Club Management - May/June 2008 - (Page 13)

Board Governance Club Planning and Governing in the 21st Century Editor’s note: This is the fourth part of an informational series about the new Club Governance Model. Readers may send questions to the CMAA Governance Study Group at governance@cmaa.org. or remodel their governance structure is that they will choose to develop a strategic plan. It’s the more familiar activity, and the output is more easily envisioned. A new governance model is often seen as somewhat abstract and legal, and club leaders may doubt its real value. A new governance model may even threaten leaders who like the way things are. But there are good reasons to consider adopting a new governance model before launching into a lengthy strategic planning exercise. Having a good governance structure in place before developing a strategic plan can be likened to having a good football team in place before deciding on its offensive and defensive alignments or the opponents it will play. Adopting a new governance structure normally takes less time than developing a strategic plan, which can easily take over a year and therefore can overlap one or more board elections. If a board has adopted the Club Governance Model (Model), it will be equipped to engage in the planning process. It will have clearly documented roles for the board, the general manager and the staff – roles that will not change with the appointment of a new president or the election of a new slate of board members. Because the unit of authority in the Model is the full board and not the president, the board can engage in a strategic planning process without fear of the plan being discounted by a new president or a new group of board members. Even a board that replaces a third of its number every year will have two thirds of the board intact. Finally, we would challenge the premise in the question that a board has time for only one of these two critical functions. Because planning and governing are interdependent, the best answer to the question may be to develop a strategic plan and revise the governance model in parallel. It will take less time overall, and in the end, by coordinating these two functions in the same exercise, the board will see how one informs the other. ❚❘ For clubs interested in learning more about governance and strategic planning, a guide to implementing the Club Governance Model and a two-page summary of an approach to developing a strategic plan are available on request by e-mailing governance@cmaa.org. MAY/JUNE 2008 • 13 ©iStockphoto.com Q. Our board seeks to bring our leadership and governance functions into the 21st century, but we only have so much time to devote to planning. Which should be the higher priority – developing a strategic plan or adopting a new governance structure like the Club Governance Model? A. One of the biggest challenges to club leadership and governance is the lack of continuity that results from frequent changes in the board of directors and its leaders. Each year, more than 75 percent of clubs elect a new president, and most clubs also replace as much as a third of their board membership. Maintaining any kind of “long line” or consistency in the planning function requires an extra measure of commitment and competence at the board level. The two most effective ways to meet this challenge of inconsistency are (1) an effective strategic planning process; and (2) an effective governance model comprising sound governance principles. But of these two important board functions, which should take priority? Our experience with clubs that are deciding whether to invest in a strategic plan

Table of Contents Feed for the Digital Edition of Club Management - May/June 2008

Club Management - May/June 2008 Contents President’s Message Accounting & Financial Management Board Governance Wine Society Quenches Thirst for Knowledge, Camaraderie Building & Facilities Management Tennis Pro Education Increases Your Bottom Line Cover Story: BMI Golf Management Golf/Sports & Recreation Management Human & Professional Resources Relationship Building in the Internet Era The Ultimate Cellar Raid Products and Services Marketplace External & Government Influences HFTP Insight: HITEC 2008 Features Latest in Club Technology New Directions Global Outreach Advertiser Index/Advertisers.com Club Wrap

Club Management - May/June 2008

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