An age old business adage states “What gets measured gets improved.” Therefore, you should measure the things that are important to your business.
We know if we’re in danger of posting a bad week, month, or quarter way before the numbers are crunched by accountants and that is the single most powerful tool a business can have. We know if we’re slacking on personal training sales way before any accounting period ends and every person in the company sees these numbers every single day. The result of constantly measuring and showing the results to every person in the company is accountability. The practical take-home is that we haven’t missed a goal ever since we started measuring and our growth and profit margins look amazing. It’s nearly impossible to miss a goal when every person in your company is focused on that goal and sees the progress several times a day.
So what is a Gym Management System (GMS)? I believe the term was coined by 24-Hour Fitness, who to the best of my knowledge, was the first large scale operator to put a comprehensive real-time accountability system in place. The way it was explained to me was that Mark Mastrov made it clear to every person in the 24-Hour Fitness organization that accountability and real-time information were going to be paramount in 24-Hour Fitness’ massive expansion and domination. Their GMS allowed 24-Hour Fitness to scale rapidly, keep costs in check, and hold regions, districts, and even individual clubs accountable for their share of the cash needed to fuel such powerful and rapid industry domination.
To start out, can you or any of your staff members answer the following questions right now?
- How much EFT do we need to set up at our Glenwood club to hit our goal this month?
- Which one of our clubs is selling the most annual membership agreements?
- How much EFT did we set up yesterday?
- How much personal training have we sold so far today?
- What’s our total personal training liability right now?
These are just a small sampling of questions that can make the difference between health clubs that are just barely making it versus an industry juggernaut.
Can you build a world class health and fitness organization without a GMS? Maybe, but you’ll be competing against companies who do have such systems, and chances are, they’ll eat your lunch.
Get Insight, a GMS at: http://www.gyminsight.com/insight