Magazine article National Defense

Industry Demands for Efficiency, Savings Shape New NDIA Member Dues Blueprint

Magazine article National Defense

Industry Demands for Efficiency, Savings Shape New NDIA Member Dues Blueprint

Article excerpt

This month I would like to discuss with you a subject that seems near and dear to most hearts-membership dues. The report on the following three pages presents the elements considered by the Board of Directors as they established a new corporate dues schedule.

Before any of our individual members become concerned, let me reassure you that your individual dues remain unchanged at one of the lowest levels in the industry. Also, while on the subject of individual dues, all should realize that life memberships in the former ADPA continue unchanged in our new NDIA.

Challenging Assignment

Rationalizing the corporate dues schedule for the new association has been a challenging assignment. We estimate more staff hours and dedicated meetings of the Executive Committee were spent on this subject than any other in recent memory. Of course, that is appropriate since the issue of dues was one of the major impediments to the previous five merger attempts. We believe the schedule developed is equitable for all corporate members and will at the same time allow the association to enter the 21 st Century in satisfactory financial condition.

A brief word about financing the association is necessary to better understand the dues questions. As many of you know, NDIA is a non-profit association with our revenue coming from four principal sources: our activities such as meetings, exhibitions, symposia (78 percent), member dues (13 percent), earnings from retained surpluses built up over our 78 years of existence (3.5 percent), and advertising in our National Defense magazine (4 percent).

Unique Association

NDIA is unique in the association world in that our dependence on activities for revenue allows our dues revenue to be significantly lower than the average of all national associations. Specifically, national associations average 45 percent of their revenue from dues while NDIA receives only 13 percent from dues. We believe this arrangement is good for everyone because it allows us to keep our dues low, puts the burden for association activities on those who take advantage of our seminars and conferences, and (most importantly) this arrangement keeps us responsive to your needs. What this means is that, if we are to break even each year, we must offer seminars and conferences that attract attendees. …

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