Last month, our country experienced the unique, quadrennial “peaceful transition of power”. Some of the more controversial nominations for the new cabinet suggest a look at how private club leaders are chosen and who the best people for those jobs might be in order so our private clubs can operate efficiently and with a high level of integrity and transparency.

Private club (member-owned) governance comes in several different forms. Most clubs typically have boards of directors or governors ranging from 9 to 21 members, who are elected by the members, usually after a nominating committee selects a “slate” that often runs unopposed. The board typically then elects officers from the board (President, Vice President, Secretary & Treasurer) who form the executive committee. Most club bylaws specify a maximum number of terms or sometimes consecutive terms any individual can serve to ensure appropriate turnover and the infusion of fresh ideas and generational change in leadership. This doesn’t always occur.

Sometimes, clubs are led by “benevolent dictators” who typically rule unilaterally and make all the club’s decisions. Many memberships prefer this since it alleviates the need to involve committees and allows swift decisions. At some clubs, not so benevolent dictators assume that role when they feel they accumulate enough power to do so, or most board members simply don’t want to be bothered. This is when problems occur resulting from too much power for too long a time vested in the the “same old crowd”. At some clubs, the “peaceful transition” (or any transition) of power either never occurs or does so very rarely.

First and foremost, there’s a difference between club leadership and club management. As I wrote a few months back in “Who Should Run Clubs…” the roles of management and leadership are often intertwined despite all best intentions. I’ve found that the most effective model is one where everyone “stays in their lane” and the amateurs (the board) take advice from the professionals (management) making decisions based on the long-term best interests of the club. Unfortunately, that doesn’t always happen and among the resulting dynamics is that management (in the interest of self-preservation) become “yes” men/women. Why would any club want to pay good money for someone just to say “yes” all the time and not take advantage of their experience, knowledge, professional expertise and advice? It happens – more frequently than you might imagine.

Just like Congress, most clubs have committees that develop plans and policy and recommend same to the club’s board. Sometimes, members with specific qualifications for certain committees will be appointed, Unfortunately, that’s not always the case. It’s not at all unusual for an over-enthusiastic and limited knowledge green chairman to dictate golf course conditions and presentation to the superintendent while ignoring or not even seeking their professional agronomic advice. For the superintendent to resist is risking their job. Menus are often developed at the direction of the house chairman with limited, if any input from the F & B director. In both these, and other instances, the quality and the economics can suffer.

How can clubs effectively deal with the often overbearing politics, provide a quality product and maintain a budget that keeps members happy? Below are some suggestions.

  • Stay in your lane – Roles of leadership and management need to be precisely defined and adhered to. Management (the professionals) should be charged with providing multiple policy options for leadership that all offer the chance for success. Leadership should select from those options.
  • Guardrails – There needs to be accountability for both leadership and management that begins with transparency. Many clubs are run under a cloak of secrecy and those who inquire are often targeted and chastised. This begins with club finances. Simply producing an annual report doesn’t tell the whole story and independent audits are essential with considerable detail. Clubs rarely want to acknowledge it for fear of shame, but there is considerable opportunity for fraud that comes in many forms. The fraud can come from either management or leadership and can involve everything from simple theft of provisions or liquor to untoward dealings with bids for products or services.
  • Leadership Turnover – Politics being what they are, the “same old crowd” being in control for extended periods causes conflict and stifles the introduction of new ideas.
  • Management Stability – All too often club management (GM, golf pro, superintendents, etc.) changes because leadership meddles. Stability in management is essential. Too many clubs have too much turnover in these positions due to the whims of often unqualified board members with personal agendas.
  • Independent counsel – Like all of us, clubs benefit from independent advice and counsel. These professionals observe the club from a perspective of considerable knowledge and experience and have no emotional attachment to the club.
  • Stick to the Plan – Often, clubs will pay good money to develop master plans, only to have leadership change and go in a different direction. Once a master plan is adopted by the membership, it should be adhered to for long-term consistency.

These are just a few of the challenges I see in my travels to many clubs of different types in a variety of locations and regions. Clubs hire professionals for a reason. Listen to them.