You’re Now the Leader

In today’s world, where technology, media, and consumer demand intersect in a constant state of disruption, leadership starts with understanding and dealing with change. Henry DeLozier provides perspective on how superintendents can rise to the challenge.

Times have sure changed. Now you’re the one whom young men and women — the ones who aspire to your position one day — look to for guidance and assurance. And it’s in those hopeful faces, full of equal amounts potential and self-doubt, that your biggest challenge and the most important aspect of your job lies.

It’s called leadership. And in today’s world, where technology and media and consumer demand are intersecting in a constant state of disruption, leadership starts with effectively understanding and dealing with change. Among the biggest changes for golf course superintendents in the last decade:

 

  • Agronomic knowledge has become “table stakes.” Knowing the science of growing grass efficiently and effectively has gotten most superintendents into the game. The superintendent is often the best-educated member of the management staff in many facilities. There is no way to overstate the importance and reach of agronomic knowledge, and yet the job is so much more now.
  • Techniques have advanced. Generations of superintendents schooled in the college of hard knocks have found new and innovative solutions to age-old problems. These solutions have resulted in more efficient usage of water, advanced and less damaging pesticide management, and improved playing conditions arising from healthier and denser turf.
  • Environmentalism is of top-tier importance. If everyone was as diligent an environmental steward as golf course superintendents are, we would live in a better, safer world. Trained in the chemical sciences and well informed through professional resources like GCSAA, new generations of superintendents have introduced planet-friendly solutions to fertility and water scarcity challenges.
  • Golfers’ expectations have become more robust and detailed. In their insistence on improved playing conditions, golfers — God love ’em — have continued to push for tournament-quality conditions daily. Their demands, not unlike the quality demands of consumers for any other product or service for which they pay a premium, add stress and push budgets across the country.

If those are some of the major changes currently affecting the superintendent’s world, what might be over the horizon in terms of effective leadership qualities? From our perspective, it’s retaining your best talent. Although job-hopping in many industries has slowed this year as economic uncertainties weigh on employees, the situation could change as the economy and job market continue to improve, especially if employees aren’t feeling supported by their employer. It’s a challenge shared by your peers in organizations across the board.

“Employees crave a rewarding and purposeful workplace atmosphere. Now is the time for organizations to evaluate what is working well for their people, and what’s not resonating,” says Laine Thomas Conway of Alight Solutions, a global consulting firm. “When employees feel their employers are continually improving their offerings and working to enhance the employee experience, they are likely to remain positive and committed to their organizations, and in turn, employers can better retain top talent.”

In other words, says Tom Wilson, the CEO of Allstate Insurance: treat employees like customers. “They don’t pay you in dollars, but in hard work. That has led us to an employee choice model in the new world,” he says. Here are several tactical suggestions to help your team members:

 

  • Education grants for the children of your crew. When the club or golf course funds educational support for the children of its workers, your crew will see you as the employer of choice.
  • Field days for employees’ children. Help families share in the workplace culture and pride with your team. Most children want to see where their parents work, and what cooler place is there than a golf course?
  • Regular feedback sessions. Give employees the same feedback opportunities customers have with retailers and service providers.
  • All-team meetings. Help crew members understand their place in the overall team effort, including other departments and functions at the club and course.

It’s no longer enough to react to changes affecting our careers. To be an effective leader and to encourage your best players to remain part of the team, we must anticipate the next wave of change heading in our direction.

This article was authored by Henry DeLozier for Golf Course Industry magazine.

Life in Flux: The Evolving Priorities of Millennial Golfers

GGA Partners logo

Nextgengolf logo

PGA of America logo

GGA Partners & Nextgengolf Release Findings from 5th Annual Research Study on Millennial Golf Community

2021 study reveals the habits, attitudes and preferences of over 1,600 millennial golfers.

TORONTO, Ontario (March 17, 2021) – Global consulting firm GGA Partners and Nextgengolf, a subsidiary of the PGA of America, have released the fifth annual Millennial Golf Industry study entitled “Life in Flux: The Evolving Priorities of Millennial Golfers.”

The 2021 Millennial Golf Industry Survey was conducted from November 2020-January 2021 and garnered responses from over 1,600 golfers whose average age was just over 29 years old.

Cover page of the 2021 millennial research report. Title reads "Life in Flux: The Evolving Priorities of Millennial Golfers". Subheader: "Over 1,600 millennial golfers share their habits, attitudes, and preferences about golf. New 2021 findings reveal what's changing and what isn't." Title and subheader overlay image of golf couple taking selfie near flagpin on green with sunset in the background.

Key highlights of the 2021 millennial golfer study include:

Average annual rounds played reached a new peak: 33.9 rounds, a 9% increase year-over-year and average handicap reached a record low, decreasing 5% to 8.8.

Average spend per golf round has increased 28% over the past five years, climbing to $47 from $34 in 2017 at an average rate of $3.25 more per round each year.

For a generation characterized as digital natives, it may come as a surprise that a substantial portion of millennials purchase golf equipment and apparel in-person, roughly two-thirds at a sporting goods store and almost half at a course pro shop.

As a result of the coronavirus pandemic, golf has become more important to millennial golfers according to 60% of the sample. More than four in five (84%) say they are able to work from home; and over half (51%) say this added flexibility allows them to play more golf.

Sixty-percent (60%) of participating millennials prefer golf venues that actively exhibit social and environmental values. Nearly two-thirds (64%) say these behaviors would influence their likelihood of purchase, and approximately three-quarters (73%) of those surveyed would be willing to pay more, if excellent social and environmental practices increased the costs of golf venues.

Millennials are attracted to private clubs that offer non-golf amenities and social components. Interest is highest in amenities offering two key attributes: 1) non-traditional golf play like nighttime golf use and simulators; and 2) a multi-use club experience with casual dining, socialization and fitness.

“Not every millennial is the same, but it’s often communicated that way,” commented Matt Weinberger, Nextgengolf director of operations, PGA of America. “In our continuous work with the millennial audience and now Generation Z, we see tremendous opportunity for PGA Professionals and golf facilities to deliver value to young people while operating their businesses. The key is understanding how golf businesses mesh with millennial lifestyles.”

“What this research shows is a tremendous opportunity for golf facilities and private clubs,” commented GGA Partners’ Michael Gregory, a partner of the firm. “To succeed in attracting the next generation of members, golf facilities must build their reputations around diversity, inclusiveness, and environmental stewardship, providing an amenity and activity profile designed to create experiences which enrich the emotional connection and sense of belonging that elevates the value proposition most appealing to young golfers.”

Historically focused on golfers in the millennial generation (those born between 1981-1996, roughly ages 25-40 in 2021), the study has now begun to span two generations. Nearly one third of the sample audience now technically belongs to Generation Z (those born after 1997, roughly ages 9-24 in 2021), an emergent golfer cohort which the study will continue to evaluate in the future.

Through this study, GGA Partners and Nextgengolf have identified the evolutions happening among the golfers of the future to assist golf facility operators in finding ways to adapt and develop their offerings to meet the needs of the next wave of members and customers.

The 2021 Millennial Research Study is available to all golf facility operators. Download the report by clicking on the link below.

Download the report here

 

About GGA Partners

GGA Partners™ is an international consulting firm and trusted advisor to many of the world’s most successful golf courses, private clubs, resorts, and residential communities. We are dedicated to helping owners, asset managers, club and community leaders, investors and real estate developers tackle challenges, achieve objectives, and maximize asset performance.

Established in 1992 as the KPMG Golf Industry Practice, our global team of experienced professionals leverage in-depth business intelligence and proprietary global data to deliver impactful strategic solutions and lasting success. For more information, please visit ggapartners.com.

About Nextgengolf

Nextgengolf, a subsidiary of the PGA of America, has the mission to provide golfing opportunities for golfers of all ages and make the game of golf more relevant for high school students, college students, and adults. Through the NHSGA, NCCGA and City Tour products, Nextgengolf caters to golfers over 15 years old by proactively keeping golfers engaged through events and bringing new players into the game. For more information, visit nextgengolf.org.

About the PGA of America

The PGA of America is one of the world’s largest sports organizations, composed of nearly 28,000 PGA Professionals who daily work to grow interest and inclusion in the game of golf. For more information about the PGA of America, visit PGA.com and follow us on Twitter, Instagram and Facebook.

 

Media Contacts

Bennett DeLozier
Manager, GGA Partners
602-614-2100
bennett.delozier@ggapartners.com

Michael Abramowitz
PGA of America
561-624-8458
mabramowitz@pgahq.com

Getting the Right People on the Bus

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 second of two articles on strategic people planning, Patrick DeLozier (Director, GGA Partners) and Jodie Cunningham (Partner, Optimus Talent Partners) highlight the importance of talent planning and optimization for a post-COVID-19 future.

Now’s a great time to re-examine job requirements to ensure the best fit for your club

In our first article on strategic people planning we discussed the first two phases of talent optimization: 1) adapting your business strategy and 2) plotting your revised organizational structure. In part two, we will focus on phases three and four: 3) selecting the right talent and 4) inspiring people development and engagement.

This part of your strategic people plan centers on filling roles in your organization with people best suited for the job. It’s a process that author Jim Collins in Good to Great likened to bus drivers (leaders) getting the right people on the bus (team), the wrong people off the bus, and the right people in the right seats (roles).

One cautionary note as we begin: Someone who was right for a specific role pre-pandemic may not be right for the same role now. Your business has changed, and some people may need to change seats. Others may need to get off the bus.

Phase 3: Select the Right Talent

Define the job. Before you start inserting applicants and rehires into the selection equation, you need to define your jobs. Without clarity, anyone involved in the hiring process will simply be guessing about those best fit for the job. The answers to a few basic questions will help form a solid job description.

 

  • What are the most important and frequent activities of this role?
  • What specific knowledge, skills and abilities are required?
  • What skills and experiences are complementary to those of the current team?
  • What behavioral style and temperament is best suited in this role?
  • Is independent decision-making or collaboration more important?
  • Does this role require social interaction or a more analytical, introspective approach?
  • Are normal working conditions in this role stable and consistent or constantly changing and pressure-filled?
  • Does this role require a big picture, strategic view where risk taking is welcomed, or is it more task oriented and risk-averse in nature?

To win the war for talent, your managers must be fully invested in driving the hiring process from start to finish. When you train managers to use people data in the hiring process, they will make smart, objective decisions, as opposed to desperate or bias-filled ones. Managers should enter the hiring process with the following information, knowledge and understanding.

 

  • A plan for all three phases of the interview process: before, during and after the interview.
  • A list of functional and behavioral-based questions that ensure consistency across all interviews.
  • An understanding of how to probe for (and evaluate) detailed applicant responses.
  • An understanding of the information they should and should not share regarding club culture, benefits and working experience? (Remember, the applicants are interviewing the club as well.)

Phase 4: Inspire People Development and Engagement

Once you have hired your team, it is critical to keep them engaged and ensure they work effectively together. To do this, you need to be mindful of four forces that can lead to employee disengagement:

 

  • Misalignment with the job. Poorly defined positions, sloppy hiring practices and evolving business needs can create a mismatch between employees and their roles. A bad fit will ultimately affect motivation and productivity.
  • Misalignment with the manager. The relationship between employees and their managers is the most critical contributor to engagement. But many managers are poorly equipped or not trained to effectively understand their employees’ individual needs. They struggle to communicate with and motive their employees.
  • Misalignment with the team. Team-based work is more critical than ever, yet poor communication, insufficient collaboration and an inability to manage tensions inherent to teamwork extract a major toll on productivity and innovation.
  • Misalignment with the culture. To be productive and engaged, employees need to feel they belong. When they feel out of sync with their organization’s values, or when they lose trust in their leadership, their own performance suffers. The result can be a toxic work environment that undermines productivity.

As clubs emerge from a pandemic-enforced hibernation and begin to re-establish business operations, now is an ideal time to evaluate the roles and responsibilities that make your club function efficiently and effectively.

Carefully defining each important job, making sure those involved in the hiring process are well-prepared and being alert to employees who may not be the ideal fit will help ensure that you have the right people on the bus and that they’re in the right seats. Your club’s success depends on it.

RelationSHIFTS: COVID-19 and a ‘New Normal’ for Clubs

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, Laurie Martin (Founder/CEO, Life Interrupted Inc.) offers several tips for club leaders to consider while navigating the ‘new normal’.

As a leader, you have made it through the initial weeks running on adrenaline as you and your organization have had to pivot quickly to address the COVID crisis. While you continue adapting to your makeshift workspaces at home, and preparing to keep your people safe, the realities of emotional, physical and psychological upheaval are revealed

Over the past few weeks, I have noticed a common thread of stresses related to adaptation and uncertainty. Phrases like: “Since I’ve been home, I have never worked this hard”, “I need stress-debriefing techniques to keep my sanity” and “I can’t stand this!” demonstrate the need to acknowledge the tensions in our surroundings and start a conversation about finding stability and hope.

Now, clubs around the world are moving into position to open slowly and methodically. As a leader, your fears and concerns for employees and their families, members, and the general public are heightened. The focus has been on best practices to deter or stop COVID-19 from coming to the club.  Now, employees have become essential workers and their stress levels will be heightened.

Leaders will need to create best safety practices that work for their clubs.  They will also need to provide a support system to help employees and members deal with the enormous changes of the new normal at clubs.  Employees will be looking at each other wearing appropriate personal protection equipment and following a series of new safety protocols and wonder if the masks or shields will protect them. Members will now be playing their sport very differently and question whether the club will ever be the same again.

There’s no question, this pandemic has created a different way for clubs to operate now and likely in the future.  The templates of tasks and best practices that clubs around the world have received are only a small part of what employees and leaders need to consider.  Each club is unique, with its own practices and services. As a leader, you will have to determine what works best for the club. You may consider to have a second opinion from an external professional working in risk management/health and safety professional guiding you to opening day.

Here are some tips to consider while coping with the new normal at your club:

Embrace the new normal

Our professional and personal lives have shifted and it is important to accept the reality that things will never go back to the way they were. Create new plans, or enhance previous plans and enjoy the freedom to be creative.  Use the skills and knowledge you’ve accumulated through this crisis.

Choose your thoughts

If we do not choose positive thoughts, we will face sadness and experience that “I give up” feeling. Try to remain optimistic and choose thoughts that will motivate you. You must believe you can do something, or you won’t even try. You can overcome negative thoughts with positive ones.

Stay connected

Fear isolates and distances people. As a leader and an entrepreneur, it is your responsibility to keep your family, friends, employees, colleagues, board of directors, and members connected and updated. Communication, collaboration and transparency are key during this difficult time. Promote video chats, share resources, reach out and ask how everyone is doing, encourage more casual interactions, and spread optimism. This is also an opportunity to learn new things to enhance your knowledge and streamline your business.

Share your feelings

It is beneficial to demonstrate the emotional side of your leadership, especially in tough times where members, friends, family, and colleagues are anxious or uncertain of the impact of COVID-19 on the economy. Now is the time to reach out and ask how others are dealing with working from home or with the stress of COVID-19. It’s also good to share your concerns. Sharing your own vulnerability will help others to do the same. Remember, we are all experiencing similar feelings of grief, stress, uncertainty and living day by day.

Accept diversity

It is important to remember that each one of us has a unique home life. Our lifestyles, habits and priorities all differ, which is coming to light as we collaborate from our homes. Some may be experiencing additional challenges such as financial burdens, potential job loss, death of a loved one, divorce, fear of going back to work, etc., and it is important to be mindful of this. Additionally, our methods of coping differ, so be gentle and try to keep an open mind.  It’s important to create time out for yourself too.

Stay away from deception and misinformation

There is a great deal of fear associated with the COVID-19 pandemic and, unfortunately, this fear has triggered a wave of insecurity, and misinformation. It is important to distance yourself from this when possible. Ignore negativity and work from facts not rumours. Educate yourself by reading reputable, peer-reviewed sources and recognize and address your own fears. Contact an external resource you know in the club industry that provides education and tools that can be resourceful.

Set boundaries

If you live with others in your home, working in tight quarters can cause increased stress nd frustration. It is important to establish boundaries. Determine who is going to be in which room, when, and set an agreed time limit for how long.  This will help minimize disruptions.  Having a clear conversation about how to reasonably share your home space will ultimately reduce conflict. You may want to consider setting boundaries on screen time and media exposure which can reduce the feelings of being overwhelmed and help you gain control of your situation.

Create a routine

If you are working from home, building a routine will help you foster a sense of normalcy and allow you to stay on track. Wake up at your usual time, get dressed as you would normally, have your coffee and breakfast, get your kids ready, stick to some type of exercise regimen. Create a good night-time routine and stay away from reading emails before bed.  This will keep your immune system healthy and boost your resilience.

Take breaks

Taking breaks throughout your workday is pivotal to productivity. Take a 5-10-minute break every hour to stretch, take deep breaths, drink water, have a healthy snack or get some fresh air. You should also take some time to have your lunch each day. Support a local business in your area by ordering food through a delivery service.

Practice self-care

As leaders, it is natural to put the needs of your family, employees and members before your own. However, it is important to take care of yourself too. Take care of your body, your mind, and your spirit.  Make time to unwind.  Practising self-care will reduce your stress, clear your mind, and help you to better support and work with others.

Don’t forget hope

While COVID-19 is impacting our daily routines, it is comforting to know that there are still moments of strength that help us realize we can get through this together. Communities coming together, inspiring stories, businesses opening, and people connecting while respecting physical distancing are all signs of hope that we shouldn’t ignore.

A ‘new normal’ for leaders

As leaders, you’ve already felt the stress and emotional upheaval when the clubs were closed down for the pandemic.  Now you get to experience the stress of anticipating when they will open again, and question whether you’re doing everything you can to keep people safe.  Hopefully, leaders are doing their due diligence by taking the templates and customising the best practices and creating policies in place, ordering personal protective equipment and supplies ahead of time.  Asking for a second opinion by reaching out to the services of risk management or health and safety experts familiar with the club industry to guide them to a new normal for pre- and post-opening day.

Although these days are filled with uncertainty and we continue to feel overwhelmed, disconnected and out of control, it is important remember we are all in this together. There will be an end to this pandemic, and we are going to learn a lot about ourselves as leaders and as people.

 

Laurie Martin, CTTS, EPC, founder of Life Interrupted Inc.

She is an innovator with an ability to change the way club leaders think, both professionally and personally, and to enhance their lives.  Laurie brings over 25 years of risk management and crisis education experience, and more than 17,000 hours of accredited frontline experience.  She educates by using a solid process for preparing for any crisis or critical life interruption, before, during and after.  Laurie’s techniques keep leaders and their teams connected, resilient, focused and to stay safe.  All programs provide education credits.  To learn more, contact Laurie at laurie@lifeinterrupted.ca, or, visit lifeinterrupted.ca.

Talent: The Big Differentiator

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 on strategic people planning, Patrick DeLozier (Director, GGA Partners) and Jodie Cunningham (Partner, Optimus Talent Partners) highlight the importance of talent planning and optimization for a post-COVID-19 future.

A strategic people plan turns vision into reality.

“You can design and create and build the most wonderful place in the world. But it takes people to make the dream a reality.”

– Walt Disney

Every club has a strategy and a corresponding expectation: If it executes the strategy effectively, it will grow and prosper. Underpinning its strategy are detailed plans – financial plans, marketing plans, capital plans and agronomic plans. The most successful businesses, including the most successful private clubs, also have what we consider the most important plan – a people plan.

Creating a people plan – one that aligns the goals of an overall strategy with the talents and passions of your team – is a discipline known as talent optimization. Just as Walt Disney turned over the execution of his vision for “the most wonderful place in the world” to smart managers and thousands of Disney cast members, today’s astute club leaders turn to their teams of dedicated staff to implement their vision for long-term success.

As you face the challenges brought on by this crisis, there is no better time to examine your staffing model and create a strategic people plan to guide your new normal. In a post-pandemic future, your people strategy must change because the world has changed. There are four important phases to navigate to adjust your talent optimization plan:

Phase 1: Adapt your business strategy

Based on how business has changed recently, ask yourself:

 

  • What are you trying to accomplish?
  • What does success look like?
  • How will you flex to meet the demands of your new normal?
  • What new processes/products/services will you offer?
  • What processes/products/services will you eliminate?
  • Operationally and culturally, what’s working? What’s not working?

Recalibrating your strategy will involve tough decisions. You will need to assess the strength of the business, an exercise that will force an examination of people in key management positions, as well as support staff. For help, reach out to your network and bounce ideas off your colleagues. Enlist professional consultants to brainstorm best practices. And don’t be deterred if you hear “that will never work.”  Most great ideas start with critics who recite those exact words.

This is the perfect opportunity to hit the reset button. Think about all the times you wished you could make changes but allowed circumstances to delay acting. Now is the time to give yourself permission to pivot, to try new things and to take calculated risks.

Phase 2: Plot your revised organizational structure

As you finalize your new business strategy, you need to flex your people plan.

 

  • Take time to reimagine how your team should be optimally structured
  • What does your perfect world organizational chart look like?
  • What talents do you need more of? Less of?
  • Don’t think “specific people, specific titles, specific pay rates”
  • Instead, think “positions, responsibilities, behaviors, skills and talents”

As you create this new organizational structure, keep in mind how your operation is changing.  Will there be more curbside service in the future? Will there be fewer group activities? Will there be a greater need for virtual activities? Will there be a less formal food and beverage operation? Will there be a greater need for technology integration?

The Future Is Now

Let’s be clear about why a club business strategy is important:

 

  • It determines where the club is going
  • It gives a sense of direction for the entire club, employees and members alike
  • It supports smarter decision-making

Your club business strategy, which communicates key aspects of why and how the club operates, includes:

 

  • Objectives the club wants to achieve
  • Its services, products, stakeholders and members
  • Guidance on how the club competes and operates in its segment
  • Financial resources required to achieve the objectives and support the operating model

Talent is arguably the last big differentiator a business has. It is what stands between average clubs and innovative clubs. In our next article, we will dig into phases three and four and discuss the process of selecting the right talent to support your revised business strategy and creating a plan to develop that talent for long term success.

Webinar: A Changing Future for Golf Course Superintendents

This webinar was originally aired by the Florida Chapter of the Golf Course Superintendents Association of America.

The Florida Chapter of the Golf Course Superintendents Association of America (GCSAA) and Henry DeLozier, GGA Partners, have a frank discussion on golf and what the future might look like for golf and golf course superintendents in Florida.

Speaking with Nick Kearns, Director of Green and Grounds at The Oaks Club and President of the Florida GCSAA, Henry shares his big picture perspective on changes resulting from the global health crisis and the details to which golf course superintendents need to be paying attention.

Spotlight:

 

  • Budgets will come under pressure, anticipated economic slowdown and its impact on golf course maintenance budgets.
  • The significance of the golf course superintendent and his/her ability to provide patrons a safe platform to enjoy golf will increase.
  • Emerging trends and best practices in the industry, pre-vaccine and post-vaccine.
  • Accelerated pace of change and impacts on supply chain.
  • Heightened expectations for expertise, prioritization, and communication.
  • And much more.

 

(29 minute watch)

Podcast: The Changing Face of the Golf Industry

This podcast originally aired by the American Society of Golf Course Architects as part of their ASGCA Insights.

Speaking with Marc Whitney, Director of Communications at the American Society of Golf Course Architects (ASGCA), Henry DeLozier of GGA Partners provides his unique business perspective on the changing face of the golf industry in light of the global health crisis.

“Control the things that you can control. Adaptability for all parties is the key going forward. Now is the time for clubs and architects to come together. Architects can bring forward cost effective designs and ideas to make clubs more successful.”

Listen to Henry’s perspective on where golf finds itself today and how the industry can focus on the future while also learning from the past.

 

(13 minute listen)

The New Normal?

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 discusses steps to take in advance of reopening and ramping up operations.

We may not know what our world will look like after the current crisis subsides and our clubs reopen, but we should be preparing for it nonetheless.

When asked what steps they are taking to prepare their business for the post-coronavirus environment, many small- and medium-sized business owners and managers say they’re taking a “wait-and-see” approach. That attitude may be understandable, with conditions and health and safety guidelines changing by the day, but it’s not advisable.

The more effective strategy is the one that many other businesses are taking to navigate the crisis in creative and productive ways. Their leaders may not know what the future holds, but they’re getting ready to adapt to whatever is necessary to succeed.

As clubs begin to ramp up into a post-virus world, private club leaders, in concert with key operational managers, well-informed members and designated board members, are following four important guidelines:

1. Updating the club’s financial plan.

The business interruption and financial impacts will be profound and may even threaten the club’s existence. The board must reset the club’s financial plan by evaluating the current in-flow of dues revenue and the realistic projection of pending banquet and catering activity. Refer to the club’s historic reference points for revenue as the key component in ramping up successfully. Balance revenue projections with the probable attrition rate caused by members who will leave the club for health and financial reasons.

Plan to restart programs and services in a phased manner that focuses on the most popular and engaging programs in the eyes of your members. It’s important to remember that members may have different priorities in a post-recession world. Knowing what those are through surveys and focus groups is far more advisable than assuming the old normal is also the new normal. Keep in mind that the club may not be able to restart at a level and pace that meets members’ expectations without what may be significant investments.

In a financial sense, the club may be starting over. This can be good for clubs overloaded with expensive debt since it gives them incentive to renegotiate their debt structure. Interest rates are at historic lows and will remain that way for some time. This makes it a good time to restructure the club’s financial plan to remove historic flaws, such as membership-optional communities and outdated governance practices.

2. Strengthening the team.

Every club in your area is affected differently by the pandemic. Some will retain staff with little change. Others will be forced to reduce operations, programs and staff. Some of your own employees will decide not to return or may be unavailable. Be prepared and recruit aggressively to fill and strengthen key positions on your team. It’s also a good time to review and update personnel records, roles and benefits.

3. Introducing new social programs.

As leaders hit the reset button, remember that private clubs enjoy an emotional relationship with their members far more than a transactional one. When evaluating and creating programs, consider the following:

Members will want to see one another and be seen. There will be a great opportunity for friends to be reunited and reminded that their club is a safe haven for their families and friends.

Look at events that are either successive – where one event sets the stage for the next – or part of a series of similar events. Give members the sense of ongoing relationships rather than one-off types of events. (Example: “around-the-world” theme parties featuring different destinations members traveled to without leaving the comfort of the West Bay Club in south Florida, executed by Brian Schultz, the club’s former manager.)

4. Host member information exchanges.

As members anticipate their clubs reopening, they will have lots of questions, which can be boiled down to “What’s changed – and what hasn’t?” Get ahead of the onslaught of questions by anticipating as many as you can and communicating the answers widely through email, newsletters and social media.

We may not know what the new normal will look and feel like until it arrives. Meanwhile, we know members will be anxious to return to their clubs and to take advantage of all it offers them. Taking the steps outlined above will help get your club ready.

Crystal Ball Thoughts on the Shape of the Next Normal

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

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.

Menu