Feature
by Karen Quennell
In the current economy, property managers are looking for ways to reduce costs and gain a competitive advantage. They need enough experienced on-site staff to secure new residents, to provide customer service, to retain tenants, and to maintain facilities as well as finish renovation projects that add property appeal. The staffing challenge is to balance labor costs, improve the income producing potential, and adhere to the constraints of a tight budget.
Experience Buys Time and Income Potential
Many apartment communities use skilled temporary employees to lease apartments when employees are on leave or transfer to other positions. For example, G.W. Williams had a small property in San Mateo that contained less than 100 units. When the manager left, they filled the opening with a temporary employee. Within 30 days, the skilled temporary property manager had rented five units, some of which had been vacant for six months, bringing the community to 100 percent occupancy.
As a result of her industry experience, she immediately generated income for the property as well as managed day-to-day operations. Her production more than covered the cost of the temporary contract. The company also bought time to consider its long-term staffing plans.
Generate Income to Cover Costs
The strategic use of skilled leasing consultants, with high closing ratios, is another tactic property managers use to maximize income. They analyze their high traffic periods and arrange for an experienced temporary to work when prospective residents are most likely to visit.
One San Francisco apartment community had been filling in with inexperienced leasers who required quite a bit of training. Then they tried a seasoned leasing consultant who did not waste the time of existing staff, because she did not require training. As soon as the experienced temporary came on the job, she went to work leasing apartments. She proved so effective that the company asked her to help implement a marketing program. The company estimated that employing her on a temporary basis to lease and train existing staff cost them 10 percent of what was budgeted.
Reduce Construction Costs
Another strategy used to contain costs is to delegate the management of maintenance projects to the existing maintenance manager rather than hiring a construction manager. To keep up on routine work, property owners arrange for a less expensive temporary maintenance employee. Another way property managers hold to their budgets on maintenance projects is to bring in workers with specialized construction and apartment renovation experience only on the days when they are actually needed.
Manage Turnover
If you have experienced high turnover in a position, you have wasted valuable time and budget on advertising, interviewing, hiring, and training new employees. “Burnout” positions often require repetitive tasks and lack advancement opportunities. In the long run, the use of temporary employees who can learn the tasks quickly and can easily be rotated between positions may prove less expensive.
Eliminate Overtime
If overtime is breaking your budget, consider substituting part-time temporary employees. You can use a less skilled, less expensive temporary employee for routine tasks, freeing experienced staff to focus on critical projects within the confines of an eight-hour day and thus eliminate overtime.
Avoid Costly Mistakes
To maximize your success using temporary employees, consider the following tips:
- Property Information
Take time to explain your needs to the staffing company. There is a better chance for finding a good match if the recruiter has extensive information about your property, corporate culture, number of units, type of software and special needs. - Advanced Planning
If you can anticipate your needs based on a project schedule or vacation plans, call in advance so the recruiter can reserve the most qualified candidate for your property. - Skills and Efficiency
You will gain more value by requesting a skilled temporary employee with industry experience who can get to work immediately without wasting your time. - Correlate Needs with Pay>/b>
If you have secured a temporary certified property manager with a valuable skill set, be sure to take the opportunity to maximize the employee’s expertise. Too often managers have long lists of qualifications (which increase the hourly rate), but they are not allowed to use these skills due to corporate policy. Don’t pay for more skills than you can really use. - Orientation
When the temporary employee arrives, provide key contact information, review all policies, explain your procedures and offer a tour of the property. A comprehensive orientation will enable the employee to become productive immediately. - Problem Solving
If you recognize there is not a good fit, call your recruiter. The employee may need more direction from the recruiter or an alternative may be available. - Employee Try Out
Consider testing a prospective employee by arranging for a “temp-to-hire” that allows you to try out the employee as temporary before you make a commitment to hire the person. If the employee does not work out, you just end the assignment. This reduces the risk of unemployment claims for someone who does not work out.
Develop a relationship with your staffing company and recruiter. Together you can strategize the most effective ways staff can help you in meeting your specific goals.
For a free checklist you can use in the orientation of a temporary employee, please call (510) 836-2220. You can also check out salary trends on the Web at renoirstaffing.com.
The opinions expressed in this article are those of the author and do not necessarily reect the viewpoint of the SFAA or the SF Apartment Magazine. Karen Quennell is a recruiter with Renoir Staffing Services, Inc., which provides skilled emp;poyees for both temporary and direct hire-positions in leasing, maintenance, property msanagement, and administration. Renoir was recently named the 34th fastest growing company by the San Francisco Business times. Copyright © 2003 San Francisco Apartment Magazine