SportsTurf provides current, practical and technical content on issues relevant to sports turf managers, including facilities managers. Most readers are athletic field managers from the professional level through parks and recreation, universities.
Issue link: http://read.dmtmag.com/i/517437
FIELD SCIENCE 24 SportsTurf | June 2015 www.sportsturfonline.com FACILITY & OPERATIONS This can relate to the analysis of such items as labor or even material use by field or general maintenance practice. Here are some examples of practices for which you need data to decide if you are efficient (receiving maximum utility value): events, irrigation, aeration, topdressing, seeding, fertilizing, and many similar agronomic and maintenance functions. You might even add "sub-rows" for miscellaneous or occasional tasks for general landscape practice like end-of-season pruning or overall hardscaping, and any repetitive tasks in your area of management. Lest I forget, also important to note but not in a budget format, are such items as weather conditions, specific events and even notable current events. Weather-wise, in sports turf management, this should be more than temperature highs and lows at your site. Factors influencing your decision mak- ing include precipitation, related humidity, wind speed and direction, ET rates and other factors you use to manage your fields for special events, tournaments, and even restrictions like water use, noise or light limitations, and even vehicle emissions. I am suggesting a lot of items to put in a log book or journal to aid in the future decision-making. However, if it becomes a burdensome or excessive document then remember the adage (K)eep (I)t (S)hort & (S)imple: KISS. The primary purpose is to organize all your notes and data in a quick and simple reference in one place for your decision- making. Over time these budgeting documents become the history that helps you to create a highly accurate budget and adds validity to your budget requests. It is invaluable when situa- tions arise to refer to your records to show how much labor or what materials have been needed to accomplish a past activ- ity. You will also be able to improve your purchasing process, look for seasonal buys, use quantity discounts or take part in a group buy for materials, as well as track your labor alloca- tions by tasks or field thereby improving efficiency. Labor costs are often a high percentage item in the overall budget so improved efficiencies in that area can often bring noticeable results. When we deal with any factors not under our control we must also plan for the unexpected. Your efforts to recognize trends in input costs help you to anticipate some expected price increases and simply calculate a percentage increase, but still there are "surprises." Examples of these surprises include weather emergencies, unexpected budget cuts (decline in revenue), unusual price hikes for insurance, fuel and fertilizer. Plan for the unplanned by building in methods to handle the short-term by having long-term budgeting. These are usu- ally called contingencies. I often separate longer life items or higher cost items out of the annual operating budget into a capital budget. Capital budgets are simply common sense. Why wait until equipment like mowers, topdressers, aerators and utility vehi- cles wear out and then wonder where the "funds" will come from to replace those items? Plan ahead to replace those items and similar field facil- ity improvements like updated irrigation system controllers, lighting methods and even computers. These contingency funds (based on amortization and depreciation schedules) are essential and provide that "cushion" for short term emer- gencies by "borrowing" from the future. Annually you can "borrow" from the operating budget to replace what you bor- rowed from your future budget. Think of it as replacing the "savings" account after you have transferred funds to your "checking" account to cover an unexpected expense. Amortization schedules are relatively easy to calculate. Make an "educated guess" of what it will cost to replace an item when it has reached the end of its useful "working life," before repair costs exceed remaining value. Divide that cost by the years of useful life and you have the annual amortized value. You might even want to put it on a "sliding scale" whereby replacement cost becomes greater as you move along toward the end of its useful life. That replacement (contingency) fund becomes a fixed cost in your annual operating budget. Generally, major capital improvements for new fields and stadium renovations are covered by the owner's facilities capi- tal budget process, not your annual operating budget. When revenues don't meet your expectations and your priorities must be able to maintain basic safety levels on all fields, always making sure the absolute essentials are covered. Once those safety considerations are met, then shift remaining resources to higher profile fields and restrict use on lesser use or less visible areas. Remember that you need to establish or retain the degree of confidence in your abilities and manage- ment decisions that will earn greater funding in the future. Try your best to build a good rapport with all decision- makers. Keep them well informed, within your area of management responsibilities. If you have been accurate in budget planning so that your "educated guesses" become closer and closer to actual results, year after year, you will gain greater validity and respect. The history contained in your budget records shows that you know what needs to be done and how to accomplish it. ■ ST Richard Miller is owner of "A Growing Business" a green indus- try consulting business based in Janesville, WI. He has been an educator in secondary and post-secondary schools, and has sales and management experience in turf and other horticultural businesses. However, if it becomes a burdensome or excessive document then remember the adage (K)eep (I)t (S)hort & (S)imple: KISS.