Archive for July, 2009

Eight Key Basics to Successfully Operating a Club

Monday, July 27th, 2009

The club industry is facing difficult times and while we are all facing challenges, each club faces its own particular problems.  As is usually the case when facing difficulties, this is the time to get back to the basics of our business.  Here are 8 things each club should examine:

1.  Leadership.  Clubs need clear-sighted individuals to guide them through tough times – but not just at the top.  They need strong leaders at all levels of operations.  It’s also important that the leadership styles of club leaders at all levels are congruent.  Different leadership approaches can dilute or damage the General Manager’s service message when it’s not reinforced consistently by all managers and supervisors in both word and deed.

2.  Organizational values and culture of service.  Every employee needs to understand what, how, and why you do what you do.  The basics of what you stand for as an enterprise are of absolute importance.  Defining your values is only the first step.  They must be continually and consistently reinforced to all employees.

3.  Planning.  Haphazard planning results in haphazard operations and equally haphazard performance.  Your club should have a 3 – 5 year strategic plan focused on your competitive position in the marketplace.  The club should have an annual plan for what it expects to accomplish and the General Manager and all Department Heads should have detailed annual work plans.  As important, the requirements of work plans must involve measurable performance parameters.  Detailed benchmarking of all areas of the operation is the easiest and best way to do this.

4.  Benchmarks.  You need to understand the variables of business volume and average sale that underlie all of your revenues.  Without this knowledge you may be lulled by historical levels of revenue when they are actually made up of declining volume, but higher prices and fees.  Benchmarking in detail is also an excellent way to listen to what members are saying with their buying habits.

5.  Accountability.  The club business is too demanding not to hold individual managers accountable for results.  The performance of every manager and supervisor must be measured against their annual work plan and there must be consequences for failing to meet goals.  Poor performing managers degrade the efforts of the rest of the team and drive away good employees.

6.  Employee Turnover.  There is a high cost to turnover and it usually related directly to the quality of the club’s leadership at all levels.  It is particularly costly when you do a good job of training your people.  Do not become the minor league training ground for your competitors – both private clubs and local restaurants.

7.  Training.  There is much for employees to know in serving your members.  You cannot expect that your employees will inherently know what to do unless they are systematically and consistently trained.  Training gives your employees the knowledge and confidence they need.  Confident employees are more apt to engage your members and provide higher levels of service.

8.  Member feedback.  You need to understand what your members think about your club, the products and services it provides, and the service your employees render.  Surveys are an excellent tool to do this, but you must act on the information you receive in intelligent and thoughtful ways to make the most cost-effective decisions in satisfying wants and needs.

Getting back to the basics is a sure way to regain your footing during and after the current seismic shift taking place in our industry.  The good news is, and there’s always a silver lining, that the best leaders and their operations will inevitably rise to the top.

On another topic:  I would like to recommend to all managers of club food service operations that they subscribe to Jim Sullivan’s free newsletter.  Jim writes for the restaurant industry, but his wise counsel would be a great help to club operators as well.  You can visit his website and sign up for the newsletter at www.sullivision.com.

 

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 – where membership and all resources are FREE!

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Slashing Overtime With a Simple Change

Monday, July 20th, 2009

I was on the road again last week, traveling to Richmond to speak to the Central Virginia Chapter of the Hospitality Financial and Technology Professionals.  Attendees met Thursday afternoon at the Willow Oaks Country Club to hear my presentation on Tools to Beat Budget – a program that provides a disciplined approach for club Department Heads to monitor their revenues and expenses in a more timely manner.  In addition to keeping managers in closer touch with their numbers, the program has proven itself to be an important tool in preparing more accurate budgets with far less effort.

One of the more interesting things to come out of this meeting during a discussion of overtime costs, was the fact that none of the clubs represented had modified their workweeks and/or pay periods to reduce overtime.

The next day while making the same Tools to Beat Budget presentation to the management staff at another Richmond area club, the General Manager directed his Controller to investigate modifying their workweek to take advantage of this straightforward strategy to cut OT.

To find out more about how you can dramatically cut your overtime costs with one easy change, click here.

As with so many things that club managers can address during this economic downturn, much of it is about focusing on the basics.

Next week:  8 Key Basics to Successfully Operating a 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 – where membership and all resources are FREE!

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Principles of Employee Relations

Monday, July 13th, 2009
We have spoken frequently about the importance of well-defined values in club operations.  None is more important that the manner in which we conduct our employee relations.  Here is a sample statement of those values.
1.  All employees will be treated with dignity and respect.

2.  We pledge to conduct our employee relations in an honest and straightforward way.  Any necessary criticism or counseling will be conducted in private in a constructive manner with the intention of instructing and correcting rather than blaming.

3.  Every employee contributes to the overall success of our operation.  The only difference among employees is their level of authority and responsibility.  Every employee is important.

4.  The great majority of people want to do their jobs well and take pride in their work.  When an employee fails, it is often a failure of management to properly train or communicate performance expectations.  In other words, we can’t expect employees to do something properly unless we have properly shown them how to do it.

5.  Employees have no idea what goals management has for them unless those goals are communicated.  They have a need and the right to know how their performance is contributing to the achievement of those goals.  Continuous feedback is essential.

6.  Management must make every practical effort to keep employees informed on matters concerning standards, policy, procedures, long range plans, projects, work conditions, and compensation and benefits.  An informed employee is a better employee.  Supervisors should be available at reasonable times to answer questions and hear employee concerns.

7.  Recognition is important to all of us.  If we have the authority to correct, we also have the responsibility to praise.  We cannot have one without the other.

8.  Every one of us has a responsibility to help our fellow employees.  We do not work alone.  Rather we work together for a common purpose.  We owe it to ourselves and everyone we work with to be personally pleasant and mutually supportive.  One unpleasant personality or negative, non-cooperative attitude can ruin the workplace for all of us.

9.  We must empower our employees through meaningful contribution, while striving to make our workplace interesting, challenging, and rewarding.  We can do this only by involving employees in decision-making and continual process improvement.  The ideas and energy of our employees are truly the driving force behind any success we may achieve as an organization.

10.  Our workplace must also be pleasant, enjoyable, and even fun.  Too much of our lives are given to work for it to be viewed as a necessary drudgery.  Each employee is challenged to do everything possible within good taste and reason to make their workplace more enjoyable for us all.

When a leader make it clear to all in her organization how employee relations will be conducted, it reduces the problems created by inappropriate and inconsistent treatment by managers.  Just as children get mixed messages when their parents have different approaches to child rearing and discipline, club employees can suffer when their managers have different ways of dealing with staff.

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 – where membership and all resources are FREE!

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Value Your People

Monday, July 6th, 2009

In speaking of Employee Empowerment, business consultant Susan M. Heathfield said, “Your regard for people shines through in all of your actions and words. Your facial expression, your body language, and your words express what you are thinking about the people who report to you. Your goal is to demonstrate your appreciation for each person’s unique value.”

So what things should a leader do to demonstrate your regard for people “in all your actions and words”?

Know and use employee names.  Everyone likes to be recognized as an individual and be called by name.  Certainly your members do, and your employees do as well.  Introduce them to members, guests, and visitors, when appropriate.  Failing to do so implies they’re just part of the scenery instead of key contributors to the success of your club.

Learn about employees as individuals.  Get to know them, their life situations, their dreams and plans, their goals in life.  This does not mean you are to become their friends, but it does mean you have enough interest in them as individuals to try to understand their situation, their needs, and motivations.

Greet employees daily.  You should never fail to greet employees when your see them each day.  You don’t like to be ignored as if you were unimportant, and neither do they.

Share your time with employees.  As busy as you are, make time for your employees.  They have questions, concerns, and needs that should never be ignored.  Be open and approachable.  When you are not, when they are afraid to come to you for fear of your reaction, you are kept in the dark about what is really going on in your team.  If any employee is monopolizing your time or is a “high maintenance” employee, do not be shy about letting him know the inappropriateness of this behavior.

Recognize each person’s strengths and weaknesses.  None of us is the perfect employee, manager, server, cart attendant, etc.  Don’t expect your employees to be.  Learn each person’s strengths and weakness.  Capitalize on the strengths and help each person overcome their weaknesses.  The time you invest in helping an employee develop his or her skills and abilities is well worth the effort and will be appreciated far more than you’ll ever realize.

Be involved in the workplace and work processes.  Do not create a hostile work environment by failing to adequately engage with your employees.  Without your ongoing guidance and direction, petty dissensions and friction will grow among the workers of your team as they struggle to figure out who must do what.

Look out for your peoples’ welfare.  Make sure your employees get adequate work breaks, that their workspaces are set up for comfort and efficiency, that they are properly trained and equipped for their jobs, that you adjust work schedules when possible to meet individual needs, that you resolve pay discrepancies quickly, that you get back to them to resolve issues they’ve raised.  Make sure they understand their benefits, taking the time to explain the details to them.   Â

Treat employees as adults.  When you treat employees like children, they will act like children.  Don’t talk down to them or treat them as if they’re immature.  When you give people responsibility, most will reward your trust.  Those that demonstrate they can’t be trusted should be encouraged to move on.Â

Show respect.  This is critically important in the way you speak, the tone of your voice, your choice of words, and your body language.  Your respect for others cannot be faked.  You must sincerely value people to treat them with respect at all times.Â

Do not take advantage of people.  Employees are not your servants and should not be expected to perform personal services for you.  If you delegate tasks, make sure there is value in it for them, either in enhanced compensation or a genuine learning opportunity.

Thank employees often.  How easy is it to say “Thank you”?  It costs nothing and it reaps great rewards.  The only requirement is that it must be sincerely given.

Say goodbye at the end of the day or shift.  A farewell is a common courtesy that you would extend to family and friends, if for no other reason than as an acknowledgement of departure.  The members of your work team, who you depend upon for your success, should receive no less a courtesy.  Again, the need for sincerity is absolute.

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 – where membership and all resources are FREE!

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