product, consumer and trade fairs
bring together under one roof an extensive range of goods and services of direct interest to them. Such
events represent a form of three-dimensional advertising, where the product can be seen, handled,
compared, assessed by demonstration, and/depending on the product/ even smelled and tasted.
In addition, since exhibitions also offer visitors the chance to have face-to-face discussions with those who
are highly knowledgeable about the product or service on sale, they are able to get authoritative answers to
the technical questions from these experts. Many trade fairs in particular include a series of seminars or
conferences of interest to those attending
Advantages to exhibitors
For the companies who exhibit, having a presence at an exhibition seldom comes cheap. The stand has to be
hired or bought and set up. It has to be manned by staff, whose travel and accommodation costs have to be
paid. Nevertheless, the advantages to exhibitors are clearly considered to be worth the investment.
In many industries, the trade show has become a must-seize market opportunity. It is a time to meet
prospective customers, get valuable feedback on your product or service, and close sale. A trade show
enables you to develop trade and rapport with your customers. Once you have that, you can leave voice-
mails and e-mails with a face behind them.
Beyond actual sales or generating potential leads, these events also provide companies with the opportunity
to increase their visibility in the market, to improve their image, and to gain immediate feedback on new
products or services.
Further reasons for companies spending so much on attending these events are linked to the fact that trade
fairs are places where competing companies and organizations can also meet each other face to face. This
means that exhibitions give exhibitors an ideal opportunity to analyze the completion, which they often do
by visiting each others’ stands as mystery shoppers’, take note of new products, staff knowledge and
behavior.
Trade shows become a gossipy society unto themselves, where your competitors might float rumors in your
absence that your company is ready to bite the dust.
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accommodation, recreation and entertainment at the destination. National or international exhibitions, in
particular, may have considerable impact on the host economy through the number of visitors and exhibitors
staying in serviced accommodations for several days.
In addition, cities often use the hosting of large international exhibitions as a way of creating for themselves
the image of a center of industrial or commercial expertise.
CHAPTER FOUR
1. Artistic performances: artistic-relating to any form of art, including painting, music, literature,
architecture, acting and dancing.
2. Band contests:
3. Carnivals-a lively festival in which people walk through the streets playing music, dancing, and often
wearing unusual colorful clothes.
4. Career exhibitions:
5. Celebrity appearances: celebrity-a famous person, especially in entertainment or sport
6. Civic galas: civic-relating to a town or city, especially its government and public activities. Gala-a
special performance or event to celebrate something.
7. Caravan rallies: caravan-a vehicle that people live and travel in on holiday. Caravan rally is a long
journey with vehicles.
8. Cultural shows
9. Boat trips
10. Display and art shows
11. Environmental days
12. Festival-a day or period when there is a public holiday, often to celebrate a religious event.
13. Dance shows:
14. Firework displays: firework-an object that explodes when you light it and produces colored
lights and loud noises.
15. Garden parties: party-a social event at which people meet to celebrate something or to have fun by
eating and drinking, dancing, playing games, etc.
16. Historic tours
17. Museum displays
18. Marathons
19. Music festivals
20. Nature tours
21. Motoring rallies
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22. Pageants: a play, concert, or other performance based on a historical or religious story.
23. Parade: to walk as part of an organized group in order to celebrate or publically protest about
something. It means to walk in large group as part of a celebration or ceremony.
24. Royal tournaments: tournaments-a series of games in which the winner of each game plays in the
next game until there is one player or team.
25. Sports tournaments/Olympics
26. Theatrical performances:
27. Street parties:
28. Trainings: short term and long term trainings.
29. war games
Providing a valuable insight in to the complete tasks that are involved in organizing in a major event, this
list makes it clear why many buyers use intermediaries to undertake the planning on their behalf.
Professional Event Organizer (PEO): any person, natural or juridical, who manages conventions and events,
either as an official of an organization, consultant, volunteer or as a retained professional (sometimes called
as professional congress organizers-PCO) in some countries.
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THE MEETING PLANNER’S RESOPNSIBILTY
Regardless of whether meeting planners work for association, corporations or independent consultancies,
their primary objective is to run a successful meeting. Fundamental responsibilities of the meeting planner
include:
establishing meeting objectives
selecting the meeting site
scheduling meetings and meeting rooms
negotiating rates with suppliers
budgeting and controlling expenses
making air and ground transportation arrangements
planning audio-visual and technical details
planning post-meeting tours
promotion
It is clear from this list the meeting planners are more than just travel and accommodation organizers. They
are involved from the earliest planning stages to the final execution of the meeting. The success of the
meeting depends heavily on how well they perform their tasks.
The meeting planner must keep his / her employer’s needs in mind when selecting destinations, choosing
hotels, making travel arrangements, and so on. When negotiating with suppliers, the meeting planner must
ensure that the sponsoring organization is getting the bets possible deal and the best value for its money.
Strong negotiating skills are prime requirements for the meeting planner.
Top priorities in selecting sites for meetings are the quality of service and the availability of meeting room
facilities. Meeting planners must ensure that meeting areas are large enough, suitable for both general
sessions and breakout meetings, well lighted, soundproof, and so on. The needs for each meeting that a
planner
Chapter 5
Management of events
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In the planning process, you will:
(1) Determine what resources will be needed
(2) Identify the number and type of personnel the organization will need
(3) Determine standards.
ORGANIZING: Planning has established the goal of the company and how they are to be achieved; now
organizing develops the structure to reach these goals, organizing as a management function is concerned
with:
1) Assembling the resources necessary to achieve the organization’s objectives.
2) Creating Job- positions with defined duties, responsibilities requirement and salary ranges.
3) Arranging positions in to a hierarchy by establishing authority.
Because these Internal & External forces of change always exist Managers must continually organize and
reorganize their enterprise.
STAFFING: As we pointed out, organizing involves creating Job position with assigned duties &
responsibilities. Staffing involves the recruitment, selection, development and retention for positions created
by the manager.
Staffing is one of manager's most important duties because the success of any organization depends on the
quality of its employees.
DIRECTING/LEADING: Leadership is the heart & soul of management. Leading involves influencing
others in order to accomplish specific objectives. It is the channeling of human behavior towards the
accomplishment of objectives and helping employees to work effectively. It builds a climate of individual
integrity, arrange the opportunity for motivation, managing personal conflict, helping employees deal with
changing condition, disciplining employees and result in high productivity.
*Effective leadership is built on a foundation mutual trust and respect.
* Of the five basic function of management, leading is perhaps the one area where most managers are the
weakest.
CONTROLLING: In controlling, a manager continually compares performance of the organization with
its goal and takes corrective action if needed. Controlling deals with:
1) Measuring current performances
2) Comparing these performances to the established standards.
3) Taking corrective action if deviations are detected.
Controlling depends on accurate, reliable and enforceable standards and on monitoring performance by
people, machine and process.
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Corrective action is taken.
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5.3 planning and organizing the event
Planning is the process which identifies the aims and objectives and establishes the methods of achieving
them. Event organizers should remember that proper planning promotes perfect performance. Project
planning should be undertaken in a structured and logical manner.
The following are the important steps to follow to achieve a successful event.
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8. Carryout all pre-planning and establish appropriate control systems
9. Achieve pre-event preparation through a trained efficient workforce and a good communication.
10. Publicize the event
11. Complete a comprehensive double-check on all arrangements
12. Carryout the event according to the plan and contingency strategy
13Review and evaluate the event after completion and finalize the accounts.
14. Prepare a detailed report for appropriate personnel and future use.
Step 1: Determine your objectives. What is the purpose of the event? Are you coming together to pray or to
play? What is the end result you wish to accomplish? What is its purpose? Is it to educate or entertain or
perhaps just to bring people together? You need to identify your target market too.
Step 2: Plan the program in broad strokes. What day and time does the program begin and end. Plenary
sessions–how many, what time? Are you having seminars? How many? How many attendees in each one?
What time are the meal breaks?
Step 3: Budget. How much money do you have? Who is paying the bills? Is there a registration fee? Is
registration expected to cover all costs of the event? What is included in the registration fee? How much can
you spend on audio-visual?
Step 4: Site selection. Now that you know your objectives, have a feel for the program, and have a fair idea
as to how much money you can spend, you are ready to find a place to hold your meeting. Convention and
Visitor’s Bureaus can be your best friend if you are interested in a city new to you.
Step 5: Choose the speakers. Determine what seminars will be presented and who will give them. Will
there be exhibits?
Step 6: Fine tune the budget. Now that you know what the hotel expenses and program expenses,
including audio-visual, will actually be, you can finalize your budget.
Step 7 Market your meeting. Plan your advertising. You have the objectives, you have planned the
program, you know where it will meet and what it will cost. Now it’s time to invite people to attend your
event. Make sure your advertising piece is attractive, gives all the information needed for the attendee to
make a decision. Make sure deadline and refund information is clear.
Step 8: Pay attention to details. Now is time the time to plan all the little details for your event. Work with
the hotel or facility on menus. Determine what events will be held in the various rooms available to you.
How will registration of your attendees take place. Plan the minute by minute details of each daily program.
Train your helpers in their responsibilities. Make sure they know the whole program so they can answer
questions intelligently.
Step 9: Be alert! You’re ready! It’s opening day! Your helpers are in place, your guests are arriving.
During your event work closely with your hotel or facility convention coordinator daily. Be alert to last
minute decisions or changes that may need to be made on site.
Step 10: Review what happened. What did you do right? What can you do better the next time?
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Get everyone involved!
Successful events require a team effort from staff and, in some cases, local support groups. “Team Attitude”
must be established so that everyone feels included. Participation in the preparations also creates a sense of
ownership and pride among staff members, which is communicated to your visitors. When the big day
arrives, everyone is “on stage”. A successful event is a production where each “cast member” believes their
contribution enabled the event to be better than it could have been without their “showmanship”.
Preparation!
Promotion!
Financing!
The number of committees formed depends on the type and size of the event. The bigger the event, the
larger the number of committees will be. The complex organizational structure for a typical committee
includes the following.
Executive committee
Organizations form committees to achieve specific goals. For example, committees are often formed
to plan events. Using committees during the event planning process can help the planning process run
smoothly.
Your Venture Team may want to vote on a chairperson for the event. The chairperson is
responsible for creating an event committee for the event.
The event committee is responsible for delegating responsibilities and making sure proper
steps are made on time.
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The event committee may want to create sub-committees, groups of people that are in charge
of planning specific parts of an event. Examples of sub-committees include: food committee,
entertainment committee, publicity committee, and volunteer management committee.
Each sub-committee is responsible for planning, logistics, and directing activities the day of the
event for their focus area. Whatever sub-committees your event committee decides to form,
make sure that each sub-committee has clear goals and a set timeline.
Each sub-committee should help evaluate the event when it is over. The committee members
should summarize what worked well and what didn’t work well. Their suggestions could greatly
help next year’s sub-committee.
Brainstorm
To get started, chat with colleagues and friends to brainstorm an event that excites you.
Then develop an idea of what type of event you’d like to hold.
Form a committee
Planning a successful event takes more than one enthusiastic organizer. Identify the
needs of your project, and recruit dedicated volunteers with a variety of skills to divide
the tasks and help organize the event.
At the first planning meeting, assign 5-6 people to head up the planning committee/subcommittees that
meets bi-weekly initially to develop planning; weekly while major tasks are being accomplished; and daily
for the last weeks as problems and/or opportunities are discovered and last-minute details completed.
Divisions of labor or subcommittee roles could be along the lines of invitations, promotion, budget,
refreshments, tent set up, tours and/or presentations, parking, emergency services, preparation of name tags,
information desk, entertainment, etc.
When it is closer to “show time”, have everything prepared and cleaned. Hold a ‘walk-through’ meeting so
everyone understands his/her role. Oversee the development of scripts and visual aids for presentations
early. Be as creative as possible when planning the agenda. For a symposium type event, one well-known
speaker from the community was recommended. Do whatever you can to ensure that all presentations are
brief and crisp.
Develop a plan
Every event requires a certain amount of planning. The nature of your event, the number
of volunteers, and your goals will determine how detailed you need to be. Important
aspects include determining the date of the event, booking the venue, acquiring
necessary licenses, and developing a timeline and checklist of tasks.
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In a perfect world, planning for your next event began within days following the last, with a full staff review
of successes and problems encountered. If you haven’t done this, the next best thing is to set the date that
ensures event organizers sufficient time to produce a quality event.
Know the key radio and television producers and media personalities, and print writers in your region.
Contact them about your event no-less-than four months in advance. Be prepared to offer story ideas and
information about the event in accordance with their prescribed deadlines, which, for TV and magazine
announcements, can range from weeks to months ahead of the event. Arrange for live event broadcasts,
guest appearances on broadcast programs, news articles, etc. Arrange for newspaper interviews at least
three weeks and magazine stories three months in advance of the event.
If this is your first event, don’t have a history of annual events, or your lab is located in a remote part of the
country, make personal contact (phone calls or meetings) with key people, opinion-makers in the
community, etc. a priority in your promotion strategy. Tell them what you are planning and why they
should attend. This interaction is also a good time to begin gathering information on what people would
like to see at future events. Another excellent thing to do is to attend meetings of your local agricultural and
civic groups and ask for a few minutes of floor time to talk about your event. Find out if any of the groups
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have a “calling tree” and ask members if they would be willing to use that mechanism to remind members
shortly before the event is to take place.
Promotion of you laboratory and programs during the event shouldn’t be overlooked. For example,
handouts are a good way to incorporate a lot of other information that may not be displayed otherwise.
Examples of this information would be contact names, phone numbers and emails, brief mission statements,
etc. Putting the information in a single booklet or folder is a good idea so your visitor doesn’t have to juggle
too many items.
Develop a ‘theme’ for promoting your event. Selecting a theme for your event can help generate additional
ideas for activities as well as help focus other elements where many options may exist. Depending on the
nature of the event, a theme can also increase its “fun factor” and create broader public appeal. Keep in
mind the nature of the message you want to share, however, and let it determine the level of “playfulness”
you incorporate into your plans
Check the space that you are using and be sure that it is clean and in order.
If your event is a trip off-campus, on the day of the trip we recommend that all who attend fill out
waiver forms to offset potential liability. Waivers should be collected and held for reference.
Greet your presenter in a warm, polite, and businesslike manner. (After all, you are both there for
one reason only -- SUCCESS.)
After the event is finished, do a thorough clean-up of the area and return everything to their proper
places.
Make sure to thank everyone involved...the headliner, your staff, and especially your audience!
Without them, you would not have an event!
Send out thank-you notes or cards the following day or the following week.
Follow-up!
High impact community outreach is time consuming. You should develop high standards through continual
evaluation. Ask your customers to evaluate your performance and provide new ideas for your next effort.
Always provide your staff the opportunity to critique their (and your) performance to encourage continual
growth and improvement. This feedback not only determines where changes may be needed, but also
identifies those elements that proved particularly successful and to acknowledge everyone contributing to
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them. Respond as if you value their assistance and support, because you do. Write thank you notes to
speakers and people outside your lab who made contributions or assisted in a special way in making your
event successful.
Say thank you-Please let those who attended and helped your event know how much you appreciate
their support. Tell them how much money they helped raise. Let them know their
commitment and generosity.
Ultimately successful events are made even more successful by what you do the rest of the year. If
employees are involved in their community; if the lab is a good neighbor and takes its responsibilities
seriously regarding its customers, partners and stakeholders, then support for lab events will be
forthcoming…..assuming you’ve done the proper planning, of course!
Evaluate
Last but not least, an evaluation of the event is important. For your own reference for the future, a thorough
evaluation and debrief is also very helpful.
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Ask registrants to advise you of any dietary requirements or other special
requirements, for example, wheelchair access.
Suggest to delegates that it may be advisable to bring peel-on, peel-off clothing in
case of variations in room temperature.
In the confirmation letter, remind delegates of the commencement and conclusion
times and objectives of the events.
It may be helpful to include a pre-course questionnaire or briefing information for
attendees.
2008 Terrific Trading Pty Ltd +61 8 9312 1075 www.terrifictrading.com
One week before of the event:
Confirm numbers, layout, equipment and wording for signage with the venue.
Do your table plan and room setting.
Does the presenter need a front table or a lectern? Do presenters need a display table
or space for banners and other promotional material?
Prepare your name tags, including ones for the presenters and any representatives
from your own organisation. Ensure that you have a supply of blank name tags in
case of name changes and unexpected arrivals.
Prepare the opening and closing address. If someone else will be welcoming
guests/participants, prepare tips for them on what to cover.
Introductions for speakers: Keep introductions brief. Do not read out the speakers
CV. This irritates attendees and wastes time. If required, this can be included in any
written handouts.
Have you appointed a timekeeper? It is important to start on time and to make sure
all presenters keep to time. A good timekeeper makes sure this happens. Delegates
and other presenters both get frustrated when the workshop/seminar doesn't run to
time. Some presenters end up stealing time from other presenters who get less time to
present than they had prepared for. Most unprofessional! Also delegates like to
finish on time.
Have you received the masters of any notes to be prepared for the event?
If you have to arrange for the presenter’s notes to be printed, have you double
checked that you have the right notes for the right event and that all pages are there
and in order?
Have you received presenters PowerPoint presentations?
Have you confirmed with presenters that they bring a backup copy of their
PowerPoint presentation?
On the day:
Be aware of the importance of first impressions.
Arrive at least one hour before the presentation.
Check that everything is in place and equipment is working.
Check that signage is visible, correct and that arrows are pointing in the right
direction.
Ensure that there is coffee, tea and water for early arrivals.
Have someone available to play the role of maitre d’ to look after early arrivals and
introduce them to one another. Don’t overlook the importance of key people
(yourself) from your organisation being there to welcome guests. Some things should
not be delegated.
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Don’t overload participants with written information. So often there is a clutter of
pamphlets and A4 sheets about your organisation, sponsors, forthcoming activities,
2008 Terrific Trading Pty Ltd +61 8 9312 1075 www.terrifictrading.com
general industry information plus the notes or workbooks required for the event.
Keep it simple and uncluttered.
Room Settings
The size of room required and the way it is sent out will depend on the type of presentation,
length of the event and size of the groups. Also different presenters will have different
preferences. Here are some general guidelines to take into consideration:
For training courses and workshops, rooms that are too cramped will inhibit
discussion. A bit of space helps people to feel comfortable and increases the energy
in the room.
Solid boardroom tables are a trainer’s nightmare. They reduce group interaction and
inhibit discussion.
For any event that is longer than 90 minutes, it is preferable to seat people at tables
rather than have them in rows of chairs theatre style. This gives them somewhere to
put their folders, glasses and a drink and makes note taking far more comfortable.
Classrooms style room arrangements tend to create a barrier between the presenter
and the audience.
Angling the tables in what is often called herring bow style tends to reduce this effect.
Circular tables, if space permits, with people seated in a half moon setting create the
ideal environment for many types of sessions.
Catering
We have seen thousands of participant feedback sheets for conferences, seminars and training
workshops and courses lasting from a few hours to a few days. No matter what the topic, no
matter what the country it is presented in, there will be more comments about refreshments
than about any other aspect of the event. The next thing that will attract most comments is to
do with the temperature of the room.
These are things that are within the control of the organizers. Get these ‘critical nonessentials’
right.
If you feel that your budget does not allow you to provide adequate refreshments,
there are three options open to you: (1) put up the price of the event; (2) get a sponsor
to cover the cost of refreshments; (3) don’t hold the event – If you’re going to do it,
do it well!
Have coffee, tea, fruit juice and water available prior to commencement. It helps to
keep the early arrivals occupied and gives them a comfortable environment in which
to chat with one another. As well as being welcoming, this takes their mind off
waiting.
2008 Terrific Trading Pty Ltd +61 8 9312 1075 www.terrifictrading.com
For evening events, provide light snacks rather than a heavy meal. People with a full
stomach are far more likely to get sleepy.
For evening events, where people may have travelled straight from work, provide the
food and drink prior to commencement of the event. Again, this takes attendees
minds off waiting and means that people who are held up still arrive in time for the
main event. Some food can always be put aside for latecomers to take in with them.
For all day events, make morning tea special. There are always some people who
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haven’t had breakfast prior to coming to the event. As well, as things like muffins,
fresh fruit is great for assisting energy levels at this time of day.
Provide a good selection of food at lunchtime, including options for vegetarians, but
don’t go for a full on, cooked meal. Again, this will reduce the energy levels in the
afternoon.
For the afternoon break, as well as tea and biscuits provide some more fresh fruit.
Sponsors of events
Sponsors of meetings, conventions and exhibitions are responsible for determining whether or not there is a
valid need for the meeting. After justifying the need for holding the meeting, the sponsor must decide how
to plan the meeting. In most events, planning is often assigned to individuals who have little knowledge on
how to plan, organize and execute meetings. Thus, it is not surprising that meetings are poorly organized
and the participants become disappointed. To avoid this problem, many sponsoring organizations hire
individuals who have formal training in meetings management.
In the case of exhibitions, sponsors either take the role of exhibition manager or find someone to fill the
position. Exhibition managers can be employees of an association or a show management company or they
can be private entrepreneurs who perform tasks such as conceptualization and development of trade shows.
Sponsors of meetings and events can be:
Individuals and associations
Corporations and companies
Trade unions
Independent companies who sponsor and operate trade shows.
Religious groups
Theatre and art groups
Social organizations
These organizations have varied reasons for sponsoring an event. In the case of corporations, meetings can
be designed to disseminate information, solve problem, train people or plan for the future. Associations may
sponsor meetings and exhibitions for purposes of networking, educating members, solving problems or
generating revenue.
Finding sponsors for an event takes time, patience and a professional approach. Although there are many
sources to find potential sponsors, the best and most efficient approach is to become "business
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matchmaker." Essentially, you will be matching businesses with customers and clients. Approach sponsors
with a win-win scenario and focus on what you can provide them - access to their target market. When
companies can clearly see a return on investment for their sponsorship, you will find they will be much
more interested in sponsoring your event.
Identify what you have to offer organizations that might provide support for your event. Have a detailed
description of the target market to which the event will provide access. Have an established amount or be
willing to negotiate a number of "impressions" that sponsors will receive in exchange for their support.
Prepare clean, professional looking handouts with your contact information, an overview of the target
market qualities and the advantages that the event will offer the sponsor. Mail these out, or if possible
distribute them in person. If this is an annual event, include newspaper coverage and statistics from previous
years. Provide details on the event date, agenda, displays, other sponsors, and entertainment. Include details
on when and how many opportunities the sponsor will have to get their name and/or products before the
potential customer. Be prepared with specific types and or levels of sponsorship you will need.
Make plenty of calls, and whenever possible visit the decision makers in person. Follow up with companies
that have not responded to your inquiries, until you get an answer. Contact potential sponsors well in
advance, if possible, as much as a year ahead of time. Many large organizations will need a year to include
your event in their business plan and budget. If you just held a successful event, take advantage of any good
press or word of mouth and solicit sponsors for your next event.
Finding sponsors:
Once you have clearly identified and described your target market, research and look for organizations that
want to reach the same target market. Also identify the decision makers in the organizations to save time
and make your efforts more efficient. Look at past events similar to the one you are planning. Find out what
types of sponsors, and if possible, the specific sponsors that supported the event. Generate a list of these
sponsors as a starting point.
Sponsorships are big business. Companies spend billions of dollars each year sponsoring meetings and
events. If you find the right sponsors, it is a huge opportunity for both of you because it gives them exposure
to a targeted audience and gives you additional resources to produce your event. Often times, the CVB
directory of contractors and services is an excellent place to begin your search.
Sponsors should understand the event's goals and objectives and should be approached from the standpoint
of creating a long-term strategic partnership. Don't approach them just because they have something you
want. Understand what they need from the relationship and then build a sponsorship package.
Before you begin, you need to understand what you need from your sponsors. Sponsorships are often a way
to help defray costs. What do you currently buy that could be donated "in kind"? Make a list and target those
first. Here are a couple of items to consider.
- Entertainment
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- Giveaway items
- Signage
The best way to find sponsorship dollars is to match the opportunity with the sponsor. Do your homework.
What organizations are potential sponsors? First, look at exhibitors and other organizations that do business
with you.
Next, look at your audience and determine what companies are looking for the same audience. Create
sponsorship opportunities that meet the needs of the sponsoring organization. Are they looking for
recognition? Access to participants on site? Marketing opportunities before, during, and after the event?
In other words customize. Here are some ideas to give your sponsors exposure:
- Promotional materials
- Prominent signage
- Mailing list
Don't just create one sponsorship brochure with stock benefits. Personally contact potential sponsors and ask
them to be a part of your event. Then send a letter outlining your discussion and confirming participation.
These are recommended steps for finding a sponsor for your event
Sending “blind” proposals usually does not work well. Knowing your audience helps you to figure out who
to solicit
Events that are successful in securing sponsors often (1) have a ton of people involved or (2) have a very
specific focus. Sponsors like the former because they can reach a large audience in one shot. The latter
works well for sponsors who are trying to reach a particular target market. Unless your non-profit has the
resources to handle an event with thousands of attendees, you should explore the “specific focus” route.
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When you are planning your event, plan to go beyond your orghanisation. For instance, if your agency
provides shelter to animals, think about hosting an event in which you can invite local veterinarians, pet
store owners, zoo employees etc.. One reason to invite “professionals” is because it is lucrative from the
sponsors point of view. Sponsors may not be interested in your organization, but they may be interested in
getting their product into the hands of these professionals. Another advantage to inviting a new pool of
people is that more people will know about your organization and possibly volunteer or donate money.
Once you have established your audience, do some brainstorming. Think about which companies and local
and local businesses are likely to be interested in reaching your audience.
Make sure that the benefits at each level are distinct and enticing enough to encourage previous sponsors to
move up a level
It is a good idea to have a wide range of levels so that the smaller businesses as well as larger companies can
find a level that suits their needs and budget. If your event is quite small, your entry level sponsors might
simply receive a small ad in an accompanying program or flyer for $50. For larger events sponsor levels
might begin at $200, $500, or even $1,000. Depending on audience size and publicity opportunities, cost of
a title sponsorship could ranger from $750 to $10,000. Title sponsors receive maximum publicity, and their
logo should appear in all publicity material.
You should base your sponsor levels on the benefits to the company. Put a price on each benefit you’ll offer
and add the prices in each level. This will give you an idea as to the cost of a sponsorship at each level.
Know in advance that you may have to be flexible and customize levels for some sponsors to meet their
marketing needs. Some sponsors might be interested in a half-cash, half in-kind (product donation)
sponsorship. Food and beverage companies often would like to see their logo on T shirts, hear their
company name announced etc. They may want to have a table or booth available to distribute their products.
Depending on your event, these are a few benefits you might want to consider offering:
Call local businesses to see if they are interested in reaching your market. When you begin your
conversation, focus on how the company will benefit “This is such and such from my organization. I
thought you might be interested in marketing your company’s products/services at an upcoming event we
are hosting – do you have a few seconds” Come up with a pitch that in 20 seconds or less explains the event,
audience and some benefits to the company. If they are interested, you can always go into more detail or
send more information.
Your calls will vary with the type and size of company you contact. You’ll probably speak directly to
owners at small local businesses. Medium size companies may have marketing departments or human
resource departments that take care of sponsorship. Large companies receive countless requests for
sponsorship, and they may have a sponsorship recording that gives you their guide lines for requests. These
companies usually put together their budgets once a year often October, so that you may have send your
proposals in months ahead of time. Be sure to pay attention to corporate areas of focus. Some companies
make commitments to only sponsor certain groups such as children or environmental organizations.
For potential sponsor ideas, talk to your board, staff and volunteers. Investigate their ideas and connections.
Try contacting advertising and public relations agencies to see if they think any of their clients might be
interested in your event. See if any lists similar to yours – or events with similar audiences – already exist,
and review their sponsor lists.
Once you have made all these calls, review your notes and prepare a list of companies you will solicit. Yes,
this takes a lot of time, but it can save your organization money. Instead of blindly sending out proposals to
hundreds of businesses, ignoring their guidelines and focus areas, you can send dozens of proposals to
companies who have already expressed interest in your event.
It’s important people feel that you are asking money specifically from their company, and that they are not
part of a massive group
Keep your letters short. As in your phone calls, concentrate on the exposure the company will receive for
their money, not on how the money will help you. With large corporations, its especially true that their
marketing budgets are usually much larger than their charitable donations budgets. You may come across a
few companies that are not as interested in the publicity – they want to sponsor your event because they
truly believe in your organisation’s mission. They are a very rare, but a much appreciated bunch.
Wherever possible, customize the letter. A good attention getter is attaching a post-it that says” Thanks for
speaking with me. Here’s the information on our event.” With the size and type of company in mind,
request a particular level from each potential sponsor. Tell them the anticipated impressions that such a
sponsorship will yield. Impressions are calculated by taking the total number of times a sponsors name will
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be seen or heard. Fore instance say your event is intended to draw 100 people. Your entrant level sponsors
might receive: space to display a banner (100 impressions), their name announced twice (200 impressions)
and their name in your organisation’s newsletter (350 impressions) and annual report (475 impressions) for
a total of 1,125 impressions.
Make sure that sponsor benefits are easily found in your letter, and they are easy to understand. Consider
using bullet points to make the benefits stand out. Make sure your letters include your name, address and
phone number, the date and location of the event, and the addresses to send cheques and in-kind
contributions. If you have tax-exempt status, be sure to say so as some companies will only sponsor those
who do. If your letter does not include a short description (2 paras or a few bullet points) on what your
organization does, then include a one page fact sheet or a tri-fold brochure on tour organization. Hand sign
each letter.
Finally include a chart or brochure that details sponsor benefits at each level. If this is the second time your
organisation is hosting the event, include a flyer that lists the sponsors and describes the audience from the
previous time.
5. Follow Up
Don’t be afraid to call potential sponsors to find out their thoughts on sponsorship
After receiving your letter, some companies will call you to tell you they are interested in sponsoring. Most
will not. It is up to you to follow up with them after 2-3 weeks after sending your proposal. Some people
hesitate to follow up, thinking it will bother the company. Generally most large companies do not accept
follow up calls, so note that when you are making your initial call. But for those that do not mention “no
follow up” it is perfectly OK to do so. In fact it is the best way to find out that an interested company did not
receive your letter!
Some interested companies may request face to face meetings, but most sponsor communication will be
done via phone, fax, and email. One possible way to begin your follow up call |”This is such and such from
My Organisation. I just wanted to follow up on the sponsorship request I sent. Do you have a few seconds.
If they don’t ask when would be a better time to call back. The be sure to call back at the requested time. If
they say “yes” your response might be “Do you have any questions? Does it look like something that you
may be interested in for this year? If they are not interested, then find out why not. Keep good notes so that
you remember next year not to re-call people who said that they would definitely not be interested. |If they
say yes, congratulations, you are on your way to building a strong list of sponsors.
Don’t drop your sponsors once they have agreed to send you money
One of the worst messages to send a sponsor is ’I just cared about getting your money. Now I’ve got it I am
going to disappear.” Make sure your sponsors see that you value their support. Once a company has agreed
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to sponsor, send them a thank you letter that re-caps the benefits at the level they have chosen. After you
receive their cheque, send another thank you. If your organization has a newsletter, begin sending it to them.
|f you don’t have a newsletter, send them periodical updates on your organisation and/or the events.. Any
time you think a sponsor has a concern about something, give them a call. If a sponsor calls you, make it a
point to return their call as soon as possible, and absolutely within 24 hours. If you will be out of the office
for a few days, make sure your voice message directs sponsors to a real person.
Perhaps people who were not able to sponsor may be interested in attending your event.
As your event draws near, send invitations to some of the companies that did not sponsor. You might want
to say something like “Even though you were not able to sponsor us this year, we hope you’ll consider
attending or volunteering during the event”. Sometimes, an employee from the company will attend, see
what a great event it is, and make sure money is budgeted next year for sponsorship.
Publicity is why your sponsors signed on – so make sure they get it.
|This sounds obvious, but make sure your sponsors receive everything promised. |if you can give them
added publicity, by way of name announcement etc. do so. You do not want to put all the work into
acquiring sponsors and then not deliver results.
Send thank you letters to sponsors after the event. Let them know how successful the event was, how much
money was raised, the final attendance count etc. For sponsors at high levels (or, if your event was very
small, for all sponsors) put together packets that showcase their publicity. Include copies of all the ads they
appeared in, photos of their banners at the events, photos of people using their product at the event etc.
If some sponsors had any concerns at any point, give them a call to see how they think things worked out.
Even after the final tasks of the event have been taken care of, and that last thank you letter has been sent,
keep in touch with your sponsors. Continue sending them your newsletter or updates on your group. \Send
them your annual report. Invite them to other events at your organization. Send them quick notes if you see
the company given a favorable reference in a newspaper. You do not want to only contact them once
sponsorship solicitation starts again. On the other hand, do not go overboard. For example, some sponsors
prefer not to receive holiday cards from non-profits, because they feel that their money is not being spent in
the best way. It can be a fine line, so use your judgement. The bottom line is recognizing that each sponsor
has unique needs and concerns. Do what you can to accommodate your sponsors while striving to make
your event a successful continuation of your organisation’s mission.
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6.2.3 The bidding process
The bid is the most critical marketing tool in obtaining business. The bid should answer all the needs and
requirements specified by an organization in a clear and concise manner. This bid may be presented to an
individual, a small committee, a board of directors or a general assembly of hundred or even thousands of
people. The presentation may be take place when decision makers visit the city or it may take place in
another location. The presentation may be given to a client who is well-known by the bureau or to a
relatively new client. Each bid presentation will have its own unique character depending on the potential
client and the character of the bureau. The following are important in the bidding process:
The bid document serves as the primary basis for evaluation of the bidder by Bid Evaluation Committee and
the tenderer. The quality of the bid document will be critical to the success or failure in the bidding
competition provided that the bidder meets the requirements of the tender document in respect of the
product and capabilities.
Bid document (form) is a document that explains in detail what the bidder needs in order to do the activities.
It is prepared by the company/individual organizing the bidding.
Bid proposal is the written and sealed response of a proponent to the request for proposal. It is prepared by
the bidder (the one competing for the bid). You will be required to submit 2 proposals:
A. Technical proposal: here, the bidder presents all the technical details of his organization-such as its
recent experience on assignments of similar nature, profile of staff, facilities and services available,
duration of the assignment, description of the methodology and work plan, list of proposed staff
team by specialty and the tasks that would be assigned to each staff team member, etc.
B. Financial proposal: contain all pricing aspects of the bid proposal.
Note that the technical and financial proposal should be presented to the organization in two separate sealed
envelops.
The bidder shall pay attention to the following points when preparing bid proposals:
Request a bid form (document) that gives you information about the specific needs and requirements the
organization.
Research the history of the organization and analyze any discrepancies.
Gain an understanding of potential competitors and define technical and commercial bid strategy.
Read each word and gain a full understanding of the tender/bid document. Carefully study the contents
of the tender document and find out the requirements and intentions of the tenderer. Get a full
understanding of all the contents of the tender document and any misunderstanding must be avoided.
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Any ambiguity or any undefined detail in the tender document will likely lead to disagreement during
execution of the contract.
Accumulate bidding experiences. By and large, tender documents are similar with only small
differences. With experiences, a lot of time and effort will be saved and mistakes avoided. Bidding
experiences encompass both theory and practice. Generally, it takes only one or two mistakes to make
the bid document invalid.
Develop reasonable bid price. Bid price shall be determined based on comprehensive analysis of local
and international market conditions and product costs as well as other factors. Bidding is in effect a
competitive selling process whereby the most preferential price quote is provided as scheduled based on
the transaction conditions contained in the tender document. The costs and expenses shall be accurately
calculated. It needs to be emphasized that the lowest bid will not necessarily become the successful bid.
Tenderer will normally conduct comprehensive analysis of the technical, price and capability factors and
evaluate and score each criterion on the basis of the tender document requirements before making a
decision.
Try to submit more documents that can attest to the bidder's capabilities and strength, such as documents
that demonstrate the bidder's technology is superior to that required by tenderer or that offered by other
competitors, early delivery guarantee or commitment. Bidder can also incorporate its project references,
other projects it has secured, assessments on various aspects and product samples into the bid document
together with their detailed descriptions to adequately demonstrate its strength and capabilities to the
evaluation committee and the tenderer and to draw their attention.
Proper use of words and formats. Although the tender document contains explicitly required formats for
the bid document, there are still some parts that have no explicit format requirements. Therefore, the
bidder needs to prepare clear and well-defined documents.
Bid preparation-to stage a certain event at a certain destination:
1. Request a ‘bid form’ or specific about the specific needs and requirements of the organization. It is a
document that explains in detail what the organization needs in order to host the event.
2. Research the history of the organization for at least the past four years, analyze any discrepancies and
clarify them with the organization’s meeting planner.
3. Assess the strengths and weaknesses of your destination from the perspective of the meeting planner.
4. How is the bid to be made? Will the organization allow an oral presentation or does it accept written
bids or both?
5. Find out all the logistical details of the bid presentation such as location, date and time:
a. Time limitation of the presentation
b. Required number of bid copies
c. Size and set up of the room
d. Whether access to the room for preparation is allowed
e. Number of people to whom the presentation will be made
f. Names, titles and addresses of people to whom the presentation will be made
g. Who else be making presentations
h. Whether there are any restrictions or rules pertaining to the presentation
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6. Meet with the leaders of the local constituency to discuss the strengths of the local chapter. Clarify the
role of the local leadership will have in the bid presentation. Then assess whether support from the local
surrounding can be obtained for this bid.
7. Classify the type of the organization-social, political, scientific, educational, etc.
8. Analyze your market position-what makes your destination or package different or better than another.
This positioning of the destination or package is important to identify its uniqueness and give it value
as a location or product.
9. Contact previous host locations and ask for their help in dealing with the organization’s planner.
10. Work with the local representatives to pre-sell your destination/package through a letter writing
campaign including a variety of photographs or pictures.
Bid Presentation
1. Be sure that the presentation document is complete, neat and readable without misspelling and
grammatical errors.
2. Personalize the bid document: some bureaus even engrave the names of decision makers on the
cover of the bid document to give it a more personalized touch.
3. Send invitational letters in protocol order from organizational representatives, state representatives,
senators, mayors, governors, local members and bureau. Each letter should not exceed one page.
4. If there is ‘a bid form’ from the organization, be sure it is completely filled out with the needed
supplemental information. Be sure to include color photographs and brochures that will sell your
destination/product.
5. If an oral presentation is mad, prepare the scripts of each person who will participate in the
presentation. Open with a local member of the groups’ constituency, followed by a mayor or other
high ranking local/government official. Then, the bureau’s sales executive should make a brief but
detailed presentation. The local member will close the presentation.
Using overhead projector, language translator, audio-visual materials, internet, radio, TV,
telecoominications, etc is very important in MICE tourism. It can help to save time, to make the
communication effcetive and to reduce the number of committes.
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6.3 other key concepts
6.3.2team building
Team building is how you work with the group together. In an event, you need to work together to achieve
your goal. Together, everyone achieves more. A job worth doing is worth doing together.
Teamwork-simply stated-less of I and more of we. Teamwork is working together even when apart.
6.2.3 Delegation: delegation is assigning the task or responsibility to different people by the organizer to
achieve a common goal.
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6.2.4 Leadership: - is the Process of influencing, Persuading, inducing people, so that they strive
(Contribute) to the mutual organizational Objectives.
Leadership Styles: Leadership style- implies the way in w/c the leader exercises leadership.
The typical leadership styles are- Autocratic, Democratic, Liaises-faire.
What is marketing? It is a social and managerial process by which individuals and groups obtain what they
need and want through creating and exchanging products and value with each other. (Kotler)
It can also be defined as communicating to and giving target markets what they want, where and when they
want it and a price they are able and willing and able to pay. (Wellis, Roald)
Marketing concepts
Market research: is undertaken to investigate and know the needs and wants of target markets-through
survey, questionnaire, etc.
check willingness of target markets
Will government allow such type of business?
Will the product be accepted culturally, religiously, etc?
SWOT analysis
Strength and weakness of the event or organization-are at micro level (inside the organization)
Opportunities and threats of the event or organization- are at macro level (outside the organization)
Strength: staff ability, pioneer in the field, detailed specialist knowledge, local reputation, enthusiasm and
support.
Weakness: limited financial resources, lack of general managerial skills, poor public image, etc.
Marketing mix
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Product: it is the event itself. E.g. seminar, exhibition, conference, etc.
Place or distribution- the venue, the accommodation, the car parking, etc.
-Advertising-is any paid form of non-personal presentation and promotion of ideas, goods or services by an
identified sponsor.
-public relations- building good relations with the company’s various publics by obtaining favorable
publicity, developing a good public image and handling or heading-off unfavorable rumors, stories or
events. It includes press release, product publicity
-Sales promotion- it is a short term incentive to encourage the purchase or sale of a product. E.g. samples,
coupons, patronage rewards, etc.
-Personal selling-is an oral presentation in a conversation with one or more prospective buyers for the
purpose of making sales.
Chapter seven
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RISK MANAGEMENT
According to Dr. Peter Tarlow, a risk management and safety expert, all events carry two risks:
1. The risk of negative occurrence both on-site and off-site, and
2. The negative publicity that comes from the negative occurrence.
Whenever people are brought together, there is an element of risk.
Most modern events have a potential for negligent activity that can lead to long and costly litigation. The
concern for risk management and other legal and ethical issues has increased due to the increase in the
number of professionally managed events. In the past, most events were organized by amateurs. Because of
the lack of training in risk management, there was a corresponding interest by the legal profession in
bringing litigation against negligent event managers. Professional event mangers are now becoming smarter
with regards to legal, ethical and risk management issues.
There are many reasons why an event must comply with existing laws and regulations. The four primary
reasons are:
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A safe event environment is one that is protected from future harm. The event manager is responsible for
constructing a safe, secure environment and sustaining it during the course of an event. He should not
transfer the responsibility to others. He has a legal and ethical responsibility to event stakeholders to design
and maintain a safe and secure event environment.
Practicing through legal, ethical and risk management proactive measures may help the event produce
greater revenues. Lapses in legal, ethical and risk management judgment may cause not only loss of
property, life and money but also the loss of event’s good name.
The event management contract shows the agreement between two or more parties regarding their mutual
interests as specified in the agreement. A binding contract must contain the following basic components: the
parties, the offer, consideration and acceptance.
Parties
The names of the parties must be clearly identified. The agreement must be described as being between
these parties and the names that are used in the agreement must be defined. The typical event agreements
are between the event manager and his client or between the event manager and his vendor. Other contracts
may be between an event professional and an insurance company, an entertainment company, a bank or
other lending institutions.
Offer
The offer is the service or product given by one party to another. The event manager may offer consulting
services to a client or a vendor may offer products to an event manager. The offer should list all services
that an event professional offers to provide. Any miscommunication may lead to costly litigation in the
future.
Consideration
The consideration clause defines what one party will provide the other upon the acceptance of an offer
Acceptance
When both parties accept an offer, they execute or sign the agreement confirming that they understand and
agree to comply with the terms and conditions of the agreement.
Other components
In addition to the key components, event management agreement usually includes other clauses or
components. The most typical clauses include the following:
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Terms
The terms clause defines how and when the funds will be paid to the person making the offer. If the event
manager offers consulting services, he may request deposit in the amount of the first and last month’s
retainer and then require that the client submits monthly payments of a certain amount on a certain date
every month. These terms define the financial conditions under which the agreement is valid.
Cancellation
Events are always subject to cancellation. Thus, it is important to provide for this contingency legally with a
detailed cancellation clause. The cancellation clause usually defines the under what circumstances either
party may cancel, how notification must be provided and what penalties may be required in the event of
cancellation.
Force majeure
In the force majeure clause, both parties agree on which circumstances, deemed to be beyond their control,
will allow an event to be cancelled without penalty either party. These occurrences may include hurricanes,
earthquakes, floods, volcanic eruptions, tornadoes, wars, famine or other disasters.
Arbitration
It is a common practice to include in event management agreements an arbitration clause in place of a legal
judgment when both parties fail to agree. The use of arbitration may save both parties substantial costs over
traditional litigation.
Billing
Since many events involve entertainers, the agreement must define how entertainers will be listed in
advertising and the program.
The time-is-of-the-essence clause instructs both parties that the agreement is valid only if it is signed within
a prescribed period of time. This clause is usually inserted to protect the person making the offer from loss
of income due to late execution by the buyer.
Assignment
Agreements should contain clauses indicating that the contract may not be assigned to other parties. For
example, if Teklay Hagos has executed the agreement on behalf of XYZ Company, the agreement may not
be transferred to Teklay’s successor if Teklay leaves the company.
Insurance
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Agreements usually detail the type and limits of insurance that must be in force by both parties as well as a
requirement that each party co-ensures the other.
In the event of negligence by either party, the negligent party agrees to hold the other party harmless and to
defend them them (indemnify) against harm.
Reputation
Some event managers include a specific clause that recognizes the importance of the purchaser’s reputation
and state that the event manager will exert his best efforts to protect the purchaser’s reputation during the
event.
The complete agreement is the final clause which states that the agreement constitutes the full understanding
of both parties.
Other agreements
In addition to the main event consulting agreement, there are other event management agreements, including
the following.
1. Consultancy agreement-an agreement in which one party (usually the event manager) agrees to
provide consulting services for another party.
2. Employment agreement-an agreement in which an employee agrees to specific terms for
employment.
3. Exhibitor contact-an agreement between and individual exhibitor and the sponsor of an exposition to
lease space for specific booth at the exposition.
4. Hotel contact-an agreement between a hotel and the organization holding an event to provide rooms
and function space as well as other services ( food and beverage) for a specific event or series of
events.
5. No ‘compete’ agreement-an agreement in which an employee agrees not to compete within a
specific jurisdiction or market place for a specific period of time after the termination of
employment.
6. Purchase order-an order to vendor to provide services or products.
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7. Sponsorship agreement- a contract between a sponsor and an event organizer in which the organizer
agrees to provide specific marketing services to the sponsor for a prescribed fee and/or other
consideration.
8. Vendor agreement-an agreement between a vendor and an event manager to provide specific
services or products for an event.
Permits
Permits are issued by local, provincial, state or federal government agencies. They allow an event manager
to conduct activities at the event. A permit may be issued only after the required documentation has been
submitted and the required fee has been paid.
Licensing
A license is granted by a government institution, a private organization or public entity. It allows the event
manager to conduct a specific activity. The difference between a permit and a license may be slight in
jurisdiction. Usually, the requirements for obtaining a license are stricter and require diligence before
insurance.
For many events, both permits and licenses must be obtained. The larger the event, the more number of the
permits and licenses must be secured. The event manager should work closely with these agencies to
understand their procedures, time frames and inspection policies.
Synergistic relationship of contracts, permits and licenses
Professional event managers must understand the synergy between a well-written and executed contract and
the acquisition of proper permits and licenses. All these three instruments are necessary for the professional
operation of modern events. Contracts, permits and licenses have legal, ethical and risk management
consequences. To ensure that these impacts are positive, event managers must understand their importance
and work diligently with the required agencies.
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that results from the bad publicity resulting from such tragedies. Risk management experts have devised a
method for identifying and managing any risk associated with events. For most events, the event manager is
also the risk manager.
There are four basic rules in risk management:
1. Avoid or diminish the risk-every situation should be evaluated for possible risks. These risks should
be identified and avoided.
2. Transfer the risk-for risks that cannot be avoided and fro which the event manager should not be
held liable, the event manager should review and check whether they are the responsibility of some
one else as in the case of a delegate slipping on a wet floor in the rest room. Suppliers in events are
required to share in the responsibility for the event.
3. Devise back-ups and alternatives-alternative plans should be ready to put in to practice.
4. Distribute the risk-obtaining various sources of revenue for an event including many sponsors can
reduce the risk of failure to generate the needed revenue.
Risk control
Theft prevention-the best strategy for theft prevention is a segregation of duties. All transactions involving
cash handling, returns and deposits should have at least two employees performing that transaction.
Sample contract
The contract or agreement must be reviewed by a local attorney, as each state place requires individual
language to conform to the code. However, the following template provides event managers with the
conceptual framework for a basic client agreement.
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4. A comprehensive evaluation including financial and attitudes and opinions will be submitted to
CLIENT by august 15, 2010 at 5:00 pm.
5. Comprehensive general liability insurance with a USD 1 million limit per occurrence, naming
CLIENT as additional insurer for the period of the event.
II. CLIENT agrees to provide:
1. One person as principal contact and decision maker for the EVENT MANAGER.
2. General liability insurance with a USD 1 million limit per occurrence, naming EVENT MANAGER
as additional insurer for the period of the event.
3. Decisions in a timely manner as required by the final approved production schedule.
4. Ten (10) volunteers to coordinate registration and guest relations during the event from 1:00 pm to
5:00 pm.
III.INVESTMENT
The EVENT MANAGER will receive a fee for professional services in the amount of USD 10,000.00
IV. TERMS
The CLIENT agrees to provide the following payments to the EVENT MANAGER as compensation for
services described above.
May 30, 2010:25% of fee (USD 2,500)
June 30, 2010: 50% of fee (USD 5,000)
July 15, 2010: 25% of fee (USD 2,500)
V. CANCELLATION
Should the EVENT MANAGER cancel his or her services for any reason other than acts of God, the
CLIENT shall receive a refund of all prepaid fees less any costs spent on behalf of the event. Should the
CLIENT cancel his or her event, the following payments shall be due:
Cancellation more than 120 days prior to event date: 25% of professional fee.
Cancellation less than 120 days prior to event date: 50% of professional fee.
Cancellation less than 60 days prior to event date: 75% of professional fee.
Cancellation less than 30 days prior to event date: 100% of professional fee.
VI. FORCE MAJEURE
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This agreement is cancelled automatically if the event is interrupted due to acts of God, including, but not
limited to hurricanes, tornadoes, strikes, war, volcanic eruption, earthquake or pestilence.
VII. ARBITRATION
The Japanese Arbitration Association is designated as the official body for arbitrating any disputes resulting
from this agreement.
VIII. HOLD HARMLESS AND INDEMNIFICATION
The EVENT MANAGER and CLIENT agree to hold one another harmless from negligence caused by
either party and mutually indemnify one another.
IX. TIME IS OF THE ESSENCE
The services and related costs described in this agreement are guaranteed on April 1, 2010, 5:00 pm. After
this date, these services and related costs must be re-negotiated.
X. THE FULL AGREEMENT
This agreement and any attachments constitute the full agreement. Any changes, additions or deletions to
this agreement must be approved in writing by both parties.
XI. ACCEPTANCE
The parties whose signatures affixed below agree to accept the terms and conditions stated within this
agreement.
___________________________________ ____________________________________
XYZ Firm ABC Event Management Company
(Client) (Event Manager)
Note: both parties should have copies of the contract.
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Chapter eight
Ethics in MICE sector
As businesses have grown and the event management industry in particular has expanded rapidly,
ethical issues appeared more and more. Many ethical issues are now being addresses by the members of
the event management industry.
Ethics
According to the New Encyclopedia Britannica, ethics is a discipline concerned with what is morally
good and bad, right and wrong. The word ethics comes from the Greek word ‘ethos’ which means
character, guiding beliefs, standards or that permeate the society. The study of ethics is the viewing of
ethical concerns and the possible consequences in the light of one’s values. (Keiser, 2005)
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the expense of long term quality gains. Angelo and Vladimir (2005) state that although individuals have
different personal values and norms, they should recognize that there are some universal principles that all
religions, cultures and societies agree upon. It is upon these principles that one should build his or her own
personal code of ethics.
Ethical practices are the result of the organization’s commitment to serve its clients in a fair and equitable
manner. Without structural support for an ethical decision making process, it is impossible to expect
business employees to be able to make ethical decisions.
According to Solomon and Hanson, there are three reasons why ethics is important. They are:
1. Ethical errors and careers end more quickly and more definitely than any other mistake in judgment
or accounting.
2. Ethics provides the broader framework within which business life must be understood.
3. Nothing is more dangerous to a business than a tarnished public image.
Ethics is instilled in an individual at a very early. Courses and books on ethics do not necessarily change an
individual’s ethics but they can enable him to review his ethical behavior in the light of today’s society.
They can also force the individual to analyze his actions in view of ethics. This is very important because of
the degrading ethical behavior at present. The search for success and the greed for money have led to the
personal and professional ruin of many individuals. This greed has also caused the lack of concern regarding
ethical behavior in many organizations today. Society is very much concerned with what it views as a total
lack of concern for right and wrong and is demanding a more ethical approach to business.
Colleges and universities are responding by adding courses on ethics in their curricula. Businesses are
responding by implementing training programs that would develop a more ethical behavior among their
employees.
The commitment to ethical behavior must start at the top of an organization. If the leader of an organization
does not believe or display ethical behavior, it is difficult for the subordinates to exhibit and implement
ethical behavior. For this situation, the individual employees tend to fall back on their personal code of
ethics. In the same way, if employees believe that they are not being treated fairly and the company is more
concerned about the bottom line and not about their employees and customers, they will less likely be
concerned about their ethical behavior. (Montgomery and Strick, 2005)
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Unfortunately, it has been a long practice of some organizers to use FAM trips for personal vacations even
though they have no intention to book a convention or event at the destination. It is obligatory for
convention and event organizers to refrain from going on FAM trips unless there is a strong probability that
they will use the property in the future. It is also important that properties qualify their guest list more
carefully.
Overbooking
An ethical dilemma that frequently occurs within a venue is the practice of overbooking the guest rooms.
The supplier or the hotel is guaranteeing a product that it knows may very likely not be available to the
customer. Although this conduct should be interpreted as an unethical decision, failure to overbook may
lead to a number of unsold rooms resulting in a loss of profit. The desire to make a profit often outweighs an
individual’s or company’s code of ethics. More recently, the practice of overbooking has expanded to
convention and meeting rooms.
Commissions
The practice of taking commissions on services ‘sold on’ by convention and event organizers has become an
accepted practice within the industry. However, ethically and legally, conference organizers and others who
act as agents do not accept hidden commissions on goods and services and their supply such as hotel
accommodation, delegate name badges and audio-visual equipment. Clients should be made aware of the
commission and reference about it should be made in documentation such as invoices and contracts.
Gift giving
Giving gifts within the convention and event industry is common. Gifts may be a simple basket of fruit, a
bottle of champagne, a room upgrade or an expensive piece of jewelry. While it might be appropriate to
accept a basket of fruits or a bottler of champagne, receiving expensive jewelry is definitely not acceptable.
Many companies and organizations have established that staff members who make purchase decisions or
who are in a position to influence outcomes should not accept gifts. This is a useful guideline for convention
and event organizations.
Chapter nine
Trends and issues in mice sector
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At present, the convention and event industry is at the height of information age. Attendees work daily with
fax machines, voice mail and telephone bank transfers. Technology has enabled individuals to accomplish
more work in a short time. Attendees are tied to their computers more closely than the former generation.
They work fast and do not allow time-wasting activities.
The future of the convention and event industry is a bright one. It is pegged for tremendous change and
growth. There are many changes facing the industry this millennium.
Expectations of attendees
In the future, there are three specific areas that attendees will be looking at to determine whether or not they
will attend a convention or event. First, they expect the event to be productive. They expect to benefit their
business and to provide adequate return on their investment. Second, the attendees expect that the event they
attend will allow them to do serious business and at the same time enable them to grow personally. They
expect that the convention or event will provide time for physical activities such as aerobics or beach walks
as well as provide workshops for personal development. Attendees expect the event to provide opportunities
to see new and interesting sites and provide them opportunities for relaxation and self-reflection.
Third, attendees expect the convention or event to provide a high level of service. They expect that
organizers of conventions and events train their employees to provide hospitable service to their clients.
Every organized profession has its own professional association. These associations aim to prove the
professionalism of the members by providing continuing education opportunities. Lifelong learning is a
necessity for individuals who wish to excel in their profession. Many professions have developed
certification courses which aim to maintain certain levels of excellence among its members. These
certification programs are based on criteria derived from the standards set by the professional organization.
Many corporations and professional associations are leading the way in educating the work force. They are
educating the workforce through the use of conventions, meetings and expositions. Professionals in the
events and convention industry must be aware of technological and educational changes in order to facilitate
continuing education. They must understand the impact of continuing education on their area of expertise
and do everything they can to provide the services needed to improve the adult education. As the workforce
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continuously changes, traing and re-traing of adults is a must. Meetings and conventions are a perfect
forum this type of education.
In the future, the composition of convention and events market will continue to change due to global
communications and expanding travel. Our global society opens a new worldwide market for conventions
and events. There is a need for those involved in the convention and event industry to be able to deal with
many different cultures in the same environment. It is important for the leaders of the industry to understand
how to process information about various cultures to enable the multi-cultural participants to communicate
with each other.
According to Marjina Kaplan, company or association executives should discuss three key factors before
they decide to organize an international convention or event. First, they must review the complete
demographic profile of the participants. A successful convention and event planner knows that the success
of an event depends on the ability of the planner to understand the needs and desires of the participants.
Second, the executives planning the convention or event must carefully review the objective of the event.
They should determine whether the objectives are conducive to an international setting and whether they
can best be achieved in the international arena.
Third, the decision makers must carefully review the benefits obtained by the attendees of the international
convention or event. Members can learn how the industry or profession operates in a different culture or
location; assimilate new methods or technologies that pertain to the industry or profession; study changes in
the workplace and workforce; share different value systems and share knowledge. (Kaplan, 2005)
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