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- 1. ® @IHRSA Strategic Planning for Club Executives Bill McBride Founder, President & CEO Active Sports Clubs & BMC3
- 2. ® @IHRSA Objectives ² Create a vision, mission and core objectives ² Create a Strategic Plan ² Use strategy for decision making ² Understand your market and competitive landscape ² Develop your company culture and align staff goals to deliver your Strategic Plan ² Create your Value Proposition & Value Chain
- 3. ® @IHRSA Will we become obsolete as an industry?
- 4. ® @IHRSA "Only three things happen naturally in organizations: friction, confusion, and under-performance. Everything else requires leadership.” ~ Peter Drucker
- 5. ® @IHRSA All organizations are perfectly aligned to get the results they are getting…
- 6. ® @IHRSA Getting & Keeping Customers ² “The primary job of a business is to sell something to its customers. Everything else - the cleaning, the organizing, the stocking, etc.- is also important but not the real reason you open your business.”
- 7. ® @IHRSA Definition ² strat·e·gy noun -jē ² A careful plan or method for achieving a particular goal usually over a long period of time ² The skill of making or carrying out plans to achieve a goal ² First known use 1810 – First military applications date to 6th century BC
- 8. ® @IHRSA Definition ² 1. A method or plan chosen to bring about a desired future, such as achievement of a goal or solution to a problem ² 2. The art and science of planning and marshaling resources for their most efficient use. The term is derived from the Greek word for generalship or leading an army
- 9. ® @IHRSA Synonyms Arrangement, Blueprint, Design, Game, Game Plan, Ground Plan, Master Plan, Program, Project, Road Map, Scheme, Plan, System
- 10. ® @IHRSA General Patton ² It is a historical fact that limited supplies in General Patton's control during WWII resulted in far greater battlefield success than the same supplies would have in the hands of lesser generals ² Why? ² Two characteristics defined Patton’s style and approach: 1) Clarity in purpose and 2) Communication, coupled with absolute accountability
- 11. ® @IHRSA Strategic Approach – 3 Parts ² Understanding the current state environment ² Understanding the desired future state environment and desired outcomes ² Developing the strategy and planning for the implementation of a successful approach
- 12. ® @IHRSA ² Execu&on without strategy is dangerous ² Strategy without execu&on is worse than meaningless – it causes a lack of faith ² Good strategy requires strong discipline – saying no to many good ideas so you can focus on the good ideas you already have ² Being great at 1-‐3 strategic ini&a&ves is a stronger posi&on than being mediocre at 4-‐6 strategies Execution & Strategy
- 13. ® @IHRSA What Are Your Metrics? Jack Welch from GE said: “If I had to run a company on THREE measures, those would be…” • Customer Satisfaction" • Employee Satisfaction" • Cash Flow"
- 14. ® @IHRSA Don’t Ever Shoot Yourself! Poor Design Can Cause You To…
- 15. ® @IHRSA Vision – Mission - Values Vision Mission Our vision is to make fitness more fun, accessible, and welcoming for all. Our vision is to make a lasting positive impact on the communities we serve. Our mission is to build and inspire healthier, active lives through high touch interactions and technologies that support a better quality of life.
- 16. ® @IHRSA Active Core Values Our core values exemplify who we are, what we believe and what we hold dear. They also set the tone for continuous improvement and our goal to raise the bar. Authenticity Community Teamwork Innovation Versatility Excellence
- 19. ® @IHRSA Your Core Values
- 20. ® @IHRSA Value Proposition 20 Useful Usable Desirable What will you charge?
- 21. ® @IHRSA Value Chain ² Determining the costs of delivery on every level ² Deciding on what you will offer and what you will not offer within the cost/expense model you can support with your value proposition and profit optimization
- 22. ® @IHRSA Elevator Pitch ² Why was your club founded? ² What are you famous for? ² What makes you different in the market place? ² What can you say about your club that no one else can say?
- 24. ® @IHRSA Michael Porter Harvard - WSJ ² The serious study of strategy is usually credited to “Competitive Strategy,” a landmark book published in 1980 by Harvard Business School Professor Michael Porter. ² In the classical economist’s view of the world, numerous players in a market compete against each other, driving prices down and quality up, and keeping profits modest. In Mr. Porter’s view, strategy is all about escaping that model of “perfect competition,” and instead creating a strong position for your product or service that allows it to garner outsized profits. ² He cites five key competitive “forces” that will determine the ability of your product or service to achieve a strong strategic position:
- 25. ® @IHRSA 5 Forces ² 1. Entry ² 2. Threat of substitution ² 3. Bargaining power of buyers ² 4. Bargaining power of suppliers ² 5. Rivalry among current competitors
- 26. ® @IHRSA 3 Generic Strategies to Create Superior Profits ² Overall cost leadership. If you keep your costs lower than anyone else’s, you can sustain profits. This was the strategy of computer maker Dell Inc., for instance, or of Wal-Mart Stores Inc. ² Differentiation. If you can create something that is valued as unique – think Mercedes automobiles, or Apple computers – you can succeed in making more money than others in the industry. ² Focus. By focusing on the unique needs of a particular group of buyers, a particular geographic region, or a particular segment of the product line, you may be able to earn above-average returns.
- 27. ® @IHRSA “Stuck in the Middle” ² Porter argues that it is critical that companies make clear strategic choices about their approach. The worst position, he argues, is to be “stuck in the middle,” without either clear price leadership, a clearly differentiated product, or a distinct focus.
- 28. ® @IHRSA “Blue Ocean Strategy” by W. Chan Kim and Renee Mauborgne -WSJ ² “Red Oceans” vs. “Blue Oceans” ² Cirque du Soleil, the Canadian company that redefined the dynamics of a declining circus industry in the 1980s.
- 29. ® @IHRSA 4 Actions ² Which of the factors that the industry takes for granted should be eliminated? ² Which factors should be reduced well below the industry’s standard? ² Which factors should be raised well above the industry’s standard? ² Which factors should be created that the industry has never offered?
- 30. ® @IHRSA Blue Oceans Approach ² Businesses should focus less on their competitors and more on alternatives. ² They also should focus less on their customers, and more on non-customers, or potential new customers.
- 31. ® @IHRSA Charts That Changed Business – HBR & The Internet
- 32. ® @IHRSA
- 33. ® @IHRSA
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- 37. ® @IHRSA Dr. W. Edwards Deming “The Deming Cycle” ² Another version: OPDCA (Observe) or PDSA (Study) ² In Six Sigma programs, the PDCA cycle is called “define, measure, analyze, improve, control (DMAIC) Continuous Quality Improvement
- 38. ® @IHRSA Maslow’s Hierarchy of Needs
- 39. ® @IHRSA Gary Hamel’s Pyramid of Human capabilities
- 41. ® @IHRSA McKinsey’s Three Horizons of Growth
- 42. ® @IHRSA SWOT Analysis Strengths Weaknesses Opportunities Threats
- 46. ® @IHRSA Threats
- 47. ® @IHRSA People Performance Grid High Values / Low Performance High Values / High Performance Low Values / Low Performance High Performer / Low Values V A L U E S PERFORMANCE
- 48. ® @IHRSA High Performer / High Values
- 49. ® @IHRSA Low Performer / Low Values
- 50. ® @IHRSA Low Performer / High Values
- 51. ® @IHRSA High Performer / Low Values
- 53. ® @IHRSA “Leadership is the art of accomplishing more than the science of management says is possible.” 1 + 1 = 3
- 55. ® @IHRSA 3 Things You Will Act Upon… 1. 1 2 3 55 BMC3 - Bill McBride Consulting - Coaching - Club Management
- 56. ® @IHRSA Developing the Strategic Plan ² We will now work on creating the Strategic Plan – A Template has been provided for your use…
- 57. ® @IHRSA 30-60-90 Day Operating Plans ² People ² Product / Program ² Production ² Club Specific / “Hot Spot”
- 58. ® @IHRSA People
- 60. ® @IHRSA Production / Revenue
- 61. ® @IHRSA Club Specific / “Hot Spot”
- 62. ® @IHRSA 30-60-90 Day Planning Initiatives… 1. 1 2 3 62 BMC3 - Bill McBride Consulting - Coaching - Club Management 4
- 63. ® @IHRSA Contact Information Bill McBride Founder/President/CEO – Active Sports Clubs & BMC3 Cell: (415) 299-9482 Email: BillMcBride@BMC3.com Email: Bill.McBride@ActiveSportsClubs.com www.linkedin.com/in/billmcbride | www.BMC3.com