From Bob Devitz, President and CEO, Legendary Golf Management
What are you DOING?
2009 is underway. A new president and Congress are in place and facing a difficult challenge as our country and its economy are hurting. Unemployment is at a 17 year high, the stock market continues to struggle, foreclosures continue to rise, and large companies, because of their poor business practices, continue to have their hand out for government assistance.
The hospitality industry is feeling the impact more severely than many others as people have less discretionary income and have to cut back. To continue to operate successfully through these tough times it is critical to have a sound plan in place to maximize your revenues and spend only what is needed to provide the experience your members and guests expect and are willing to pay for.
With this in mind, it's an appropriate time to take inventory at your Club and ask the following questions: Marketing
Do you have a sound first quarter game plan for revenues in all essential areas of your Club and is the plan being implemented? Are specific people assigned to carry out each activity in the plan with a due date for completion? Is there a specific goal assigned to each activity and are you measuring the results so you can use the idea again or put it on the shelf because it is not producing results?
Are your sales people following up on every lead and prospect with sales scripts that are tested, reviewed and tweaked continually to maximize closings? Are your sales people asking for the sale? Are they asking for referrals? Is at least 50% of their compensation commission based?
Do you have a solid calendar of events that is completed at least 6 months in advance for internal promotions to your members and guests?
What are your goals for increasing your database? What steps are you taking to achieve those goals?
Operations
How was your first month of the new calendar year? Did you achieve your budgeted financial goals? Is your budget completed? Do you have a budget?
Do you know how your revenues look for the next quarter? Do you have a formal system in place for controlling your expenses? Are you proactively creating the financial outcomes you need or passively reviewing last month several weeks after it is over?
Do you have standards of operation in place in every department to ensure the experience at your club for your members and guest?
Have you implemented your pricing plan and communicated the plan to the appropriate parties?
Employee Performance and Accountability
Have you formally reviewed the performance of all of your employees and established new initiatives for them in 2009? Do you have specific written Position Agreements in place to ensure all employees are crystal clear on EXACTLY what is expected in their role in 2009? Not only the tasks they are expected to carry out, but also the accountabilities for which they are responsible?
Have you reviewed the compensation of all of your staff and made adjustment to pay based on “merit” or have you decided to give everyone the same percentage increase if you are increasing pay at all?
Are your compensation plans performance driven or attendance driven? Are your department managers paid a salary only, essentially paid for showing up? Or do you have performance driven compensation plans in place that pay only after the required performance is met or exceeded?
Do you pursue “kaizen”, the philosophy of continuous improvement, through development plans for your employees?
Kaizen: Continuous Improvement in your Operations and Services
Do you have plans in place on a quarterly basis for continuous qualitative improvement in every department on a quarterly basis? Specifically, are you challenging all of your Club departments to implement 2 or 3 initiatives that create a better member/guest experience, provide for improved employee efficiency, or introduce a new product or service?
Long Term Planning
Have you begun taking bids on the items in your 2009 capital improvement and replacement plan? Have you reviewed whether leasing or purchasing is your best option and can you articulate why?
Do you know what the “end game” is for your course? Is your goal to sell, to have it as your primary source of income, to provide a return on the money you invested, to be a legacy for your family? What is your course's reason for being?
Take Action!
To be successful in today's challenging economy, you have to actively manage all aspects of your business and create the future. You cannot passively watch things happen, review last month's results, and hope things change. Start taking action... and start NOW!
PS: Andrew Wood and I have recently created Legendary Leadership, a Management and Marketing Mentorship System. It is a unique concept that provides you with the operations and marketing expertise you need to succeed in the golf business. Clubs enrolling in our mentoring system will work directly with Andrew and me. Because of our time commitments, we are limiting enrollment in Legendary Leadership to only ten clubs. For more information, please call me directly at727-424-2434.
PPS: I will provide a complimentary one hour consultation to the first three Clubs who contact me at 727-424-2434.
About Us
Bob Devitz is the President and CEO of Legendary Golf Management and is an expert in the operations and marketing of Private Clubs. Bob has over 25 years of experience in the industry, primarily in senior management roles with ClubCorp, an industry leading “for profit” company. Bob has an MBA from The Florida State University, a BSBA with a specialization in marketing from The University of Florida, and is a member of the PGA of America. Having worked with hundreds of Private Clubs during his career, Bob brings a results driven, bottom line approach to the Club Industry.
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