Page 16 - GBC Fall 2022 Eng

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Golf Business Canada
“Delivery windows are being missed because in some cases a guy has twice as much on his truck as he did under normal circumstances so instead of a standard 4 pm delivery the guy is pulling up at 8 pm at night. And that’s costing you more.”
or deliver their product,” Banick says. “It’s better this season but there are still challenges especially with distributor to end user. Delivery windows are being missed because in some cases a guy has twice as much on his truck as he did under normal circumstances so instead of a standard 4 pm delivery the guy is pulling up at 8 pm at night. And that’s costing you more. What everyone needs to realize is this is pretty much a universal issue. Switching distributors honestly isn’t a solution to that challenge.”
Filling in gaps has been like pouring water through a sieve. Banick cited a recent job fair Sysco Food Company attended seeking new delivery personnel. Drivers were offered a $100,000 starting salary and a $15,000 signing bonus which proved agreeable for three candidates.
“But when the drivers realized it was more than just driving product around, that they physically had to take it off the truck those same three people said, nope, I can go to any trucking company, make my $100,000 and never leave the truck,” he added. “From that job fair they wound up with zero new hires.”
SUPPLY CHAIN ISSUES
Along those same lines, wages at golf courses across Canada have trended higher with specialized
personnel like mechanics all but impossible to hire at any price.
On the manufacturing side staff shortages with a number of Entegra’s vending partners meant a pivot towards core products only during the pandemic with specialty items and periphery products eliminated. Things have got back to a better state of normalcy but Banick says vendors are sticking with their core business and aren’t bringing back those SKUs.
“There are so many inflationary pressures on manufacturers,” he said. “Frankly, a lot of vendors can only get core product ingredients. Try and buy Dijon Mustard right now. You can’t find it and you won’t get it until the next crop in the fall. Yellow mustard? No problem.”
A massive impact on commodity prices is being felt from the situation with Russia and Ukraine. The world has come to appreciate that Ukraine was Europe’s bread basket producing more grain than any other country. Russia is also a top producer but remains boycotted by Canada and many countries for exports. Banick says import costs are through the roof.
“The golf industry the past two years for all intents and purposes didn’t have a food service offering,” he said. “With the shortage of staff and the price for grains, produce and meat golf
courses are looking for products that don’t require a skilled labour force to produce them. More pre- cooked burgers, chicken fingers and sandwiches. No requirement for a chef. On the F&B side momentum has been lost.”
The supply chain isn’t faring much better. Shipping price increases and logistics, labour woes, micro- chip issues and backlogs from two years of COVID-19 have removed any hope of operational maintenance upgrades for most courses this season. Club Car and Toro Company are running overtime schedules trying to catch up on back orders but continue to be hampered by a shortage of electrical components.
“We were looking for more new equipment this season. We have really good suppliers and we like to think we’re a pretty good client but they’re telling us it’s going to be 2023 before we’re going to see that aerator. Not this season,” Brotchie says.
“We have 330 golf cars on order from a fall order last year for spring delivery this year and we’ve got 15. We think we may get another 110 before the year is over but no guarantees. In our case, we can move some of our fleet around or operate the carts for one more year longer than normal. If you were starting a new golf course? Forget it, no chance.”