Archive for the ‘club operations’ Category

The Necessities for Employee Empowerment

Monday, November 7th, 2011

Having discussed again and again the benefits of empowering employees, what is necessary for a club to provide this empowerment.

serversmiling-2First and foremost, strong leadership is an absolute necessity.  Leaders must:

  • Embrace the principles of service-based leadership.
  • Be open with their employees.
  • Be trusting and trusted.
  • Be secure in themselves, their position, and their knowledge; not threatened by knowledgeable employees or those who show initiative.
  • Be willing to share praise and shoulder blame.
  • Be good communicators.
  • Intrinsically understand and value the important role of line employees in the organization.
  • Place a positive emphasis on problem discovery and solution.
  • Allow their employees to demonstrate initiative and innovation, while giving them the “freedom to fail” without repercussions.

Secondly, the necessary disciplines and systems must be established to continually review work processes while involving employees.  It’s also important that procedures be in place to keep the General Manager and other Department Heads fully informed of any resulting changes.

Next, the club must be committed to and deliver extensive, ongoing training to its employees.  Untrained employees cause confusion and the resulting chaos will drive good employees away.

Employees must also be recognized for their accomplishments and contributions.  This recognition will further cement the partnership.

There must be opportunities for employees to grow personally and professionally.  When employees know that the club is also committed to their advancement, they will more willingly participate in making it successful.

Lastly, employees must respect their leaders and willingly follow them.  They will only do this when they see their leaders’ passion for excellence and personal commitment to success.  There can be no substitute for this example.

Summary

Empowering employees is a requirement in any effort to provide remarkable service.  Busy managers cannot do it all and need the help of their willing, committed, and empowered employees.  While it takes time and effort to establish a culture of empowerment at a club, the resulting improvement in operations, efficiency, and service levels make it well worth the effort.

Thanks and have a great day!

Ed Rehkopf

This weekly blog comments on and discusses the club industry and its challenges. From time to time, we will feature guest bloggers — those managers and industry experts who have something of interest to say to all of us. We also welcome feedback and comment upon the blog, hoping that it will become a useful sounding board for what’s on the minds of hardworking club managers throughout the country and around the world.

Club Resources International - Management Resources for Clubs!

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Conducting Meaningful Meetings

Monday, October 31st, 2011

woman-manager-2Meetings are often thought of as the bane of a business person’s existence, but meetings are an important means to communicate information and serve a useful role in any business enterprise.  The reason that meetings often get a bad rap is that they can seem endlessly boring when the person calling the meeting has not taken the time to define its purpose or established ground rules for its conduct.

Meetings can serve a number of useful purposes.  They can be used to disseminate information and keep different areas of the business informed about projects, progress, decisions, changes, or new initiatives.  They can be used to brainstorm and solve problems.  They can be used to coordinate the activities and efforts of different parts of the organization.  They can also foster good two-way communications between managers and staff.  But in all cases it’s up to the person who called the meeting to define its purpose and rules of conduct and to control the meeting.

In our business there are four basic types of meetings that serve the need of improved communications:

  • The Update Meeting – this meeting is used by management to allow managers to update their peers on their initiatives and progress.  The primary example of an update meeting is the General Manager’s weekly meeting.  Its purpose is to allow the club department heads and the GM to bring other members of the management team up to speed on various projects, issues, and efforts of general importance.  Its purpose is general in nature and it should not to be used to solve complex problems or address controversial issues that cannot be resolved quickly or easily.  Each department head should take a few minutes to tell the other managers what is going on in his or her area.  It’s an excellent opportunity for the Controller and Personnel Administrator to cover any issues of concern with accounting or human resources.  The GM will usually use the opportunity to bring up issues of general concern that affect multiple departments.  Should discussion lead to disagreement or controversy on any subject, the matter should be tabled for discussion at another meeting called solely to resolve the issue.  The central elements of the update meeting are brevity and generality.  The valuable time of a lot of very busy people is being used in this meeting and everyone has a responsibility to arrive on time, be brief in their presentation, and cover information that is general and broad-based in nature.
  • The Employee Meeting – this meeting is used by managers to communicate information of importance to his or her staff. Such information can include new or changed policies and procedures, discussion of new initiatives, ongoing or refresher training material, and anything else of importance to the department.  As with the Update Meeting, should controversial issues or issues affecting only a small number of employees come up, the matter should be tabled and dealt with in another meeting called solely to deal with that issue or with the few employees involved.  Ideally, department heads should call employee meetings on a monthly basis.  The meeting time should be set when the greatest number of employees are available to attend.  Off duty employees are expected to attend, but may be excused by the department head.  Every employee meeting should include ample time for employee questions.  Allowing employees this opportunity will allow the manager to get the pulse of his or her department’s attitude and morale, may uncover previously unknown issues, defuse potential blowups, and foster better understanding and teamwork in the department.
  • Issue Resolution Meeting – this type of meeting is called specifically to resolve an issue.  Only those individuals who have a direct bearing on the issue are invited to the meeting and its sole purpose is to solve the problem.  In some cases the problem cannot be solved in one session and may have to be continued to a further meeting with the possibility of others being included.
  • Coordination Meeting – this type of meeting should be held whenever there is the need for close coordination between various club departments.  A good example of a coordination meeting would be a weekly food and beverage meeting with the front and back of house supervisors that covers all catering events for the coming period.  Another example would be a meeting called to cover the particulars of a large or important club event such as the member-member tournament or a wedding.

As with anything else in business, the quality and efficiency of the meeting is only as good as the effort put into it by the person leading the meeting.  As mentioned before, the success of any meeting can be attributed to the prior preparation of the person responsible for calling or running the meeting.  Various methods for running effective meetings are discussed below.

Establishing the Purpose of a Meeting

When calling a meeting, the person responsible should, in addition to setting the date, time and place, make it clear what the meeting is about, who will be attending, and the type of meeting to be held (update, informational, issue resolution, or coordination).  Participants should also be told of any information, research, presentation, or materials they are responsible for bringing to the meeting.

For example, a meeting called by the general manager with the kitchen and dining room managers to address slow food service would be described as an issue resolution meeting including the executive chef and the food service manager.  The food service manager may be asked to bring member comment cards complaining of slow service and the chef might be asked to bring an analysis of printed guest orders to confirm actual prep times.

Setting an Agenda for a Meeting

Given that every meeting should have a purpose, the person calling the meeting will prepare an outline of the discussion points to serve as an agenda for the meeting.  The agenda should then be provided to each participant so they may better prepare for the meeting.  The format for an agenda is simply a listing of the topics to be covered or addressed.

Regularly scheduled update meetings of standard format usually do not need an agenda so long as all participants are familiar with the format and requirements of the meeting.  If in doubt, prepare an agenda.  It never hurts to make participants aware of matters to be discussed.

Meeting Time Management

Long, pointless meetings are detested by everyone.  Setting an agenda will hopefully focus the meeting on a particular topic or issue, but unless the person calling the meeting exercises leadership and control, the meeting can easily be sidetracked into ancillary or tangential issues.  This is where a strong leader is required to keep the meeting on track and on topic.

While always sensitive to participant’s input and feelings, the leader should intervene when discussions get off topic or wander into the wasteland of irrelevancy.  By gently urging the participants back to topic or to quickly get to the point, the leader manages the meeting.  In some cases such as update meetings, participants should be given time limits to update their areas.  Time limits may inhibit issue resolution meetings and should be used with care in that setting.

Preparing Meeting Minutes

Minutes are required anytime an important meeting is held where committee decisions are made.  The prime example of this would be in member-owned clubs where various committee meetings make decisions regarding how the club operates.  The minutes serve as a record of discussion and voting and may be used to inform the membership of important decisions.

Meetings are not usually required in managers’ update meetings, employee meetings, coordination meetings, and issue resolution meetings unless a higher authority desires that minutes be prepared.  For instance, a general manager planning a vacation may direct subordinate managers to solve a particular issue while he or she is gone and provide a record of the meeting.

In the absence of minutes, all participants are expected to bring pen and paper and to take notes on any important matters covered.  For instance, all department heads attending the GM’s weekly update meeting are expected to brief their staffs on any important issues or information discussed in the meeting.  Without keeping notes they are unable to fulfill this requirement.

Summarizing Decisions and Action Items

In any type of meeting where decisions are made, the meeting leader should summarize what decisions have been made.  This is important because often the discussions leading to a decision are far-ranging.  Without a clear statement of what course of action has been determined, some participants may leave without an understanding of what was decided.

Similarly, if participants are assigned action items (that is, are assigned specific tasks to complete), they also must have a clear understanding of what they are to do and when it must be accomplished.

Summary

Most of the foregoing material regarding meetings is plain common sense.  Once again, the most important factor in productive meetings is the preparation and leadership of the person calling and running the meeting.  While preparing an agenda and setting the ground rules for the meeting may seem like a nuisance, the productivity of a large number of very busy people can be enhanced dramatically by this simple discipline.

Thanks and have a great day!

Ed Rehkopf

This weekly blog comments on and discusses the club industry and its challenges. From time to time, we will feature guest bloggers — those managers and industry experts who have something of interest to say to all of us. We also welcome feedback and comment upon the blog, hoping that it will become a useful sounding board for what’s on the minds of hardworking club managers throughout the country and around the world.

Club Resources International - Management Resources for Clubs!

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The Simple Checklist

Monday, October 24th, 2011

checklist-144x143Airline pilots have long recognized the importance of using checklists to ensure that all steps in preparing to fly or land a plane have been properly attended to.  For pilots the issue is a critical one – safety.  But checklists can also be used to train employees in the proper steps for any important process or event.  A quick list of the things to be done with a place to check off that it was completed is a simple, yet effective way to make sure employees understand and do what is required.

The checklist is also important for establishing accountability for any important action – say securing the club at the end of the day, properly completing opening duties, ensuring the cleanliness of kitchens and bathrooms, and completion of any action with safety implications.  The responsible employee checks off each step as it’s completed, then signs and dates the checklist indicating that all steps were completed.  The manager or supervisor can then spot check to ensure that the work was properly done.  If not, she knows who is responsible for the failure.

Solutions don’t have to be complicated; they just have to work.  Using checklists is an effective way of handling many recurring responsibilities within the club.

Thanks and have a great day!

Ed Rehkopf

This weekly blog comments on and discusses the club industry and its challenges. From time to time, we will feature guest bloggers — those managers and industry experts who have something of interest to say to all of us. We also welcome feedback and comment upon the blog, hoping that it will become a useful sounding board for what’s on the minds of hardworking club managers throughout the country and around the world.

Club Resources International - Management Resources for Clubs!

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Focusing on Solutions

Monday, October 17th, 2011

“Never complain - always occupy yourself with solutions.”

This simple yet important maxim was brought home to me with stunning force years ago while working at a California resort.  Here’s the story:

counting-money-284x300Marjorie was the friendly head cashier at the resort and reported to the controller, who, as can be expected from someone in that profession, was a stickler for detail and accuracy.  Among Marjorie’s duties was the task of safeguarding the resort’s large cash reserve bank and making change for the many cashiers.  Her small office located in the administration building was frequently crowded with employees seeking change.  Quite naturally, it was also a scene of noise and confusion.

One day on my walkabouts I stopped in to chat with Marjorie and was surprised to find her crying at her desk.  When asked what was wrong, she responded tearfully that she was in danger of losing her job.  Unaware that this was so, I asked why.  She then related to me that, on multiple occasions during the past month, the resort bank came up short.  Each time she was counseled by the controller, but at the last counseling her exasperated superior warned her that further shortages could result in termination.  She went on to say that no matter how careful she tried to be, her bank was once again short.  Through her tears she said she was sure she’d be fired this time.

As I sat across the desk from the distraught woman, I tried to calm her, but nothing I said could reassure her.  Finally, in a sharp voice I said, “Marjorie, are you stealing from us?”  Shocked, she looked at me incredulously and said quietly, “No!  I could never do that.”  Having gotten her attention, I said, “OK, then, let’s try to find out where the problem is.”  I then listened carefully as she described her daily routine for me.

Slowly, in response to my questions, she began to realize that counting errors were the natural consequence of the confusion of multiple employees engaging her in conversations while getting their change.  Marjorie’s native friendliness and outgoing personality were making it difficult for her to concentrate.  I suggested that rather than going meekly to the controller to report yet another shortage, she should confidently go with a carefully thought out analysis of what was wrong and what steps she would take to overcome the problem.

As the two of us sat there reviewing the current procedures, Marjorie drew up a short list of how she could avoid future shortages.

  1. Replace the door to her office with a Dutch door that would remain closed and locked, thereby keeping employees out of her office.
  2. Require employees seeking change to line up outside the door.  This way she would deal with only one person and one transaction at a time.
  3. Keep the large safe closed and locked while maintaining a smaller “par” change fund in a locked drawer at her desk.  This way only a smaller amount of money had to be monitored and counted with each transaction.
  4. Keep a log of all the change needs by each employee.  Over time this record would allow her to establish the par fund at the appropriate level – neither too large nor too small.
  5. Establish a policy that change for the largest cashier banks would only be made by appointment.  This would allow her to be prepared for and deal with the largest transactions in a methodical way.
  6. Establish set procedures for counting out change.  Employees seeking change would use a change request form that itemized their needs.  She also would establish a specific routine for multiple counts of tender and change while keeping tender separate from the par bank until all counts verified the transaction.

By the time I left her office, Marjorie had calmed down, galvanized by her plan to eliminate future problems.  The next day she stopped me in the lobby to tell me that the controller was thrilled by her proposed “solutions” to an ongoing problem.  He didn’t want to fire her; he just wanted the problem solved.

Buoyed by the sense that she was now in control and that her job was no longer in jeopardy, Marjorie confessed that her preoccupation with the potential consequences of the shortages blinded her to a solution.  She said it was a hard lesson learned, but one she would never forget.

It also made a great impression on me – one that I too still remember.

Excerpted from Leadership on the Line:  A Guide for Front Line Supervisors, Business Owners and Emerging Leaders, Ed Rehkopf, Clarity Publications, 2006

Thanks and have a great day!

Ed Rehkopf

This weekly blog comments on and discusses the club industry and its challenges. From time to time, we will feature guest bloggers — those managers and industry experts who have something of interest to say to all of us. We also welcome feedback and comment upon the blog, hoping that it will become a useful sounding board for what’s on the minds of hardworking club managers throughout the country and around the world.

Club Resources International - Management Resources for Clubs!

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My Favorite Service Quotes

Monday, October 10th, 2011

smilling-waiter2

Quotations from successful people on any number of topics can be an excellent way to inform yourself of those things that can make you successful in life.  I like to use selected quotes as a quick and easy way to remind employees of those essential elements of business success.  First among those elements is providing service to customers.  Here are some of my favorite service quotes:

  • “Quality in a service or product is not what you put into it.  It is what the client or customer gets out of it.” – Pete Drucker
  • “If you don’t take care of our customers, someone else will.” – Unknown
  • “Customers don’t expect you to be perfect.  They do expect you to fix things when they go wrong.” – Donald Porter
  • “The goal as a company is to have customer service that is not just the best, but legendary.” – Sam Walton
  • “Being on par in terms of price and quality only gets you in the game.  Service wins the game.” – Tony Alessandra
  • “Here is a simple but powerful rule – always give people more than what they expect to get.” – Nelson Boswell
  • “In business you get what you want by giving other people what they want.” – Alice MacDougall
  • “Although your customers won’t love you if you give bad service, your competitors will.” – Kate Zabriskie
  • “A business absolutely devoted to service will have only one worry about profits.  They will be embarrassingly large.” – Henry Ford
  • “If you’re not serving the customer, you’d better be serving someone who is.” – Karl Albrecht
  • “You’ll never have a product or price advantage again.  They can easily be duplicated, but a strong customer service culture can’t be copied.” – Jerry Fritz
  • “I can’t guarantee you a job and a union steward can’t guarantee you a job, only a customer can.” – Michael Hammer

Recognizing that, as Nia Long, American actress, philanthropist, and music video director, says, “We’re all in the service business,” Club Resources International has created a number of Notable Quotables on Service, as well as Leadership, Values, and Management Disciplines.  These tools can be printed out (at no cost) and placed on bulletin boards, put in pay envelopes, or used for discussion purposes at weekly managers’ meeting or departmental staff meetings.  They are great reminders – and simple to use.  Check them out here.

Thanks and have a great day!

Ed Rehkopf

This weekly blog comments on and discusses the club industry and its challenges. From time to time, we will feature guest bloggers — those managers and industry experts who have something of interest to say to all of us. We also welcome feedback and comment upon the blog, hoping that it will become a useful sounding board for what’s on the minds of hardworking club managers throughout the country and around the world.

Club Resources International - Management Resources for Clubs!

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Expectations

Monday, September 19th, 2011

mgmt-team-21

Unless your employees inhabit some alternate reality, one in which every employee intrinsically understands the multi-dimensional requirements of service and has telepathic powers to know how you want them to function at all times, you as a general manager must spell out your expectations for them.

This is particularly so for your management team.  Regardless of background, education, and work experience, you must ensure that they know what you expect of them in all situations.  Further, to ensure consistency in the operation and how employees interact with members, managers must have a common understanding of the club’s standards, policies, and procedures.  This means that you must communicate in detail your expectations for the following:

  • Leadership
  • How members and employees are valued and treated
  • Organizational values
  • Club culture and service standards
  • Club and departmental organization
  • Operational disciplines
  • Training, and
  • Performance

Without making the effort define expectation in these critical areas, the club will operate as a collection of tribes, each reflecting the dedication, performance, and example of its manager.  Such an operation will be disorganized and conflicted – incapable of rendering consistent service and value to its members.

Any general manager with any length of experience and time to reflect upon the realities of our industry will know this to be true, yet who has the time to spell out such a large, complex, and interconnected set of expectations while dealing with the day-in, day-out challenges of a busy hospitality operation?

It is for this reason that, at the culmination of a long career in hotels, resorts, and private clubs, I have attempted to define the expectations I have for those who report to me.  While these expectations reflect my approach to leadership and management and may not apply in every case, I believe they offer a large number of proven best practices for any manager who wishes to develop employees to their fullest potential and provide high levels of service.

Click here to review a sample of What I Expect from My Club Management Team.

Thanks and have a great day!

Ed Rehkopf

This weekly blog comments on and discusses the club industry and its challenges. From time to time, we will feature guest bloggers — those managers and industry experts who have something of interest to say to all of us. We also welcome feedback and comment upon the blog, hoping that it will become a useful sounding board for what’s on the minds of hardworking club managers throughout the country and around the world.

Club Resources International - Management Resources for Clubs!

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The “Loneliness of Command”

Monday, August 29th, 2011

presentation1-217x325The movie Twelve O’Clock High, in which Gregory Peck portrays a B-17 squadron commander in WWII, provides an important principle of leadership.  It graphically demonstrates that to do his job right, a leader must not be concerned with whether his followers like him or not.

The movie also accurately portrays another important aspect of leadership – what is commonly called the “loneliness of command.”  In this film, General Frank Savage has been given the tough assignment of turning around a demoralized squadron whose pilots have developed a bad case of self-pity due to the relentless pounding they are taking on their bombing runs over Germany.

It’s evident that the General is a caring commander as shown in the scene where he shares a cigarette break with his enlisted driver before driving onto the base to begin his difficult task.  Once there he plays the “hard ass” who has come to restore discipline and confidence in his men.

The tough love approach quickly alienates the pilots, but that doesn’t concern the General, at least outwardly.  Dean Jagger, playing the civilian lawyer turned squadron adjutant, begins to see through the General’s tough façade and realizes what he is trying to do.  Yet the General keeps his own counsel and doesn’t tip his hand despite the adjutant’s growing collaboration in his plan.  Ultimately, the strain of Savage’s concern for his men as the continued bombing runs take their toll on the revitalized squadron causes the General to suffer a breakdown – dramatically demonstrating the burdens of command.

But the lesson here is the portrayal of the loneliness at the top where the leader, despite his many burdens, keeps his own counsel and outwardly maintains his distant, command presence, regardless of his own doubts and fears.  In this situation Savage knows that his hard-nosed approach is the only way to galvanize the men into action and shake them out of their lethargy and self-pity.  So he makes himself their enemy and the focus of their wrath.  While no leaders enjoy being despised by his followers, the General refuses to confide his plans to his men or fellow officers.

The lesson here is plain.  Leaders must sometimes do tough, unpopular things in service to larger goals.  Sometimes they will be vilified for their efforts, yet a true leader does not attempt to share his burdens by confiding in his followers, no matter what his concern, worries, or self-doubt.  He knows that success, when achieved, will be the self-evident vindication of his plans and actions.  In the meantime, he has the emotional maturity to realize that sharing his concerns with his subordinates will undermine the larger effort he has undertaken.

While this example of leadership is set in the life and death situation of combat, it still applies to the less dramatic setting of club management.  In making tough decisions for the larger good of the club, the leader cannot be swayed or influenced by personal concerns of friendship with subordinates.  If he has allowed himself to get too close to his followers, his judgment may be affected and he will find it difficult to do the right things.  For this reason, while a leader must value his employees, treat them with kindness and respect, and engage with them daily, he must always maintain a professional distance between himself and his followers.  Only then can he be “free” to do what is necessary for the larger good of the club.

Thanks and have a great day!

Ed Rehkopf

This weekly blog comments on and discusses the club industry and its challenges. From time to time, we will feature guest bloggers — those managers and industry experts who have something of interest to say to all of us. We also welcome feedback and comment upon the blog, hoping that it will become a useful sounding board for what’s on the minds of hardworking club managers throughout the country and around the world.

Club Resources International - Management Resources for Clubs!

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What I Expect of My Retail Manager

Monday, August 22nd, 2011

retail-325x276Most clubs have some sort of non-F&B retail operation such as golf and tennis pro shops, while some in more remote areas may have a general store.  Often the pro shops are operated by the professionals – both golf and tennis; in other cases, the club has a retail manager to oversee these operations.  But no matter who is responsible for the retail bottom line, there are certain things that I, as a general manager, expect.  Here’s my list:

  1. Create written standards, policies, and procedures for all aspects of the retail operation to promote organization, consistency, and continuity.  These also form the basis for training of retail clerks.
  2. Create and use an Annual Retail Buying Plan.  What, when, and how much inventory is purchased each year should be carefully planned.  The plan should be in writing and be revisited at the end of the year to see how well the club did in buying and selling various categories of merchandise.  Revisiting the plan at year’s end will help improve next year’s buy.  Good buying decisions are the most important thing a retailer can do to be successful.
  3. Benchmark the operation.  Retail operations must be benchmarked in detail to learn as much as possible about what sells and doesn’t sell.  The more the retailer knows about the customer’s buying habits, the better future buys will be.  It’s also important to analyze the results of buying and markdown decisions.  What and how many items are marked down represent the buying mistakes.  A retailer should always learn from those mistakes to avoid repeating them.  I also want them to track, monitor, and analyze monthly and year-to-date sales by product category, brand, and item to better understand what sells and what doesn’t.
  4. Create and use a Merchandiser’s Book.  Proper management of retail inventories and good business practice require that retail managers maintain close scrutiny of their buying decision, retail benchmarks, inventory purchase orders, and a log of their major merchandising decisions such as markdowns, sales, inventory discrepancies, write-offs, and any member feedback about the retail operation.  By maintaining this information in a single binder, retail managers have a convenient method of continually analyzing their buying and merchandising decisions with an eye toward continual improvement.
  5. Know the members and their buying habits by using a Membership Retail Book.  Each retail interaction with a member reveals something about his or her buying habits and preferences.  A Membership Retail Book is simply a place to organize and record the information learned about each member.  It is as simple as recording member information in an alphabetized ledger book under each member’s name or utilizing the member preference feature of your retail software.  Once information has been entered for a particular member, it is easy to add more information each time that member shops.  In time the Membership Retail Book will accumulate a wealth of information about members buying habits and preferences.  This information can be used to improve buys, better serve members, increase retail sales, and improve margins.
  6. Have an established discount policy.  Inevitably some merchandise will not move quickly and will sit on shelves or racks for some time.  Such slow-moving merchandise should be made more attractive to members by reducing the price through a series of pre-defined discounts.  Tracking such discounts in the Merchandiser’s Book may help the retailer understand what didn’t sell at full price and this understanding will help improve future buying decisions.
  7. Use a sales and promotion calendar.  An annual sales and promotion calendar should be developed to help the retailer market promotional and discounted sales.  The more members that know in advance about promotions and sales, the more traffic there will be in the shop.  It can also be used as an opportunity to learn more about member’s buying habits.  Coordinate sales and promotion calendar with the activities director who is responsible for the club’s master event and activities schedule.
  8. Rotate stock and change displays.  Move merchandise around frequently to keep the shop interesting and fresh.  Use props and displays to showcase merchandise.  Seasonal themes and decorations offer many opportunities to make the shop attractive and inviting.  Ensure shop clerks are familiar with all products in the shop.  Staff must be familiar with their inventories and knowledgeable about products carried in inventory.
  9. Conduct timely and accurate inventories to ensure that cost of goods sold is computed correctly.  Conduct a formal analysis of cost of goods sold when the monthly number is out of line.  Benchmark the cost of goods from month to month to spot any negative trends.
  10. Train staff.  In addition to teaching shop clerks customer service, merchandising, and sales techniques, they must know as much as possible about the products they sell.  The retail manager must work with vendors to provide detailed information about their products.

None of the above steps are rocket science.  More than anything they are the organizational habits of a professional retailer.  Implement any or all of these practices and watch the business and annual margins grow.

Thanks and have a great day!

Ed Rehkopf

This weekly blog comments on and discusses the club industry and its challenges. From time to time, we will feature guest bloggers — those managers and industry experts who have something of interest to say to all of us. We also welcome feedback and comment upon the blog, hoping that it will become a useful sounding board for what’s on the minds of hardworking club managers throughout the country and around the world.

Club Resources International - Management Resources for Clubs!

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Put Special Occasions to Work for Your Bottom Line

Monday, August 15th, 2011

Wedding food being servedMost membership databases have considerable information of value for the conscientious club manager.  Take for instance birthdays and anniversaries.  These celebratory occasions are a real opportunity to improve the club’s bottom line.

  • Have your food and beverage manager design special celebratory packages for anniversaries and birthdays.
  • Customize birthday packages by gender and age for adults and children.
  • The package should include a cake or special dessert and, in the case of anniversaries, a bottle of champagne or favorite wine.
  • Price the packages aggressively to ensure perceived value.  The benefit of this program for the club is not in margin per meal, but in increasing the overall food and beverage volume, especially during slow periods.
  • The General Manager should send a special congratulatory card to the celebrants, inviting them to the club.  Require an RSVP and limit the celebration to traditionally slow nights by excluding traditionally busy Friday and Saturday nights.  This will build volume on slower nights and will allow servers to give special attention to the celebratory party.
  • If available, the General Manager of Clubhouse Manager should stop by the table to wish the party a Happy Anniversary or Birthday.
  • If servers are going to sing “Happy Birthday,” make sure they can sing, are properly rehearsed, and on key.
  • Children’s birthday parties also offer a special opportunity for a Birthday Bash, possibly at the pool during the swim season or a themed party in some other club venue.  This is a great opportunity for the club’s activities staff to use their ingenuity and creativeness to do something really memorable.

The potentials are significant for the effort expended.  Consider a club of 900 memberships with an average of 3.2 family members per membership.  This translates to 2,880 birthdays a year.  At a conservative capture rate of 25% of the birthdays and an average check of $75 per birthday celebration (and much higher for Birthday Bashes), the potential could be as high as $54,000 in additional food and beverage revenues.  With upselling opportunities, the number could be significantly more.

The same membership with 700 couples could yield an additional $14,000 in anniversary revenues with a 40% capture rate and a $50 average check per couple.

For the small price of an organized system, administered by the club receptionist or administrative assistant, the club can reap significant rewards – not the least of which is the goodwill of members who appreciate the special efforts made on their behalf.

Excerpted from Food Service Management on the Go

Thanks and have a great day!

Ed Rehkopf

This weekly blog comments on and discusses the club industry and its challenges. From time to time, we will feature guest bloggers — those managers and industry experts who have something of interest to say to all of us. We also welcome feedback and comment upon the blog, hoping that it will become a useful sounding board for what’s on the minds of hardworking club managers throughout the country and around the world.

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Guest Blog: Shoestring Marketing — Cultivate Your Club’s Natural Resources

Monday, August 8th, 2011

The upside of working with little or no marketing budget is that it forces you to get creative.  Brainstorming is a great way to find an unusual solution, but don’t overlook your most obvious, readily available resource – your members and staff.  By nurturing relationships with these people they will, in essence, become your most effective marketing tools.  Their efforts will help differentiate your club in the marketplace, generate a buzz in the community, and help you build/retain value through Club pride in action.  These seemingly simple, and often inexpensive, options include and result in:

  • A culture of pride based on consistency and quality – in facilities, food/beverage, amenities and staff,
  • An environment which empowers staff to take ownership of their respective roles and rewards them in doing so, and
  • Informed and engaged members and staff who help spread the word.

These and other means are in your arsenal of natural resources awaiting your cultivation and utilization.

El Macero CC’s GM, Steven Backman CCM, says it best, “Hire for attitude; you can train almost anything else.”  Since starting from scratch isn’t usually an option, implement a Good Attitude=Good Hire policy, effective immediately.  In doing so, you and your fellow managers will strive to add only enthusiastic individuals to the team.  Among existing staff, look for and focus on positive actions, acknowledge successes and reward desired behaviors.  Provide a training program to insure consistent quality in every aspect of your club.  Empower staff to take ownership of what they do: “See it, Own it, Solve it, Do it” (read more:  The Oz Principle).  Engage and inform with timely information, and empower them by asking for help in building awareness of programs, services and events.   The results of implementing these practices may surprise you in the number of issues resolved quickly and inexpensively, increased pride among staff in having resolved issues on their own and increased satisfaction in working at your club through being empowered and trusted to problem-solve.    With your team of enthusiastic staff in place – providing consistent, quality service, promoting club pride and events – it is time to identify and engage your member partners.

The hospitality industry is all about relationships, and, while the importance of quality relationships with your staff is obvious, the quality of those you have built with your members is equally important.  Members feel pride in their club through consistent, quality service and facilities, as well as through a sense of belonging via their friendships with other members.  Looking to your entire membership, identify the most active and involved members, your “club evangelists.”   Invite them to get involved in sharing the Club’s message and provide them with timely, accurate information.  Encourage them to talk outside Club walls (even on social media like Twitter, if you dare!) about the last outstanding meal they had at the Club, or membership opportunities, keeping in mind that a message shared peer-to-peer far outweighs one from a traditional marketing method.  By doing so, you/they will have started the most effective marketing program available:  word of mouth.  Building and maintaining relationships requires consistent effort, working through your staff and members increases your marketing power exponentially.  Engaging and empowering these same folks, and recognizing efforts along the way, gives everyone a stronger sense of pride and ownership in their club or what they do at the club, and where they belong or work.

Hiring happy people and properly training them, nurturing relationships with your staff and members to build a strong network of club supporters, and harnessing the enthusiasm and energy that both groups bring will help market your membership opportunities, and your club, better than you ever could alone.  These efforts help you save precious marketing dollars for other programs and bolster feelings of ownership and pride among members and staff in their club.  While gauging marketing ROI is much more difficult when compared to tracking a response rate from an invitation to preview your club, having prospective members see the culture and pride IN ACTION does more to entice a prospect than any artificial meet-and-greet style event.  By conveying a feeling of pride in your club, an inside secret has, in effect, been shared which says, “Join XYZ Club, and you, too, can enjoy this exclusive experience!”

Now, ask yourself: What are you doing to harness your natural resources in your membership marketing efforts, and what is your club doing to share its “inside secret”?

jill-melbye3About the Author: Jill R. Melbye is a Principal and Certified Marketing Professional with MAI Business Services. She has worked within the private club industry for 15 years and conducts seminars and provides marketing support to the hospitality industry. She is also the publisher and author of “Membership & Marketing: From A to Z”, MAI’s quarterly eNewsletter. For more information, please contact Jill at jill@melbye-assoc.com, or visit the website www.melbye-assoc.com. Follow her on twitter! www.twitter.com/jrmelbye

Thanks and have a great day!

Ed Rehkopf

This weekly blog comments on and discusses the club industry and its challenges. From time to time, we will feature guest bloggers — those managers and industry experts who have something of interest to say to all of us. We also welcome feedback and comment upon the blog, hoping that it will become a useful sounding board for what’s on the minds of hardworking club managers throughout the country and around the world.

Club Resources International - Management Resources for Clubs!

Add                to Technorati Favorites