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William J O’Toole, www.epms.net
Event Issues 2 : Event organiser license
William J O’Toole Events Development Specialist, www.epms.net
A scan of event companies in Canada, Australia, USA, UK, EU, NZ, South
Africa indicates there is no system for licensing event companies.
There are numerous systems for licensing particular events or aspects of
events. South Africa has pending legislation for the licensing of all events over
2000 people. Most event licensing concern control exercised by the local
authority over high risk areas such as:
•
crowd numbers,
•
beverages
•
extreme sports
•
transport disruption
The disadvantages of an event company licensing system far outweigh the
advantages in most countries.
Comments on licensing
“Like in the USA we have licensing in Australia where there is specific danger
involved or for particular 'trade skills' areas, e.g. for electricians, security
guards…. For actual tourism operations or operators, there have been several
attempts to license and/or accredit various sectors. Most have failed due to lack
of agreement amongst stakeholders and ultimately lack of support from the
Government.”
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“Under the Licensing Act 2003, all venues in the UK (permanent or temporary)
that host events open to the public have to have a licence - the premises
themselves if used regularly for events (all for events over 500 people) or
licensed entertainment have to have a Premises licence, temporary events below
500 people have to have a Temporary Events Notice (but limits on how many of
these you can get), individuals who run events regularly can apply for a Personal
Licence.”
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Transfer of risk to licensor
A licensing system transfers the risk to the licensing body (Licensor). This was
recently illustrated by the tragedy at a corporate event in Bahrain. The Al Dana,
a dhow, was used as a venue for an event. It capsized killing 56 people. The
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Briggs
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Bowdin
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case is still unresolved and the lawyers are threatening to take the licensing
body, the Bahrain government, to court:
“The Al Dana then received its Tourism Licensing Certificate on 18th February
2006 and was inaugurated on 9th March 2006 by the Under Secretary of the
Bahraini Ministry of Information. Marine Consultants reported a number of safety
deficiencies in their report of 22nd February 2006 but despite the dangers, and
despite the Captain being unqualified to sail, the Al Dana set sail on the evening
of 30th March 2006 leading to it's capsize.”
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There have been many disasters at events where it was found that all the parties
were licensed.
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The Government, as the licensee, is at fault if it can be shown
that they have been negligent in the licensing process and its enforcement.
Ongoing cost
The second disadvantage of licensing is the cost in resources to setup and police
the licensing. The set up costs are small compared to the ongoing costs of
ensuring that the licensee keeps to the terms of the license. In the practice of
licensing, Governments and their departments have been shown to be under-
resourced . They are unable to enforce the requirements and the necessary
inspections.
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The license can be regarded as an extra tax on the event industry. The
bureaucratic requirements and the cost could drive event companies to look to
other countries to stage their events.
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Restricts innovation and development
The third disadvantage is that licensing favours established companies. The
event industry, particularly in a developing country, needs innovation. Small
companies, often one person operations, are dynamic and innovative. It is from
these small beginnings that successful events grow. Almost all flagship and
mega events were created and developed by a small group of enthusiasts. The
Grand Prix and the Olympics are examples of this. A licensing system,
administrated by a government bureaucracy is incompatible with swift moving
operation that can take advantage of opportunities limited by time.
When compared with certification and permitting, the licence has a negative
connotation . A certificate is a recognition of professionalism and assists the
event manager in their work.
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Internet 1
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Briggs, Schmader
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Goldblatt
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Goldblatt
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Schmader
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Complexity and immaturity of the event sector
The final argument against licensing is found in the characteristics of the event
industry at this time. The events sector includes events of various size and type.
Wedding, exhibitions, sports competitions and fundraisers are examples. The
definition of what can be describes as an event is unclear
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. Many events are
organised by volunteers or a mix of volunteers and paid staff.
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An event company licence needs to navigate and control this complexity. The
question of who will be licensed must be resolved.
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Each event may involve
numerous owners and stakeholders such as the event host, client and the event
coordinators, managers. Event companies can be part time individuals as well as
established international companies. Unlike many industry sectors, the events
industry is highly fluid, dynamic and comprises numerous individuals working on
a project basis.
Adding to the complexity is the early stage of development of the event sector.
Although there are a plethora of associations and training courses, most of these
have been created in the last ten years. There is not a universally agreed set of
knowledge and skills for the management of events.
The Alternative: Certification and permission
A viable alternative to a government licensing system of event companies is to
use a combination of permission for specific events and certification of event
companies. Event companies can be accredited by event associations or a peak
industry body. To gain the certification, event companies undertake training in
areas of need - such as risk management. The training can be provided by
Government departments, such as Regional Development and Tourism,
educations institutions and private training providers.
The certification is not enforced. However the Government and local authorities
will favour accredited companies in their requests for tender. Certification and
training provide a measure of the competency of an event company.
Certification is an incremental way to improve the event industry without loosing
the dynamic thinking and new ideas necessary for its development. Provided the
certification is based on a sound competency system closely linked to industry
and international trends, it assists the event companies in producing better
events. Ultimately it results in a sustainable industry responsive to the country’s
development.
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Mondor
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Schmader
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Goldblatt, Schmader
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Certification and special licenses/permissions are successfully used in most
professions such as engineering, accountancy and project management and in
many trades such as carpentry, building and gardening.
Comments on the viable alternative
“I.. think that accreditation is much better than licensing for events - apart from
specific skill areas discussed, like electrical, etc. It encourages best practice and
pride and professionalism in the industry and provides some indication of quality
- though no guarantee - for those not wanting to take a risk in employing
unaccredited people. However, to succeed or be of value, I believe it would need
to:
• be developed and operated by a group of rather than single industry
associations
• have support and buy in from all major stakeholders
• be linked to certification ie qualifications (EMBOK or mapped
qualifications) and have sufficiently high criteria for membership
• be funded adequately for administration - from fees, government
sponsorship?
• offer real benefits to members - eg discount insurance, member support,
badges and logos (for marketing)”
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The final word on this issue is given to Janet Landey who has pioneered this
area of event management and is at the frontline of events competency
development in South Africa.
“My mission .. has been that the industry needs a Professional Body which would
be the Certification Body against standards set by industry standards setting
body, and certification criteria set by the Certification Body - pretty much like the
CSEP12 - you need a minimum of 3 years experience, x amount of attendance at
CPD (Continuing Professional Development), y for the ‘greater good’ – altruistic/
giving back etc. and as a result of this the individual can challenge for
Certification and this then against:
• the theory for the given event – against a defined outcomes for each of the
competency areas
• the proven industry experience
• the documented proof of CPD (which needs annual points – which could
be the role of industry associations)
• applied competency - an industry experienced Assessor can assess the
applied competency and
• Certification awarded
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Briggs
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CSEP Certified Special Events Professional, awarded by the International Special Events Society
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• Renewable every 5 years (against written proof of CPD points and greater
good)
Conclusion
The licensing of event companies is impractical and would require a huge
continuing commitment of resources. The industry is developing and needs
encouragement of excellence provided by training and certification. Licensing
would favor the established large companies and therefore stifle the industry’s
development. Eventually it would lead to stagnation and the moving of events to
other countries. The event industry is based on taking calculated risks and
innovation. The small players of today produce the successful events of
tomorrow. It is the opinion of the author and the event experts who contributed to
this discussion, that the Government should consider training and certification.
Contributors
• Briggs, Susan Briggs, expert in competency systems and training
programs in the service industry 23 April 2008, Australia
• Goldblatt, Dr Joe Goldblatt, Queen Margaret University, Scotland event
expert and author of many international textbooks and courses in Events.
18 April 2008 USA
• Mondor, Philip Mondor , Senior Vice-President, Canadian Tourism Human
Resource Council, 18 April 2008, Canada
• Internet 1 27/03/2008
http://www.irwinmitchell.com/PressOffice/PressReleases/BahrainiBoatVicti
msMarkSecondAnniversaryWithRenewedCallsForCompensation.htm
• Landey, Janet Landey, Event Professional, 17 April 2008, South Africa
• Bowdin, Glenn Bowdin Principal Lecturer in Events Planning, UK Centre
for Events Management, Leeds Metropolitan University 18 April 2008, UK
• Schmader, Steven Schmader, President and CEO, International Festivals
and Events Association (IFEA) 18 April 2008, USA
• Silvers, Julia Rutherford Silvers, event and risk expert, author, teacher and
consultant 17 April 2008, USA
Author : William J O’Toole, Events Development Specialist, Commission for
Tourism and Antiquities, Saudi Arabia
Thank you to the EMBOK executive and friends for their contribution to this
discussion.