Towels cleaning in the health club: a financial and environmental headache - and opportunity

21/03/2015 Towelscleaninginthehealthclub:afinancialandenvironmentalheadache–andopportunityManagementAccounting data:text/html;charset=utf8,%3Cdiv%20class%3D%22postinfo%22%20style%3D%22paddingbottom%3A%205px%3B%20fontsize%3A%2012px%3B%… 1/1 By:EvelynGiggles Towelscleaninginthehealthclub:afinancialand environmentalheadache–andopportunity ByJoãoonOctober21,2013at8:00am PostedIn:Ch19CostManagement,ValueCreationAndSustainableDevelopment Buyourbookhere. AsIwasenteringmylocalhealthclub,Inoticedasignaboutachangeof policy.Ithoughtitreallyshowedhowenvironmentalandfinancialsavings cangohandinhand.Achatwiththehealthclubdirectorconfirmedthis.  Untillastyear,thehealthclubprovidedone–sometimestwo–towelseach timeamembervisitedtheclub.Withamembershipataround1.000,the €1.500monthlycosts(withatendencytoincrease)tocleanthetowels werebecomingsignificant.Inaddition,thearound400availabletowelshad tolookgood,sotheyhadtoberegularlyreplaced.Aspecializedcompany collectedandreturnedthetowels–usingfuelforthetransportand,of course,usinganenormousamountofdetergenttocleanthem.  Fromafinancialandenvironmentalpointofview,thisarrangementwasnotbrilliant–anditwas probablynotstrictlynecessary.Afterall,probablynottoomanypeoplewashtheirhometowelsevery timetheyusethem.  However,simplystoppingtoprovidetowelswaslikelyinappropriate–afterall,memberswere somewhatexpecting,andwereusedto,nothavingtousetheirowntowels.Thehealthclubhadto maintainmembers’valueperception.So,whattodo?Anyidea?Nextweek,you’llfindoutwhatthis clubdid–andthemanagementaccountingbehindit! However,simplystoppingtoprovidetowelswaslikelyinappropriate–afterall,memberswere somewhatexpecting,andwereusedto,nothavingtousetheirowntowels.Thehealthclubhadto maintainmembers’valueperception.So,whattodo?Anyidea?Nextweek,you’llfindoutwhatthis clubdid–andthemanagementaccountingbehindit!