Analysis of Issues and Concerns in Events Management - Essay Example

Analysis of issues and concerns in events management BY YOU YOUR SCHOOL INFO HERE HERE Analysis of issues and concerns in events management Introduction Events management involves promotion, merchandising, public relations engagement, gaining sponsorship from corporate partners, and determining the entertainment required to better engage consumers that will be attending the event. These domains and practices are fundamental aspects to ensure a successful event (Getz 2007). Events management sometimes requires establishment of a brand in which desirable target markets are identified and marketed to. When the objective of the event is to achieve profitability, there is an added dimension of ensuring total quality of the event and ensuring that the event is properly positioned (from a marketing perspective) against other competing forces. This essay endeavours to clearly define what constitutes an event, determine the impact of events, implications to stakeholders of the event, determine best practices in events management processes, and assess how market conditions impact the multi-faceted stages of events management to understand how to combat risks to planning a successful event. Understanding the nature of events Events management can best be defined as the creation, development and control of a variety of different conferences, festivals, exhibits, private parties, or even parades. Slack, Chambers and Johnson (2004) assert that since events have a defined starting time and ending point, events can be legitimately defined as a project. Hence, a project management methodology is appropriate as an approach to events management. Stages of events management utilising a project approach include gaining an understanding of what drives the external environment, establish an appropriate vision, define a set of concise objectives, planning, monitoring of the event, the implementation of control systems, and finally taking corrective action and conducting research to review future opportunities and gain learning from successes or failures of the event (Slack, et al. 2004). Large scale events, such as the London 2012 Olympics, require events managers to be keenly aware of the many activities that are inter-dependent to creating a valuable, profitable and socially worthwhile event. These activities include site surveying, management of cash flow, procurement, health and human safety, drafting of important budget constraints, marketing and even risk management (Bowdin, Allen, Harris and McDonnell 2010). Events, therefore, are significantly complex happenings requiring multiple managerial competencies in a variety of domains of knowledge in order to ensure a successful event. Events are characterised by four distinct activities including administration, recognition of operational strategies, the primary marketing function and risk management. All of the aforementioned activities are directly concerned with the impact of events and a variety of stakeholders that have a direct vested interest in the outcomes of events. Both stakeholders and impacts will be defined more succinctly later in this essay. However, impacts involve implications on the social environment, economic environment and environmental consequences of the event. Stakeholders are any individual or institution that is either actively participating in the project or groups whose tangible interests could be affected negatively or positively as a result of competent events management execution and event completion (Laplume, Sonpar and Litz 2008). Stakeholders have the ability to exert substantial influence regarding project objectives and consequences, making it necessary for events managers to identify stakeholders, determine the extent of their expectations, and ensure their requirements and interests are considered in order to guarantee success of the event. Impacts Impacts are best defined as a variety of tangible and intangible factors that can cause damages or consequences of the event that can have positive economic and social benefits. Revenues, event brand identity and reputation, potential health and safety risks, or even environmental influence are quality aspects that identify an event impact. For instance, ineffective promotional techniques to expand public awareness of the impending event can radically alter consumer perceptions about the quality, entertainment value, and social relevance of the event. Consumer perceptions of an advertisement greatly influences their personal attitudes about the event and can impact willingness to patronise the event (Schiffman and Kanuk 2010; Wang, Zhang, Choi and D’Eredita 2002). Though promotional effectiveness is only one example, it represents a form of intangible impact on the event and its brand personality or brand identity that can radically impact the ability to guarantee revenue achievement for the event and impact future opportunities for a similar event theme by incompetently engaging consumers and their psycho-social responses to the event and its promotional efforts. Yet another example of impacts can be explained with the London 2012 Olympics, an event that sustained literally hundreds of thousands of patrons of diverse socio-economic backgrounds and cultural preferences. “The gathering of thousands of individuals is an opportunity to reflect on the communitarian nature of our human species” (Jones 2010, p.5). In this type of environment, social impacts must be considered and measured as the London 2012 Olympics maintained the expectations that a great deal of inter-socialisation would be occurring. Social engagement and cross-cultural interactions were outcomes of the event and it was an opportunity for the United Kingdom to reassert its sense of national pride whilst also considering the needs of diverse international customers. The event provided opportunities to incorporate different musical talents and art forms into the event model that would greatly enhance the social experience and improve consumer perceptions of service quality of the event. Hence, ensuring that stakeholder needs and expectations were considered, when addressing multi-cultural patrons, represented a potential impact on the reputation of the London Olympics that could directly impact the future 2016 Olympics if lack of cultural awareness and cross-cultural incorporation had been dismissed as a factor influencing success or failure of the event. The impact would be diminished consumer loyalty for the event, erosion of brand performance, or negative impact on consumer perceptions of event quality that impact both profitability or even deconstruction of positive UK national identity. Impacts can be managed successfully utilising a risk management system, the process of managing uncertainties that involve identification of potential threats and evaluating their potential impact to the event (Hubbard 2009). The process of risk management is ensuring proper allocation of important resources, human and economic, to reduce the potential hazards to the event, the creation of monitoring and control systems and working collaboratively to control unfortunate or regrettable events that could radically impact, negatively, the potential for event success (Borodzicz 2005). Risk management represents a holistic system of practices, procedures and policies that identify, evaluate, correct and measure potential risks (Haneef, et al. 2012). Risk management activities require appropriate allocation of resources (both economic and human capital-related) to minimise perils to business operations, to establish appropriate monitoring systems, and attempt to control the probability of inopportune or otherwise regrettable events from occurring (Borodzicz, 2005). The process of risk management is to better assist the organisation to avoid interruption to the achievement of established business objectives and ensure that the organisation does not experience despondency (Sadgrove, 2005). Risk management is a holistic methodology of policies, best practices and procedures to identify, treat, evaluate and measure risk (Haneef, et al. 2012). There is a link between control and management of potential tangible and intangible impacts to stakeholder needs and expectations. For instance, as only one relevant example, large-scale events are often held in international environments where there are certain political risks, health threats or social risks. Where the event is operating and the risks that might occur which would be experienced by travellers are highly critical to ensuring patronage and revenue production. In 2008, the Indian Taj Jotel was involved in a terrible terrorist bombing incident that murdered 160 people and this event continued for four days (Schiffrin 2009). Stakeholders involved in this situation involve consumers that would be patronising the event, government that approved the foreign event investment, and even sponsors that could achieve negative return on investment in the face of terrorist activities that complicate a successful event. Hence, impact measurement and assessment is strongly linked to stakeholders and their interests require protection. In this type of situation where terrorist activity or similar disruption to an event are possible, heavier emphasis on establishing policing cooperation or barricading activities are required as proactive risk management processes and procedures. The influence of media on publicising terrorist probabilities or incidents also serve to potentially erode an event’s reputation and brand identity, making it necessary as a risk management system to ensure impacts are mitigated. Stakeholders and EMP Stakeholder interests are some of the most fundamental considerations of events planners and management. One way of illustrating the link between stakeholders and management is in relation to pricing structures as it would relate to customer stakeholder groups. A main objective of most large-scale events is to ensure that consumers perceive quality as part of the event model. Dawes (2004) emphasises that pricing structures are the most common method by which consumers perceive quality and judge the event. In some countries where events have been planned, there are price-conscious consumers that will be dissatisfied if the event maintains lofty profit expectations and therefore establish pricing schemes that are not competitive. Hence, quality management becomes a significant concern as it relates to consumer stakeholders. Quality management involves a series of holistic event activities and processes that attempt to make long-standing changes to the event climate in an effort to provide top quality outputs and service competencies (Hoyle 2007; Tricker and Sherring-Lucas 2005). Quality management relies on developing important metrics and models so as to ensure better quality throughout the operational model (Assadej and Igel 2009). Total quality management involves using qualitative and quantitative research methodologies and instruments that evaluate cost controls, leadership improvements and improve the competitive position of events against other similar events in a region. Under the Events Management Process Model (EMP), research, organisation, controls, and planning are fundamental methods of ensuring quality in the operations of the event and general administration during the period where the event is intended to take place. For instance, if the event maintains corporate sponsors who now serve as stakeholders to the event, it would be beneficial to conduct proactive market research on consumer attitudes and beliefs to ensure a more properly aligned marketing campaign that better engages and excites consumers. Sponsors of an event, such as beverage companies like Pepsi-Cola which often provides products for profit as an outcome of contracted business agreements at events, are concerned about patronage levels and top quality service provision. Therefore, marketing planning, evaluation, control, and implementation strategies are highly relevant to satisfying the corporate sponsor stakeholders. As another example of the link between stakeholder satisfaction and the EMP model of event management, marketing literature states that when a brand is able to provide consumers with a sense of self-expansion (such as gaining interesting social networks through social engagement at an event), they are more likely to develop potent attachments and loyalties to the brand (Greenwald, et al. 2002). The London Olympics in 2012 allowed the United Kingdom to compete in bronze competition which enhanced the social viability of national pride in a variety of competitive events. Immediately upon this allowance, marketers and sponsors started to develop social media presence and brand communities that enhanced customer interactivity and engagement and attempted to build brand attachments associated with national identity as it relates to domestic consumer segments’ perceptions of national pride in an effort to build potent attachments and excitement to the event. Using integrated marketing communications aligned with national pride provided consumers with perceptions of the event being able to expand their social identities, hence implementing quality and relevant promotional campaigns for the event. Marketing activities allowed consumers to believe that their social expectations were being met effectively and guaranteed more local national customer patronage to the event through event promotions. This ensured that sponsors and customer segments had their expectations and needs considered which built a stronger, positive reputation for the 2012 London Olympics that would not have been accomplished without understanding consumer social expectations. This is an appropriate example of how stakeholder needs are directly aligned with the EMP model that provided positive social impacts that built more revenues and better word of mouth that is viable for future Olympics events. Social belonging and the receipt of esteem from the social environment are universal motivations that provide opportunities for more personal happiness and emotional stability (Morris and Maisto 2005). Hence, there were tangible psycho-social benefits to customer stakeholders simply by focusing on marketing and service development that provides this sense of social belonging. Conclusion As indicated by the research, there is a quantitative link between stakeholders, measurement and evaluation of potential impacts of events, and the EMP model that maintains multiple stages of evaluation, risk assessment, controls and planning. It is clear that the variety of different stakeholders that have a direct vested interest in event outcomes and objectives must be considered and strategies developed in an effort to improve quality of engagement between event managers and the stakeholders. Stakeholders exert considerable influence on event operations and strategic developments and even serve as risks to success of the event if their needs are dismissed or overlooked. This is especially true with sponsors and customer segments that are directly influential in revenue production and the brand identity of the event. The EMP model that identifies four distinct factors of event management including administration, marketing, risk management and operations describes a cyclical methodology of events management that must examine all factors that influence success of failure of the event. It would appear that quality of services, pricing considerations, the potent influence of marketing and promotion, and mitigating risks are fundamental and critical concerns to successful event implementation. Hence, there is a very distinct linkage between evaluating impacts, satisfying stakeholder needs, and improving event quality that is important for managing successful future events. References Assadej, V. and Igel, B. (2009). Total quality management and supply chain management: similarities and differences, The TQM Journal, 21(3), pp.249-260. Borodzicz, E. (2005). Risk, crisis and security management. New York: Wiley. Bowdin, G., Allen, J., O’Toole, W., Harris, R. and McDonnell, I. (2010). Events management. 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