36. When to Stop Following the Process with Jordan Muela of LeadSimple
Oct 8, 2024
auto_awesome
Join Jordan Muela, CEO of LeadSimple, a property management tech innovator and serial entrepreneur, as he discusses the importance of balancing processes with personal judgment in property management. He shares his journey from landscaping to leadership and emphasizes the need for motivation and accountability within teams. Discover how to navigate unexpected situations, the role of technology in enhancing operations, and the significance of foundational principles over tech. Jordan offers valuable insights on structuring your business for success.
Finding the right balance between following processes and exercising judgment is essential for effective property management.
Property management companies should wait until they reach significant growth before implementing complex structured processes.
Selecting a suitable market and promoting clarity on success metrics are crucial for new property management ventures to thrive.
Deep dives
The Role of Process in Property Management
A property manager must strike a balance between following documented processes and exercising personal judgment. While having structured processes is beneficial for consistency and efficiency, there are times when managers should step outside these frameworks based on situational nuances or to address unexpected challenges. For instance, Jordan Moyla emphasizes that strict adherence to process can lead to bureaucracy and bottlenecks, particularly when it prevents responsive action in unpredictable circumstances. He advocates for developing processes that prioritize throughput, allowing for flexibility and adaptability while still outlining essential guidelines.
When to Focus on Developing Processes
Property management companies shouldn't overemphasize process documentation too early in their development stages. It’s essential to recognize that there is a trigger point when companies typically need to formalize their processes more robustly, usually after reaching a certain threshold of growth, such as managing 100 to 150 doors. Until that point, the focus should be more on organic growth and establishing a solid foundation rather than overwhelming staff with complex protocols. Understanding when to implement structured processes directly correlates with the efficiency and effectiveness of operations within the company.
Starting a Property Management Business
If embarking on a new property management venture, Jordan recommends selecting a market with a manageable regulatory burden and a suitable stock of properties to manage. This insight arises from his experiences in the industry, highlighting that many failures occur when companies overextend into multiple markets or try to manage various asset classes outside their core competencies. Furthermore, he advises the new owners to promote clarity within their teams regarding success metrics, ensuring every employee understands how they contribute to overall goals. This alignment can foster motivation and improve the operational success of the business.
The Importance of Hiring People with Judgment
Hiring individuals with strong judgment and critical thinking skills is vital in property management, especially as processes evolve. Jordan points out the risk of relying solely on process instead of balanced decision-making, which can lead to an environment where employees feel they can simply check boxes rather than engage thoughtfully with their roles. While adhering to processes is crucial, empowering staff to exercise discretion fosters better outcomes, particularly in situations that are not adequately addressed by checklists. Therefore, recruitment should focus on finding candidates who not only follow procedures but also understand their implications.
Lead Simple University: A Resource for Skill Development
Lead Simple University provides an invaluable platform for property managers to learn about effective processes and operations in the industry. The program emphasizes knowledge sharing, collaborative workshops, and addressing specific challenges that property managers face today, enhancing both skill sets and operational efficiency. Attendees can gain insights from experienced professionals while focusing on actionable solutions to improve their businesses. This educational resource reflects the broader message that continuous learning and adaptation are crucial to navigating the complex landscape of property management.
Ever wondered when it's okay to break the rules and step outside your established processes? In this episode, Marc sits down with Jordan Muela of LeadSimple to explore the delicate balance between processes and judgment in property management.
Discover Jordan's entrepreneurial journey, the importance of cycles and fascination in business, and his expert advice on starting and scaling a property management company. Learn how to identify the right location, establish key principles for success, and align incentives to create a motivated and engaged team.
Gain valuable insights from a seasoned entrepreneur on navigating the complexities of property management, building a successful company, and fostering a thriving team.
