Hofstetter: Overtime top budget buster

Golf Course News, Jun 2003 by Overbeck, Andrew

LAKELAND, Fla. - Former Meadowbrook Golf/International Golf Maintenance executive Greg Hofstetter has formed a consulting venture to give golf course owners maintenance support without taking over complete control of their operations.

Hofstetter, who was vice president of golf operations for Meadowbrook/IGM for seven years, believes that his new firm, Agronomic Systems, fills a growing need in the golf business.

"Owners, whether they are private, municipal or daily-fee, have a difficult time giving up control to a golf course management company to outsource maintenance when they are not seeing a guaranteed return," said Hofstetter. "Even though IGM assures them they get more control, which is true, it is difficult for owners to see that and feel that. That is the biggest single selling challenge. I saw an opportunity to help courses without making them feel like they were losing control."

Agronomic Systems provides golf course evaluations that show courses where and how they could save money. So far, Hofstetter has done evaluations for 23 courses including Valdosta (Ga.) Country Club, Widow's Walk Golf Club in Scituate, Mass., and Newnan (Ga.) Country Club.

"I show them where they can save money or reallocate funds," Hofstetter said. "Many courses are reallocating saved money back into the course and improving the facility. So they are not taking money away from superintendents."

According to Hofstetter, the single largest culprit blowing maintenance budgets is overtime.

"A lot of clubs are running excessive amounts of overtime," he said. "I walk in and see courses running 25 to 30 hours of overtime a week in non-peak months. In that situation, it is cheaper to hire an additional worker."

Hofstetter said inventory control is another area where money can be saved.

"A majority of the time, instead of using one product to solve a problem you see the kitchen sink being thrown at a problem. I identify the fact that one product can fill a need, not seven products," he said.

Other areas that are covered in the evaluation are organization, shop cleanliness, detail around the facility and time and efficiency studies.

In addition to the evaluations, Hofstetter brings the power of national accounts to his clients.

"We have national account status behind us that can produce significant cost savings," he said. "The national account groups I work with have known me for a number of years and see the amount of business that I generate when I recommend products, purchases or materials."

Once he has finished an evaluation, courses can choose to bring Hofstetter back in quarterly, monthly or not at all. He currently visits four clubs monthly and 12 courses quarterly to provide follow-up services.

Looking ahead, Hofstetter said he would like to team with smaller management companies.

"Companies with four to five courses don't have the income to hire a full-time agronomist, but they could utilize Agronomic Systems to provide a higher level of maintenance to their customer."