Why Timely Communication Matters
Key Benefits of Prompt Reporting
1. Swift Decision-Making
The board can take proactive steps to prevent escalation.
Faster resolution minimizes financial and operational disruptions.
Example: A contractor notifies the condominium manager that roof repairs will be delayed by two weeks due to material shortages. If the board is informed immediately, they can approve contingency plans to avoid further delays.
2. Mitigation of Risks
Addressing issues early reduces potential financial losses.
Prevents disputes with contractors, vendors, and unit owners.
Example: If a construction project exceeds budget, early notification allows the board to adjust spending or renegotiate terms before funds run out.
3. Transparency and Trust
Keeping the board informed ensures accountability.
Strengthens working relationships between managers, board members, and contractors.
Example: A condominium manager fails to inform the board about unpaid invoices from a contractor. When the contractor threatens legal action, the board loses trust in management.
Procedural Implementation – How to Report Issues Effectively
1. Immediate Reporting
The condominium manager should notify the board as soon as an issue arises.
For critical matters, use multiple channels (e.g., email + phone call).
Example: If a contractor suddenly stops work due to a dispute, the board must be informed immediately to prevent project delays.
2. Detailed Documentation
Reports should include:
A clear description of the issue.
Potential financial, legal, or operational impacts.
Recommended solutions.
Example: Instead of saying “The project is behind schedule,” a report should state:
"The elevator modernization project is two weeks behind schedule due to a delay in material delivery. The contractor estimates that work will be completed by [new date]. Alternative suppliers are being contacted to expedite the process."
3. Regular Updates to the Board
Keep the board informed with weekly or biweekly progress reports.
Provide real-time updates if a situation worsens or improves.
Example: If a legal dispute arises, progress updates should be sent to the board after each major development (e.g., lawyer consultations, settlement offers).
Scenario Assessment – When to Report Issues
Not all issues require immediate notification. The urgency depends on:
1. Impact on Budget
High Priority: Issues that exceed budget allocations significantly.
Lower Priority: Minor cost overruns that can be adjusted within contingencies.
Example: If an unapproved $50,000 expense appears on an invoice, it must be reported immediately. A $500 variance in cleaning costs may not require urgent attention.
2. Project Timelines and Deadlines
High Priority: Delays that affect key project milestones.
Lower Priority: Minor delays that do not impact project completion.
Example: If a lobby renovation is delayed, it is urgent if residents are significantly affected, but less urgent if work is still progressing.
3. Legal Implications
High Priority: Potential contract breaches or regulatory violations.
Lower Priority: Minor disputes that can be resolved informally.
Example: If a contractor refuses to honor the contract terms, it should be reported immediately to determine legal options.
Practical Application – Implementing a Communication Framework
1. Develop a Communication Plan
Establish standard reporting timelines for different types of issues.
Define which board members should be notified for specific concerns.
Example:
Emergency Situations: Immediate phone call + email within 1 hour.
Financial Issues: Written report within 24 hours.
Routine Updates: Weekly reports via email.
2. Train Staff on Reporting Procedures
Ensure all managers understand the importance of timely reporting.
Provide training on how to write effective reports.
Example: Staff should know how to summarize contract disputes clearly, rather than sending unclear or incomplete messages.
3. Use Technology for Monitoring Issues
Implement contract management software to track:
Project milestones.
Contract deadlines.
Dispute resolution progress.
Example: Using a task-tracking tool, managers can flag issues and update the board in real time.
Final Exercise: Reporting a Contract Issue
Scenario:
A condominium board approved a $25,000 landscaping project to be completed by June 1. The contractor now says the project will be delayed until July 15, citing supply chain issues.
Your Task:
Decide if this issue requires immediate notification.
Write a sample report to the board summarizing the delay and its impact.
Suggest a course of action to resolve the issue.
