In today’s global golf industry, the diversity of a facility’s governance structure significantly influences its success. Boards that reflect the diversity of their stakeholders enhance decision-making through a variety of perspectives and improve connections with communities, members, guests, employees and partners.
Inclusive governance in golf facilities involves incorporating board members from varied gender, racial, ethnic, cultural and professional backgrounds. This diversity introduces multiple viewpoints crucial for strategic planning, business growth andcontinuity. According to a 2020 McKinsey & Company study, companies with ethnically diverse boards outperform their peers by 36 percent in profitability, highlighting the direct impact of inclusivity on financial success.
Such boards enable golf clubs to better anticipate market shifts by leveraging the insights and experiences of individuals from a broad spectrum of backgrounds. These insights are vital for understanding diverse cultures.
When stakeholders see their identities reflected in a golf club’s leadership, they are more likely to trust and feel connected to the organization. This representation makes governance more relatable and accessible, strengthening ties between the club and its stakeholders. Enhanced relationships lead to greater loyalty, reduced conflicts and more effective advocacy for the club’s objectives.
The benefits of inclusive governance extend beyond compliance and public image; they touch on the very core of business performance and innovation. A 2018 Boston Consulting Group study found that companies with more diverse management teams report 19 percent higher revenue due to innovation. This finding underscores the importance of diversity at the decision-making level, not just within teams. Diverse perspectives at the highest levels of leadership help unlock opportunities and drive sustained growth through increased profitability, creativity and stakeholder engagement.
To cultivate an inclusive governance structure, club leaders may consider the following key action items:
In 2016 the PGA of America launched PGA LEAD to align with its commitment to an inclusive governance structure. The program aims to reflect the changing demographics of the global golf landscape through identifying, mentoring and advancing PGA of America Members from diverse backgrounds into volunteer leadership roles at Chapter, Section and national levels of the Association. Mentoring and networking opportunities help equip participants with the skills and experiences necessary to serve effectively in governance roles.
Over the last nine years, PGA LEAD has successfully developed 100 PGA of America Members across dimensions of difference - age, gender, race, ethnicity, sexual orientation, ability, Veteran status and more. Twenty-one PGA LEAD Members have ascended into PGA Section Board positions, 19 participants serve on PGA of America National Committees, and 15 are on Chapter Boards.
For more on the next PGA LEAD application window, visit https://www.pga.com/pga-of-america/ pga-inclusion- governance-and-education.