Simpler is better
Recently, a client of mine was discussing how they manage membership reinstatements. For example, if a member doesn't renew within the grace period, is dropped from membership, and then rejoins in less than a year from dropping, are they called a new member, a renewed member, or a reinstatement?
After several minutes of discussion, it was decided that there would be no "reinstatement" type. Just new members and renewed members. To which I replied: Hallelujah!
When it comes to business rules and data management, simpler is better!
Whether it's member types, registration types, donation funds, sponsorship levels, or anything else your association sells, the fewer choices and the fewer rules you have around those choices, the easier it will be to manage the data. And perhaps even more importantly, it will be easier for your members and customers to understand your offers! (In the case above, the client even said "Our members don't even know what 'reinstatement' means.")
So look at the business rules across your organization and repeat after me: "Simplify, simplify, simplify."
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