Robotics & Automation Society Business Plan Report

1. Robotics and Automation SocietyBusiness PlanReport

2. Outline • Background context • Issues and business plan principles • Business process • Alternatives under consideration • Some specific suggestions being considered

3. Background Context

4. Current RAS Business Divisions • Four current business divisions • Publications • Conferences • Administration • Investments/Reserves

5. Annual Operating Surplus/ Loss Market Gain Reserves Surplus/Loss Reserves Conferences Surplus Book Broker Reserves Margin Minimum per TAB 50% Op Expense Current Financial Flow Income Expenses Publications Member Fees ASPP/IEL Non-member Fees Publications Administrative Travel, Awards Tech. Comm, IEEE Market Loss Approved Initiatives Surplus /Loss

6. Recent Financial History* * All numbers in thousands

7. IEEE TAB Rules • Operating Fund/Watch List rule • Negative operations in 2 consecutive years => Watch List • Reserves Watch List rule • Reserve/Expenses < 0.5 of operating budget in any 2 consecutive years => Watch List • Reserves can only be budgeted for initiatives in accordance with TAB rules • Cannot be budgeted for operations • IEEE TAB must approve society budgets

8. Business Plan Issues • Many categories of expense do not have directly related income streams • IEEE changes having large impact • Limited review of initiative proposals • No review of initiatives after initial approval • Criteria for setting subscription rates • No planning for optimizing wrt IEEE rules • How to utilize and control reserves • Correlating activity to member desires

9. Business Principles

10. Business Plan Principles • There shall be a process to annually review business divisions and set operating and reserves goals • Our reserves shall • Be maintained at or above the TAB specified minimum plus a safety term • Be the basis for establishing new initiatives • Target limiting growth to planned levels • Suggest TAB min + 50% worst market loss + initiative capacity

11. Business Plan Principles • Operating budget shall surplus shall be targeted to manage reserves • While initiatives are encouraged when resources are available, strong proposals are expected. • Reserves should not be spent simply because the excess reserves are substantial • Consideration may be given to reducing member costs as well as to new initiatives

12. Business Plan Principles • Non-member income should support member services • An initiative process shall consider • One time vs. ongoing initiatives • Regular review and sunset plan • Income sources and budget impact • Expenses (to members) of carrying out society business shall be reimbursed

13. Business Plan Principles • Members should not normally be paid for society activities • Major business activities should be led by member volunteers but supported by professional services, either inside or outside the IEEE • As a volunteer-run Society, consideration should continually be given to business simplification

14. Business Process

15. Rates Conference Goals Reserve Goals Budget Decisions Initiative Decisions Business Process Anticipated External Factors Activity Review AdCom Review & Decisions Initiative Requests FAB Financial Analysis Initiative Capacity request Financial Status ExCom Review

16. Some Alternativesand Specific Suggestions under Consideration

17. Possible Strategies • Create three financial subunits with responsibility for income/expense in their units • Publications • Conferences • Member Services, Administrative, Industrial Activities, Technical Activities • Tax non-member income of financial subunits for activities without income stream • Centralized control of budget (current scheme). • Base initiatives on percentage of reserves, e.g., 5% FEEDBACK DESIRED!