Collaborative Club Governance: The Roadmap to Success at Your Private Club

Collaborative governance is the roadmap to success at your private club. That’s because collaborative governance lays down the roles and responsibilities of the club’s board of directors while leaving the day-to-day operation to the club’s general manager/chief operating officer and senior managers.

This means the board establishes the overall direction to ensure the club meets the club’s member experience goals as laid out in the club’s strategic plan. And that’s the way it is for Brett Morris, chief operating officer and general manager, and his president, Joe V. McCart, and board of governors at The Club at Admirals Cove in Jupiter, FL (pictured below).

“I have worked with numerous boards throughout my career. Some were hands-off and some were very hands-on,” Morris explained recently.

“It’s those early career lessons that have helped me become successful at Admirals Cove. We believe in a collaborative governance model. The board and I discuss strategic planning, our vision and the financial outlook of the club. The board sets the policy and holds my management team and me accountable for the daily operations.”

“The board’s responsibility is to set policy, support the general manager and hold them accountable,” concurred McCart. “In addition, you need a strategic plan with proper financial controls and board oversight.

“An important point: the board’s decisions should be driven by what’s best for the club rather than contemplating what you think the members may say or think. To me, that’s a very poor thought process because the members elected the board to make decisions, not to try and guess what the members may want you to do.

“You must have thick skin as a board member because no matter what decision you make, there will be a certain portion of the membership that will disagree. So make the best decisions you can as a fiduciary to the club and you can find comfort in knowing you acted in the best interest of your club and members,” McCart added.

The vision

“Our vision is to provide our members with a world-class membership experience. However, we cannot rest on our laurels. We must always deliver the highest quality of programs, facilities and be up to date with the latest trends in our industry,” Morris said.

“It’s important that the general manager maintains a very open relationship with the board, allowing for open and honest communication, even when you disagree on different approaches. I worked at one club where the average age was significantly older and therefore, they wanted things done a certain way...’ the way they had always done it.’

“However, newer and younger members had fresh ideas and wanted to be innovative and be relevant. They wanted more kids’ activities, restaurants open later and year-round family events.

“We faced the challenge of these younger members not being represented on the board and I had to be their voice. As a GM, you don’t always have to agree with the board, but remember, they are looking for leadership, not ‘yes’ people. The board is looking at you to guide the club. It’s not always rosy, but as long as you have an agreed-upon vision and mutual respect, you will be successful,” Morris opined.

“There are numerous keys to our success at Admirals Cove. First, it’s crucial that, as GM, you have a strong relationship with your club president. I speak to my board president regularly, day and night, and I will tell you he is the most engaged and supportive president with whom I’ve ever worked. I use my board members as my eyes and ears. They give me regular feedback...some of it great news and at other times areas of concern. This data is valuable to make sure we are delivering on our strategic direction and membership experience.”

McCart agreed.

“Brett and I speak daily and often multiple times a day. We have problem-solving meetings and other times just discuss improving or enhancing our members’ experiences.

“A frank and collaborative relationship between the board and management is crucial to success. This has been especially true during the pandemic where we were in uncharted waters. So it was a perfect storm almost immediately after Brett joined management and I was elected to the board and elected president,” McCart added.

“We were hit on multiple fronts – COVID-19 causing the closure of all our facilities, some multiple times because of positive COVID-19 tests among employees, to some dissatisfied members and a general lack of confidence in the board and management.

“Fortunately, after a fairly difficult process and listening to the members’ concerns and addressing the real issues, communicating through various forms, the members responded resoundingly in support of the positive changes from the board and the general manager,” explained McCart, one of BoardRoom’s most outstanding president selections for 2020.

“You cannot internalize the negative comments. You need to be open to constructive criticism and take that feedback and do something about it. You are working for the members and it’s your job to make sure you are delivering on the club’s promise,” Morris injected.

“There is no room for complacency. You cannot wait for a board member to share a complaint; you have to go out and solicit them.”

Member feedback

Morris explained that every six months, the club surveys its members.

“Instead of one long survey that covers every part of our operation, we fragment them so that we get more engagement. So, for example, one survey can focus on golf and our racquet program while another can be devoted to food and beverage and our events.

“Member feedback holds us accountable. We share this information with our board and discuss where we are missing the mark or how my management team and I plan to adjust,” he added.

“Being nimble is crucial to our success. Think about what we all learned during COVID-19. A good crisis plan is one thing but being prepared for a worldwide pandemic is another.

“I knew what we needed to do, and it had to happen quickly. The board and I got together and put in a testing facility on-site for members and staff. We expanded our to-go options, changing menu options weekly; we hosted drive-through events and updated our communication, so everyone was in the loop. Health and safety stayed at the forefront of what we accomplished while having some fun during our season of social distancing,” Morris said.

The average age for members at Admirals Cove is 59. But the club has seen a massive influx of younger families moving in to enjoy the first-class amenities and lifestyle.

“We have nine board members, selected by a nominating committee, who are members in good standing, and that have participated on a club standing committee,” he explained.

“The nominating committee is separate from the board, and the role of the nominating committee is just that – to nominate a person they feel would be a great addition to the board.

Collaborative Governance the Key to Success

At The Club at Admirals Cove

The goal is to nominate well-intentioned members who are not driven by personal agendas. You want people who are interested only in what’s best for the club. I believe having a diversified board is important so that different age groups, areas of interests, etc. are included,” Morris stressed.

It hasn’t always been the case for Morris during his time as a general manager.

“At one club where I worked, there was a member that did not like the food. Her goal was to get on the board and make radical changes to our food and beverage program. But, think about what would have happened if she and her like-minded colleagues got on the board? There would be total disruption and the club would suffer.”

Morris also feels board term limits are important.

“If you have a board member that stays on too long, it can stymie growth. A lack of fresh ideas halts innovation and can affect how you stay relevant and up to date with the latest trends.

“It’s also not healthy to have a board where more than 50 percent of your board turns over yearly. This puts you on a hamster wheel where nothing gets done. If you create a vision or a strategic plan and the new board members disagree, you are back to square one. Staggered term limits help avoid this challenge. I update my board monthly and provide detailed reports on operations and our governance as well as anything else that is pressing. The goal is to make sure every board member is in the know and that we are all on the same page. These updates also strengthen our relationship and help us to work together more cohesively."

Brett Morris, COO/GM

The Admirals Cove GM also explained that new board members go through orientations, which introduce them to the club’s governing documents and financial objectives and provide them the guidance to understand their exact responsibilities.

“For example, we want our board members to focus on the big picture, not how much mayo is in the tuna salad. You may think that I’m joking, but have you ever managed a club in Boca Raton, FL?” Morris queried.

Besides orientations, the club also holds annual board retreats. “These are designed to keep the club’s board members aligned with our goals and objectives, review our vision and mission statement and make sure everyone knows what it is they do and the role they play,” Morris explained.

“Communicate with your membership openly, honestly, and in a straightforward manner with no ambiguity. Although it may be uncomfortable at times, I have found it is the best strategy to develop trust with the members as the president and the board. The communications need to be frequent, especially when you’re dealing with significant issues within the club,” McCart stressed.

“During the pandemic, we were unable to meet in person, and we found that Zoom meetings with an open forum for members to participate were particularly effective to have open communications with the general manager and the president. As a result, by sharing specific information and answering the members’ questions in such a straightforward manner, many members were surprised at our candor,” McCart added.

“Governance is different at every club you go to but remember, as a GM, you play a pivotal role in what it looks like and how it’s implemented. So, use your voice and remember why you choose to be a private club general manager,” Morris concluded.??BR