You are performance driven?

Are you attracted by the performance?
I am surprised by the number of clubs and resorts I speak to that instead of creating expectations and responsibilities in their companies for their key management positions. Business is the production of a "bottom line" according to the experience of your members and guests want and are willing to pay. Yet when I ask about specific targets and staff compensation, I find that in almost all cases, the personnel working in what I call "legal system" of compensation.
A "right of the compensation system
So what is a "legal system"? Well, it's actually a system that pays to do a little more to work daily and it has nothing to do with quantitative and qualitative performance of employees as one person can produce or not . Key staff club as general manager and department managers are paid, regardless of operating results. If the performance is excellent and terrible, the pay is the same.
An alternative: pay based on performance
The alternative is to pay "for performance" compensation plan! I got a good "Pay for performance" compensation plan is introduced, an amazing transformation occurs! The transformation is sudden and powerful! It creates a buzz at the club. It's everyone's attention. And not without pain. The first surprised the devil staff.

Suddenly, the payment depends on outcomes appear not only at work. Suddenly, the question of money alone. Suddenly, leading to a rupture, a new member or a private event takes on new meaning. Suddenly, the staff are partners of the owner in the success or failure of a club or resort instead of a mere passive spectator.
Suddenly, key personnel have an interest in business results and begin to think and act as owner, as someone whose personal financial situation depends on the results of the company as it is!
So what is performance-based compensation look like?
Performance based remuneration looks exactly like it sounds! It carries a major part of every general sales manager and the person responsible for compensation department on the quantitative and / or qualitative results of the company.
For sales position, including membership administration, event managers and private sellers to travel 60% to 70% of total compensation can be based on sales performance relative to pre - determined marketing plan. What surprises me most is that clubs from both of / stations, employees are paid retail salaries alone. They have no goals and no element of sale on commission. Just pay a salesperson, right?
For positions of General Manager, Beverage Manager, Chef, Director of Golf, Head Golf Professional, Golf Course Superintendent, Tennis Director, Director of Facility Maintenance, Golf Course Superintendent and accountants Club, 25 % to 30% of their total potential compensation must be based on performance. Part of the performance-based pay should be based on specific departmental some qualitative improvements in the plans for specific services, and part of the financial results for the whole club or resort.
What other important elements of a performance-based rewards?
A financial plan that the database is in the reality of business and not just one block "in the sky, unattainable.
Quarterly payment.
A plan for the sale of the Department of Revenue.
Formal quarterly reviews.
Minimal barriers for most to reach 95% expect to get a bonus (does not apply to sales).
on performance pay available when financial results are exceeded.
Performance review modifiers for payment.
One example, he was a fatality of evil!
And plans are meaningful. I therefore asked the CEO of a course is run by a management company who believes that his club was "performance-based pay system. Also chatting with the CEO, he explained that the plans were for most departments and developed for others. He offered the example of a major division director with $ 10,000 potential bonus based on the income of his department for the year. Ok so far.
Then it went wrong. The Club is a year off and the total budget revenue is 1 million U.S. dollars. The Director General said it lucky if your $ 800,000. I naturally assumed that missing the annual target of 20% and more than $ 200,000 would result in "no bonus". No! I was told that 80% of his bonus, he would receive if the club only 80% of its target.
WHAT? The club lacks plan 20% and $ 200,000 in revenue and a bonus of $ 8000 on a potential total of $ 10,000 will be paid. When I made the director general, he was suddenly much less proud of this performance-based plan. The reality is that it is not based on performance at all, simply a repetition of the law must pay!
And I could cite many examples unhappy!
Three types of employees
There are three types of workers. These things happen, who watch things happen and those who wonder what happened? And if you implement a performance "based compensation plan" It will soon be clear who will buy in and is ready for a challenge and ready to have their performance measured, and others.
MANUFACTURERS performance will meet immediate interest, start pulling reports are excited to have a clear objective will be measured, and start looking for better ways of doing business.

The uninvolved Watchers will complain about how unfair it is, spend time trying to explain why it is not fair, and early release.

And WONDERERS Clueless, well, they will simply disappear.

A performance-based compensation system will soon eliminate the WATCHERS and WONDERERS and you will be soon a solid club / ACTORS team performance station!
So what will your club or Resort?
So, what compensation would be looking at your club, course or resort? As owner, manager or general manager you can support your staff through their weekly salary just to show up, as an allowance for a dependent? If your pay is designed for driving, go all your key personnel and have them as a partner in your success?