Surely many of you are familiar with this problem, especially those professionals who work as managers or commercial directors in golf resort complexes. So that the entire public can understand it, I am going to detail what is the real dilemma that exists today, and what are the possible scenarios that could be projected regarding a correct breakdown policy in these complexes composed of a Hotel and a Golf Course. Golf.
In general (although there is diversity), a “Golf Resort” complex is usually composed of the following income-generating departments:
Hotel Reception (Rooms)
Restoration
Spa
Pool
Golf
In turn, their management can be governed by the following structures:
Centralized management
Decentralized management
Management of outsourced assets
Centralized management is developed from the premise of a vertical management structure, in which all departments come together in joint management and marketing lines, in favor of achieving the budgeted objectives at a global level.
Decentralized management is governed by a synergistic administration of its assets, providing autonomy to the departments to achieve the objectives set by the property.
The management of outsourced assets is characterized by departmental management outsourced to third-party companies or different properties, with joint marketing lines and brand policy.
Likewise, we can encounter two situations when reporting results:
A single property in the entire complex
Several properties within a group or business partnership, or different properties.
As we all know, the “Golf Resorts” complexes, which are made up of a Hotel + Golf Course, in addition to other departments that complete their offer, the fundamental reason why clients choose to stay in their facilities are:
Practice this sport.
Accommodation of the highest quality and service.
Relax
Location.
I think the percentages of the reason why clients choose these facilities are evident. I am not prepared to give figures because I am aware that these will vary depending on certain factors. However, depending on the “Core Business” that sets the objective of property in your business plan, we may encounter the following scenarios when implementing the internal breakdown of the income generated between a golf course and a hotel:
SCENARIO 1:
HOTEL AND GOLF COURSE MANAGED BY THE SAME MANAGEMENT.
In this situation, and we are not saying that it occurs on all occasions, we can find scenarios of departmental discrimination, whereby, if we take into account that the “drive engine” of the complex is the “Golf”, the percentage applicable to the internal income breakdown is not directly proportional to the degree of interest and reason why the client chooses to visit your resort or destination. The same would happen in other departments or vice versa.
Consequences:
Inability to achieve budgeted departmental objectives. If the breakdown does not conform to the “drive engine” percentage of the complex
Lack of investment and development plans for the golf course. Let us not forget that the field is a living being and needs an annual investment plan.
Loss of quality and service in the field. The lower the breakdown percentage, the lower the possibility of obtaining budget items dedicated to its development.
SCENARIO 2:
HOTEL MANAGED BY A MANAGEMENT SUBCONTRACTING THE MANAGEMENT TO A SUBSIDIARY COMPANY.
In this scenario, the hotel management decides to subcontract the management of its golf course to a company specialized in it, following the guidelines although without an individualized marketing system, considering the course an “appendix” of the hotel.
Consequences:
Lack of a joint commercial policy.
Human resources management endorsed on a company with a different vision from that of the tour operator.
Loss of income due to lack of experience in income-generating segments through cross-selling techniques in golf resorts.
SCENARIO 3:
HOTEL AND GOLF COURSE MANAGED BY DIFFERENT MANAGEMENTS UNDER THE UMBRELLA OF THE SAME PROPERTY.
It will all depend on what origin the resort property comes from. Depending on the business sector in which it acts, we will know the trend, objectives and results they wish to achieve. Generally, these types of situations generate synergy policies between both managements (of the hotel and the field), developing a conflict of interest sponsored under the roof of the autonomy they have to develop the budget plans approved by the property.
Consequences:
The balance of the “drive engine” is decided by the ownership of the complex. In your business plan you will list your main Core Business.
Brand identity issues.
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