President Doug Provis recently sent a letter to all members entitled “An Update on Strategic Planning at Peninsula ”. First of all, I’m pleased to see that club management is at least publicising their intentions and plans for the club. However, it would have been nice for the rank and file membership to have had some input into the process, or at least to provide a range of opinions on the matter. Nowhere in his letter does Doug encourage input or debate – it’s simply a declaration of the committee’s intentions.
Well, never mind. I’m going to provide some input and opinions now.
Doug states that the club has “comparatively low course budgets” – presumably compared to other similar courses. I find this surprising considering we have a larger membership that other sandbelt courses, we have accommodation facilities that most of them don’t have and we take far greater number of paying guests, houses guests and corporate groups than they do. I would have thought this would make up for us having 36 holes to maintain rather than 18.
However, it’s impossible to know for sure as the published financial statements clump expenses together in such broad categories as to make any detailed analysis impossible.
For example, what is Gary Richardson’s total remuneration? I have heard that he gets a commission on all non-membership revenue raised by the club. Is this true and how much does this total in a year? Given Gary ’s obvious reluctance to look to greener pastures, one might suspect that he’s on a damn good thing at Peninsula . (Not to mention the fact that this gives him a conflict of interest – members access to facilities versus paying guests and corporate groups. We have seen numerous examples of members being excluded from the course due to priority given to paying guests).
So, Doug, a good start to an open and honest discussion on the club finances would be to provide significantly more detailed disclosure.
Some comments regarding some of the points Doug makes in his letter.
1. There is a decline in membership. I know how to fix that. More later
2. Function, dining and accommodation facilities require upgrades. Did I miss something? Didn’t we just upgrade these in recent years?
3. Lifting the standard of maintenance and presentation of the Clubhouse is a priority. Did you ask the members? Everyone I speak to thinks the Clubhouse and facilities are more than adequate, it’s the condition of the courses that everyone complains about.
4. To do this will require an additional $1M per annum. OK – can we see how you came to that figure please.
Doug states the following “facts”.
§ Membership revenue is 48% of total revenue – the lowest level of the Sandbelt clubs.
Well Doug, of course it is. That’s because the other Sandbelt clubs don’t have the same level of alternative sources of revenue that we have – accommodation, paying guests, corporate golf, etc making membership revenue proportionately smaller.
§ Membership numbers are dropping.
I don’t doubt it. I know of some members who have left, but not because the facilities are inferior, rather because of the poor condition of the courses. Here’s a sure-fire way to reverse the decline in membership numbers :
1. Improve the condition of the courses, in priority order :
- greens
- bunkers
- lose-your-ball rough (bracken, lomandra, very long grass) close to the fairways
- grass rough (next to the fairways)
- fairways
2. Stop giving priority course access to paying guests over members. For example, members hate being dumped onto the recently cored greens so that corporate groups can play on the course in good condition.
No doubt, Doug and Gary would say that we don’t have the funds to adequately do point 1, and we need to do point 2 in order to have sufficient funds at all. However, if you’re truly looking to increase membership numbers, then these two points need to be addressed.
But no, the committee has instead decided to decreases the cost of membership in order to increase membership numbers. Reducing your price is the typical tactic employed when you feel you have an inferior product offering. Visionary organisations, on the other hand, employ a strategy of developing a superior offering.
But that’s not us. We’re going to reduce (or eliminate, in the case of 6 day Membership) our entrance fees. Quite a slap in the face for those members who have paid the full membership fee, especially those who don’t regularly play on a Saturday.
Really, what I think the club most desperately needs is a whole clean-out and refresh of its leaders – the General Manager and Committee.
At the next election, rather than have Gary Richardson pick his own team, let’s have all positions thrown open and a genuine attempt at regeneration of club leadership. Let’s actively encourage open discussion, a diversity of views and nomination to committee positions by as many people as possible.
