Landmark report finds only 57% of directors clearly understand where their role ends and management's begins — as industry calls for
step-change in governance capability.
A landmark study into the governance of Australian golf clubs has revealed persistent structural weaknesses across the industry, including a
significant accountability knowledge gap between boards and management, persistent gender imbalance, and a gulf in governance maturity
between volunteer-run and professionally managed clubs.
Golf is a big industry that plays an important role for communities across the country. There are around 1,300 golf clubs in Australia that
cater to more than 470,000 members and 1.8 million round players. The clubs are governed by more than 11,000 volunteer directors and support
around 30,000 jobs nationally. Collectively the top 150 clubs manage revenues approaching $900 million and assets beyond $2.4 billion.
Yet the 2026 National Club Governance Report found only 57% of golf leaders believe directors clearly understand where the board's role ends
and management's begins, the lowest-rated governance measure for the third consecutive year, while almost half (44%) of boards remain
focused on club operations rather than long-term strategy.
Making Par in Golf Club
Governance,
the most comprehensive assessment of golf club governance ever conducted in Australia, surveyed 1,139 leaders from more than 600 clubs
across every state and territory, providing an unprecedented view of how clubs are governed and where opportunities for improvement exist.
The report, produced by Golf
Business Advisory Services (GBAS)
and Board Benchmarking supported
by Golf Australia, comes as the sport prepares to expand its national governance education program following a successful pilot that trained
775 participants from more than 360 clubs last year.
The Golf Australia Club Governance
Program,
delivered in partnership with the Australian Institute of Company Directors (AICD), saw 52% of pilot participants report that governance
practices at their club changed as a direct result of the training.
Key findings include:
James Sutherland, Chief Executive Officer, Golf Australia said: "Golf clubs are significant community assets,
employers, volunteer-led organisations and increasingly sophisticated businesses managing major infrastructure, people, risk and community
expectations. The quality of governance within those organisations has never been more important.”
"This report makes clear that while many boards are doing a commendable job under real constraints, structural governance weaknesses
persist across the industry. Boards are consistently overestimating how effectively they are performing, and the gap between how directors
and managers experience governance is significant.”
"Importantly, this work is not about making golf clubs more corporate. It is about helping clubs and their leaders build the
capability, confidence and structures required to make better long-term decisions, support their communities and harness the significant
opportunities currently in front of the game."
Mark Rigotti, Managing Director & CEO, Australian Institute of Company Directors said: "Good governance
doesn't happen by accident. It requires investment in skills, ongoing education and a commitment to continuous improvement.”
"Strong governance is also central to maintaining an organisation's social licence. As expectations continue to grow, particularly in
areas such as safety, integrity and inclusion, boards must lead with consistency, transparency and sound judgement.”
"This report highlights both the challenges and the opportunities facing the diversity of golfing clubs and organisations today. It
reinforces a simple but powerful principle: good governance, applied well, is the foundation on which sustainable, effective organisations
are built."
Jeff Blunden, Managing Director, Golf Business Advisory Services (GBAS) said: "We are thrilled to release this
report, knowing it will be a highly valued resource for clubs looking to improve their governance practices.”
The report identifies five priority recommendations for golf clubs:
Golf clubs, directors and leaders seeking to strengthen their governance capability are encouraged to register their interest in the Golf Australia Club Governance Program, powered by the Australian Institute of Company Directors (AICD) due to relaunch on 21 July.