One of the great strata thought leaders of the world is Brent Anderson. His hometown, Vancouver, British Columbia, is a densely populated city, and their strata laws and management practices are very advanced. Brent is a great contributor to discussions on how to improve management standards for the benefit of both owners and managers.
Brent and I recently had an exchange on social media as we do from time to time. We often compare notes about strata in our respective countries. We often conclude that our markets have much in common. This time, we were in furious agreement that our strata managers are operating as if they are living in the 80s. Just like in the past, when you had to lineup at a bank or wait ages for your call to be answered. (Note to younger readers – this was when people used telephones to actually speak to each other.)
I was emboldened by our agreement. This week, I was in Perth speaking to a group of progressive strata managers about the future of strata management firms. I undertook some desktop research on their customer focus. I scored each company out of five for the customer-centric service offerings on their websites. They might offer more than I found.
I gave one point for each of the following –
1. A home page focused on what owners could get from the manager about their strata, rather than on the virtues and vanity statements of the strata managers.
2. An owner’s portal where owners could get information 24/7 about their lot and strata management. The use of these portals is notoriously low. I think this is likely due to how they are structured, populated, and promoted. Still, owners seem to like to know this service is available.
3. A mobile app that allows owners to do their strata business on the bus or train when going home.
4. Web-based forms that let owners interact with their strata on their time for routine things they need. For example, pet applications, renovation approvals, repair and maintenance requests, and insurance certificates. No points were given for downloadable forms. These are just tiresome and lazy when Microsoft Forms and any number of other applications enable you to offer this convenience.
5. ‘How to’ guidance for owners on completing these forms. This should include details on required fields, an explanation of why the information is necessary, and automatic replies explaining what owners can expect to happen next. This way, owners know what to expect.
The results were not pretty. So, in my characteristic loving and supportive way, I gave them constructive criticism. I hasten to add I’ve done a similar exercise with other firms across the nation, and there is nothing unusual about this group from the west. Almost universally, strata management websites look the same. Few convey believable points of difference. This sameness i spart of the reason strata managers have been in a race to the bottom on fees.
We can get hot and sweaty about Strata AI, as I do, but for the moment it now seems to me that’s a distraction. The immediate win for strata managers and their clients is IT not AI.
We can do much to improve strata management services for lot owners, using freely available information technology that has been around for decades.
There’s much more to be done on automating strata management. AI will play its role in achieving that result. For now, there is low-hanging fruit to be picked.
As a business coach once drummed into me, ‘Action precedes perfection.’
Michael Teys advises strata management businesses on improving profitability through professionalisation and streamlined operating systems.
He has more than 30 years’ experience as a strata lawyer and academic and has owned 11 strata management agencies throughout Australia. He has a Master of Philosophy (Built Environment) and Bachelor of Laws. He lectures and writes widely about strata management issues in Australia and internationally.
