Caldy Sports Club Facilities & Operational Business Case May 2017

1. Caldy Sports ClubFacilities & Operational Business CaseMay 2017 Sue Tamburrini Jed Bartley

2. Executive Summary Caldy Sports Club has undergone a year of significant change as it seeks to establish a clear operating rhythm to provide facilities, services and catering for its constituent member sections of Rugby, Cricket, Hockey. Financial performance is out of line with expectations and perceived opportunities for expansion and cashflow generation have not yielded anticipated results. Revised facilities manager is in situ and this report aims to set out early observations, identified opportunities and proposed structure to develop these. Objectives:- It is assumed that delivery of services to members is of paramount importance although that this is cost effective and remunerative for Caldy Sports Club. It is further assumed that development of non-member functions and external events are developed to supplement sporting section related revenue and move the whole club forward. To maintain tight control of costs and operations by hiring quality management and increasing use of automated computer control for stock, operation and financial reporting Drive GP% on bar towards 60%+, keep overall staff costs under 18% of revenue, drive for a margin on food sales Mission:- Provide first class catering, clubhouse and bar for members to have fun and to create a sense of ‘place’ for all sections. Deliver outstanding hospitality and ‘Caldy’ welcome to visiting sporting teams. Provide quality experience for non member functions and develop new opportunities for cashflow generation. Keys to Success:- The keys to success in achieving our goals are: Product quality. Not only great food but great service and a warm welcome. Operational management structure and core staff Facility improvement, back of house, to support ease of use and increase capacity Managing finances and controlling costs at all times without exception. Following report sets out two fundamental proposals to support the development of Caldy Sports Club as a viable facility able to deliver for its members and a further proposal to standardise menus and prices for events and member catering

3. 1. Staff & Management Structure - current Previous Structure Current Structure Kitchen staff Juniors (Bar/Kitchen/ Glasses) x10 Ops Manager Bar staff x8 Lack of control & accountability Untrained staff at all levels Under-age Bar staff Total staff number – c.26 Wages c. 18-20% of T/O All staff report to Club Manager - no margin/holiday cover Club Manager hours average 60h/pw Club Manager spread too thinly for events – kitchen/bar/front of house with no experienced or capable deputy Large number of junior/unskilled staff Total staff number – 21 Wages c 15% of T/O

4. 1. Staff & Management Structure - proposed Proposed Structure • Benefits:- • Fully trained and experienced Team • Interchangeability (Club/Kitchen/Asst Manager all chef/bar trained) • Holiday cover • Events co-ordination • Capacity to expand opening 7 days per week • Outside events & Functions • Reduced total staff and juniors • Full time team with accountability and ownership • Capacity and capability to deal with larger events and greater number of visiting/paying customers • Recommendation is to implement this proposed structure and recruit for the following roles over the coming months:- • Assistant Manager • Chef • In-house cleaner • Conditional upon:- • Total wage bill kept within 18% of revenue • Existing staff issued with ‘lay-off’ letters for quieter summer months • Termination of existing cleaning contract (Oculus) Total staff number – c.21

5. 2. Facilities – Bar & Kitchen 2.1 • Current Bars are too small and inefficient restricting the number of customers who can be served and staff who can effectively operate the bars, particularly the Players Bar which is limiting revenue and impacting member/customer satisfaction • Cellar inefficient and chiller/condenser insufficient for number of pumps/lines • Storage areas inefficient and insufficient for increased bar activity when higher stock levels are required. Discounts for bulk purchase are also being missed • Pumps/Tills/Optics inefficient and not ideally situated in either lounge bar or players bar • Increased visitor numbers, notably in rugby season, unable to be effectively accommodated. Recent trends are showing significant increase in visitor numbers on match days and the move of Rugby 1st team into National One likely to see this continue in the new season. • Current bar set up is simply unable to accommodate increased numbers and is significantly limiting revenue opportunities. 2.2 • Kitchen inefficiently laid out with little preparation area and does not currently support café sales as well as meal preparation on match days and/or functions • Café counter inefficient leading to queues, lost revenue and member dis-satisfaction • Kitchen currently at capacity at c.80 servings for sit-down meals. • Capacity to deliver sit-down meals alongside player food, café sales, teas etc currently restricted leading to outsourcing of catering on busy days • Insufficient oven/fridge space to support larger events thereby restricting future revenue generation (events)

6. 2.1 Facilities – Players Bar • Proposal to extend Players Bar area forward by 2ft (1) and extend the length of the bar to create an additional serving area (2) • Re-configuration of doorways (3) (4) to support bar revisions and create additional kitchen space • Brewery support for additional condenser/bottle fridges/pumps & cellar racking (6) • Re-configuration of glass wash area to mover away from bar/front of house into a wet area adjacent to cellar (7) • Slight reduction in front of house bar area compensated by increased serving area to aid throughflow of customers Agreement sought to seek outline costings and Member approval Cellar Doorway blocked up (4) (6) Kitchen New door to glass wash & office (7) Optics Rack Doorway blocked up (3) (5) Hot Counter ---------------------------------------------------------------------------------------- Existing bar front Café counter 2Ft 2Ft (1) Pumps Pumps New Pumps Till screen Till screen Existing Lounge Bar Existing Bar/shutter Existing Bar/shutter New Bar Opening (2) Existing Lounge Bar Players/Public Bar Lounge/Members Bar

7. 2.2 Facilities – Kitchen • Re-configuration of doorways to support kitchen revisions and create additional prep space • Re-siting of kitchen equipment (bain-marie)to create better workflow, serving area and space • New doorway to create cold store/fridge out of main kitchen to create additional storage and working space • Additional oven/range to be sourced to increase capacity for marquee events and busy match days Agreement sought to seek outline costings and Member approval Sinks/dishwash Walk in cold store & fridge Office/Spirit store Prep table Prep table Cellar Glass wash/wet area Cooker Cooker Kitchen New door to glass wash & office Doorway blocked up Hot Counter Café counter Players Bar Lounge/Members Bar

8. 3. Menus • Proposal to standardise menus & prices for hot/cold meals across sections (Member Prices) • Restrict numbers for Hot food dining in clubhouse to a maximum of 100 for events/function • Restrict numbers for match day dining to 60 (served in Lounge – menu B) to free up kitchen and Players bar for visitors and café sales. • Café menu to be revised on senior match days to include hot meal (eg chilli/rice, pie/chips etc) for visitors and paying customers • Café menu to be simplified on all other days (eg according to season/time of day etc) • Re-introduction of Meal Tickets for Players Meals (all sections) to monitor numbers and validate invoicing • Introduce Sunday Roast at £10/head (served lunchtimes in Lounge Bar) and Friday Barbeque at £5/head (summer-time) • Remove option for non-members to supply own catering/food at functions. Increased kitchen capacity will support catering up to c. 250 for marquee functions • Proposal to implement fixed room hire charge for functions - £50 members, £250 non-members • Prices above fully costed to ensure:- • Players meals and members cold food at break-even (inc wages). • Members Hot Food generate minimum 25% margin (inc wages) [Cost A £6.80, Cost B £12, Cost C £16] • Non-Members Food generate minimum 50% margin (inc wages) [Cost A £6.80, Cost B £12, Cost C £16] Recommendation is to develop Menu choices and implement with immediate effect * Table service available for each menu at an extra cost

9. 3.1 Sample Menus (specimen only – full list to be drawn up)