The American Club 2019/2020 Annual Report

THE AMERICAN CLUB ANNUAL REPORT 2019/2020

18 PAGE

IMPROVED COST EFFICIENCIES

Through careful planning and effective management, we were able to reduce costs in many departments. With an increase in square footage allocated to Member areas, the air-conditioning needs have increased in the new Clubhouse. The Facilities team closely monitored electricity rates well in advance of the expiry of our electricity contract and secured more favorable renewal rates. This potentially saves The Club between $1,000 and $1,500 each month, based on the same usage levels. Members requested larger television screens at the Gym, Union Bar and Thinkspace. TV programming subscription rates are exponentially higher for larger TV screens. We conducted a review and unsubscribed from less popular programmes, garnering savings of $5,000 per month. Some of our cost-saving measures were more practical in nature. The increased overall usable floor area forced us to rethink the way housekeeping tasks are managed. To improve cost effectiveness without compromising on standards, we improved staff training, re-defined roles and responsibilities, and innovated staff rosters. We acquired scaffolding equipment and training our housekeepers to set this up. Managing the cleaning of high surfaces in-house has saved The Club $30,000 per year. The Culinary team took bold steps to cut costs and improve overall efficiency as well. One of the most impactful changes was the opening of the new Central Production Kitchen, which

produces commonbasic sauces andcondiments, to complement and support the functions of outlet kitchens which prepare, assemble and cook dishes to completion. While centralization has greatly increased procurement efficiency, reduced manpower needs, and allowed us to addmore useable space to our outlets, streamlining of outlet menus has resulted in increased kitchen efficiency, and reduction in unnecessary wastage. The Finance team embarked on the first phase of their digital transformation journey in June this year, announcing that Members’ monthly statements and monthly bill payments will be switched to an all-digital model. FromNovember 2020, Members will no longer receive paper statements for the month of October 2020. The Marketing Communications team has moved away from printed quarterly magazines to e-magazines, and savings are estimated at $48,000 per year.

The Club’s e-magazine

Large television screens at the Gym