Whether you're an executive of a multinational corporation or a cashier at the local supermarket, you probably receive a performance evaluation that assesses how well you're doing your job. Many property management companies may also do regular assessments of their employees’ performance. But when it comes to a board’s assessment of its manager, forget about annual performance reviews, it’s game on every month.
“Every month when you show up at a board meeting, your performance review is done right there,” said Josh Koppel, CPM, president of New York-based H.S.C. Management. “If you are not doing your job, the board will know it pretty quickly. In this job, you can’t fall asleep at the wheel.”
For example, at the last board meeting of one fictional building, property manager Tony was given a list of things he was required to get done, including several building repairs, financial reports that needed to be written and submitted, and three estimates he needed to get for a capital improvement project that the board was contemplating. One month later, Tony sat down at the meeting and only had a few of those items crossed off his list. He still had not finished several repairs, including one minor plumbing leak that, due to his neglect, had gotten worse and caused additional property damage.
In the meantime, the board is not happy and now has even more things it wants to add to Tony’s ever-growing list. In this case, the board doesn’t need to wait a year to assess Tony’s performance. It’s clear that he’s not accomplishing his workload and is chronically behind. The board decides to make a change.
Jeffrey Friedman, president of Vintage Real Estate, Ltd., agrees that a managing agent is evaluated all the time, but says that a board should not follow through with a sudden personnel change unless there is a real problem with the manager’s performance.