1. Increase non-dues revenue from $465K to $600K by 2010, growing non-dues revenue by $25K per year to ensure that HI remains financially sound to support successful implementation of 2006 – 2010 strategic plan

Strategies:

• Explore alternative organizational and tax structures to accommodate the potential for adding non-dues revenue (possibly unrelated business income) and protect the HI tax status as a 501(c)6 organization
• Staff and Board Financial Officer to define financial and operational metrics by benchmarking other trade associations and making recommendation to the Board
• Establish annual budgets to support and link the objectives of the strategic plan, setting the dues revenue levels to support achievement of annual goals. All committees to annually submit plans in support of their role in support of the strategic plan and objectives
• Maintain reserves of at least 50% of operating budget          

B.  Standards and Guidelines Objectives:

1. Improve, and streamline, the efficiency and effectiveness of managing the document development process to shorten lead times and increase non-dues revenue

Strategies:

• Improve and perfect standards development process, including committee management practices by mid-year 2006
• Incorporate applicable best practices from other SDOs and HI member companies into HI’s Standards Develop Policy & Procedures
• Create a training program for committee chairs and members and implement no later than the October 2007 meeting                                                                

2. Support the pump and pump systems knowledge needs of all interested parties to ensure technical and commercial understanding between pump manufacturers and the users they serve

           Strategies:

• Engage the Standards Strategy Task Force to define direction for HI Board consideration of HI global standards development and participation by October 2005 and resolve by February 2006
• Develop comprehensive standards, guidelines and educational materials on pumps and pumping systems
• Define needs for input from other market sectors and support the creation of an Affiliate membership category to include categories as such: consulting engineers, users and others
• Explore means of increasing and diversifying committee membership to include users and general interest categories to achieve “balanced” committees thereby simplifying the voting process and reducing lead time for standards development
• Perform a standards gap analysis based, in part, on a global standards database to determine what standards & guidelines HI should be working on and ensuring their market relevance while identifying who within the Institute has the expertise to make that determination
• Explore more effective styles and formats of educational materials to further broaden the reach of HI material, including materials targeted to the younger engineers, end user, engineering consultants as well as sales and marketing professionals                                                                     

C.  Education & Knowledge Resources Objectives

1. Establish the Institute as a global authority in pumps and pumping systems increasing user knowledge and utilization of HI products and services

Strategies:

• Create a VP for knowledge/education – supported by new education & knowledge committee and staff with volunteer experts from the industry
• Define requirements for a full-time knowledge/education staff position and hire, by year-end 2005, following approval of 2006 budget
• Obtain C.E.U. accreditation and registration capability as first priority for new staff education manager, achieving by year-end 2006
• Create additional educational programs and knowledge resources to support the new HI vision
  • Define and prioritize target audiences, their expertise level and knowledge needs, including non-engineers
  • Develop educational programs and knowledge resources for the targeted audiences, including a pumps 101 program
  • Identify and train instructor resources and market educational programs
• Make available HI training offerings to member companies for their internal training programs
  • Membership and Marketing Committee to develop new marketing materials targeted to a variety of different audiences and expand PR efforts to increase HI visibility and recognition
• Membership marketing literature, corresponding web visibility and electronic support documents
  • Product and services marketing literature, corresponding web visibility and electronic support documents
  • Market collateral pieces to enhance overall market awareness
  • Pursue and continuously expand HI web presence by increasing the number of links (HI members and others) to HI’s web sites
  • Leverage magazine relationships and formalize editorial and speaking opportunities
  • Increase participation and leverage marketing resources within membership to promote the pump industry through HI
• Create an HI sponsored certification program for Certified Pump Systems Engineers (CPSE), and perhaps other categories, by 2010
• Define PSM organizational structure, legal and financial relationships between HI and PSM
• Hire 1-2 FTE staffing to support Pump Systems Matter vision, mission and long-term objectives

D.  Membership Objectives 

1. Increase membership and membership categories, and diversity of  knowledge and experience, to support pumping systems focus and grow overall HI membership 

Strategies:

• Work through the Marketing and Membership Committee and Standards Strategy Task Force to make recommendation on affiliate membership by the October 2005 meeting and build a case for BOD consideration that:
  • Supports new vision, mission and objectives
  • Define rights/limitations of affiliate membership, value proposition and dues to attract them to the Institute
  • Identify a group of organizations and individuals who are eligible for membership–users, consultants, academics, ancillary suppliers and others by 2007
  • Consider the use of a paid consultant to support this objective if not accomplished by the October 2005 meeting
• Expand the associate member category percentage to include more pump suppliers, component manufacturers, especially bearings and controls, and consider adding a category for valve manufacturers
• Membership and Marketing Committee and Standards Strategy Task Force to address increasing 30% restriction on associate membership category and make recommendation to the Board at the October 2005 meeting defining an appropriate balance between the two
• Increase value to HI members to ensure high levels of membership retention, recruitment and recapture lost members:
  • Establish a measurement process to evaluate the efficacy of member services
  • Net of consolidations and membership losses, add three new members a year to broaden the dues base and participation
  • Engage the BOD and other CEOs to assist in membership retention, with a particular focus on marginal and inactive members
  • Enhance and maintain an accurate prospective member list
  • Develop a program where the Marketing & Membership Committee proactively follows up, engaging CEOs where such direct CEO to CEO contact will be useful

  2.   Increase and enhance HI leadership engagement at the committee and Board level to ensure continuity of future leadership

Strategies:

• Increase percentage of engineers-in-training involved in the activities of the Institute to increase technical expertise and to ensure future leadership talent and committee succession plans
  • Develop training and education programs for young engineers at HI events
    • Determine engineers-in-training training educational needs
  • Leverage the expertise of HI members who are recognized internationally
  • Formalize a mentoring program to encourage members to increase involvement of engineers-in-training
    • Marketing efforts
    • Committee assignments
    • Document and share success stories
    • Create focus group to engage young engineers in defining their interests and needs
  • Identify and cultivate future HI leadership talent, and develop and activate succession plans, to ensure that volunteer leaders have the skills and knowledge of policy and procedures to effectively lead their respective committees.
  • Board members, Section Chairs and other committee chairs to add agenda topics to address leadership succession at least two of three meetings during the year
  • Board members to extend invitations to other CEOs and peers to become actively involved in committees in order to demonstrate their voluntary leadership skills and contributions
  • Identify and work with specific individuals who demonstrate leadership talents and promote their increased involvement in the Institute
  • Increase committee participation by HI members
  • Develop recognition program for the most active committee members beyond the “member of the year” program

E.   Cost and Global Competitiveness Objectives

1.  Assist members to compete more effectively globally

Strategies

• Create an Export Control Task Force and monitoring service, engaging appropriate counsel to support effort
  •  Develop and provide resources
• Create database of international (country-specific) requirements for standards and government regulations regarding pumps & pumping systems
  • Capture and document lessons learned
  • Create a global standards data base by requesting members to share their knowledge
• Market educational programs internationally to educate global users
• Promote HI standards at global forums and trade shows
• Further develop and enhance relationships with international pump organizations

2.   Help members to improve their profitability and cost competitiveness

Strategies:

• Research, evaluate and provide new business tools and cost-savings programs
• Create new statistics reports, including a new operational metrics survey
• Provide education programs to increase member competitiveness
• Identify large scale purchasing opportunities using existing member relationships and affinity programs for associations
  • Leverage HI membership purchasing arrangements
  • Explore NAM, Council of Manufacturing Associations, cost-saving opportunities