By Sandra Koehler, CAE and Elizabeth Schlicht, CAE
First, it’s important to know what accreditation actually is since it’s often confused with certification. Here’s the difference: accreditation is the procedure by which an authoritative body gives formal recognition an organization is competent to carry out specific tasks. Certification is the process of providing a person with an official document attesting to a status or level of achievement. Essentially, accreditation is for institutions, while certification is for individuals.
For association management companies (AMCs), the Association Management Company Institute (AMCI) is the only accrediting body. So why be accredited? Here are a few important reasons:
- It demonstrates a commitment to best practices.
- It shows an adherence to quality control.
- It distinguishes the company from its competitors.
- It represents an ability to deliver the highest level of service to its clients.
- Many associations prefer to work with accredited AMCs.
- Many professionals prefer to work at an accredited AMC.
- Out of 500 AMCs, only about 17% are accredited.
The process involves gathering the AMC’s documented policies and procedures in the following subject areas:
- Client Contracts
- Service Delivery Procedure
- Evaluation of Services
- Financial Management and Internal Controls
- Insurance Coverage
- Employee Recruitment and Selection
- Employee Training and Professional Development
- Subcontracting and Purchasing
- Record Keeping and Continuity of Operations
- Internal Quality Control
Examples can include client contracts and addenda, client service reviews, accounting procedures in line with accepted standards, staff bios, in-house educational presentations, position descriptions, orientation schedules, and performance reviews. Standards documents, post-meeting reports, board orientations, client budgets, audits, and insurance records can also be included along with business continuity and emergency plans.
Once the documentation has been assembled electronically, a CPA audits the documents against a checklist AMCI has provided. Then the auditor will also conduct a review onsite and interview staff. Once completed, the auditor submits the report to AMCI. If approved, accreditation lasts for four years.
Association Acumen has been accredited and reaccredited four times and is proud of that special distinction showcasing how we provide the highest level of service to our valued client associations. Best practices are documented and continually updated across all clients. This not only increases transparency but enhances accountability. The importance of accreditation cannot be stressed enough. Bottom line: it works to enhance management practices and establishes good internal quality control measures that provide a great benefit to not only the clients of AMCs, but also the highly trained staff members who work for them.