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Association Toy or Tool?

Getting Together

Is it time for associations to give serious consideration to merging?

With the departure of their CEOs, the Coalition of National Voluntary Organizations (NVO) and the Canadian Centre for Philanthropy (CCP) initiated merger discussions.  They subsequently agreed to co-found a new organization "to strengthen communities and advance social development through collective effort". While neither NVO nor CCP call it a merger, both organizations will cease to operate once the new organization is in place.  Just this month, the search firm began advertising for the new CEO of the combined organization.

Also this month, the American Society of Association Executives (ASAE) and the ASAE Foundation, along with the Greater Washington Society of Association Executives (GWSAE) and GWSAE's The Center for Association Leadership (The Centre) announced their intention to combine the four organizations into two organizations -- ASAE and The Centre.

"Leaders of the four organizations identified several benefits of the new consolidation:

• Combines the market strength, history, ideas, and innovation of ASAE/ASAE Foundation and The Center/GWSAE

• Enhances educational offerings in the marketplace with The Center becoming the comprehensive global source for learning and knowledge in the association community

• Expands the scope, operations, and market positioning of the organizations

• Enables synergies between education, knowledge resources, and ASAE Foundation research to be more fully realized

• Provides the largest and most comprehensive association marketplace for business partners

• Provides greater leverage in advancing the profession throughout society, including attracting new partners such as major universities, think tanks, and other influential institutions"

These kinds of changes are long overdue in my opinion.

It is very simple...the key is to remember that in many of these situations the same members are paying all the bills, or in geographic mergers, members are paying for multiple structures, governance and administration. Members want better value and better service, and often they believe that sufficient resources are being provided to make that happen.  In some instances, they are increasingly challenging the politics and egos that are splintering the efforts to meet their needs.

I am also of the opinion that organizations should not sit back and wait for a merger opportunity to present itself.  Make it a strategic decision. Identify possible partners that are mission-compatible and market-compatible, and start talking!

For organizations that have geographically-based counterparts, consider whether combining regional organizations can reduce duplication of administration and governance so that more resources are directed to meeting member needs.

For organizations that have a unique mission, is there another organization that has an overlapping constituency and a compatible mission?  Again, leveraging the combined resources can mean less spending on administration and governance, and more devoted to member needs.

Other mergers in the works:

• The Applied Science Technologists & Technicians of BC (ASTTBC) merging with the Association of Professional Engineers and Geoscientists of British Columbia (APEGBC), with the forestry technicians in ASTTBC transferring to the Association of BC Forest Professionals.

• The Boards of two western regions of the same association "family" have approved a merger, and will be soon seeking member ratification of the decision in 2004. (Disclosure - AXI has and is working with these organizations to facilitate the merger discussions and decision process)

The Boards and staff of the organizations described in this article are leaders.  This type of organizational change is difficult and takes a lot of effort and time of the staff and volunteers. Why do it then?  Because they believe that members will benefit from the change.  After all....it should be about the members!

Wayne Amundson is president of Association Xpertise Inc., a consulting firm serving associations and non-profits. He is also a writer and speaker on association and non-profit management and governance, and is editor of The Canadian Association e-zine and co-author of the new “Primer for Directors of Not-for-Profit Corporations” published by the Industry Canada and three non-profit umbrella groups in Canada. 
Phone: 403-374-1822 E-mail: admin@axi.ca  Website: www.axi.ca 

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