The Leader's Job What the Club Owner and Managers Must Do Presented By Will Phillips

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The Leader's Job What the Club Owner and
Managers Must DoPresented By Will Phillips
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Overview

• 12 Items
• Not all at once!
• Focus on a few
• The RIGHT few
• In the RIGHT sequence

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Immediate Follow UP

• Meet with ME
• At Lunch
• Nine Club Owners
• First nine business cards in my hand after the
  presentation.

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Leadership

• You or your leadership team
• Huge disadvantage of a small business.

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What Have You Focused On?

• ________________________________
• ________________________________
• ________________________________
• ________________________________
• ________________________________
• ________________________________

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Your Goals Define Your Job

• And the Immediate Job is CASH!
• Successful Business
• Lives off its cash
• Not its credit
• Not its loans
• -Not its investors

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How Much Cash (Profit?)

• 1-Enough to pay all the normal costs of running
  your business responsibly.
• 2-Enough to pay the owner well.
• 3-Enough to fund your retirement.
• 4-Enough to pay your employees well enough to
  attract the best and keep them.

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• 5-3-4 of revenue reinvested in marketing and
  promotion
• 6-5 Set aside into a capex fund which will
  average 5 of revenue over a 10-15 year period
• 7-Enough for emergencies that you are not insured
  against.

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The Leaders Job- A Dozen Items
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1st-Survive

• What ever it takes
• Obvious in the beginning
• In your backpack for ever
• Cash is king.

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2nd-Sales

• 1st Sell 24/7 if needed
• 2nd Build sales force
• 3rd Build sales machine
• -Sales system
• -Customer lead generation
• -Sales management system
• -Add sales people

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3rd -Build The Right Team

• Right functions defined
• Right abilities selected
• Right attitude selected
• Team commitment
• Trust
• Mutual respect
• Performance A

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• See First, Break The Rules for specific,
  measurable guidance on how managers should
  manage.
• See Five Dysfunctions of a Team, do the online
  assessment with your team.
• Use We Have To Stop Meeting Like This to design
  your management meetings.
• Visit Rexonlne.org and search for these.

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4th -Know The Right Numbers

• Which numbers to monitor? KPIs
• Get them accurately within 5
• Get them on time
• What are the goal values?

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Suggested KPIs

• Appointments set
• Walk Ins
• Sales
• Attrition
• of Revenue to Labor
• Revenue per member
• Profit per employee
• Costs reduced without reducing value

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Above All Else

• Gross Margin
• Revenue
• Direct costs of running the club

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5th -Use the Numbers

• Analyze Planned vs. Actual
• Significant deviations
• Why? Dig for root causes.
• Actions to close the gaps
• Get a numbers person if you are not one
• See RAP Review and Analysis Planning briefing at
  www.REXonline.org

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5th -Cascade the Numbers

• Share the Numbers
• Whats Our Score?
• What do they mean?
• What can do we do to win?
• OBM
• Read The Great Game of Business by Jack Stack and
  look up Open Book Management at www.REXonline.org

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6th -Retain Key People

• Who is Key?
• How to Retain?
• Pay
• Career path
• Recognition
• Challenge
• Meaning (achieving their goals)
• Member retention is driven by staff retention

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7th - Strategic View

• Peek around the corners
• Scan the environment-STEP
• Trends waves to ride
• Opporthreats waves to avoid
• Competition
• Market
• The Other 15
• See White Paper IHRSA 2005 at www.REXonline.org

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8th -Deal Maker

• Right deals
• Right timing
• Right terms
• Not all deals, just the Big ones
• Take a course in negotiation
• See Negotiation Guidelines at www.REXonline.org

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9th -Make The Tough Decisions

• Products and services
• (saying NO gives focus)
• People
• (Hire 1 out of 10)
• Deals
• (Manage the pipeline)
• Locations
• (Network with brokers_)

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10th-Financial Decisions

• Bear the debt
• Distribute the profit

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Longer Term Leader Focus

• Items 1-10 short term success
• Not enough to last over time

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11-Discover The Secret

• Your hedgehog or business model or sweet spot.
• Huge leverage
• A concept from Good to Great by Jim Collins-see
  www.rexonline.org for a review.

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The Secret In Five Steps-What are you
Best at
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Any Overlap ?
Are You BEST at ?
Do You Have PASSION for ?
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Is It Valued By Customers ?
Valued ?
BEST at ?
PASSION for ?
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Unique ?
Valued ?
BEST
PASSION
Unique ?
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Do The Numbers Work ?
Valued ?

BEST
PASSION
Unique ?
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Strategic Fusion
Valued ?

BEST
PASSION
Unique ?
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12th -Competitive Advantage

• How the market sees you actually (not planned)
• Create VALUE
• Which is UNIQUE
• In the customers mind (NOT YOURS)

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Culture

• Values beliefs
• What do you stand for

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Your Life Plan

• Dont forget it.
• It is the reason you own a privately held
  business!

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Time to Review-Analyze-PlanYOURLeadership Agenda
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YOUR RAP

• 1-Review each of the 12 leadership areas and
  assess how well you are doing.2-Analyze each
  Shortfalls? Impact? Value if strengthened?3-Pl
  an the actions will you take in the next 3 months
  to address high value areas.

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CONFRONT AND SUPPORT RESULTSGet some buddies
who will challenge you.My Buddies
Are ________________ 1.
Buddies review your RAP.2. Buddies Confront and
Support your RAP.3. You redesign and fine tune
your RAP.4. Buddies support you between RAP
Sessions.5. Buddies confront you at the next RAP
Session.
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Immediate Follow UP

• Meet with ME
• At Lunch
• Nine Club Owners
• First nine business cards in my hand after the
  presentation.

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