Think Big Entering A New Decade

Thinking of big changes in 2020?  Writing for Golf Course Industry Magazine, GGA Partner Henry DeLozier shares four macro changes to consider as the new decade begins.

Golf no longer exists in a vacuum, separate and distinct from market forces that shape other mainstream businesses. Gone are the days when golf club and facility managers could operate without a sensitive finger on the pulse of social, environmental and political changes affecting their business. As we enter the third decade of the 21st century, here are four macro changes to be aware of and to use to your advantage.

1. New solutions to labor shortages

Traditionally, labor costs for golf courses have ranged from 52 to 56 percent of golf course maintenance budgets. With increases in minimum wages and the ripple effect throughout organizational charts, labor costs continue to escalate. Derek Johnston, a partner at Global Golf Advisors, says labor costs have jumped as much as 6 percent.

Operators managed the first wave of escalating labor costs by reducing head counts and outsourcing certain activities to third-party contractors. Now, they are being forced to get more creative to deal with what is by far the facility’s single largest line item. Some have reacted by flattening their org charts, eliminating supervisory positions and restructuring responsibilities for some managers and staffers. As a result, staffing levels that ranged from 19 to 25 employees per 18-hole course are in significant decline.

Labor will remain a primary focus and concern for operators in 2020. Suggestions for managing rising costs are to re-evaluate all operational activities with an eye for possible benefits to be gained from outsourcing; take labor-intensive components of your operation and determine how the work could be accomplished more efficiently; and look at non-golf sectors for solutions being implemented in other fields such as hospitality and manufacturing.

2. Increased environmental awareness

Golf courses throughout North America have embraced opportunities to increase their environmental stewardship. Beekeeping, which sustains the bee population and ensures ongoing pollination; bat houses, which address mosquito infestations; and habitat restoration for butterflies, especially monarchs, whose habitat supports pheasant, quail, waterfowl and many other species; have been introduced at many locales.

Making golf courses and their surrounding grounds environmental sanctuaries is resonating with key market influencers, including millennials and women, who are also prime targets for increasing play and membership. Audubon International CEO Christine Kane reports that clubs as sanctuary communities are on the rise nationwide: “Audubon-recognized sanctuary communities have increased more than 20 percent over the past five years,” according to Kane.

Progressive superintendents and golf managers who expand the reach and impact of their environmental efforts will be viewed favorably by community leaders as well as current and prospective members and customers.

3. Expanded reach of social media

Superintendents and facility managers have become important sources of content relevant to club members and consumers. Photographic images of flora and fauna on club grounds are of interest to members who take pride in their clubs’ beauty and connection to the environment.

Instagram and Twitter can be used to show images sourced by staff members — golf course workers, cooks, janitors, golf professionals — who are alert to opportunities to snap butterfly habitats, wildflowers and all sorts of wildlife that call the club home. Such images are often posted to the club website and distributed to club members and visitors as a means for extending brand engagement.

Gone are the days of the cut-and-paste guidance for how to repair a ball mark. The increased relevance and timeliness of today’s news is attributed to the capability and proliferation of social media.

4. Comprehensive planning

The growth of strategic planning (supported by specialized plans for marketing, communications, finance and membership) is another example of general business’s influence on a more enlightened group of golf managers. Just as most any business relies on a strategic plan to guide its decision-making, golf is recognizing the importance of establishing a clear vision that serves to prioritize programming and investment. Top performers rely on data-based plans to distinguish their facilities not only in overcrowded markets, but also with consumers debating their leisure activities and spending. Those facilities that create market differentiation will prosper in 2020 and beyond.

Does Your Club Have An Identity Crisis?

“Today, brands are stories. (…) carefully developed and aimed at preidentified market segments whose wants, needs and expectations align with the intended benefits of the product.” – Henry DeLozier

But change can often bring about a mismatch between the story and the segments you want to attract. GGA’s Bennett DeLozier outlines how to determine whether your club’s visual identity is true to what it represents.

A lot of things have changed in the last decade. In politics, in society, in the environment we all share. This impacts how we feel, how we interact with each other, and what products and services we want to be a part of our everyday lives.

These changes are evident at the club level, too. Aspects of your club may be unrecognizable from what they were ten years ago, from membership categories, to club amenities, to the profile of your members, and even the culture of the club. Sometimes this change has come as a result of proactive planning, sometimes reactive necessity.

But while many clubs have changed dramatically, we often find the brand pillars and visual identity (logo, colors, mission, values, purpose, positioning, voice, tone, look-and-feel of the club) get left behind. In other words, the club is missing the opportunity to illustrate and communicate what makes it different, compelling, and worth someone’s interest.

Given the state of over-supply for clubs in most metropolitan markets, brand management which enables effective market differentiation is essential. But before embarking on a rebranding effort without professional guidance, clubs can and should seek to periodically assess the state of their brand identity and how compelling a proposition it is to target member or customer segments

Stick or twist

How do you go about assessing the current brand and the potential need for change?

First, club managers and leaders must understand the power of brand. This means knowing the market segments the club serves and those it aspires to serve in the future. It requires a grasp of buyer motivations and the reasons people are motivated to join the club.

Second, and in order to evaluate whether there is a need for change, you should engage your board in a strategic brand audit and follow a clear process, similar to the indicative one below:

1. Ask your members, past members, stakeholders, and staff for their thoughts via a bespoke survey.

It’s also valuable to solicit input on brand perceptions from those outside of your intraclub community, particularly from competitors and people with whom current and prospective members are likely to interact (such as realtors, local community groups, fitness centers, apartment complexes, senior living homes, or neighboring schools). This will (quickly) help you to gain a sense of how those most important to the club view it, and allow you to identify any potential mismatch between what the club is, and how it communicates that with the wider world.

2. Assess the costs and benefits of a brand change or an identity evolution.

For instance, how will repositioning the club’s brand help to open up new target customer segments? How might it affect your typical core customer base? What is the cost of any proposed change, both financial and perceptual?

This exercise need not be overly complicated, a good old-fashioned SWOT analysis (Strengths, Weaknesses, Opportunities, Threats) will cover off most of the key points to consider. Outline the opportunities and threats in a rational, pragmatic way to determine the most suitable outcome.

3. Marry your findings with your strategic plan.

How strong is the desire for change and how does this synchronize with your club’s future plans? It’s crucially important not to get drawn into making a decision for the now and foregoing any sense of futureproofing.

For instance, if you are set to launch a multi-sport facility and fitness center next year, are planning to unveil some luxury lodges the year after, and have been considering enhanced family programming for months, all this needs to be factored into the new identity you create.

Charting the future

Change is never easy. It feels uncomfortable. And risky. But sometimes standing still will only serve to do your club an injustice, poorly reflecting its attributes, story and emotional value to those that engage with it.

In that case, the benefits are there to be seized: appealing to new customer segments, futureproofing the club (socially and fiscally), and uniting those closest to the club around a clear sense of what it is and what it represents.

Turning Insights Into Action

GGA Insights exists to support you as a club leader, offering you solutions, tools, and tactics today that can help you improve your work life tomorrow.  But putting change into practice can be a challenging endeavor. GGA Director, George Pinches, offers a road map for translating genuine insights and data into meaningful boardroom action.

Most private clubs are like cruise ships; they do change direction, but very slowly. They are often steeped in tradition, and while this is a powerful asset, it can also hold clubs back.

In reality, clubs need agility if they are to respond and adapt to the fast-evolving demands of changing markets, new technology and generations of new members.

But don’t lose hope; with more data available to us than ever, there is reason for optimism.

Data can clarify the changes that need to be made, shape the direction of travel, and safeguard clubs from the obstacles and pitfalls they may otherwise run into.

But the truth is, before data can be put into such effective practice, many clubs and boards require a cultural shift to recognize the value of it.

Commitment first

When my GGA colleague, Fred Laughlin, first introduced the Club Governance Model, he stressed the importance of obtaining a board commitment before undertaking transition.

This is because research demonstrates it usually takes three administrations for significant changes to be fully adopted by a club board.

In order to move away from what we typically see – decisions based on anecdotal evidence rather than genuine insights and hard facts – this is the process to follow: commitment first, then change follows.

For you, obtaining commitment from your board and committees means convincing them that the use of data-driven decision making is mutually beneficial.

Once your board members start asking “What are the facts? Do you have comparable data or industry benchmarks to support this recommendation?”, then your club will be on track to a brighter future based on genuine insights.

Shifting the dial

It’s clear that clubs can no longer rely on decisions based on institutional memory and personal opinion. But how do you (in practical terms) achieve such long-lasting change?

When it comes to shifting the culture, timing is key.

One of the best opportunities to start a culture shift is at the beginning of a new tenure. This tends to be a ‘honeymoon period’ for the new GM or COO, when support and expectations are running high.

Take the opportunity to assess the culture and seek ways to introduce change: commitment first, change to follow. If your board has an annual board retreat, this can be an opportune time to take action.

Beyond that, I’d recommend focusing on these three key areas to encourage a sustainable culture shift towards a data-driven future:

  1. Board recruitment and development – The nominating committee can add “an aptitude or understanding of data-driven decision making” to the list of attributes when recruiting nominees for the board. The GM/COO can use the same criteria when filling senior management positions.
  2. Board policy – Alterations to the Board Policy Manual (BPM) can ensure that the decision-making policy stipulates the required data, back-up information, and consultation necessary to support a recommendation. Proponents, be they committee or management, soon learn what is expected by the board before considering an initiative or making a decision.
  3. Education – Club industry resources that extol the virtues of data-driven decision making can be shared during board and committee orientation to support the culture shift away from anecdotal to fact-based practices.

Finding ‘your’ way

Process and structure will help, but a true shift in culture can only be achieved through intelligent and thoughtful execution. In some cases, this means finding the unique tactics which work best for you and your Board.

‘Shifting culture’ will not appear in many job descriptions of club leaders. But, for a lot of clubs it should be at the very top. It holds the key to disrupting what can be a perennial cycle of decisions based on what those in power ‘think’ is right.

My advice: think long-term (beyond 5 years), actively gain the buy-in and commitment of board members, and put a structure and process in place to ensure data and intelligence are at the heart of how your Club operates.

The Indistractable Manager

Phone calls, emails, knocks on the door… all contribute to those days when you feel busy, but achieve nothing. GGA’s Patrick DeLozier outlines some tactics aimed at eliminating those fruitlessly busy days from your calendar.

There’s nothing more frustrating than a hollow sense of fulfillment at the end of a tiring day. Fulfilling in that you’ve been busy and active, hollow in that you’re no nearer to completing any of the tasks you set out to.

The first thing to make clear is, it’s a common problem. It affects us all. And while some of these days are inevitable, throughout my 18 years in the private club industry I made a conscious effort to develop methods of mitigating their impact and focusing on productive outputs.

Winning the day

It all starts before you even set foot in the workplace.

Develop a routine that gets your mind organized and focused from the get-go. For me, it was a morning swim, followed by reading several newspapers and social media news briefs that helped put me in an optimal productive state. So whether it’s a workout, meditation, yoga, or simply a coffee, find what works for you and stick to it.

When it comes to the working day itself, I found it particularly helpful to break this into three stages:

  • Up-brief – a first-thing review, to focus and plan of your tasks for the day
  • Midday check-in – an opportunity to measure task completion, to assess or reassess priorities
  • Debrief – end of day review, to look at what has been accomplished and what needs to be addressed the following day

For the up-brief, tasks should be specific, achievable, and aligned towards set objectives, prioritizing what you need to achieve and by when. Try to avoid tasks which veer away from your objectives or can be easily completed by another member of your team. Delegating tasks can often test your sense of trust and judgement in other team members, but is critical when it comes to staying focused on what’s important (and befitting of the Club Manager role).

During the day, make time to measure where things stand. If a task due for completion is in doubt, can you call in additional resource? If team members have become distracted by inane endeavors, is there time to pull them back and refocus their attention where it should be?

Finally, don’t allow the day to go by without assessing what has been accomplished during a debrief session. This is your opportunity to not only review your own achievements, but reward team members for a job well done and completed on time. They should also understand how this has helped (or is helping) towards the overarching objectives of the Club, as this will encourage their buy-in to the bigger picture.

Conversely, you will also need to confront incomplete tasks or missed deadlines. This is where balance and accountability come in, as you need to address these without demotivating your team.

Though some may find these stages overbearing, consistent monitoring and clear communication will allow team members to stay on task and focused for success. Ultimately, accountability will combat procrastination and instill a goal-oriented culture at your club.

Working smart 

Aside from external distractions, what can you do as a manager to work smarter? Here’s what I learned from nearly two decades at the sharp end of club management:

  • Do not try to take on everything on your own. Trust your team to assist you in your success.
  • Surround yourself with people who are smarter than you. And then provide them with feedback, support, and recognition for a job well done.
  • Block off time in your calendar where you will not be interrupted. Sometimes an hour per week off-site (such as a coffee shop) will allow you to complete a certain task or get some much-needed headspace.
  • Temper your access to your cell phone or tablet. This will help you to avoid unnecessary calls, texts, and social media, allowing you to make headway with tasks requiring the utmost focus.
  • Be disciplined. Don’t put off tasks just because they are more challenging to you. They will fester, induce stress, and only become harder to overcome in the long run.

There are so many simple ideas out there that can help you overcome distractions, and they can be very effective. But if you can isolate a structure which is focused, holds everyone to account, and is married to your club mission, you can unlock something greater: a productive culture. A culture driven by goals, achievement and success. And that is something that no one wants to get in the way of.

GGA Expands Senior Leadership Ranks

Michael Gregory and Craig Johnston named partners of the firm

TORONTO, Ontario – GGA, the leading authority on successful ownership and management practices for golf, private club, resort, and residential real estate businesses, has named Michael Gregory and Craig Johnston partners of the firm.

Gregory joined GGA in 2007 following a successful college career during which he was an All-American scholar earning a business degree and captain of the golf team.  Since joining the firm, he has helped more than 400 clubs develop and implement a game plan for success. In addition to his client relationships, Michael has managed the firm’s internal workflow team of business analysts and market researchers for the past five years.

Gregory serves as a lead strategist for successful private club business and membership solutions at GGA and is renowned for his ability to use comprehensive membership and market intelligence to develop actionable strategic solutions for clients.

Johnston is a Chartered Professional Accountant (CPA, CA) and alumnus of KPMG. Prior to joining GGA, as a ranked equity research analyst for Scotia Capital, he was recognized in 2016 by Thomson Reuters as the #1 earnings estimator in his sector.

Johnston supports GGA clients in the development and implementation of goal-oriented business strategies to achieve targeted operating and investment objectives. He is a seasoned business strategist and investment executive who leads GGA’s transaction advisory practice, having successfully advised on some of the largest transactions in the club industry over the past three years.

“Craig and Michael have distinguished themselves as expert, reliable confidants to our clients and deliver value day-in and day-out,” commented GGA Senior Partner Henry DeLozier. “The firm will benefit from their joining the senior leadership ranks.”

“Both Michael and Craig have become clear leaders in our firm and mentors to our team of consultants,” said Founding Partner Stephen Johnston.  “Their work ethic and dedication to excellence in professional services is an incredible asset to our firm.”

About GGA

GGA has provided industry-leading advisory services to more than 3,000 clients worldwide including private clubs, hotels, resorts, residential golf communities, developers, homebuilders, government agencies and municipalities, financial institutions, investors and lenders. Operating out of three global offices in Toronto, Phoenix, and Dublin, GGA is a highly specialized consulting firm focused on club and leisure related assets with a professional services heritage as the KPMG Golf Industry Practice. The firm’s expertise lies in its ability to effectively meld club management and operational expertise with highly capable professional strategists and experienced business analysts. GGA personnel include former club managers with experience leading exceptional clubs, along with alumni of Deloitte, Fairmont, KPMG, Marriott, Pulte Homes, PwC, and Scotia Capital. For more information, please visit www.globalgolfadvisors.com.

Media Contact

Derek Johnston, Partner at GGA
djohnston@globalgolfadvisors.com
905-726-0701

Folding Multiple Plans Into One

There’s an old saying about plans – more specifically about the lack of a plan: “Without a plan, any path will get you there.” We wholeheartedly agree with that adage, but acknowledge a flip side that raises a question that many diligent planners confront: How to effectively integrate multiple plans into one comprehensive and cohesive plan that guides your overall operation?

The analogy that comes to mind is the challenge facing airlines with thousands of passengers on any given day, each trying to get to his or her destination. The airline has flight plans for hundreds of aircraft and tries to mesh all of those planes and flights into a fairly seamless plan to get you where you want to go. Most days it works, but not without a lot of coordination.

There are three stumbling blocks that derail effective planning efforts: 1) lack of coordination among stakeholders and contributors, 2) poor scheduling and time management for due diligence and preparing materials, and 3) confused or confusing desired results. These three project killers diminish the quality of the overall plan and undermine the credibility of the planning team.

For golf course and facility leaders, the challenge is considering the information gathered through market analysis, financial evaluation and board input alongside the plans of superintendents and those managing food and beverage, membership and financial operations. And then bringing all the information, insights, recommendations and plans together to support the club’s or facility’s objectives. For managers of each of these functions, the same challenges exist, if only on a smaller scale.

If you’re currently in your planning cycle, and charged with pulling discrete plans and input together so the end product doesn’t feel disjointed, consider these five steps:

1. Sync every plan to the vision.

No matter which area of the club or facility the plan is focused on, it should clearly map to the overall vision – the club or facility’s long-term, forward-looking aspiration, what we like to think of as an organization’s North Star. You should be able to see this in the plan’s objectives and priorities. With multiple workflows, the project leader must maintain an overall understanding of the project and ensure all plans are headed for the same airport, even if they’re taking different runways.

2. Outline specific steps along the way.

Define project milestones, the steps that will help you get there at a predetermined time and those responsible. Schedule regular check-in meetings to make sure all pilots have their planes headed in the same direction. It’s much easier to make mid-course corrections than to wait until all planes have landed and plans submitted.

3. Designate one holding place for project inputs and research.

See that all team members participating in the project planning process have transparent access to information and a full understanding of progress. Lacking a central repository of project information, important pieces of information can be misplaced, overlooked or lost. This also helps projects from getting siloed and managers feeling isolated.

4. Prioritize workflow.

On expansive projects or ones that involve multiple contributors, establish which components are most critical to the overall project plan. This step enables effective planners to allocate time, financial and human resources. Sequential planning guides the team in accomplishing mission-critical tasks and components.

5. Maximize productivity through careful scheduling.

If a golf course superintendent is preparing an agronomic plan, for example, it is important to make sure each assistant and technical expert is scheduled to deliver information in a timely manner. Stagger the timelines, monitor the cross-disciplinary dependencies, and eliminate duplications and redundant production.

Most managers have broad responsibilities and must combine resources to produce comprehensive and workable plans. Developing a disciplined process for research, input and development is the key to successfully landing all of your plans and making sure they support the same vision and goals.

This article was authored by GGA Partner Henry DeLozier for Golf Course Industry Magazine

Don’t Let Them Ignore You

GGA Partner Henry DeLozier highlights 5 key attributes to help golf course leaders achieve recognition for their talents and efforts.

We all want to be recognized for our talents and efforts. In fact, in a world where we take more than 93 million selfies a day, being ignored is certainly one of life’s biggest disappointments. One long-held suggestion to avoid being overlooked or taken for granted is this one: “Be so good they can’t ignore you.”

It’s advice offered by comedian Steve Martin, author Cal Newport (in a book with the same title) and printed on T-shirts and wall posters that adorn corporate breakrooms across our country. No matter our objective – recognition that leads to a promotion or simply the satisfaction that comes from a boss’s or colleague’s “good job” – excellence that demands attention seems a logical and valuable strategy.

Here are five attributes that can make you so good that you cannot be ignored:

1. Great attitude is a key factor in your success and ability to be noticed, whether you’re a golf course superintendent, golf professional or club manager.

Savvy employers hire for attitude above other attributes. Stated in the negative, no one needs a grumpy or uncooperative manager leading today’s work force. There is enough friction in getting operational teams to perform at the high end of their capabilities without someone with a negative attitude pulling us down.

According to author Emily Smykal, whose findings were part of a CareerBuilder study by Harris Poll, nearly three in four employees (72 percent) spoke to the power of a positive attitude. “Positivity leads to a more productive workday and creates a better environment for fellow employees,” she writes. “Great employees consistently stand out for their upbeat attitudes and earn positive reputations for themselves.”

Building and keeping an attitude that leads others toward common goals requires a comprehensive understanding of the job’s requirements and a willingness to teach others to work harder, better and smarter. What’s more, great attitudes are contagious.

2. Eager learning keeps everyone involved sharp.

Constant learners tend to be open, creative and receptive to new or different ideas – even if they’re someone else’s. Heather Huhman wrote on Glassdoor that an eagerness to learn shows openness to new ideas, willingness to think beyond today’s facts and invaluable curiosity.

Robert Half, a specialist in recruitment and employment services, recommends that every resume show an eagerness to learn. This trait adds value for the employer and expands the performance potential of the employee. When you’re learning and growing, you are becoming a more valuable employee and one whose contributions are easily recognized.

3. Trustworthy teammates, especially in troubled times, are valued for their consistency, stability and integrity.

Difficult and exigent circumstances reveal those who can stand tall and steady in crisis. One’s day-to-day commitment to being a trusted and respected teammate is manifested in a thousand acts. Ensuring that your actions match your words is an important trust-builder, as are genuine eye contact, thoughtful interactions, an openness to criticism, and the willingness to express oneself openly and with trust.

The world champion sprinter Carmelita Jeter breathlessly testified to the power of trusting teammates at the 2012 London Olympics when – after running the anchor leg on the women’s 4×100-meter relay team, she said: “I knew they trusted me like I trusted them. And I would not let them down.” Jeter and her trusting teammates bested a world record in the event that had stood for 27 years.

4. Mental toughness is critical when we encounter adversity, in life and on the job.

Are you resilient and persistent enough to overcome challenging circumstances? According to Inc. magazine, qualities that make you mentally tougher are patience, perspective, focus (on priorities) and the willingness to confront adversity. The mentally tough understand that criticism or adversity is often not of a personal nature and see it as an opportunity to keep pushing toward their goal.

5. Careful planning – Planning is critical to sustained success. Managers who take a focused approach to plans and planning outperform their club’s budget. Advance planning reduces risk as managers identify potential threats and opportunities. Established, well-stated goals and objectives simplify and clarify your intentions.

This article was authored by GGA Partner Henry DeLozier for Golf Course Industry Magazine

Bringing Innovation and Creativity to Events (Case Study)

However big or small the event, there’s always reason to inject creativity and innovation to make it memorable for all involved. This is an approach Medinah Country Club has pioneered for over 95 years. So, what are they doing, and what can you learn? We turned to General Manager and Chief Operating Officer, Robert Sereci, for the answers.

In what ways have you brought innovation and creativity to the events you have hosted?

While we have brought innovation to many events, at Medinah Country Club we view innovation as a strategic advantage that we leverage across all facets of club operations. From food and beverage to technology, innovation plays a critical role in our success.

Despite our significant recent investments in amenities, we realize that, ultimately, these amenities are only vehicles to facilitate relationships and strengthen our community.

Our approach to events focuses on larger, traditional club events like Easter, Mother’s Day and Halloween, while consistently developing smaller events, focused on appealing to a targeted demographic who share similar interests and passions.

We also work around the seasons. Many are surprised that a golf-centric club like Medinah hosts events around ice skating, sledding, and cross-country skiing in the winter months. But this keeps members engaged, mixing with other members and makes the club more a part of their everyday lives. We even host roller skating, where we convert our ballroom into a roller rink!

Family involvement is also key, and offers an opportunity for us to be creative. For instance, we invite families to join our executive chef for an educational experience as he taps our trees for maple syrup, to learn about egg production from our farm hens, and to learn how honey is harvested from our three bee colonies, all on our club property.

We also sprinkle in ingredients which are true to Medinah, and showcase the best of what we have to offer. Our Medinah Food Truck regularly roves around the property serving parties, and we use our portable wood burning oven or smoker to supplement indoor and outdoor club events.

Who drives this commitment to innovation, and why is it so integral at Medinah?

In our case, my team and I drive this commitment. I suspect this is not that different for most other clubs. Club Boards genuinely demand innovation from their management team, yet they embrace and find comfort in conformity. Clubs are notorious for conforming with the majority and have learned to embrace the status quo in order to align with the opinions and behaviors of neighboring clubs. This pressure to conform can have a significant negative impact on management’s engagement, creativity, and ability to innovate, and ultimately the club suffers.

Innovation is not important for innovation sake. As more clubs expand their offerings and amenities become ubiquitous, we, as clubs, must shift our focus from building structures to building memories. Like the corporate world outside our gates, we have migrated into an “experience economy,” where our members place greater importance on experience. Fitness centers, spas, and racquet courts are now the norm and very few members get impressed by these shiny new toys. Today’s members are looking for, and paying for, memorable unique experiences. These unique experiences are what makes successful clubs stand out in the eyes of the current and prospective membership.

How do you capture new, creative ideas AND make them happen?

Capturing ideas is the easy part – getting buy-in and execution is the hard part.

There is no shortage of ideas. My team and I look not only to our peers for ideas, but more importantly, we look at what others outside of our industry are doing and determine if and how it is applicable to us. The truth is, many of our innovative ideas at Medinah may be innovative for the club space, but in reality, they are almost common practice in the public space. Clubs are too quick to dismiss ideas from other segments by thinking “that would never work here.” While that may sometimes be true, we seek out those principles or ideas that would work and determine what we would need to do in order for those ideas to be successful at Medinah.

What’s your best example of bringing innovation to a high-profile event? What made it successful?

While many clubs go out of their way to squash nonconformity, at Medinah, we encourage it. I genuinely promote constructive nonconformity. That type of thinking is how we introduced the Tiny House Hospitality Package during the recent BMW Championship hosted at Medinah. The goals were twofold:

How can we create a unique memorable spectator experience and capture additional hospitality at a mid-range price point? The answer – place several Tiny Homes at specific locations on the golf course.

This was the pitch – Ever dream of watching a professional golf tournament from your backyard? Now you can. Introducing the Tiny House Hospitality Package for the 2019 BMW Championship. Invite your friends and colleagues to watch the top 70 players tee off just feet from your fenced backyard. In addition to witnessing the tournament up close, you will have access to a tiny house with all the accommodations of a home.

Not only was this the first time a Tiny House has been used in this way, but also the first time a Tiny House has been featured on a course during a professional tournament. This was a massive success and will likely now be a standard hospitality offering for future tournaments. The positive press we received was truly remarkable.

What else can other clubs learn from Medinah, whether they are staging high-profile events or member events?

In order to foster innovation, you must have a culture that not only encourages those who are innovative, but, more importantly, doesn’t penalize those who fail. Too many clubs focus on the ideas and innovation, and not enough on developing a culture of trust, where innovation and creativity is celebrated.

As the COO at Medinah, I have worked tirelessly to strengthen the trust between myself and the board. The board has provided me with a large safety net. In return, I have provided my team with an even larger safety net, allowing them to take risks and challenge the status quo. There are very few mistakes my team can make that I cannot get them out of.

Clubs must become comfortable with the unknown. If you want to accomplish something unique and memorable, you must be willing to take on risk. In general, clubs are culturally rigid and, as a result, are very risk averse. Club boards and members have a very low tolerance for failure and so club managers take fewer risks, thus, innovation comes to a standstill. Arguably, clubs with greater recognition and resources can afford to take more risk, but I believe the exact opposite to be true. When a small, unrecognizable club fails, the city may be aware; however, when a club with a global brand fails, the whole world will know.

Make Time for Strategic Thinking

Do executives at your club know what a strategic plan really is?

Club executives often confuse a strategic plan with a master plan, a capital expense budget or standard operating procedures when in fact it is none of those things.

“A strategic plan is an all-encompassing game plan. It is a plan of action designed to achieve a particular goal. It is a tight, clear-cut statement of what it is your club is trying to do,” explained Henry DeLozier of Global Golf Advisors during a seminar for club managers earlier this spring. “It’s a crucial document because every club needs to know where it is going.”

Strategic planning is receiving more focus in private clubs now than in the past. DeLozier believes this is due to the fact that more is expected of club leaders now (and more of leaders in general). He also says that clubs are expected to function in a more businesslike setting. Oversupplied, competitive markets require more focus and different types of clubs use different models of strategic planning. That’s why strategic planning is more important now than ever before.

The strategic plan should answer the questions what and why. It should not answer when, who or how because the answers to those questions are tactical. To keep strategy and tactics separate, DeLozier urges executives to remember the following:

Strategy = What. A primary duty of the board is to develop the strategy for the future of the club in a three to five-year life cycle. “Strategy is doing the right things for the club and its members. It is conceptually planning what the club will do and why,” he explained.

Tactics = How. This is a primary duty of management. Tactics are about executing the strategy and doing things right for the current period of time.

DeLozier urges all club executives to block off time regularly to think strategically. “Find the time to collect, study and share information. Strategy is part of a leader’s job today. Encourage strategic thinking in such a way that it becomes cultural at your club,” he concluded.

This article was authored by GGA Partner Henry DeLozier for the Private Club Advisor.

Substance Over Style

In the old west, big talkers who didn’t deliver on what they promised were described as “All hat and no cattle.” Simply put: more image than substance.

None of us wants to be thought of in those terms. We all want to deliver the goods as promised. Doing so, while often challenging, is more achievable when you take these important steps:

1. Develop your strategic plan carefully because that’s where you lay out your promises in the form of goals and objectives. Stephen Johnston, the founder of Global Golf Advisors, often explains the importance of strategic planning by saying, “The lack of a strategic plan is not as dangerous as not having fire insurance, but it’s certainly playing with fire.”

The key components of a sound strategic plan are: (a) market analysis; (b) operational review and comparison against performance benchmarks; (c) financial measurement — especially of the sources and uses of funds; and (d) clear-eyed evaluation of governance practices. These four components assure that you have a plan that states clearly your goals and objectives and establishes a broad understanding of expectations.

Remember that an effective strategic plan answers the question: What? The business plan provides the details behind How? When? Who? and Where? The tactical plan outlines the steps that will implement the strategy.

2. Put your strategy to work. Strategy is only as good as the execution that backs it up. Putting strategic goals and objectives into action also requires a plan — one that describes in detail how you and your team will achieve the goals and objectives of the strategic plan.

3. Make sure club leaders and managers understand the plan and how their functional areas are expected to contribute to its success. In 1962, President Kennedy declared, “We will put a man on the Moon in this decade and return him safely to Earth.” Shortly thereafter, while on a tour of the NASA Space Center, the president came upon a janitor mopping the floor. When asked by the President about his job, the janitor responded, “Mr. Kennedy, I am part of the team that is going to put a man on the Moon.” That is plan buy-in and real-life awareness. The lesson: Make believers of your staff.

4. Review your plan’s success. No matter how well-intended a plan might be, careful evaluation and follow-up ensure that the plan remains relevant and purposeful. Another benefit of ongoing evaluation is evolutionary improvement and maximized understanding. Here are three steps to ensure that your plan is working at full capacity:

  • Provide quarterly strategic plan updates. Report your accomplishments and missteps with equal openness. Quarterly updates keep strategy alive in the boardroom and assure members that their board and club management are keeping their promises. Members support trustworthy leadership and trust is built on accountability in your actions.
  • Post a strategic scorecard. After the quarterly update, post the results truthfully and without acclaim. No different that posting your golf score, this is a matter of open accountability for performance. Embrace accountability for your strategic plan’s effectiveness.
  • Produce an annual report. Tell your members what has been accomplished. Align the annual report, as any major corporation would, with the strategic goals and objectives for your business and report on progress toward those goals. Provide members and stakeholders with a succinct summary of the strategic effectiveness of your plan, your board and yourself.

Strategic plans are based on the notion of having a focused plan of action on which all can rely. This step helps to make you and your work more trusted while bringing focus to what makes your facility successful.

One of the more common concerns in many golf courses and clubs is the question of vision or what it really wants to be. A carefully developed strategic plan clearly states who and what you are and establishes a trustworthy foundation for achievements. It shows people that you’re more than just a hat – it’s evidence that you’re bringing the beef.

This article was authored by GGA Partner Henry DeLozier for Golf Course Industry Magazine.

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