Question: 16. Case study 2 (10 marks total) Serena planned to open a fitness club. In order to operate profitably, she needed 1000 members within the
16. Case study 2 (10 marks total) Serena planned to open a fitness club. In order to operate profitably, she needed 1000 members within the first year, so she set her membership goal at 100 new members each month. At the end of each month, she would compare her target number of new members against the actual number of new members, and, if she had not reached her goal, she would increase her promotional efforts One of the major problems that fitness centres have is a high turnover rate for staff. For example, many instructors simply do not show up for fitness class, leaving members very angry, and hurting the club's reputation. Serena hoped to solve this problem by paying a generous salary to a human resources manager, who would hire the aerobics instructors, motivate them, and make sure that they were at the club when they were needed. It was the HR manager's job to ensure that replacement instructors were available, and to establish a system for substituting them, in case one instructor could not be there The HR manager would also call each of the instructors the day before the class to make sure that they were planning on teaching the next day. If an instructor missed a class without giving 24 hours' notice, then he or she would be warned that any further absences without notice would be grounds for immediate dismissal. Serena monitored the instructors' attendance to make sure that it was satisfactory She also set up a rating system to check on the members' satisfaction level. Serena also studied her budget each month to ensure that she had enough revenue Serena also studied her budget each month to ensure that she had enough revenue coming in to pay the staff and other expenses, and to compare budgeted figures with actual figures. If the revenue did not achieve the budgeted amount, then Serena would cut back on expenses so as not to negatively impact the year-end figures. a) Describe the steps in the control process and how they relate to the managerial process of planning, leading, and organizing. Be sure to provide specific examples from the case study. (6 marks) b) How would Serena use each of the three types of organizational controls? Name the type of control and provide a one-sentence explanation as to how Serena would use it. (3 marks) c) Provide an example of progressive discipline from the case study. (1 mark)