Building and realizing the AIC of tomorrow
Canadian Property Valuation Magazine
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By Suzanne de Jong, AACI, P.App
President, Appraisal Institute of Canada
The Appraisal Institute of Canada (AIC) Board of Directors, with support from committee volunteers and AIC staff, have worked diligently to achieve the objectives set out in the 2018-2020 Strategic Plan (subsequently extended to 2022 to allow for the Shaping our Future Task Force to complete its work). Over the last three years, our overall membership numbers have remained stable, with the arrival of bright new Candidates and Student Members keeping pace with retirements. AIC members account for an estimated 85% of the market share of Canada’s valuation professionals and we are proud that the reputation of our designations, standards and education programs has never been stronger.
We have made notable progress in our advocacy, education, industry partnerships, diversification opportunities and promotional efforts, and there is still much more to do. In the development of our 2023- 2025 Strategic Plan, AIC consulted with leadership, volunteers, staff, and the membership at large to identify the key issues and initiatives to focus on over the next three years. The findings from the Shaping our Future Task Force (2020-2022) significantly informed the objectives and metrics of this important strategic document.
The Shaping our Future Task Force had an overarching objective to provide a roadmap that would lead the way for both AIC, as an organization, and the valuation profession to thrive in an ever-changing environment. This multi-year, member-centric and multi-stakeholder project yielded comprehensive recommendations aimed at ensuring the continued success and effectiveness of the membership and the organization that serves them. These 21 recommendations are grouped into three areas of impact: 1) the Profession;
2) the Membership; and 3) the Organization.
The Board of Directors and I are proud to lead AIC into the next three-year strategic cycle that will pave the way to building and realizing the AIC of tomorrow. The 2023-2025 Strategic Plan will serve as our guide to better improve our ability to anticipate and respond to changes in the industry while ensuring we maintain a world-class reputation that our clients and stakeholders have come to expect.
The following is a brief overview of the current issues and opportunities within the marketplace and the Strategic Plan which will continue to position AIC members as “Canada’s appraisal professionals of choice”.
ISSUES AND OPPORTUNITIES
Current demographics indicate that almost 40% of Canada’s population is over the age of 50, while those aged 25-34 represent 36% of the population. AIC estimates that the number of members in the 50 years and over demographic is even larger than this – perhaps approaching 60%. This means that we may be facing a loss of members, experience, and knowledge over the coming years. To mitigate the effects of this ‘demographic bubble,’ AIC must continue to focus on recruitment and engagement of Candidates and newly-Designated Members.
New technologies, be it artificial intelligence (AI), Automated Valuation Models (AVMs), Block Chain, or others, present opportunities for valuation professionals and AIC. Traditionally, a great deal of members’ time and effort in providing opinions of value has been taken up by the collection and compilation of data – tasks that new technologies can perform in the near future. The true value proposition of the appraiser lies in their ability to interpret that data to determine its validity and relevance rather than simply collect it. The disruption created by new technology in valuation can give Members an opportunity to increase their value proposition, efficiency, and output.
EQUITY, DIVERSITY, AND INCLUSION (EDI)
The appraisal profession is at a pivotal moment on its EDI journey. Diversity of perspectives and diversity in service offerings are key to our collective success. Equally important are diversity in race, nationality or ethnic origin, religion, age, sex, sexual orientation, marital status, family status, and disability, among many others. While AIC membership is increasingly diverse, this diversity is not always fully reflected throughout and it may prevent some of the ‘best and brightest’ from fully engaging in the profession.
DIVERSIFICATION OF SERVICE OFFERINGS
Public perception and awareness of AIC member services are still largely limited to point-in-time appraisals. While this will continue to constitute a substantial portion of our work for the foreseeable future, the use of technology will also free up time and create opportunities for members to undertake other types of work. From Consulting to Reserve Fund Studies to Machinery and Equipment Appraisal or any of the other types of work permitted by Canadian Uniform Standards of Professional Appraisal Practice (CUSPAP), the question is not “Should I take on other types of work?” but rather “Which other types of work will I take on?.”
RECOMMENDATIONS FROM THE SHAPING OUR FUTURE TASK FORCE
Evolving to thrive in a changing world
In 2020, AIC embarked on a three-year initiative to help anticipate and shape the future of our profession, our membership and our organization. The overall goal of this Task Force project was to develop recommendations for how the organization and its membership can best respond to or anticipate changes in the marketplace and changes brought about by disruptive technology.
Three impact areas, 21 recommendations
The set of 21 recommendations is grouped into three impact areas that address the needs of the Profession, the Membership and the Organization.
- Advancing Our Profession. AIC will promote and campaign for change that will affect the entire appraisal profession, influencing a sustainable future for the profession via lobbying government, strategic partnerships and indirect marketing.
- Create Partnerships to Conduct Research
- Promote Non-Traditional Services
- Reposition Designations
- Advancing Our Members. AIC will enable members to diversify, increase and promote the services they provide to their clients.
- Investigate Data Access Solutions
- Establish Technology Access and Guidance
- Create Continued Professional Development Opportunities Focused on Technology
- Develop an Expert Mentorship Program
- Implement a Mandatory Audit Program
- Implement minimum requirements for Co-Signer Eligibility
- Reset Marketing Strategy
- Create Direct Marketing Platform
- Create Direct Marketing Materials
- Create Non-Fee Education and Enhance the Promotion of Non-Fee Job Opportunities
- Focus on Recruitment
- Advancing Our Organization. AIC will optimize processes and structures to ensure maximum cost-benefit to members.
- Undertake Organizational Assessment
- Reaffirm Member Services
- Standardize Director Eligibility Criteria
- Optimize Organization Resources
- Monitor Disruptive Events
- Enhance Candidate Voice
- Establish a Policy Around Membership Fees
OUR MISSION AND CORE VALUES
Advance the Canadian real property appraisal profession in the public interest through education, self-regulation and member support.
AIC Professional Appraisers are the trusted professionals of choice for real property valuation, advisory and consulting services in Canada.
EQUITY, DIVERSITY AND INCLUSION (EDI) VALUE STATEMENT
AIC is committed to providing an atmosphere free of barriers to promote equity, diversity, and inclusion (EDI). As a membership body, our strength is in our commitment to being inclusive, with intentional strategies to welcome and uplift historically marginalized communities and equity-seeking groups. We aim to be as diverse and inclusive as the communities/people we serve.
AIC STRATEGIC PLAN 2023-2025: 3 STRATEGIC PILLARS
1 – TRUSTED PROFESSIONALS OF CHOICE
Promote AIC Members as Professionals of Choice and trusted for the full range of valuation services
- Develop and deliver inclusive and
high-quality education for members in their pursuit of excellence.
- Self-Regulate the professional practice of members to ensure the protection of the public.
- Increase/ensure public and stakeholder awareness of members’ capabilities and professionalism.
- Reposition branding of designations.
2 – ADAPTABLE AND PROGRESSIVE
Strengthen and modernize AIC’s operating and governance models to facilitate members of all backgrounds and specializations to effectivelydeliver services
- Implement an organizational model that optimizes AIC’s performance
and ensures its ability to deliver member services and professional self-regulation.
- Review and modernize AIC’s governance for effective oversight and management of the corporation.
- Establish partnerships to enable members to be more efficient.
- Recruit, retain and engage an inclusive and diverse membership.
- Improve member service offerings.
3 – AIC IS THE VOICE OF PROFESSIONAL APPRAISERS
Be the leading voice for appraisers and the appraisal profession in Canada to increase organizational credibility and influence
- Develop thought leadership through partnerships and other means to increase organizational credibility and influence.
- Develop and implement a marketing and communications campaign that positions AIC as a leading authority on real property valuation.
- Explore strategic alliances with related organizations.
- Communicate the value of the profession and AIC to all stakeholders (including government, regulators, etc.).
As we move forward to operationalize the three strategic pillars of this plan, AIC will create annual plans to identify priorities, timings and scope of work for activities that will be implemented as well as the Key Performance Indicators that will be used to measure the success of each activity.
While it is likely that this plan may evolve from year to year, it still serves as the guiding document for the Board of Directors, committee volunteers and staff to meet their objectives over the next three years while also remaining accountable to the AIC membership.
Annual updates will be provided to the membership to track the progress of the Strategic Plan and a presentation will be given by the AIC President and CEO at the Annual General Meetings.
Together, we will continue to shape the AIC of the future.