5 Things Every Real Estate Leader Must Develop For Their Business… Or Someone Else Will!
Are you always putting out fires in your Real Estate Agency? Are you relying on experienced Property Managers to deliver their own level of service? If your team members were individually asked, “What does the business stand for?” would they answer it the way you would want them to?
In the beginning, the leader of a Real Estate business has an idea. That idea builds and consumes them and they can see the future of their idea becoming a reality. Their vision is so clear that it inspires them to act and carry any burden of risk that is required to bring the idea to life.
The Real Estate leader is now focused on this vision they have created in their mind. It’s now crystal-clear and driving them forward on a journey to their distant goal. Bounding ahead with inspiration, clarity and confidence on their side, no challenge will stop the leader who is focused toward their end result.
What could stop such a powerful vision?
It doesn’t take long to identify that manpower is needed to achieve the vision of the Agency. Of course, anything worthwhile cannot be achieved alone, so the Real Estate leader searches for people to help with the work. To the potential new employee, the Principal seems passionate and driven, however they only have a personal vision to get a job and earn a wage. The employee only hears small fragments of the vision, shared by the leader, which seems like gibberish to them. They smile and agree by nodding; just happy to get the job. This is where many Agencies begin their slow death!
The leader has failed to effectively transfer the vision that is in their mind, to the minds of the people they have employed. How can anyone expect a Property Manager to share what the Principal sees in their mind? The message must be delivered in full and every employee needs to hear it and see it in their mind so clearly and vividly that they can feel it. They will then believe in it.
Failing to transfer the vision leaves the leader with an impossible task of carrying the business on their own and bearing an ever-mounting weight that comes from trying to keep the team on track. The leader will take on more and more with every person they place in their employment. Eventually, this leads to the draining, bogging down and anchoring of the leader, whose fiery passion in their vision slowly diminishes, until it is finally snuffed out as they lose the belief that the goal can be achieved.
But maybe a spark can reignite the fire
Imagine a team of people pulled together and united by one idea; your idea. A group of people with a shared vision that is supported by a clear plan to achieve it. All sharing the weight as they march forward to a vision that is defined and consistently reinforced by their leader. Do you think a Property Management team like this has a chance of success? Of course they do!
Don’t leave the vision of your business in your head. As a leader you must have your vision clearly defined and documented. There needs to be a story with a consistent message that is delivered to every person who joins you in your objective. When recruiting, it must be identified that, without a doubt, this person shares the same vision and values required to do their part in bringing the vision to life.
You can do this by creating the highest level strategic document in your Real Estate business, the Strategic Objective.
Developing your vision and strategic objective
What is a Strategic Objective document?
The Strategic Objective is at the core of your Property Management business. It’s a story that is shared to create a unified team that is aligned behind bringing the story to life. Everything you do in your business will stem from its Strategic Objective.
Here are the five areas and some questions to help inspire your own Strategic Objective document:
1. Market Position
- a. What need are you filling?
- b. For who?
- c. Why is it needed?
- d. Where do you stand within the community?
- e. What would be lost if you didn’t succeed?
2. Points of Difference
- a. What makes this business different to the competitors?
- b. Why will people use your service?
- c. How do you make the P.O.D (points of difference) stand out?
3. Economic Model
- a. What is the financial engine? (i.e. how do you make money?)
- b. How does it work from start to end?
- c. How do you deliver and create value for your clients and customers?
- d. What does the profit look like?
All these questions form the personality of the business and strengthens the culture.
- a. What is the business’s personality?
- b. What are the values of the business?
- c. How do people behave and what do they believe?
- d. What is normal in the business?
5. Primary Aim
- a. What are you out to achieve?
- b. What does the business look like in 3 or 5 years?
- c. How will you know when you have achieved the objective?
With a Strategic Objective in place you can provide a clear and consistent message to your team, one that gives them the benefit of knowing what the business is about and how they can be an effective part of it.
The next step is to build an organisation around this Strategic Objective. Start with a diagram that organises the work, standards and responsibilities required so that the Strategic Objective can become a reality.