Governance & Management – Understanding the Difference

By Gareth Morgan, GCMA Professional Development Manager


Who actually runs your Golf Club?

It sounds like a straightforward question, doesn’t it?

Ask most Golf Club Managers and they’ll probably tell you that the Board or Management Committee is responsible for governance, while the General Manager is responsible for the day-to-day management of the Club. Simple enough.

But here’s another question… Does everyone at your Club actually understand what that means?

I’m increasingly convinced that one of the biggest challenges facing our industry isn’t necessarily poor governance or poor management. It’s the confusion between the two. And that confusion can have some pretty serious consequences.

Governance and Management – What’s the Difference?

At its simplest, governance is about setting the direction of the organisation, establishing priorities, agreeing policies and ensuring the Club operates responsibly and in the best interests of its members.

Management is about delivering those objectives.

Put another way:

  • Governance determines WHAT the Club wants to achieve and WHY.
  • Management determines HOW those objectives will be delivered.

Of course, there’s collaboration between the two. A good General Manager will contribute significantly to the development of strategy, while a good Board will provide constructive challenge, support and oversight.

But collaboration shouldn’t mean confusion.

The Board should be setting strategic direction, approving budgets, monitoring performance and holding the General Manager accountable.  The General Manager should be leading employees, managing operations, allocating resources within agreed limits and implementing the agreed strategy.  And both parties should understand where their responsibilities begin and end.

When Everybody Thinks They’re the Manager

One of the unique challenges of managing a Golf Club is the number of people who can become involved in decision-making.

We might have an Owner, Board, Chairman, Captain, Chairman of Green, Finance Committee, House Committee and various other subcommittees.  Each may have an entirely legitimate role within the Club’s governance arrangements.  But problems arise when those roles aren’t clearly defined.

  • The Chairman of Green starts giving instructions directly to the Course Manager.
  • A House Committee member decides to change staffing arrangements.
  • A Board member promises something to a member without consulting the General Manager.

And before long, the manager finds themselves trying to run an organisation where several different people believe they have authority to make operational decisions.

That’s not effective governance. That’s management by committee.  And the consequences extend far beyond the General Manager.

Employees become confused about who they report to, volunteers become frustrated when their instructions aren’t followed, and the manager is left trying to reconcile conflicting expectations.

Accountability Without Authority

Here’s something I’ve always felt strongly about…  You cannot reasonably hold someone accountable for delivering results if you don’t give them the authority to make the decisions necessary to achieve them.

Imagine holding a General Manager responsible for financial performance while requiring Committee approval for routine expenditure.  Expecting them to improve employee performance while individual Board members interfere in staffing matters.  Asking them to deliver a strategic plan while every operational decision becomes another Committee debate.

How can that possibly work?

Of course, Boards must establish appropriate financial controls, policies and reporting arrangements. That’s an essential part of good governance.  But once those parameters have been agreed, managers need sufficient freedom to manage.

Otherwise, what exactly are we employing them to do?

The Problem With Unwritten Job Descriptions

Here’s an exercise I often suggest during our GCMA Governance education sessions.

Ask every member of your Board to write down what they believe the General Manager is responsible for.

Then compare the answers.

I suspect some Clubs might be surprised by the differences!

One Board member might believe the manager should make almost every operational decision. Another might expect all significant decisions to come before a Committee. Someone else might believe their elected position gives them direct authority over employees.

Now imagine trying to satisfy all those expectations simultaneously.

This is why clear, documented roles and responsibilities are so important, and the accountability matrixes are the detail we all need where there is confusion as to who is – and is not – responsible for what.  You can find some examples of these on the GCMA Member Library!

Who makes which decisions? Who needs to be consulted? Who needs to be informed? Who is ultimately accountable?

These things shouldn’t be left to individual interpretation.  And importantly, they shouldn’t change every time a new Chairman or Captain takes office.

Good Governance Isn’t About Giving Up Control

One of the barriers to effective delegation can be the perception that giving authority to professional managers somehow reduces the Board’s influence.  I’d actually argue the opposite.

A Board spending its meetings debating operational details has less time to consider the bigger questions.

  • Where does the Club want to be in ten years?
  • Are we financially sustainable?
  • Are we investing appropriately in our facilities, our people and our golf course?
  • Are we delivering the experience our members expect?
  • Do we have a succession plan?

These are governance questions.

Delegation isn’t the Board losing control. It’s the Board exercising control more effectively.

By establishing clear objectives, policies, financial limits and reporting arrangements, the Board can retain appropriate oversight without becoming involved in every operational decision.

And that allows the General Manager to do the job they were employed to do.

Trust Works Both Ways

Of course, even the best governance framework won’t work if the relationship between the Board and General Manager is poor.

A Board needs confidence that its manager is competent, professional and acting in the Club’s best interests.  Equally, the manager needs confidence that the Board will support decisions made within their agreed authority.

That doesn’t mean avoiding challenge.  Constructive challenge is essential.  But there’s a significant difference between challenging a manager’s performance through appropriate channels and undermining their authority by interfering in operational matters.

Managers also have responsibilities here.

We must communicate effectively, provide accurate information, report honestly and ensure our Boards aren’t unnecessarily surprised by significant developments.

What Does Good Look Like?

For me, good governance isn’t necessarily about having the most elaborate Committee structure or the longest constitution.  It’s about clarity.

A shared understanding of the Club’s purpose and direction.  Clearly defined responsibilities.  Appropriate delegation.  Effective reporting.  Constructive challenge.  And a relationship built on trust and mutual respect.

None of this means every Golf Club needs an identical governance structure. Clubs differ enormously in size, resources and constitutional arrangements.  But the principles should remain consistent.

And here’s one final question worth considering…

If your Club has experienced repeated changes of General Manager over recent years, have you considered whether the problem might lie somewhere other than the person occupying the office?

Because replacing a manager might change the individual.  It doesn’t necessarily change the environment in which they’re expected to work.

Perhaps It’s Time for a Conversation?

As we approach the end of another golfing year, perhaps it’s worth setting aside some time at your next Board meeting to discuss whether everyone genuinely understands the distinction between governance and management.

At the GCMA, we explore these challenges through our educational programmes, including the Principles of Golf Club Management Certificate and our Advanced Management Certificate in Governance.

Good governance shouldn’t simply exist in a constitution or Committee handbook.  It should be evident in how decisions are made, how people work together and how the Club is led.

The Board is there to govern the Club.  The General Manager is there to manage the Club.  Neither can succeed without the other.

By Gareth Morgan

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