Do you have a formal plan on testing out new tech?

Eric Brown's most recent blog post ( multifamilyinsiders.com/home/multifamily...ain-a-Commodity.html ) got me wondering how many property management companies have a formal procedure or program on testing out new technologies. For example, when a new technology or tool comes your way, you have a plan to implement it on a small scale, test it, assess the results, and then implement if the results were positive?

And if you don't, why not?

(PLUS: I've added a poll on the left side of the page - go vote!)

How about another choice?

"Testing takes too long. Just go for it!"

Added!

We had a client who had a plan for testing effectiveness in an innovative way. They conducted a productivity study before-hand to gather data supporting the need for the technology. Now that they have verified the need, they have implemented the technology and plan on conducting the productivity study again after 1 year to verify if the technology has addressed what they thought it would. I'm interested to see what they find.

We generally do testing at our student communities. If it doesn't take with the young up and coming generation it's tough to think it will take at a non-student property.

I am with Mark on this one. We just go for it. Whether it be MySpace and Facebook yesterday and Twitter and Yelp today, we try everything to see what sticks. If something gains wild popularity in short order, we spend more time with it while other things fall to the wayside.

Here are the final results of the poll:

Do you have a formal plan for testing out new technologies and tools at your apartment communities?

No, we don't have a plan.
10 votes 47.6%

Yes, we have a plan, and we use it!
7 votes 33.3%

What do you mean?
2 votes 9.5%

Yes, we have a plan, but we don't use it.
1 votes 4.8%

Testing takes too long. Just go for it!
1 votes 4.8%

So it turns out that 13 votes (62%) were for no plan, didn't know what plan we were talking about, or didn't use their plan. So relative to our overall industry reputation of being slow to adopt new technologies and ideas, I think the big question here is: Are the results showing the effect of being a slow-moving industry or is it the cause??

Depending upon the technology you are planning to implement a test plan is very important. As Mike Brewer said you don't need to test something like Twitter or Facebook. But if you are implementing a new software or hardware, testing can save you trouble, money, and help with adoption. A test plan should be part of any implementation. The extent of the plan should be dependent upon the impact of the technology.

Great topic, testing out software that could affect your entire portfolio is really a good idea. That being said, a lot of small/mid size operations don't have the budget/staff to do that. When choosing a custom software vendor(like myself) make sure they have the ability to let you 'use' the software on their test server, perhaps even with your own data if possible. You can avoid a lot of potential trouble down the road with a few hours of testing. We have Yardi installations matching our clients that allows them to try before the go live.

I stumbled upon this research paper today about technology implementation at fee-based management companies . It mainly deals with operational technology (rather than marketing) and is based on office buildings rather than multifamily, but it's still an interesting read. Here are a few takeaways that you might see at your own company:

The technical managers do not intentionally dissemble about the need for new technology, but some dissembling takes place. This dissembling appears to be analogous to a doctor who tells a patient what they need to hear to encourage them to submit to tests and procedures that are good for their health. Technical managers describe the short attention span of financial managers whose “eyes glaze over” on technical matters. The technical manager's attempt to convince the financial managers of the “right” technical decision by a judicious application of the truth. In other words, the financial managers may be allowed to continue in ignorance of the reasons for a new routine technology as long as they support the “right” decision. This is not considered unethical, and is a widespread practice reported by each company interviewed.

Both property managers and corporate finance people have little knowledge of technology. These managers are not interested in investing time to learn about technologies.

At this point in their careers, many of these senior managers are reluctant to reveal their ignorance of new electronic technologies. They rely upon a small pool of knowledgeable building engineers with newer electronic systems to tell them what is desirable and required. This lack of direct personal understanding and knowledge about the newest electronic technologies is a source of some anxiety to these senior managers. However, they have made their name in their companies for their fearlessness towards new technical changes and their knowledge of new technologies. This tension between the desire to hold personal position and not reveal ignorance regarding the new technology is the greatest source of anxiety for the technical managers.

Great find. I'd say that is pretty much dead on. It can create a lot of frustration for those implementing software also. When an organization hires someone, but the people who need to take ownership of the new technology are fearful, what often results is a series of ignored emails and phone calls. You must follow up and make folks feel comfortable, its part of the job these days. Those who think implementing software is a matter of 'showing up and getting it done' are often very disappointed. Can be tough to get buy in sometimes.

This is where Change Management comes into play. It is a vital part of any large implementation plan. Change Management is part of the testing process but it spans across the entire implementation process. The seeds of change management begin in the Software Selection process (see tinyurl.com/bm9thk ). The key is to get the buy in of the users. Without getting the users to embrace the new technology the project is likely to be a failure.