what future for land agents and agricultural valuers?
DESCRIPTION
Slide presentation at RICS Rural Conference 21 June 2012TRANSCRIPT
Charles CowapMBA MRICS FAAV
Future challenges for rural professional practiceRICS Rural Conference
Cirencester
21 June 2012
Charles Cowap
Chartered Surveyor
Harper Adams University College
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
NEW VALUATION REQUIREMENTS ARE EMERGING
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
SOME WORK HAS BEEN DONE ALREADY
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
ECONOMIC APPRAISALWe face challenges to valuation
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
ECOSYSTEM SERVICESAnd Now
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
APPROACHES FOR THE ESTIMATION OF NATURE’S VALUES
From TEEB Foundations, Chapter 5
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Market Analysis
Group Valuation
Contingent Valuation
Cost Methods
Replacement Cost
Methods
Avoided Cost
Methods
Deliberative Valuation
Regime Shift Analysis
Insurance ValueResilience
Value Risk Analysis
Ecological Footprint
Mitigation Cost
MethodInput/Output
Analysis
Joint Analysis
Production Function
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
WHERE DOES IT FIT?Valuation
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Foresight Land Use Futures 2010
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Key Questions for RICS
• Is this anything to do with us?
• Our Public Interest Function in this area?
• Our Member Services Function in this area?
• Our Global Positioning?
• What, if anything, needs to be done?
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Other key trends from the Foresight Report
Drivers:• Demographic Change• Economic growth(?),
changing global economic conditions
• Climate change• New technologies• Societal preferences and
attitudes• Policy and Regulatory
Framework
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Other key trends from the Foresight Report
Lead to 3 key challenges
• + Demand for land in south-east
• Climate change and land use
• Delivery of public goods and services
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Shorter term trends identified by Warwick Business School/Local Govt Association
• Ageing population
• Health
• Families in Crisis
• Climate Change
• Local Economic Development and Regeneration
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Shorter term trends identified by Warwick Business School/Local Govt Association
Leading to:
• Diverse governance frameworks
• Different relationship between
– State (public)– Markets (private)– Civil Society (3rd Sector)
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
No future for land agents and agricultural valuers?
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Source: http://charlescowap.wordpress.com 20.6.2012
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
And what they said
Business skills and knowledge• “It’s all about leadership, a psychological game more practised by
others in big offices and organisations”
• Difficulties in recruiting suitable chartered surveyors to top estate management positions
• Lacking in vital business areas like risk analysis and management
• Need to raise game: undergrad study not enough
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Valuation
• Now the unique differentiation
• But threated by cheap and cheerful services, and DIY valuations by banks, accountants etc.
• And the emergence of eco-system/non-market valuation requirements???
“There are plenty of non-surveying professionals who, in my opinion, are ahead of surveyors in considering non-market values and eco-system services”
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
More specialisation
• Teamworking for complex client problems
• Competition or collaboration or complementarity – ‘co-opetition’
• Planning, valuation, tenancy advice, business consultancy
• Specialised agricultural and land administration
• Local knowledge a specialisation in itself?
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
We’ll always need land and farming
• Food, fuel, fibre
• Investment portfolios
• But who will do the work?
• “a little lycra under the tweed"
“with more competition for land for food, energy or ecosystems it will be a time of opportunity for land agents but they will need to be more expert at valuing uses and mediating choices and blends between them”
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
Changing nature of clients
• Client knowledge and intelligence UP
• Clients DIY
• Implications for – Assistant Work– Succession in firms
• Opportunities in project initiation and development– cooperation
In my recent dealings looking at 2 farms for rental tender I have found the land agents quite difficult to deal with … the number of questions I asked that went either unanswered or were answered with 'I don't know' was disconcerting.
There was also a strong feeling of being spoken down too, rather than on a par. I do feel in business that you need to have a strong aptitude to build lasting relationships with people as you never know when you may look for their help/advice in future and in too many cases I do find land agents speak as though they are of a higher order.
Charles CowapMBA MRICS FAAVCharles CowapMBA MRICS FAAV
A Future?• Yes, But:• Hard work to get there and stay there• And different in many ways.
– Valuation– Management– Project initiatives: entrepreneur– Specialisation in networks
See More
Blog:
http://charlescowap.wordpress.com/
Storify:
http://storify.com/charlescowap/what-will-land-agents-and-agricultural-valuers-be
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Contact Details
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07947 706505
Twitter: @charlescowap
Blog: http://charlescowap.wordpress.com/
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