Tag: crises

Guiding Principles for Financial Stewardship (Part 1)

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This article continues a series of communications from GGA Partners to help private club leaders address challenges confronting their businesses and their employees as a result of the global health crisis. Today, in the first of two articles discussing financial stewardship, founding partner Stephen Johnston outlines the guiding principles for being a prudent financial steward.

Despite the opinions of pundits and experts parading before our television screens, no one can accurately predict how long this pandemic will last or its economic impact. By the same token, it’s impossible to anticipate every challenge club leaders will face in the days ahead. But we can say with certainty that long-term financial stability is an issue confronting every club leader. Those who evaluate the challenge and develop a strategy with both short-term and long-term plans give their clubs the greatest opportunity for success.

From our perspective, actions in these uncertain times should follow these guiding principles:

1. Fairness. Prior to a final decision, step back and ask yourself if the anticipated action is fair for all parties, starting with members and the employees. This crisis will pass, and people will remember how they were treated.

2. Transparency. Do not take anything for granted, especially when it comes to sharing information with employees and communicating with membership. It is important for members to understand and appreciate the conscientious approach and the lengths taken to ensure the viability of their club. Video conferencing and electronic pulse surveys make timely communications and opinion convenient and efficient.

3. Value. It is important for members to understand the club carefully considers the value members receive for their fees, dues and other financial support of the club. The value for money proposition for each club and each member is different; “we’re doing what other clubs are doing” discounts this uniqueness.

4. Ownership. Ensuring members maintain their club participation and pride of ownership during challenging times is critical. Maintaining a sense of ownership in the club will help members appreciate the difficult decisions being made in the face of unprecedented circumstances.

5. Right Things Right. Make sure each critical action or decision is conscientiously considered and prudently implemented. By considering the long-term economic and social consequences of your decisions, leaders often realize that efficiency and cost savings are not automatically the top priority.

6. Think Long-Term. Short-term planning and tactics are the priority. But before executing, assess how the short-term actions affect the long-term plan and vision for the club. Always measure the impact any action will have on cash preservation, club value, member and employee satisfaction. Adjustments to the short-term plan may be necessary to reduce the impact on your long-range strategic plan.

7. Preparedness. It’s easy to say we should be prepared for the worst, but it’s impossible to anticipate every calamity. What we can do is make sure all the club’s business information and resources are readily available. This generally means putting in that extra hour or two each week to stay organized. As we prepare for reopening and the new normal, develop a reopening plan and adjust this daily based on new information which comes available.

8. Listening. We are a firm believer in the importance of empowering the general manager to make critical business decisions. We’re equally committed to the idea that managers need to listen to the ideas, challenges and concerns of their board members, department heads, members and industry and government leaders. Their input and feedback are essential in making informed decisions.

Financial stewardship matters most in times of crisis. Even the most prudent financial stewards cannot anticipate every obstacle they will confront. But experienced, poised, and attentive leaders will follow proven guiding principles to protect the club’s members, brand and overall financial health. In our next article, we will explore specific tactics for developing a financial plan to ensure short-term success and long-term sustainability.

Crystal Ball Thoughts on the Shape of the Next Normal

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This article continues a series of communications from GGA Partners to help private club leaders address challenges confronting their businesses and their employees as a result of the global health crisis. Today, Henry DeLozier highlights GGA Partners’ crystal ball thoughts on what the post-crisis environment will look like for club and leisure businesses.

Gordon Gecko wasn’t the good guy in the Faustian tale Wall Street and, yet, the character played in the 1987 movie by Michael Douglas left behind some memorable advice, “The most valuable commodity I know of is information.”

In early April, GGA Partners gathered its team of trusted advisors and thought leaders for the express purpose of developing strategic tenets to guide GGA clients across the globe. Following are glimpses of impacts for private clubs and club leaders:

Expect Longevity

Murray Blair and Fred Laughlin, directors at GGA Partners, observe that the effects of the epidemic will be lasting and may be sortable now into certain phases:

Pre-Vaccine – Until a reliable vaccine is developed, tested, and made available for widespread usage, conditions for most clubs will change only slightly from current circumstances. Baseline operational methods will change significantly as partial- and full-closures are showing operators and members new – more attractive, in some cases – methods which satisfy members’ concerns for caution and dining at their clubs. Many clubs are finding that demand for dining options at the club is growing as so many previously competitive restaurants are closed.

Operating costs will vary widely. Housekeeping budgets will increase substantially as members want to experience highly obvious signs of the club’s emphasis on sanitary conditions, cleanliness, and personal safety for members and staff. Labor costs will vary widely based upon local supply/demand balance as many workers will be less mobile than before.

Post-Vaccine – After a vaccine has been found and put into use, members will renew their active usage of their clubs differently. Bennett DeLozier observed that club members who previously were nonchalant on matters of strategic planning at the club will demand that their club have a clearly stated and broadly understood game plan. Many members who are responding GGA attitudinal surveys observe that there was no expectation of a health pandemic and, yet, believe “The club should have had a disaster preparedness plan.” Strategic planning, which was previously an indicator of the best leadership in clubs, will be important to most private clubs more so in the future.

Continued & Reinvigorated Family-First Focus

Barb Ralph, one of GGA’s most tenured team members, opined that members will seek more family-oriented facilities, programs and services. The notion of “clanning”, first suggested by futurist Faith Popcorn in her 1996 book, Clicking: 7 Trends That Drive Your Business–And Your Life, documents Barb’s thinking on the importance that causes many to want to keep those dear to them in a safe haven – like their club.

A New Normal

Linda Dillenbeck, a director for the GGA Partners Club Communications Practice, looks beyond the pandemic to underscore the critical importance of effective and trusted member communications from the club to its stakeholders: members – their families and friends, employees, neighbors, suppliers, and vendors.

Linda suggests that in a time when new standards are being established, the necessity of effective communications from clubs to their members will be a difference-maker to the clubs’ future economic durability. “Club’s with a proactive communications approach will be at a distinct advantage throughout and after the coronavirus epidemic,” according to Dillenbeck.

Shifting Operational Needs

Speaking from the perspective of the millennial generation, Alison Corner, Ben Hopkinson, Andrew Johnson, Mingye Li, and Andrew Milne agree that clubs will change significantly and – in some ways – toward operational needs and priorities previously reported through GGA Partners’ millennial research installments.

To summarize the ideas from these brilliant young minds, clubs will shift dramatically into (a) high-gear focused on membership recruitment and retention; (b) new activities, like musical events and performance art; and (c) new membership types, categories, rights, and privileges.

Martin Tzankov, a GGA manager, expects the new normal to bring a focus to financial durability to clubs. Martin notes the importance for club leaders to mind the strategic priority of balance sheet management and the financial health of their clubs.

Many club leaders forget the four cornerstones of board service: leadership, governance, strategy, and finance. Looking ahead, the clubs that perform best after the coronavirus pandemic will be those holding the best information. Perhaps Gecko was right.

Smart Moves by Smart Leaders

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This article continues a series of communications from GGA Partners to help private club leaders address challenges confronting their businesses and their employees as a result of the global health crisis. Today, Henry DeLozier offers several examples of the right things to do if you are a crisis leader.

Excellent leadership is a mixture of many important ingredients and information – access to it and knowing how to use it – is critical to the mixture. Smart leaders are using time during the novel coronavirus outbreak to sort through many sources of information to choose the most relevant and insightful information sources available to them.

During this pandemic, leadership qualities are being revealed in no uncertain terms. Those who have reliable information and can explain circumstances succinctly, consistently, and timely are viewed as “crisis leaders”. At GGA Partners, we consider someone to be a “crisis leader” when they are able to do the right things right.

Following are several examples of the right things to do, if you are a crisis leader:

Understand the significance of trustworthy leadership.

Achieving trustworthiness requires having reliable and current information, maintaining an on-going dialogue with those relying on you, and being truthful in your dealings. If the news is bad, trusted leaders are able to convey the combination of truthful expectations or projections in an empathetic manner.

After England suffered the fall of Dunkirk, Winston Churchill described “a colossal military failure” when reporting to the House of Commons at Parliament. He did not mince words and aligned accountability – his own – with the authority given him. People trust those who can step up in tough times.

Manage information aggressively.

Keep your stakeholder groups of members, employees, suppliers, and extended business partners – like bankers and insurance carriers – well-informed. It is essential to be inclusive, informative, and accurate. Do not make any incorrect statements.

Club leaders serve many stakeholder groups which often have different needs and priorities. Evaluate your stakeholder groups and refine communications which decisively and clearly address the expectations and needs of each group.

Express optimism.

US President John Kennedy focused his countrymen on a goal of putting a man on the moon in May, 1961, when he told the US Congress, “This nation should commit itself to achieving the goal, before this decade is out, of landing a man on the moon and returning him safely to the Earth.” At the time, this was not a popular idea as 58% of American’s polled were opposed to the idea. And yet, in July of 1969, Neil Armstrong, Buzz Aldrin, and Michael Collins fulfilled the slain President’s goal.

Churchill’s ability to deliver dreadful news, like the fall of Dunkirk and Singapore, was supported by his bull-doggedness in telling the British people that they would “never surrender” as he pointed out that Britain’s far-flung empire and the New World powers would come to the rescue, as they did. Bitter truth was supported by an optimistic outcome.

Be present.

Maintain regular – if even predictable – contact with your stakeholder groups. Address their concerns in the context of updated information. See that your information updates are available using multiple media – such as email, social media, direct mail, and conference calls – and be willing to repeat certain key bits of information for the sake of emphasis.

Communicate your plans – and act on them.

Your members want information, to be sure. Even more importantly, they want confidence that their club is in steady hands. They want to see evidence – action more so than talk – that the club is taking measured steps and addressing the key strategic issues without distraction with petty short-term matters. This capability requires a reliable game plan.

In her 2018 book entitled Leadership in Turbulent Times Pulitzer Prize winning historian, Doris Kearns Goodwin, cites several specific lessons that can be drawn from Franklin Roosevelt’s first term in leading America from the depths of the Great Depression. First and foremost, indicate that there is a center-point of leadership and direction. Roosevelt made clear his understanding that he was chosen to lead. Then, came the Hundred Days and the New Deal…so there was a plan. Now, as for Roosevelt, planning must be very dynamic and agile.

 

Sound leadership is a matter of thoughtful and comprehensive planning. The clubs that will prosper after these difficult times are the clubs with a plan that is comprehensive in nature and not drafted in piece-meal fashion.

Four Pillars of Effective Communication

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This article continues a series of communications from GGA Partners to help private club leaders address challenges confronting their businesses and their employees as a result of the global health crisis. Today, Andrew Whitelaw, General Manager at Portmarnock Golf Club in Dublin, Ireland, highlights four pillars of effective communications.

Build your messaging around credibility, reliability, connection and clarity.

Everyone agrees that communication is the vital ingredient to managing successfully through crisis. In addition to keeping stakeholders informed during uncertain times, effective communication builds trust in our leaders and in their decision-making process.

And since everything communicates – not only traditional channels such as email and newsletters, but also the condition of facilities and the attitude of staff – leaders need clear guidelines when forming their communications strategy.

Our crisis communication plans are built around four pillars:

1. Credibility.

Every communication, no matter how minor in scope or message, must be believable. Credibility is earned over time, one interaction at a time, but can be lost in a moment if the message does not ring true.

Facts are the starting point for credibility. Club leaders are the experts in club matters but should rely on true subject-matter experts – medical, healthcare and government experts and officials – and fact-based information when providing updates and guidance.

2. Reliability.

Can members and employees rely on their club’s leaders to give them the information they need? And can they count on them to deliver that information in a timely manner – as soon as possible and as soon as it has been verified?

Does the leadership team tell members and employees what they can expect in the way of communications – what will be communicated, when they can expect to see the next communication and what types of information will not be communicated, including anything that cannot be completely verified?

Maybe most importantly, do the club’s leaders have a track record for “walking the talk” and doing what they said they were going to do?

3. Connection.

In the midst of crisis, when six feet of social distancing often equates to long-range social separation, people yearn for human connections. We see evidence of that in the social media posts from our friends and colleagues that show family members playing board games and friends enjoying happy hour while connected through video chat apps.

The communications lesson is simple: stay connected and make it personal.

Beyond the initial wave of communications that focus on decisions regarding operations and the availability of facilities, we flex our communications outreach to include online cooking classes, podcasts and video golf lessons. In addition to helping to fill a social void and demonstrating creativity, these kinds of communications demonstrate the club’s attention to members’ and employees’ health and wellbeing, even when they’re not at the club.

4. Clarity.

There’s no room for ambiguity in crisis communications. This is a time for plain language, delivered simply and without frills. The goal of providing the information that members and staff need to make their own well-informed decisions should override any attempts at eloquence.

A good test to ensure clarity is to read the message out loud, first to yourself and then to a member or staff person, before it goes out. If you stumble over a phrase or someone asks you to reread a sentence, you know it’s time to go back and simplify.

The most serious crises never come with a warning. Suddenly and unexpectedly, they arrive at your door. It’s your job as a leader to sort through the information available, make decisions quickly and deliberately and communicate with members and employees. Incorporating equal amounts of credibility, reliability, connection and clarity into your communications will enhance your reputation as a leader while providing the information your stakeholders need.

Club Leadership for Tough Times

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This webinar continues a series of communications from GGA Partners to help private club leaders address challenges confronting their businesses and their employees as a result of the global health crisis. 

In case you missed it, this webinar – hosted by the National Club Association (NCA) in early April – explores the ways effective club leaders are responding to challenges and evolving circumstances posed by the coronavirus pandemic.

In it, Henry DeLozier, Partner, and Patrick DeLozier, Director, feature as experts on crisis response and facilitate discussion about how the board and management at one of the world’s best clubs are dealing with today’s pressing issues.

Nicholas Sidorakis, GM at Southern Hills Country Club, and Bryan Johnson, Southern Hills Board President, explain how they are navigating the everyday challenges of the current health crisis while focusing on the future well-being of Southern Hills Country Club.

View or listen to the webinar (54 min)

View or download presentation slides (.PDF)

A special thank you to Henry Wallmeyer, Joe Trauger, John Good, and Cindy Vizza at the National Club Association for the opportunity to participate.

 

When Compliance Meets Health and Safety

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This article continues a series of communications from GGA Partners to help private club leaders address challenges confronting their businesses and their employees as a result of the global health crisis. Today, Michael Gregory, a partner of our firm, discusses options and alternatives for clubs with pending annual meeting requirements.

With annual meetings and general elections upcoming, how should clubs meet what may seem conflicting obligations?

As the health crisis evolves, so too do the number and magnitude of issues facing club leaders. One that most take for granted – the annual general meeting and member election – now raises a difficult, if not contradictory, predicament: complying with club bylaws and government restrictions while protecting the health of members, families and employees.

First, know the law.

Is your club located in an area with a state or local government order prohibiting nonessential transit or in-person meetings? If yes, your decision is easy: the club cannot hold the meeting, notwithstanding bylaws that may require it.

According to Glenn Gerena, a shareholder at Greenberg Traurig and a community development and hospitality attorney, “If the club cannot have a virtual meeting under law or its bylaws, the board should discuss with counsel whether the government order gives the board a legal basis to hold a meeting on a virtual [platform] and, if not, to reschedule the meeting to a later date.”

If there is no state or local prohibition regarding an in-person meeting, the club should consider whether it can hold a virtual meeting according to its bylaws.

If your club decides to proceed with an in-person meeting, it is important to provide for proxy voting by mail and encourage all members to stay home and to vote by mail. For members who choose to attend the meeting in-person, the club must observe all health and safety protocols as defined and advised by their local government authority.

Should you go virtual?

Deciding if your club should hold a virtual annual meeting should involve discussions with your legal counsel. Counsel should review applicable state statutes, which may require in-person meetings, permit virtual meetings or defer to the club governing documents. The state statute will govern if bylaws directly conflict with it.

For example, most clubs in California have adopted section 7510 (f) of the California Corporations Code, which allows for electronic meeting and voting and, in cases where state statutes and bylaws conflict, the state statutes supersede the club’s bylaws.

Legal counsel also should review the latest state and local government orders related to the COVID-19 crisis.  For example, the Connecticut governor issued an executive order on March 21, 2020, giving corporations the ability to conduct annual and other shareholder meetings by remote means.  Similarly, for clubs in Canada regulated under the Corporations Act (provincial and federal), orders have been announced to allow members to meet and vote electronically.

“If neither the state statue nor bylaws expressly permit virtual meetings, the club’s board of directors should review bylaw provisions governing amendments and board powers to determine whether the board can amend the bylaws to permit virtual meetings and online voting,” adds Gerena.

In uncharted waters, rely on reason and caution.

While all clubs are encouraged to seek legal counsel to inform and qualify their course of action, club leaders should expect to be operating in uncharted waters and seek to act reasonably and cautiously in the current environment.

“If prudence does not make it possible to meet, then clubs need to consider alternatives,” said Van A. Tengberg, a real estate acquisition and development attorney at Foley & Lardner LLP. “I would not recommend deferring the annual meeting and allowing the board to serve longer terms.  If your bylaws do not allow virtual meetings, then clubs need to consider different options that provide members a reasonable and safe process to meet and cast their vote.”

As with all things in this new normal, communication (and even pulse surveys) that increases members’ understanding of circumstances and current limitations will be appreciated and rewarded and, in this case, may even help to mitigate potential future risk.

In an upcoming article, Michael Gregory will discuss options and solutions to complete a virtual annual meeting and an online vote. Contact Michael at michael.gregory@ggapartners.com or 416-524-0083.

Lifting the Fog of Crisis

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This article continues a series of communications from GGA Partners to help leaders of private clubs address challenges arising from the COVID-19 coronavirus that are confronting their businesses and their employees. Today, Henry DeLozier, a partner of our firm, highlights that now is the time to remind members of their club’s relevance and value. 

Lifting the Fog of Crisis: Now is the time to remind members of their club’s relevance and value.

The “fog of war” is a term coined in the 19th century to describe the uncertainty military troops often experience in wartime situations. Amid the deep uncertainty that the coronavirus has brought to our families, communities and businesses, many of us find ourselves in our own fog of war.

As club leaders reckon with the impacts – both immediate and long-term – of the current pandemic, lifting the fog of misunderstanding and encouraging engagement are important to your club’s longevity and success.

Here are two important steps to make your club a beacon of hope and inspiration to club members, their families and friends:

Make your club a positive influence for members.

Members appreciate knowing how the club, its members and staff are responding to current challenges. They are especially interested in how the club is taking care of its employees. In addition to e-mail updates enhanced with photographs and short videos, also consider:

Organizing virtual events. Using such technologies as Zoom and Google Hangouts, host a virtual happy hour. Keep the number small enough that everyone can be part of the conversation. As the organizer, start with a general update from the club and then let members take over with questions and updates of their own. This is an opportunity to lift people’s spirits, so keep it fun as much as possible.

Telling stories that inspire. Tell members about staff who are volunteering to care for others, including other members, while continuing to do their jobs at the club. Many members have special relations with club staff and will appreciate staying connected through stories.

Encouraging members to take away meals and snacks. Brad Bourret, GM at Cabarrus Country Club in Concord, NC, launched Take-Out Tuesdays before the crisis. He now reports that take-out for his club has exploded in volume. In troubled times, keeping connected to the things and people familiar to them gives members a greater feeling of safety and well-being. Think of it as comfort food.

Increase members’ understanding of club matters.

Provide regular updates. These are obviously not normal times, but retaining some level of normalcy is comforting. Members will appreciate knowing what is taking place at their club. Maybe a new freezer has been installed or the locker rooms and bath house have been fully steam-cleaned to ensure the club’s usual high sanitation standards. If spring flowers and shrubs are blooming, send photographs or a short video that reminds members of the natural beauty they enjoy at their club.

Introduce learning opportunities. Many members don’t understand how some aspects of their club functions. For example, club finances, board governance and the process for recommending members are unclear to many members. In addition, basic operations, such as housekeeping standards, the care and maintenance of facilities and kitchen storage and cleanliness practices, are obviously timely subjects. Now may be a good time to capture their attention and communicate important information on these topics through a podcast.

Conduct single-topic surveys. If you want to know what your members are thinking, what questions they have and what suggestions they would like to make, ask them. Short member surveys – which typically require less than 10 minutes – are great ways to update your understanding of members’ wants, needs and expectations.

The most serious crisis most of us have ever experienced has settled a fog over much of our lives, including our clubs. Efforts to lift the fog, including making your club a positive influence for members and increasing their understanding of how the club operates in good times and bad, reminds members of the importance of the club in their lives.

Your club’s relevance is among the many things being attacked by this virus. Now is the time for club leaders to take the steps that keep the club a meaningful and valuable part of members’ lives.

Employee Engagement

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This article continues a series of communications from GGA Partners to help leaders of private clubs address challenges arising from the COVID-19 coronavirus that are confronting their businesses and their employees. Today, Patrick DeLozier, a director of our firm, offers some ideas on keeping the team engaged.

Employee Engagement: It’s now more challenging, but also more important.

At the top of our priority list during these unsettling times is making sure our employees are not forgotten. They need to know that their clubs genuinely care for them and their well-being, and that you are mindful of the economic and social consequences that accompany this pandemic.

You also want to let employees know that they are valued members of a team that needs to stay connected during these tough times, so that they are ready to ramp up full-scale operations once it is safe to do so. Staying together even when you’re apart starts with communications, but also includes working effectively from remote locations and finding balance in a new work and home routine.

Social distancing doesn’t mean social isolation.

Leaders should make sure they are communicating with employees regularly and consistently. There are a number of ways to do this, some that take advantage of technology and others that rely on old-school practices.

You can write personalized notes to employees to keep them up to date on club news and plans. You can do this electronically, of course, which gives you an opportunity to add a video message. But this is also a good time for an old-fashioned handwritten note that arrives in the mail.

For those employees celebrating birthdays and work anniversaries, a phone call is a simple but effective way of showing that they’re a valued member of your team and further establishes you in their minds as an empathetic manager.

Make sure employees are included on any communication sent to club members. Keeping everyone informed at the same time builds trust and the sense that we’re all in this together.

Being comfortable – and productive – at home.

Most of your employees are probably not accustomed to working from home, which means they’re dealing with a new set of distractions—a dog barking, a child wanting attention – while trying to be productive in an unfamiliar workspace. Here are a few suggestions for working remotely:

Create a comfortable and separate workspace. Resist the temptation to pull out your laptop and plop down on the sofa, which makes it too easy to be distracted by other household activities.

Use one of the many video tools, including Zoom, WeChat, Skype and FaceTime to replicate the social interaction and brainstorming opportunities that a meeting at the club would provide.

It’s a balancing act.

Balance your day. Try not to fall into the trap of working too much. Instead, maybe watch an online concert, take an online yoga class or go for a walk with the dog. One of the best things you can do for your employees is to stay healthy, both physically and mentally.

Make time in your workday to speak with co-workers, friends and family about subjects not related to work. Share a funny story or compare notes on a favorite show or movie.

Now’s the time, carpe diem.

How many times have you thought, “If I only had more time, I would … .” Now you do, so take advantage of your down time to plan, dream and innovate. You might consider creating an idea think tank with your team and challenge them to submit ideas that support your member enhancement program. Have department heads dissect their business unit with the goal of improving efficiency, productivity and profitability.

John Quincy Adams said, “If your actions inspire others to dream more, learn more, do more and become more, you are a leader.” Now, more than ever, employees are looking to you for leadership. Those who feel their employers are communicating consistently, openly, honestly and with empathy will stay engaged and return to work feeling connected to a team and a mission.

Because sometimes we just need to laugh…

Sample Coronavirus Planning Framework

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This week GGA Partners continues its series of communications to help leaders of private clubs address challenges confronting their businesses and their employees with three perspectives from the front lines of club management.

Today: Robert Sereci, GM/COO, Medinah Country Club, Medinah, Illinois.

A Comprehensive Project Plan for Responding to Rapidly Changing Circumstances Focuses Efforts and Assigns Responsibility

You can’t predict a crisis, but you can – and should – plan for one.

Having a plan for how to respond in times of crisis is essential to ensuring that all critical action elements are addressed. Equally important, a comprehensive plan helps your leadership team understand their individual responsibilities and the actions for which they will be held accountable. In addition, a timeline sets out clear deadlines and helps track progress toward your goals.

We developed a comprehensive COVID-19 project plan for our leadership group at Medinah and with the help of GGA Partners (with whom we recently collaborated on a strategic planning project), loaded the plan into the Smartsheet software tool to assign tasks, track project progress, manage calendars, and share documents. Below is the template we developed, which we’re happy to share with fellow club leaders.

To see a clean templated version that readers are free to use as a starting point, click here. Users can also download the corresponding Excel export that is editable and able to be imported directly to their instance of Smartsheet (click here to download).

From the planning template, we wrote a summary of the four key elements of the plan. In total, we viewed the actions under each section as a non-negotiable checklist for our leadership team.

Communication

  1. Assemble a COVID communication/response team – Should include members of the management team and the board.
  2. Member Communication – Focus on awareness, early measures and key dates, including club closure, locker and club storage pick up, etc.
  3. Staff Communication – Determine potential payroll taxes relief and other payroll aid tools available and seek legal advice. Identify the work-from-home capabilities and obstacles for team members.
  4. Board Communications – Brief the board and seek approval on immediate priority policy changes required.
  5. Committee Communication – Work with committee chairs to reschedule future meetings and determine conference call solutions.
  6. Other Stakeholder Communication – Plan for reaching out to vendors, prospective members, group reservations and other relevant stakeholders.

Operations

  1. Member Offerings/Venues – Separate into short-term versus long-term. Key checklist items include F&B menu/offering, vendor relationships, golf course opening plan and member access to pick up property.
  2. Cleaning Action Steps – Update the cleaning checklist with added preventative measures and assign personnel.
  3. Facilities – Define the future usage of each core facility at the Club (clubhouse, pro shop, F&B, admin offices) and any policy or function changes required.
  4. Other Operations – Define the operational plan for other areas of the business, including turf maintenance/engineering facilities, prospective member programs and non-member business- related income such as existing bookings for banquets and tournaments.
  5. Staff policy/scheduling and pay scenarios – short-term and long-term policy, and expected costs for salaries of full-time, part-time and seasonal employees (full shutdown vs. partial shutdown).

Financial Impact Planning

  1. Scenario Planning – Identify the most likely shutdown scenarios and model assumptions that have the greatest impact on the financial model (i.e. change in dues, wages, etc.).
  2. Preserving Cash Plan – Review all capital projects, loan schedules, outside revenue contracts to identify ways to conserve cash. Adjust assumptions for new member forecasts and resignation forecasts.
  3. Cost Cutting Plan – Based on the new assumptions for revenue and cash, determine the most prudent areas for cut-backs to payroll, operating expenses, contracts, events, etc.
  4. Revenue Generation Plan – Identify any new offerings the club can provide to support revenue generation, such as meal replacement, to-go orders, limited golf, event catering, etc.

Contingency Plans

  1. Determine a plan for shelter in place – Determine the trigger that would lead to no staff or members on property (i.e. order from city officials) and the time-sensitive steps to be taken in that event.
  2. Determine trigger and plan to close club completely – How does the plan change if shelter in place orders are extended or if a member or employee is diagnosed with the virus?
  3. Determine trigger and plan to reopen club completely – Leadership team develops a back-to- work protocol and a ramp-up plan.
  4. Club Events/Golf Tournament Status – Determine how each scenario above affects the status of scheduled club events that have not been postponed.

A note about Smartsheet: there are several different project planning tools out there, but I am quite fond of Smartsheet (www.smartsheet.com). I use the software extensively for project planning and highly recommend it. From a strategic planning perspective, it has been a great tool for us to keep track of progress on our strategic action plan and to keep our leadership group aligned on performance against our goals.

Because sometimes we just need to laugh …

Putting Planning First

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This week GGA Partners continues its series of communications to help leaders of private clubs address challenges confronting their businesses and their employees with three perspectives from the front lines of club management.

Today: Jan Bloemraad, CEO, The Glencoe Club and The Glencoe Golf & Country Club, Alberta, Canada.

In times like these, the impulse is to act. To take decisive action in response to the enormous challenges the coronavirus has placed at our feet.

But before you do – before you rally your team and charge into battle – my advice is to step back and make sure you have an effective plan in place. That’s what we did at our club, and the decision is paying dividends.

As the pace at which the coronavirus pandemic has picked up speed, it has become increasingly more challenging for business leaders to devote precious time on constructing and reconstructing a response plan. But in our experience, whatever time is lost while planning is more than compensated for in making sure your actions are the right ones.

In our planning process, we have identified three key elements that can have the greatest positive impact on focusing your team, making swift decisions and maintaining the trust of staff and members.

3 Critical Elements to Planning in Times of Crisis

1. Objective Setting.

There is never a more important time for setting objectives and goals than when planning a crisis response. Goals should be focused on immediate-term, short-term and longer-term time horizons.

Our team has organized our goals during this pandemic around five key pillars: communications, which must be open and honest; administration, operations, human resources and innovation.

2. Response Teams.

In times of crisis, an effective approach to organizing involves the creation of special response teams to ensure there is accountability, focus and resources assigned to every primary action required.

It is important to remember that in times of crisis a new layer of organizational structure is required, one that goes above and beyond your normal operating structure.

Our leadership team’s approach has been to assign a champion to each major goal and to form a team under each champion to ensure their work stays true to the goals we’ve set. Each response team ultimately reports to and takes direction from the Senior Leadership team.

3. Decision Criteria.

When circumstances are evolving rapidly and emotions are running high, data and facts are important allies. One of the more time-consuming aspects of planning in times of crisis is the design and development of critical decision criteria.

Having established decision-making criteria tied to objective data and facts sourced from experts are incredibly powerful resources in supporting swift action and building trust.

Our team set out to develop decision-making criteria and critical triggers for every major decision we knew we would face. These triggers, underpinned by data and facts, have guided all major decisions, reduced stress and empowered our team to meet this enormous challenge head-on.

As leaders, our first reaction to crisis is to run into the fire and toward the crisis. But the most important job of leadership, in my opinion, is first to point our teams in the right direction. A plan that embeds these three elements is a good way to focus everyone on the big picture and then on the tasks at hand, so everyone is working toward the same goals.

Because sometimes we just need to laugh …

What we’re going through is obviously no laughing matter. But according to Psychology Today, humor can be a great mechanism for dealing with stress. Jokes and witty conversation even in a time like this can make you feel closer to the people around you. Have you heard the one about …

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