GEM 1.20% $1.24 g8 education limited

Early Childhood Education 2016, page-2

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    One of the main challenges facing G8 in 2016 will be their occupancy levels. They are obviously already aware that there is an issue (the offering of $500 of free toys for enrolling in November for 2016 and now, if you enrol a friend, both you and your friend will receive one free week of care in 2016) these promotions are not those of a childcare provider who is happy with their enrolments for 2016.

    IMO I have always considered that both operations managers and senior operations managers should be engaged to manage a portfolio of x number of licensed places rather than x number of centres. G8 currently appear to have an operation manager to centres ratio of 1:10 and senior operations managers to operation managers 1:8, this equates to each senior operations manager being responsible for 8 operations managers and 80 plus centres. Consideration should be given to the area expected to be covered by the operations manager, based on the location of the centres, and the number of licensed places they are managing. The fact that only 5 senior operations managers are supporting 43 operations managers and 437 centres is exceptionally challenging. In addition to the constant day to day support those senior operations managers will be expected to transition new acquisitions into the corporate structure.

    Whilst it was impressive that the last reported head office costs per licensed place had dropped to $455, it is possibly time to look at increasing head office support staff. IMO the engagement of additional senior operations managers would prove to be one of the steps towards improving occupancy.

    IMO & DYOR
 
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