Using reliable information from own independent research study into “PureGym” company, carefully address the following tasks:
1. Briefly introduce the organisation.
(You could include details such as; what the organisation does; what industry it operates in and; when and how the organisation was created)
2. Critically analyse and illustrate the organisational structure of the company.
(You should include relevant definition of terms and, where possible, use diagrams to support your answer)
3. Explain one modern management approach that could be used in the company. (Modern Management approaches such as situational, contingent or systems should be considered)
4. Critically analyse two innovative strategic management objectives of the company. (You should consider using a strategic management framework of your choice such as Ansoff matrix, Porters’ Generic Strategy Matrix or SWOT analysis to explain the identified objectives)
The report focuses on the business operations and activities of the pure gym. It outlines that how the company is implementing and using various modern management approaches within the organization to gain long-term targets and benefits. Further, the report explains SWOT analysis of the company. The pure gym is one of the biggest players in health and fitness center. It also explains the system approach and contingency approach of the organization to maintain effective management within the organization.
Background of the company
The pure gym is a chain of no-frills fitness clubs in the United Kingdom. The company was founded on 2009 in the United Kingdom. The chain is based in Leeds and it has gyms around the United Kingdom. The company is planning to open 300 gyms by 2020. After the various researchers, it has been evaluated that the company has over 180 gyms around the United Kingdom. The gyms open 24 hours a day and it provides fixed and free weights, cardio equipment, Zumba and exercise classes across the world (Vandeveer & Menefee, 2010). Swimming pools are not available in Gyms because they are very expensive. Peter Roberts is the founder of the company. The company is privately owned by CCMP capital and other investors around the world. In today’s era, it is growing and succeeding in the global market. In this way, the revenue and profit of the company have increased. All pure gyms are focused by the real-time (Nurkkala, Kalermo, and Jarvilehto, 2014). It is one of the biggest fitness and health club centers around the world. Along with this, the company uses effective technologies and strategies to increase the revenue and to improve the services of the fitness center (Belch, Belch, Kerr & Powell, 2014).
Organizational structure of the pure gym
The organizational structure of the company is unique and effective. The company is using effective strategies to deliver a great experience for the members and people. It is using leadership styles to inspire and motivate to the trainers and mentors for providing excellent training to the young people. The team of the pure gym is dedicated and supportive (Shen et al, 2016). They are focusing on the business activities and operation by providing various services to the members and people within the organization. The organizational structure consists chief executive officer, chief financial officer, chief operating officer, and non-executive director. Further, it uses various promotional and advertisement strategies to explore and expand the business activities and operations within the organization. The pure gym is making effective plans and policies to gain the success and growth in near future. Adam Bellamy is the chief financial officer and Jacques De Bruin is the chief operating officer of the pure gym company. Richard Zannino is a non-executive director of the company. The firm uses various effective marketing strategies and plans to promote and enhance the services and facilities of the pure gym. In this way, the company is overcoming on the competitors around the world. Through its effective organizational structure, the company is able to gain the long-term mission and vision in the health and fitness sector (Belch, Belch, Kerr & Powell, 2014).
Organizational structure of pure gym
Modern management approaches
Modern management theory refers to the emphasizing the use and utilization of systematic mathematical techniques, methods, policies in the system with evaluating and analyzing the interrelationship of the management and employees in all the aspect. The system approach of modern management theory has been discussed below (Chung, Lu Wang, and Huang, 2012)
System approach: System approach is one of the dominant organizational theories in modern management. A system is a set of distinct parts which is very complex. A system can be open and closed. An open system interacts with its environment by the way of outputs, inputs, and throughputs. Further, a closed system is not influenced by its atmosphere and environment. In addition, an open system is a system which is affected by its environment. An organization is also considered a system which includes resources, assets, information, employees, and products that form an intricate system. Pure gym organization can use this approach to run the business activities and operations successfully (Mullins, 2016). Most of the theories are considered as an open system within the organization. There are three elements of the open system which include inputs, outputs, and throughputs. The system approach includes mathematical and organic theories. The system approach is based on the econometrics, mathematical analysis and operation research to overcome on the competitors within the organization. Through system approach, employers and top management can make effective and unique decisions in order to determine the long-term success and growth of the pure gym. The company can attract more people around the world (Cao, Huo, Li and Zhao, 2015).
Along with this, contingent theory is a management theory which advocates the most effective an appropriate and suitable style of management is dependent on the context of the circumstances and situations within the organization. It is the effective and unique approach to the management to attain the long-term goals and objectives of the company. It is also known as a situational approach (Johanson & Mattsson, 2015). The theory explains that managerial action depends on the particular circumstances. This theory is used by the various businesses to increase and maximize the revenue and profit of the company. The companies use this approach to deal and handle the various challenges and risks of the market. The contingency approach helps to put the right people in the right place and job. It develops various strategies and policies to resolve the various issues and problems of the organization. Both the approaches are used by the pure gym to manage and handle the activities and operations of the firm. The company cannot make a good image without using effective and unique modern management approaches within the organization (Estrin, Korosteleva & Mickiewicz, 2013).
Two innovative strategic management objectives of the company
The pure gym is working for the fitness and health of the people around the world. The main aim of the company is to engage adults and young people into physical fitness, nutrition, and health. The company is working on the fitness of the young people and as well as adults. The company is working with several organization and partners for rendering a wide range of free services such as vacation training, healthy cooking workshops and mentoring support. Trainers and mentors have been appointed by the company for providing fitness training to the people within the organization (PureGym, 2017). The SWOT analysis has been discussed below to identify the innovative objectives of the company (Osborne, Radnor, and Nasi, 2013).
· It is the large member base and it is located in good location and it is unique in pure gym companies.
· It is well established and 24/7 access.
· It rated 4/5 by the Google
· High personal training turnover(1 per month 2014)
· Induction availability and class availability.
· Club capacity and equipment availability.
· Increasing health-conscious population
· High football area
· Based in Manchester’s financial sector.
· Competitors are the main threat of the pure gym company.
Further, the innovative objective of the company is to introduce and conduct educational programs for the people around the world. In addition, they provide knowledge and experience to the young people and adults related to the fitness. The company has created a public affordable fitness gym which will help to the people become healthier. The company renders gym facilities at reasonable prices. The company increases the physical activity to reduce and prevent the cardiovascular disease, and diabetes among the people (Ghadge, Dani, and Kalawsky, 2012). Now it is assumed that the ultimate goal and objective of the pure gym is to provide help to make its members and people happier. A further aim of the pure gym company is to open 25-20 premises in the UK in 2017. The company has made a gym chain to attract more people in the UK. It is the biggest gym chain in the UK (Antony, 2012). The partners of the pure gym are investing a large amount to explore and flourish the business activities and operations globally. If the company wants to gain more revenue and profits then it should focus on the clients and young people. The company uses effective and unique leadership style to attain the long-term vision and mission of the firm.
On the above discussion, it has been concluded that pure gym is one of the biggest fitness centers around the world. It uses various types of strategies and plans to attract more young people and adults in the United Kingdom. Further, the organizational structure of the company is very effective and excellent. Along with this, pure gym uses effective and excellent situational and system approach to gain revenue and profit around the world. In addition, the company needs to focus and analyze the plans, policies, and strategies of the competitors to gain competitive advantages in the world.
Antony, J., 2012. A SWOT analysis on Six Sigma: some perspectives from leading academics and practitioners. International Journal of Productivity and Performance Management, 61(6), pp.691-698.
Belch, G.E., Belch, M.A., Kerr, G.F. & Powell, I., 2014. Advertising: An integrated marketing communication perspective. McGraw-Hill Education.
Cao, Z., Huo, B., Li, Y. and Zhao, X., 2015. The impact of organizational culture on supply chain integration: a contingency and configuration approach. Supply Chain Management: An International Journal, 20(1), pp.24-41.
Chung, H.F., Lu Wang, C. and Huang, P.H., 2012. A contingency approach to international marketing strategy and decision-making structure among exporting firms. International Marketing Review, 29(1), pp.54-87.
Drafke, M., & Murtaugh,J., 2009. The Human Side of Organizations 10th ed., FT Prentice Hall
Estrin, S., Korosteleva, J. & Mickiewicz, T., 2013. Which institutions encourage entrepreneurial growth aspirations?.Journal of business venturing, 28(4), pp.564-580.
Ghadge, A., Dani, S. and Kalawsky, R., 2012. Supply chain risk management: present and future scope. The International Journal of Logistics Management, 23(3), pp.313-339.
Hanlon, A., 2013, How to use the DRIP model?, viewed on July 28, 2017 from https://www.smartinsights.com/traffic-building-strategy/offer-and-message-development/use-drip-model/
Johanson, J. & Mattsson, L.G., 2015.Internationalisation in industrial systems—a network approach. In Knowledge, Networks and Power (pp. 111-132). Palgrave Macmillan UK.
Mullins, L.J., 2016. Management and Organisational Behaviour 11edn. Harlow: Pearson
Nurkkala, V.M., Kalermo, J. and Jarvilehto, T., 2014. Development of exergaming simulator for gym training, exercise testing and rehabilitation. Journal of Communication and Computer, 11, pp.403-411.
Osborne, S.P., Radnor, Z. and Nasi, G., 2013. A new theory for public service management? Toward a (public) service-dominant approach. The American Review of Public Administration, 43(2), pp.135-158.
PureGym, 2017, About Us, viewed on July 28, 2017 from https://www.puregym.com/about-us/
Shen, G.C.C., Chiou, J.S., Hsiao, C.H., Wang, C.H. & Li, H.N., 2016. Effective marketing communication via social networking site: The moderating role of the social tie. Journal of Business Research, 69(6), pp.2265-2270.
Vandeveer, R., & Menefee, M., 2010. Human Behavior in Organizations 4th edn. FT Prentice Hall