Strategic planning for capital improvements can be reflected in the day-to-day activities of the club administration. For example, suppose a country club decided to pay capital expenses in advance so that funding was not necessary (a great strategy to avoid future problems). Desired funds can be added to club lows along with budgets to allocate indirect costs to functions and parties. If the project begins in five years, budgetary expenditures can be increased over the next five years and can have a minimal impact on member ratings. Attracted funds can be placed in the statement of reserves (section of non-current assets of the balance sheet) for the explicit use of capital costs. This would allow a particular country club to develop financial stability and avoid erosion of current relations (current assets with current liabilities). In addition, property, plant and equipment that are currently in operation and are subject to depreciation may have appropriate depreciation amounts allocated to this capital expenditure fund for future improvements and repairs .
Strategic planning also includes maintaining and expanding membership levels.
This should be a regular part of country club management. The more this is discussed, the greater the likelihood that the club will develop a strategy that promotes its long-term goals. The value of members is a very important concept that is often overlooked when managers engage in the operations they face every day. The atmosphere of a country club can be exclusive, where participants can entertain their most valuable business relationships. It is possible that the club is just a weekend for golf and tennis. Whatever its purpose, it must be consistent with the intention of membership and should be consistently reflected in the initial contributions. Conflicts may arise with members who have paid higher entry fees when new members are offered lower rates to obtain the same benefits. It makes sense to conduct regular discussions with participants in order to avoid “forced sales” of participants. Even when things are going well at the club, it is necessary to discuss increasing membership and replacement.
Strategic planning is an indefinite term under any circumstances in a business. When viewed in the management of Country Club, it takes on a different set of meanings. What does strategic planning mean for country club managers? It can mean a lot of things. In these difficult economic times, strategic planning can make a difference in survival. There may be a huge debt that cannot be paid with the current income of the members. There could be great outcomes for members seeking to reduce unnecessary personal expenses in order to avoid financial disaster.