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Reviewing Employee Performance

Article-Reviewing Employee Performance

Do your employees know how you rate their performance? Do you have a policy of conducting regular reviews? Personnel need to be aware of their strengths and weaknesses and know if theyre meeting your expectations. If you havent conducted a formal employee evaluation in the last six months, now is the time to assess your teams responsibilities, adherence to policies and procedures, and overall achievement.

Assessing the quality of a persons work is not easy. You have to know which areas to evaluate as well as which method to use. You might use specific forms with a concrete rating technique, or the process might be more informal.

You also need to be clear on what the review is meant to accomplish. An employees first evaluation usually occurs at the end of his 90-day probationary period. He should have received a Letter of Employment when he was hired, which outlined his job duties and goals. The 90-day review determines how well he is meeting company standards. Other assessments might be annual, to rate and improve general performance, or merit-based, to determine a pay increase or promotion.

What to Assess

Whichever type of review you are conducting, it should address the employees performance in these key areas:

  • AvailabilityThe degree to which an employee follows rules concerning breaks, meal periods and attendance.
  • Adherence to policyThe degree to which an employee follows company rules and regulations.
  • CreativityThe degree to which an employee suggests ideas and discovers new and better ways of accomplishing the facilitys goals.
  • DependabilityThe degree to which an employee can be relied upon to complete a job and work with little or no supervision.
  • InitiativeThe degree to which an employee seeks out new tasks and expands his professional abilities.
  • Interpersonal relationshipsThe employees willingness and ability to communicate, cooperate and work with peers, supervisors and customers.
  • Job knowledgeThe employees level of technical skill and education.
  • ProductivityThe timeliness of the employees work.
  • QualityThe accuracy, detail and acceptability of the employees work.

After youve examined and discussed these general categories, the review can address specific job functions. These might include the employees competence in:

  • Renting and showing space
  • Collecting rent
  • Office administration, including daily deposits
  • File maintenance
  • Making collection calls
  • Handling unit auctions
  • Designing and conducting marketing programs
  • Maintaining facility ledgers
  • Reporting regularly to headquarters
  • Conducting maintenance and repairs or overseeing outsourced staff
  • Cleaning and relocking units when they become vacant
  • Maintaining the propertys overall cleanliness
  • Conducting daily lock checks and overlocks as well as regular audits of inventory
  • Selling locks and retail merchandise and matching the inventory to records
  • Maintaining occupancy levels and minimizing delinquencies
  • Hiring, training and supervising relief staff

The Evaluation Method

Most supervisors use forms to evaluate an employees job performance. You can design your own, purchase them from a local officesupply store, or download them from the Internet. Some forms will outline a specific grading method. If you need to devise your own, consider the following simple scale:

  • E (Excellent)
  • A (Above Average)
  • S (Satisfactory)
  • D (Decreased Performance)
  • U (Unsatisfactory)

You may also want to include an area in which you can write comments. Some topics to address include:

  • New accomplishments or abilities since the last evaluation
  • Areas for improvement
  • Goals to accomplish before the next evaluation
  • A general rating of the employees performance compared to the requirements of his position (using the same rating method applied in other sections)

Finally, leave space for the employee to write comments about the review process. He may wish to disagree with your assessments or declare a willingness to achieve certain goals.

Once the form is complete, you should both sign it and retain a copy for your records. A word on salaries: Annual reviews do not mean an automatic increase in pay; however, if the employee is doing a good job, a raise is customary in most industries.

Ongoing Communication

Regular reviews will let employees know how well they are performing and give them benchmarks for improvement. In between formal evaluations, open communication will do wonders for morale. Dont wait for a review to praise a job well done. A compliment here and there doesnt cost you a dime and goes a long way to increase staffs job satisfaction and motivation.

If youre unhappy with performance in any area, let staff know immediately. Its customary to write up an employee for a violation of company policy or substandard work; however, most companies will issue a set number of warnings before putting a write-up in an employees file. Its important to follow a strict policy, so personnel know what to expect. Furthermore, it would be highly irresponsible to deny an employee a promotion or raiseor worse yet, terminate himbecause of an issue that was never even addressed.

Regular reviews are a good way to let team members know where they stand and keep the company on track. The process can be challenging. Some supervisors are uncomfortable with the task of critiquing performance. Regardless, see it through. If you evaluate employees fairly and maintain open communication, you and your staff will enjoy greater job satisfaction, and the facility will reap the rewards of greater productivity.

Pamela Alton-Truitt is the owner of Mini-Management, a nationwide manager-placement service. Mini-Management also offers full-service and operations only facility management, training manuals, inspections and audits, feasibility studies, consulting and training seminars. For more information, call 800.646.4648.

Inside Self-Storage Magazine: Got Treasure?

Article-Inside Self-Storage Magazine: Got Treasure?

All of you will eventually be faced with this problem, even several times a year: A customer moves out and leaves behind a variety of items hes decided he shouldnt be responsible for discarding. Maybe he doesnt want to deal with it. Maybe he thinks its part of your job. Whatever his reasoning, in the end, youre stuck with his leftovers.

In many communities, organizations like the Salvation Army and Goodwill have become very fussy about what they will take for donations. That might be the reason for the success of 800.GOT.JUNK, now one of the fastest growing franchises in America. This firm gets paid to dispose of other peoples stuff.

Another national organization, the Freecycle Network, is one every self-storage owner should look into as a possible solution for abandoned goods. The website for this relatively new group, www.freecycle.org, explains its story:

The Freecycle Network is made up of many individual groups across the globe. Its a grassroots movement of people who are giving (and getting) stuff for free in their own towns. Each local group is run by a local volunteer moderator (thems good people). Membership is free ... The Freecycle Network was started in May 2003 to promote waste reduction in Tucsons downtown and help save desert landscape from being taken over by landfills. The Network provides individuals and non-profits an electronic forum to recycle unwanted items. One persons trash can truly be anothers treasure!

My eldest daughter successfully used this organization during a recent move. I gave away a lawnmower (that Im not sure worked), an old TV, a seed spreader (with bags of old fertilizer), motor oil and even a large area rug, she says. Everyone that came seemed grateful, and it made me feel good that someone else could put these things to use. Otherwise, I would have had to pay to dispose of them.

I have looked at participation within my own community and been amazed at the depth of FreeCycle. It may be a great way to give away those treasures customers leave behind. In fact, active participation in your city or town could actually produce business opportunities.

Got Rondos?

To answer that question, you need to know what a rondo is. Its not the latest candy or some exotic wine blend. A rondo is an apartment unit that is converted to a condominium.

The national trend of apartment-to-condo renovation will probably set an all-time record by the end of 2005. Real Capital Analytics Inc., a national research and consulting firm, reported that 70,800 apartments were converted to condo ownership in 2004. By June 1, 2005, total conversions for the year had already reached 43,900. Most appear to be occurring in Las Vegas, Miami, North Virginia and South California.

The reason self-storage owners should closely follow this trend in their communities is very simple: potential customers. An apartment owner who sells a property for conversion immediately seeks to expel the current renters, which is one storage opportunity. Then the condo buyers will likely need temporary storage as they prepare to move in. Finally, many of the apartments being converted are already short of storage space, which translates into long-term business.

Make an effort to meet with conversion developers in your market and monitor this trend in years ahead. It could become a fantastic source of referrals.

Tis the Season to Decorate

As we approach the December holidays, many storage owners are thinking about decorating the outside of their facilities was well as their offices. Self-storage has always battled with local communities about signage, so operators should take advantage of this time of year to draw a little extra attention to their sites.

In general, owners who encourage their managers to decorate tastefully and give them a reasonable budget are pleasantly surprised by the additional pride of ownership the entire management team assumes. To add to the fun, many communities host decorating competitions. Check with local officials at the chamber of commerce to find out about events in your area.

This is a wonderful time of year to support neighborhood organizations in holiday activities like food drives and Toys-for-Tots initiatives. These make great opportunities to give back to the community, foster good will and possibly generate new business.

Finally, a decorated office changes the entire mood of the space, not only for employees and established customers but prospects as well. Its OK to have some fun at work! I hope those of you who decide to ornament your facilities will send me an e-mail with pictures to share in a future column.

ISS 15th Anniversary Expo

Set aside Feb. 28 to March 3 to join self-storage professionals as they gather to celebrate the 15th anniversary of the Inside Self-Storage Expo in Las Vegas. The host hotel, Mandalay Bay Resort & Casino, is one of the finest meeting venues in the city. I am honored to have participated in every expo over the past 15 years and look forward to being part of this historic event.

Early indications show the tradeshow will be the biggest of 2006, including the participation of both established and new vendors. The ISS team is planning cutting-edge educational programs and roundtable discussions for industry veterans and newcomers. Theres also time allocated for networking with owners, managers and seminar speakers from across the country. A special, full-day developers seminar will take place on opening day. In short, the event provides an opportunity to talk one-on-one with some of the most knowledgeable people in the business.

I look forward to seeing you in Las Vegas. For more information, visit the website at www.insideselfstorage.com/expo.

Jim Chiswell is the owner of Chiswell & Associates LLC. Since 1990, his firm has provided feasibility studies, acquisition due diligence and customized manager training for the self-storage industry. In addition to being a member of the

Inside Self-Storage Editorial Advisory Board, he contributes regularly to the magazine and is a frequent speaker at ISS expos and association meetings. He can be reached at 434.589.4446; visit www.selfstorageconsulting.com.

Training Now and Ever After

Article-Training Now and Ever After

No matter how many years of experience you have in a business, in whatever capacity, the learning process never really ends. As a professional, you should constantly seek to learn new things and keep current on industry trends and developments. Where do you find educational resources for you and your staff? Lets look at some popular choices that will help you do a better job and increase your bottom line.

On-the-Job Training

Most self-storage managers get their start in the industry by being hired by an owner or management company. Sometimes the parent company has a corporate trainer or a staff person designated to handle training, usually on site. For the most part, a managers general duties can be taught in a couple of days, with some follow-up teaching after he has gotten his feet wet.

A typical training session covers the specifics of how the office is run, how to operate the computer system, and how to properly take payments, move customers in and out, collect delinquent rents, etc. Some companies provide a training manual. At the very least, smart owners provide a handbook of policies and procedures to which employees can refer when questions arise.

After the book learning and basic instruction, new employees interact with actual customers under supervision, performing regular job duties such as renting a unit or collecting a payment. After successfully handling several tenants and feeling more comfortable about running the office, they get feedback on their performance. The trainer attempts to address as many potential scenarios as possible before pushing them out of the nest. Within a couple days, new hires are left on their own.

In some cases, employees are fortunate enough to work for a company that provides regular training sessions and seminars. This allows them to join other team members in learning new procedures or brushing up on previously learned skills.

Unfortunately, there are many instances in which facility managers receive no training at all. This is typically the case when an entrepreneur decides he wants to get into the storage business without researching the operations side. This is like the blind leading the blind. No one is born into this job. Without proper training, mistakes will be made.

Publications

Some companies subscribe to industry publications such as Inside Self-Storage (ISS) or Mini-Storage Messenger. You can learn lots of new things every month and keep current on industry events and trends by reading as many publications as possible. Some companies even distribute their own newsletters, which contain inside news and highlight a different topic each week, month, quarter, etc. The focus might be telephone sales, landscaping tips, handling bankrupt customers or any number of relevant issues.

Trade Associations

This industry has a national Self Storage Association (SSA) as well as many individual state associations. These organizations can be useful, particularly when it comes to keeping current on legislation.

Associations can be great sources of training and education materials. Many also provide standardized rental agreements, forms and policies/procedures manuals in an effort to establish uniform industry principles. When it comes to legal issues, homogeny can be a real benefit. Consider joining your state association or the SSA and adopting proven standards of training and operation.

Tradeshows and Conventions

The SSA holds national conventions and tradeshows as well as regional meetings. Most state associations also host seminars and tradeshows, some for the entire state and others for specific areas. ISS hosts two annual expos as well, one in Las Vegas each February, and a fall event that generally takes place in the Southeast.

Tradeshows provide an easy way to gather information on facility operation, legal issues, marketing, sales, development, construction, financing, etc. Theyre also a great place to update your skills. Both ISS and the SSA offer a Managers Workshop at their conventions. This day-long event focuses specifically on the needs and abilities of self-storage staff.

The good thing about industry events is you get a chance to interact with other storage professionals outside an office setting. The only potential drawback is the cost. The price of registration, travel, lodging, etc., can be prohibitive. Total costs can be as little as $200 per employee or as much as several thousand dollars. Theres also the issue of hiring relief staff for the office while others are attending the show.

Vendors

Some suppliers provide general industry information in the form of free seminars, brochures, CDs and online resources. Others provide product-specific training for their own offerings. Take advantage of the expertise your vendors offer, especially when they introduce a new product or service or upgrade an existing one. In most cases, the suppliers with whom you do business are very knowledgeable about self-storage and are happy to share their insights and experience with customers.

Other Industries or Educational Institutions

While a trip to a local McDonalds may not seem like an educational tool, you can learn a lot by visiting other retail businesses. For example, watch how they handle the mechanics of their jobs, customers, marketing and more. You should copy the tactics of successful companies and learn from their accomplishments.

What about visiting a local university and getting to know some of the business professors? A few years ago, I befriended the head of a local community college and asked him if any of the business classes would be interested in participating in a real-life project. We ultimately devised a plan for students to conduct an evaluation of several self-storage sites, their competition and the overall market.

The class came up with a plan to increase occupancy by applying several different theories. Some worked, some didnt, but the overall experience was well worth the effort for the students and facility managers. The information gained from that study has been successfully used many times over. I encourage you to contact local colleges and take some classes that may not only be interesting, but may help you understand the business youre running.

The Internet and Web-Based Education

Currently, the self-storage industry doesnt offer a lot by way of online education, but this is changing. A new Internet-based education venture will be unveiled at the ISS Expo in Las Vegas, Feb. 28 to March 3. Specifics are not yet available to the public, but announcements regarding this educational forum will be released soon.

The bottom line is you should seek out educational opportunities whenever possible. Continue to improve your skills and knowledge of the self-storage business. You will be rewarded for your efforts in the improved performance of your properties.

Mel Holsinger is the owner and a managing member of Tucson, Ariz.-based Professional Self Storage Management LLC, which specializes in facility management and operations in Arizona, Mississippi, Nevada, Pennsylvania, Tennessee and Texas. For more information, call 520.320.9135; e-mail [email protected]; visit www.proselfstorage.com.

Two Storage Firms Aid Katrina Victims

Article-Two Storage Firms Aid Katrina Victims

Within days of the devastation wrought by Hurricane Katrina, the CB Richard Ellis Self Storage Advisory Group (SSAG) of Houston organized a fundraising effort to assist. The companys first step was to collect as much money as possible to buy supplies for local shelters and organizations, already stretched thin.

Our business requires that we regularly distribute information to thousands of people, and it was obvious our database of contacts was the best tool to aid in our desire to help, says Aaron Swerdlin, senior vice president. The group e-mailed approximately 3,000 business and personal contacts requesting donations for its Katrina Relief Fund. Company employees from around the country also contributed.

Other organizations wrote to SSAG saying its e-mail inspired them to donate and set up similar funds-matching plans. But as Swerdlin points out, We were not trying to break any fundraising records. We just wanted to get out the message that people needed help.

Half of the money was routed directly to the Red Cross and the rest earmarked for local charities such as Houston Food Bank and Star of Hope. The food bank distributed meals to shelters, provided housing for evacuees and found aid for hurricane victims. The Star of Hope, a homeless shelter in the heart of Houston, furnished provisions and clothing directly to refugees temporarily housed in the Houston Astrodome.

Into Action

Within a few days of the fund-raising initiative, SSAG employees made visits to local shelters and Federal Emergency Management Agency (FEMA) locations to distribute donations. The first trip was to the Star of Hope, where they dropped off items such as diapers and bedding.

On their second excursion, they went to two area hotels sheltering approximately 300 evacuees between them. Although the hotels were official FEMA sites, few necessities were available for victims. Our biggest problem was we did not have a way to transport the abundance of supplies from our office to the hotel where we had arranged to help, Swerdlin says. A phone call to his friend Paul Glover of Storage Choice resulted in a free truck.

At 8 oclock the next morning, one of Glovers trucks and two employees arrived to help SSAG staff with the donations. Storage Choice also collected about 25 boxes of clothing and provisions. In all, the crew left for the hotel with about 70 large boxes of goods. They set up a makeshift distribution center in a meeting room at the Fairfield Inn and began dispersing provisions such as toiletries, diapers, clothing, food, etc. In addition to supplies, the company brought in breakfast from a local restaurant and purchased bulk movie passes for a nearby theater.

Nothing can be more rewarding than to see the fruits of ones labor go directly to those who most need help, Swerdlin says. Personally, it was one 3-year-old little girl that grabbed my heart. I watched how a donated, red, rubber ball became the thing most important to her in that bustling meeting room.

SSAG will continue its fundraising efforts for as long as necessary, says Swerdlin. The company has set up an account through PayPal to accept monetary contributions. It will match 25 cents on every dollar raised, with a total company contribution up to $15,000, and all money raised will go directly to relief organizations. Donations of goods such as clothes, bedding, toys and other supplies will be taken by SSAG staff to the Houston Astrodome.

For more information, call 713.888.4720; e-mail [email protected] ; visit www.cbre.com/ssagkatrinafund .

High-Performance Leasing and Your Staff

Article-High-Performance Leasing and Your Staff

These days, self-storage competes on a very aggressive playing field, and a winning lineup of storage specialists is the most critical aspect of the game. Mom-and-pop squads, once the dynamic duos of the industry, have been replaced by teams of high-performance players. Coming on the field are new recruits who brandish business and marketing degrees to devastate competitors. These draftees often come from Fortune 500 companies and are driven by a desire to earn a good wage and large bonuses. Incentive is what differentiates them from their forerunners.

Hire the Team

Hiring this high-performance lease-up team is no easy task. First, your employment offer must explain the opportunity and create the necessary desire in a mere two or three sentences. Local, regional and national publications can be implemented to attract a number of viable resumes.

After properly screening resumes and performing initial background checks, youll want to conduct phone interviews to narrow the field, minimizing time and expense before live interviews take place. You can even administer aptitude tests online to eliminate weaker candidates.

When the big day comes, its just as important to have an expert interviewer as it is to have several qualified applicants. If youre not experienced in the interview process, you can find many helpful titles at book stores and libraries. A good interviewer brings out the best and worst in candidates. He sets them at ease while simultaneously intimidating them. He arouses anger and suspicion as well as trust, the whole time making note of their responses.

After the interviews, narrow your list to two candidates, and conduct a second interview. This time around, one contender will likely stand out. Ask as many questions as you need to, but make sure to ask the most important one of all: Why are you the best person for the job? The answer will tell you if the candidate really has what it takes and wants the position.

Train the Team

The issue of team training is the subject of much discussion and debate. Owners banter it around until they have the best strategy or no strategy at all. Its important to have a game plan, because employees are often instructed by someone who may not be a good teacher or communicator. If your training resources are limited, make the process as simple and foolproof as possible for coach and player.

I personally prefer the outline/note-taking method. The trainer follows a basic outline, filling in details along the way, and the trainee records it all in a spiral-bound notebook. The recruit should take copious notes and ask lots of questions, as his notebook will also serve as his reference manual when he has questions in the future.

The trainer is also responsible for demonstrating every facility procedure in the appropriate number of steps. The employee should note these in detail and commit them to task in front of his coach, who will offer feedback and advice as he supervises. Once the training is complete, the employee should take a final test to determine if he is qualified to go on the field.

Once the employee passes his exam, on-the-job training is very effective as reinforcement. With appropriate supervision, it allows for few mistakes and a quick learning curve. After approximately two weeks, the new hire should be ready to playwith ongoing assistance.

Set Goals

Keep your eye on the ball. Establish your business goals and articulate them to staff, differentiating between short- and long-term objectives. To say you wish to rent a certain number of spaces each month is not enough. What is your ultimate aim? Do you want to reach a certain stabilized occupancy or profit margin? To make goals more readily achievable, communicate the specifics to your team.

In addition to establishing goals, its equally vital to create an incentive plan that meshes with the facilitys budget and income. Todays employees are more highly motivated by reward. So create a program that attracts and retains key players. When your staff strives for greater income, the business will also benefit.

Take a look at the accompanying chart, which outlines a general budget for advertising and promotions, a plan for lease-up, and an estimate for bonuses. Note that incentives are affected positively or negatively by facility as well as personal performance, i.e., percentage of delinquency and mystery-shopping scores. This plan has been successfully applied in many storage operations. You can adopt or modify it for your own use.


Click here to view chart
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What You Need

Lets review. You need a high-performance lease-up team for success in todays competitive environment. First, hire the right team members. Then coach them in facility policies and procedures. Next, establish goals, and communicate them to the entire staff. Finally, create an incentive plan to keep employees motivated and performing at optimum levels.

Heres what you need:

  • A solid physical plant, i.e., a great facility with many differentiating features that benefit customers.
  • A realistic budget designed to achieve objectives as well as an aggressive but realistic lease-up schedule and incentive program.
  • A strong hiring policy complete with well-defined job descriptions.
  • A comprehensive training program.
  • Checks and balances such as in-person and phone mystery-shopping services.
  • Sound supervision to lead the staff to victory.

With these field advantages, your team will take it to the goalpost every time. Keep in mind that your high-performance players, motivated as they are by incentive, may want to move on once youve achieved lease-up. Its in their nature, and thats why you hired them! So let them move on, and replace them with a maintenance team that requires lower salaries and bonuses.

Greg Call is the president and CEO of Irvine, Calif.-based Self StorageWorks, a management, consulting and development firm that provides feasibility studies, startup services, design, unit-mix planning, staff hiring and training, facility management, marketing plans and brokerage. For more information, call 800.779.6797; e-mail [email protected]; visit www.selfstorageworks.com.

CREATIVE Management

Article-CREATIVE Management

We most often associate the word creative with the art world, and too seldom use it in day-to-day professional life. However, creativity could be just the thing when it comes to distinguishing your facility from those of competitors and making the difference in the profitability of your business. Here are a few CREATIVE methods that can be easily applied to daily self-storage management.

C Is for Cross Train

All team members, from office staff to the district manager, should be cross-trained to allow for a smooth-running operation. Each member should know how to operate the computer, process payments, complete a lease, prepare daily close-out and run reports, clean out vacant units, and complete a routine lock check and space audit. By cross-training, you can ensure neither customers nor the business suffer if an employee is on vacation or unexpectedly out of the office.

R Is for Referral Programs

Referrals are a low-cost way of advertising. A good referral program rewards people for recommending new renters and lets customers, vendors and the community know you value their business. You can promote your program with referral cards, signage, fliers, mailers, word-of-mouth, etc. Printed materials can also incorporate facility information, such as its street address, phone number, website and e-mail address. When coupled with a facility map and list of features, solicitations for referrals make great marketing pieces.

E Is for Excellent Service

What business can be successful these days without exemplary customer service? Know who your customers are as well as their needs. Always go above and beyond the call of duty, even when it comes to simple things. Tenants appreciate friendly service and a general willingness to help.

Host events and activities throughout the year to show people you are grateful for their business. Consider sponsoring a formal Customer-Appreciation Week during which new and existing tenants can take advantage of giveaways, promotions, entertainment, food and more. Maybe organize an annual tag sale for customers at the facility or hold an anniversary barbecue. Offer coffee and doughnuts in the office every morning. These gestures show customers you care and promote your business through increased community awareness.

A Is for Auctions

Make facility auctions a marketing event from the start. Provide a copy of the auction schedule in your move-in packets, and explain the opportunity to new customers. Offer drinks and refreshments the day of the sale to increase turnout and collection potential. You can also maintain a mailing list of your frequent auction attendees, and send them an updated schedule each quarter.

T Is for Telephone Script

Provide team members with a phone script to ensure they askand answerthe questions that will get callers to visit the site. The main purpose of advertising is to make the phone ring and ultimately get prospects to rent a unit or buy retail merchandise. The script should address customers common questions and concerns, let them know you care about their business, convince them you can provide for their needs, and ultimately sell your services.

I Is for Inspections

Conduct regular and thorough site inspections. These will ensure staff knows what is expected and allow them the opportunity to show off their skills. Inspections should include random checks of vacant units and a review of company inventory and files. An examination of facility reports is also important, particularly those summarizing daily deposits. In fact, if you insist on the daily or weekly transmission of these reports via fax or e-mail, it will force employees to close-out and balance, which prevents theft. Inspect what you expect!

V Is for Value

Your management team should understand and know how to explain the value of each of the facilitys products and services to customers. The phone script and any sales presentations should also outline the sites features and benefits. Most customers are only interested in what you can do for them, so tell them!

  • We have resident managers, so your valuables are stored right here at our home.
  • We offer boxes and other packing supplies, making us the one-stop shop for your moving and storage needs.
  • We have computerized access, so we know who enters and leaves the property at all times.

E Is for Endless Technology

Take advantage of ever-improving technology to promote your business and enhance customer service. For example, create a website that will tell your companys story and invite customers to visit your facility. It can be basic, with just a page or two, or sophisticated, with online reservations and payment options. Always use up-to-date management software with reporting tools, and maintain e-mail communication with staff and customers. Other technological advances include kiosks, electronic locks, computerized access control, digital video surveillance and more.

It All Adds Up

Every day, use at least one creative technique that will set you apart from competition, whether its mailing a thank-you card to a new rental, delivering a cold bottle of water to a customer moving into his unit, or giving a gift for a referral. Be imaginative, and watch your business grow. As Dee Hock says, The problem is never how to get new, innovative thoughts into your mind, but how to get old ones out. Every mind is a building filled with archaic furniture. Clean out a corner of your mind, and creativity will instantly fill it.

Madelyn Still holds the Certified Property Manager designation through the Institute of Real Estate Management. She is the director of property management and an area manager for Atlanta-based Universal Management Co., one of the nations 50 largest self-storage operators. The company manages stores in Alabama, California, Connecticut, Georgia, Hawaii, Massachusetts, Nebraska, North Carolina, Okalahoma, South Carolina and Virginia. It also provides consulting and training throughout the United States and abroad. For more information, call 770.801.1888; visit www.universalmanagementcompany.com.

At the Car Wash

Article-At the Car Wash

A Few Good People Wanted

By Fred Grauer

The U.S. Marine Corps used to run an ad that said, Wanted: A Few Good Men. This same need applies every employer out there. Lets face itits tough to find and retain good people. So what do you do to be the employer everyone wants to work for?

In the car-wash business, requirements as to number of employees and their skill level vary. Self-serve operators are looking for that jack of all trades who is not only mechanical but honest and personable. I know what youre thinking: Are you nuts? Guys like that dont exist. Au contraire, mon frere, they do! And they are probably living as close to your site as a good wedge shot.

Every time I open a new car wash, retired individuals stop by and express interest in a position. Nine times out of 10, they fill the bill perfectly. I guarantee them 20 hours a week, and they volunteer another 10 or more. They love being involved and needed.

If youre a multisite operator, however, you need more than one good employee. If you have a full-service tunnel car wash, the rule of thumb says you need one person for every 2.5 cars you process per hour. In other words, if your target is 50 cars per hour, you need at least 20 workers. If your tunnel operation is only an exterior wash, your staff could be as few as two. The trick is to know your staffing requirements and not get caught too short or long.

Keeping Them Around

So once you know how many employees you need and get them hired, how do you keep them around? You can get them in the door, but hanging on to them in the face of all obstacles is no easy task. Retaining staff is just like retaining customers. You need to implement some of the same strategies and tools you would use to attract business and build a successful operation.

In this day and age, the profitable and successful businesses are those that provide a meaningful, enjoyable experience for customers. Your staff is big part of that experience. If you want to differentiate your organization from others, your entire team needs to participate in creating a positive, consistent environment.

Start with a plan. All stakeholders need to know where they are going and how to get there. The plan should not only be communicated to shareholders, vendors and customers but to employees. It should include a Vision and Customer-Value Statement in addition to a description of your operating principles. These are the moral codes under which you function. One example might be to run our business honestly, at the highest level of integrity.

Once employees understand your operating principles, there should be no mistaking your expectations or the consequences for not performing to standard. This will allow them to complete their tasks efficiently and without stress. To customers, staff will appear trained and disciplined, which is perceived as value. Harmony is an infectious attitude. It may sound trite, but happy employees make for happy patrons.

So what do employees need to be happy? In the car wash industry, the majority of staff earn minimum wage. Many are inexperienced, and their job at the car wash is often their first. This doesnt mean these people are the bottom of the barrel; it means theyre just like everybody else at the start of a career. So what they want is pretty straightforward: an opportunity to prove to you, as well as themselves, that they can be successful.

I know theres a lot of talk about wages and benefits. Without question, these do play an important role in any position. But whats most important is for employees to know they are valued. In companies where morale is poor and turnover is high, the No. 1 cause is usually poor or no communication.

Recently, one of the worlds largest purveyors of fast food ran a series of powerful ads. They didnt talk about their French fries or any other item on the menu; instead they talked about the companys employees. The ads featured people who started out serving hamburgers and sodas and eventually became very successful. These individuals used their experience to grow, learn and move on to positions as high as the U.S. Senate.

What was their motivation? Was it the inspiration derived from being part of a dynamic, disciplined business that treated all stakeholders with respect? You can bet on it. When it comes to your staff, remember the impression you make on your team can inspire some awesome results.

Fred Grauer is president of Grauer Associates and vice president, investor services, for Mark VII Equipment LLC, a car-wash equipment manufacturer in Arvada, Colo. He has made a lifelong career of designing, selling, building and operating car washes. He can be reached at [email protected].

When Bad Customers Happen to Good Businesses

Article-When Bad Customers Happen to Good Businesses

Awhile back, some friends and I dined at a newly opened but already popular Italian restaurant. The atmosphere was pleasant, the staff attentive and the food a delight. We were having a great time. A party of six at the next table, however, was not.

From the moment she arrived, one woman seemed unhappy with everything. Service was too slow then too rushed. She had the waiter describe the special twice, and then ordered it the way she wanted it with none of the key ingredients. When the meal arrived, she complained it was tasteless. When the waiter politely explained it was prepared according to her requests, she angrily belittled him. Even the people at the table seemed embarrassed by her behavior.

The manager came over and calmly listened to the woman. He said, I will gladly fix you another dish, because this meal clearly did not meet your expectations. Moreover, I will remove your meal from the bill. The woman seemed mollified, but her dinner companions ate in silence. When they left, her date pressed some bills into the waiters hand.

In this case, the customer wasnt right, but the manager did the right thing. He won the admiration of the remainder of the group and kept one person from ruining the evening for a roomful of diners. When he stopped by our table, we complimented him. He shrugged and said, Research has shown that people will tell three to five friends about a good dining experience. But theyll tell more than a dozen about a bad one. To make our place succeed, we have to strive to meet the expectations of all our customers.

Service Supremo

What can operators learn from this experience? In the self-storage industry, most facilities offer the same features: climate control, automatic-payment options, etc. So how does one stand apart from the rest? Through its reputation for supreme customer service.

The natural response of most employees is to approach customer complaints from an Im right, youre wrong adversarial perspective. But as the restaurant manager in our story understood, the first goal should always be to keep the customer happyeven an argumentative or unreasonable one.

Does this mean you should let customers manipulate you? Lets consider the return counter at a large department store. People can return merchandise for any reason with no questions asked. Are a few of those customers taking advantage of the business? Sure. Is the store still making lots of money? Sure. It strives to keep all customers satisfied, even if some are dishonest or in the wrong. Moreover, it considers this part of the cost of doing business (or the cost of public relations).

The bottom line is storage owners should train employees to defuse arguments with a calm demeanor, a truly customer-conscious attitude, and a willingness to look at the bigger picture. Its best to teach sales and customer-service people that when arguing with a customer, its possible to win the argument but lose the business.

To completely teach customer-service skills would require more space than I have here, but there are some excellent resources on the Internet. When I type dealing with customer complaints into a search engine, I come up with more than 2 million hits. One of the first websites I discovered was www.school-for-champions.com. Its very basic, but its a good starting point.

Roy Katz is the president of Supply Side, which distributes packaging as well as moving and storage supplies. The company has developed merchandising programs for many leading companies including Storage USA, the U.S. Postal Service, Uncle Bobs Self Storage, Kinkos, Mail Boxes Etc. and The UPS Stores. For more information, visit www.suplyside.com.

Inside Self-Storage: Disasters Sell Records Storage

Article-Inside Self-Storage: Disasters Sell Records Storage

After any catastrophe, the need for records management and storage soars. Its only human nature to avoid the reality of loss until it actually happens. But now hundreds if not thousands of businesses in the Gulf South will no longer exist because of lack of attention to business records. On the positive side, this is an opportunity for records-storage providers to grow their enterprises.

Katrina and Rita, Sisters of Destruction

As I sit in my office waiting for the second hurricane in less than a month to hit the nearby city of New Orleans, I hear story after story about doctors, lawyers and others who have lost their businesses because of failure to protect their records from disaster. Those in the commercial records-management industry know that people rarely think their documents are important until they actually need them. But in this era of potential catastrophe, we have much to consider.

No one wants to take advantage of a devastating situation by causing additional pain or unscrupulously profiting from others loss. But we now face circumstances that will lead business owners to make good decisions, ones that will positively affect their own operations and those of records managers everywhere.

Leverage Tragedy for the Public Good

Records represent the memory of any business. They are critical to its well-being. How can records facilities help clients recognize the need for storage and disaster-avoidance services?

Provide information about effective records keeping and disaster-management practices.

There are many resources available from the Association of Records Managers and Administrators (www.arma.org), Professional Records and Information Services Management International (www.prismintl.org) and other related organizations.

Help clients and prospects identify potential problems.

Most business owners do not understand how to protect their records from damage during disasters. As a records expert, you can provide them with a Client Needs Assessment (CNA) that identifies troubles before they occur. A CNA is simply a discovery process that uses a questionnaire, interview and walk-about to uncover potential problems. CNA methods are available through several sales-training resources.

Provide a lending library of books and videos.

As part of your professional development in records management, collect materials that can be valuable to employees and clients regarding records-keeping practices.

Provide a regular information exchange for clients and prospects.

Host a luncheon twice a year during which you share information about sound records keeping and disaster management. Become an education leader in your community, a resource on which people can rely.

Become a recognized source for records-related connections in your community.

Records management is a science, and professionals in your area can be called upon as resources for specific expertise. Identify these individuals and partner with them. Become the one-stop records shop.

Immediately after a disaster is the best time to begin a project like this. It will add to your own credibility and enhance your professionalism in the marketplace. The results will also add prospects to your sales portfolio.

Cary F. McGovern is the principal of FileMan Records Management, which offers full-service assistance for commercial records-storage startups and sales training in commercial records-management operations. For help with feasibility determination, operational implementation or marketing support, call 877.FILEMAN; e-mail [email protected]; visit www.fileman.com.

Automated Management

Article-Automated Management

As in most industries today, automation is changing the way self-storage facilities do business. Operators nationwide are realizing how technology can positively impact their facilities and bottom line.

Not too long ago, the term automated meant a storage facility had a gate that could be opened with a keypad. These days, it involves high-tech self-serve kiosks, which allow customers to rent units, make payments, purchase locks and buy tenant insuranceall without manager assistance. Today, automation means leaving the open sign on all the time.

Even the overlock process has been automated with the introduction of electronic door locks. These locks integrate with a facilitys kiosks and management software. They can mechanically allow access, as when a tenant rents a unit using the kiosk, or bar entry when a tenant is past-due on rent. In cases where a unit has been overlocked due to nonpayment, the kiosk and software can automatically unlock the unit when the customer brings his account current. Automation of this process gives managers more time to spend on marketing and customer service.

Thanks to kiosks and electronic locks, operators can even charge a premium for varying levels of access. Three-tier pricing structures are extremely manageable. A facility simply charges a base price for access during office hours, and then adds a premium for extended access and an even higher price for anytime admittance.

The improved operating results at facilities that use these high-tech tools show automation is here to stay. Some facilities using kiosks report a savings of about $63 per day because of more efficient staffing and operational processes. Theyre also able to serve more customers, because the self-serve units take new rentals and payments no matter the time or day of the year. This means higher profit.

The Human Effect

So what does this mean for self-storage managers? Will the position be eliminated? Not likely. Think about it: Kiosks were introduced into banks, gas stations and airports years ago, yet there are still bank tellers, gas-station attendants and airline staff. Instead, the role of self-storage manager will evolve and expand.

To understand automations impact on the facility manager, look at the possibilities it creates. First, there will always be storage operators who avoid technologythe ones who still use index cards rather than management software to record rentals. At these facilities, a manager will always be necessary.

At the other extreme, new facilities are being built for full automation. One operator in the Midwest has been running more than 50 unmanned facilities for the last five years. A staff member still needs to attend the sites for routine lock checks, property inspections, maintenance and other customer-service duties, but the requirements are minimal compared to full-time, onsite attendance. This type of operation requires a manager who can make good decisions and has an ability to multitask, overseeing many sites simultaneously.

The business model that makes sense for most existing facilities as well as many new ones is a hybrid of automation and an onsite manager. The kiosk, with its ability to take rentals and payments, supplements the managers efforts to serve more customers. Over time, a facility can collect data regarding its customers behavior, and the workforce can be matched to the flow of business. Using these trends, staffing can be geared up when traffic is heaviest and scaled down when business is slower.

Customer service is a competitive differentiator, and kiosks provide tenants with improved service in two ways. First, some customers prefer self-service transactions, and kiosks cater to this level of comfort. When was the last time you paid at the counter for gasoline? On the other hand, some customers prefer to work with a person. Kiosks free up managers so they can spend extra time with customers who value human interaction.

Thanks to automation, the managers job is no longer confined to the office, which means he is free to go out and prospect for new accounts. He can visit businesses in the area to secure commercial customers, who rent for longer periods and are timelier with their payments. He can also attend chamber of commerce meetings and other local networking events.

Land in prime locations is harder to come by, but automation makes smaller and more remote facilities financially feasible. A managers role can easily be expanded to cover several of these properties. In a sense, the manager runs a portfolio rather than a single site. He becomes responsible for maximizing revenue across several facilities linked through kiosks and a central super-center.

Finally, automating routine tasks gives managers more time to analyze and fine-tune their facilities. They become yield-management experts, varying rents according to inventory, occupancy and seasonality to maximize revenue. In addition, they can add new services such as package shipping, records storage, wine storage, eBay brokering and more.

The self-storage industry is expanding and evolving, and automated management plays a key role. Rather than disappear, the role of manager will also change and grow. Those employees with customer-service and business skills will continue to be in high demand. Tomorrows manager will be an essential part of the business, especially one who embraces automation.

Raymond E. McRae is the vice president and director of operations for Mesa, Ariz.-based Storage Solutions, which conducts feasibility studies, third-party management, market surveys, consulting, auditing, acquisitions and development for the self-storage industry. For more information, call 480.844.3900; visit www.storage-solutions.org.

Curtis Sojka is vice president of marketing for OpenTech Alliance Inc., a developer of self-storage kiosks. The companys INSOMNIAC line improves customer convenience, reduces operating costs, and increases revenue for self-storage facilities. For more information, call 480.778.9370; visit www.opentechalliance.com.