BSBHRM602 - Manage human resources strategic planning

Prepared by:

Student Name Uuriintuya Otgonbaatar

Student Number SMC20200228

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 18 August 2020

Version 1.0

Table of Contents

Executive Summary 1
Introduction........................................................................................................................2
Task 1: Research planning requirements..........................................................................3
Review the strategic plan documents............................................................................3
Emerging practice or trends...........................................................................................4
Staffing...........................................................................................................................6
New technology impact on bounce................................................................................8
Recent or forecast changes to legislation that could impact on staffing......................10

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 Print and include any documents from case................................................................11
Task 2: Develop human resources strategic plan...........................................................11
Consult with centre managers (formal way).................................................................11
Agreement on the philosophies, values and policies...................................................14
Strategic objectives and targets for the agreed plan....................................................19
Two options for achieving objectives and targets........................................................20
Strategic human resource plan and support from senior management.......................21
Risk management plan.................................................................................................22
Print and include any documents from case................................................................22
Task 3: Implement human resources strategic plan.......................................................23
Work with others to see implemented as planned and required..................................23
Methods to Monitor and Review the plan.....................................................................26
Adapt the plan if circumstance is change....................................................................26
Evaluate and Review the performances......................................................................27
Print and include any documents from case................................................................28
Task 4. Role Play.............................................................................................................29

Executive Summary
Bounce Fitness relies on the proven skill of its founder to take advantage of the growing
need for fitness training, personal coaching and other related health enhancement
service. The Bounce fitness aims to differentiate itself from its competitors through lower
pricing and the continuing development of unique classes, personal training and
expanding on the one stop shop for health enhancement. The one-stop-shop approach
is expected to allow substantial gains in the largest segment of a growing market. This
focused approach also makes it easier for Bounce Fitness to establish and retain a
position as an industry leader.

To establish above mentioned skills the company will hire qualified employees and
trainees who are suitable for achieving the company’s objectives.

The company will encourage our employees to develop their skills and potential
throughout employment duration.
Introduction

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Dear our employees,

It is a great to have you in our team. The company provides competitive salary, benefits
and opportunities to our employees. The Company aims encourage long-term
employment.

This human resource strategic plan is drafting to provide a guidance to our company’s
managers and human resource department in hiring people. The Human planning
process is comprised of the following 4 steps, each of which will be discussed in detail:

 Assessing the current human resource capacity;

 Forecasting human resource requirement
 Gap analysis
 Developing human resource strategies to support company’s strategy.

Task 1: Research planning requirements

Review the strategic plan documents

Goals
The Bounce Fitness overall objectives:
 The Bounce Fitness is planning to open a new fitness center in Perth city within 2
years from today;
 The Bounce Fitness will continue to increase its market return;
 The Bounce Fitness will increase customer relationship management;
 The Bounce Fitness might be franchising.

The Bounce SMART human resource objectives are:

The bounce fitness will hire employees with following skills:
 Personal motivation to keep fit and the ability to motivate others to do the same.
 Patience and the ability to explain things clearly.
 Understanding of lifestyle, diet and the human body.
 Awareness of safety and good working practices.
Targets
Planning the workforce

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In order to open a branch in Perth, the bounce fitness need to hire 9 employees which
are:
 Receptionist/ Administrative clerk- 2;
 Cleaner - 1;
 Fitness trainers - 5;
 Manager - 1

Selecting, developing and retaining the best people

- Recruitment and selection strategies
- Leadership across the organization
- Employee retention and succession program

Enabling the organization

- Strong workplace cultures by innovation
- Develop capability of managers and human resource service.
Impact on the staffs
The company will improve employee’s skill and knowledge.
Emerging practice or trends
Emerging practice or trends
Considerations
Effect to Bounce Fitness
Customer preferences
Middle age people between 18 to 44
The bounce fitness’s most clients consist aged between 18 to 44.
Community expectations/ trends

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 Australian community embraces fitness more than any other countries in the world.
Fitness community in Australia is changing from time to time and percentage of people
is increasing day by day in working out. The People tend to hire personal trainers.

This community expectation is also affecting to Bounce Fitness. Therefore, Bounce

fitness will provide personal trainers to clients.
Economic trends
Staff wages and rents occupy the greatest share in business costs. Sole traders’
largest expenses are rent and equipment. The core source of income for fitness and
sole training business is customer fees which is not sufficient for the business income.
The Company’s most expenses also comprise of rent, salary, maintenance.
Labor market trends
Employment of full fitness instructor is a very rare and people tends to work as an in-
personal trainers. The trainers in fitness tend to work more hours than current working
hours. Because of payment they receive is low and people are declining to work as
trainers. In addition, the market is so crowded by professional trainers.
The Bounce fitness will hire part-time trainers and the fitness center will become a
bridge between trainers and clients by connecting them to clients who are searching
personal trainers.
New product/ Service
Income of fitness center cannot rely on only income from membership fee. The fitness
centers around the world provides following new products orientated to customers:
a. New classes specified for muscle building
b. Complex classes for healthy lifestyle by providing food supply throughout day
and exercise duties.
To increase fitness profit margin, the Bounce Fitness need to create and think of
additional ways to deliver offering of real value to both existing a potential gym member.
This additional revenue is typically known as ancillary revenue. Ancillary revenue gives
you way more than just a profit boost and it’s one of the best ways to increase your
overall revenue, which may include followings:
a. Fitness Apparel
b. Corporate Program
c. Health Supplements
d. Events
e. Workshops

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 f. Nutrition
g. Fitness Assessments

New technology
Following new technologies are introduced in 2020.
a. Fitness Trackers
b. Small scales
c. Heart rate Monitor
d. Smart Home Gym Equipment
e. Fitness Apps

People tend to work-out at home through online classes or fitness application which will
impact of Bounce Fitness income. Therefore, The Bounce Fitness will provide fitness
application for its members who are not available to join gym.
Political trends
The fitness industry is largely self-regulated. It is subject to some specific regulations
across all jurisdictions in Australia, but these regulations are mainly related to consumer
protection laws and industry specific fair-trading regulations, covering issues such as
membership contracts, client care, standards of qualifications and standards of
business practice, facilities and equipment. In each State and Territory of Australia
(except NT), an Industry Code of Practice has been developed by Fitness Australia in
consultation with the relevant Department of Consumer Protection or Fair Trading. With
the exception of VIC, TAS and NT, the Departments of Fair Trading are involved in the
administration of the Code of Practice.
The Bounce Fitness will follow legal requirements provided by the federal government
and state government. In addition, Bounce fitness will follow guideline provided by
consumer protection act and fair trading.

Staffing
Bounce Fitness business objectives (based on supporting document)
Bounce Fitness strategic human resource plan (based on supporting Task 1)
Above mentioned research relating to employment trends, community expectation from
fitness and economic trends will impact Bounce Fitness tremendously. The Bounce
fitness will employ employees who are:
 Able to motivate others;

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  Have patience when dealing with others;
 Have a knowledge of healthy lifestyle
 Have a knowledge of safety and good working practices

Emerging trends and practices (based on Task 2) Companies hire employees who
are able to provide a personal trainer.

How does bounce fitness achieves the required KPIs.

The number of clients and their satisfaction.
New fitness centres in Perth within 2 years

 Receptionist/ Administrative clerk- 2;

 Cleaner - 1;
 Fitness trainers - 5;
 Manager - 1
The companies also hire same number of employees when opening a branch.

Qualified number of employees.

Investment through excellence of facility, staff and operational management
The company will renovate its facility, staff and will install new technology.
The fitness companies are changing their image by introducing eco-friendly
environment to clients.
Increased number of memberships
Invest greater time in customer relationship management
The company will provide following events to customers:

 New year events

 marathons

Other companies are influencing its member by organizing events to give a signal what
the company cares its members.
Participation of employees
Increase staff training in line with their job roles

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The company will hire experts to provide training program once in every 3 months.
Other companies hire professional team builders to increase efficiency of employees
Increased potentials of employees
Considerations for franchising or licensing as options in the next 5 years
The Company will establish brand name by providing a qualified service to its
customers.
The companies tend to establish brand by introducing franchisee name from beginning
of establishing company.
Brand name
New technology impact on Bounce Fitness

New technologies are impacting to every sector of human life and business. In fitness
sector, following new technologies are introduced in 2020.
a. Fitness Trackers
b. Small scales
c. Heart rate Monitor
d. Smart Home Gym Equipment
e. Fitness Apps
Nowadays, people tend to work-out at home through online classes or fitness
application which will impact of Bounce Fitness income. Therefore, The Bounce Fitness
will provide fitness application for its members who are not available to join gym.
New technology type impacting fitness industry job
Cost
Benefits
How would this impact job roles in bounce fitness
Using computerized CRM
10.000 AUD

 Improve customer satisfaction

 Improve customer retention

 Better internal communication

 Optimize bounce’s fitness marketing

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  Increases business performance

The computerized CRM will improve Bounce Fitness’s internal process, core
competencies and efficiency of the human resource.
Alternative fitness instruction medium
400 per hour
1. Motivation
2. Structure
3. Proper form
It will attract more potential customers which will increase employment
Changing community expectations/ trends
10.000AUD
1. It will attract more customers.
If the fitness company introduced new product than any other fitness company, and it
becomes trend to the community. Many customers will join Bounce Fitness, which
means that the company need to hire more employees to provide service.
24 hours fitness centre access
10.000 annually
It will attract more customers, specially who are not able to join gym during working
hours.
It will increase more customers to the gym but also increases more expenses including
staff member’s salary.
Health mobile apps
Start up cost- 10000 AUD; maintenance-1000AUD
It allows customers to exercise everywhere in the world.
The customers will join without distance issue which will increase membership number.
Wearable technology
Depends upon types (100AUD to 1000 AUD)
It monitors safety issues such as hearth rate, stress etc
It might reduce customers who have a health issue.

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Innovative fitness machinery in terms of leasing
3000 AUD per month
It helps to balanced cash outflow
The Company will able to control its cash outflow and at the same time able to identify
good equipment. But in a long run, the company will waste only its money.
Innovative fitness machinery in terms of buying
50.000AUD
The company will own equipment
The Company will able to have its own equipment and able sell it if it is out of date.
Recent or forecast changes to legislation that could impact on staffing
Fair trading
It governs relationship between employer and employees. The act sets minimum
entitlements, enable flexible working arrangements and fairness at work and prevents
discrimination.
Consumer legislation
It gives a guidance how to protect consumer when providing service which is also
needed to bound by employees of the Bounce Fitness.
Zero hours contracts
Zero hours contract is one in which the employer does not guarantee the individual any
hours of work. The employer offers the individual work when it arises. The Bounce
Fitness may also use it zero hours contract.
WHS
It provides duties and responsibilities to both employees and employer in relation to
wealth and safety working condition.
Quality Service
The Quality of service may form of minimum standards, rewards for improving quality
and penalties for substandard quality. Therefore, the Bounce fitness will provide at least
minimum standard provided by the quality of service.
Print and include any documents from case
- Case study (Introduction)
- Annual strategic plan
- Mission, vision and values
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Task 2: Develop human resources strategic plan

Consult with centre managers (formal way)

Way of communication
Descriptions
Evidences (Example only)
Email
Dear Centre Managers,

It is my pleasure to notify you about meeting for analysis of market objectives.

The meeting will be held in Sydney office which will be convenient for everyone to visit.

The meeting is going to be organized at 11:00 am on 30 th of August 2020 for duration of

30 minutes to identify market objectives of the company.

Please review attached file for further information regarding market analysis.

If you have any question regarding market, please do not hesitate to contact me via
+61XXXXX or email address at XXXXX@gmail.com

Sincerely,
XXXXX
Formal Email:

Dear centre managers,

Re: Notice of meeting for Analysis of market objectives

Place of meeting: Sydney branch

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Time of meeting: 11:00 am on 30th of August 2020

Duration of meeting: 30 minutes

Purpose of meeting: identify market objectives of the company

Materials required for meeting: Review market analysis

Memos
Dear all center manager,

The Bounce fitness is planning to change its human resource policy, which will be
compromise of 3 stages:
1. Planning the workforce;
a. High quality of staff members
b. Reflect diversity of the local community
c. Follow the human resource policy and procedures

2. Selecting, developing and retaining the best people

a. Recruitment and selection strategies
b. Leadership across the organization
c. Employee retention and succession program

3. Enabling the organization

a. Strong workplace cultures by innovation
b. Develop capability of managers and human resource service.
In addition, the Bounce fitness is going to open new branch in Perth city. When hiring
employees in Perth, this policy will follow.
General Memos

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To: All center managers
From: XXXX
CC: CEO
Date: 30th of September 2020
Re: Update human resource policy

1. Planning the workforce

2. Selecting, developing and retaining the best people

3. Enabling the organization

Minutes of Meeting

1.Identify location to open Perth’s branch – Melbourne office manager (responsible to

identify)

2.Identify employees to employee in Perth’s branch – Huma Resource manager

(responsible to identify)

3. Establish new supply for fitness clothes and supplements – All managers
(responsible to identify)

4. Initiate Bounce fitness application – all managers (responsible to identify)

5. Make Bounce fitness as a brand name – all managers (responsible to identify)

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Meeting Minutes: Identify objective of the philosophies, values and policies in human
resource.

Date: 20th August 2020

Time: 11 am
Meeting Held: Sydney
Attendees: SSSSS – Manager in Sydney branch

BBBBBB- Manager in Brisbane branch

CCCCCC – Manager in CCCC branch

MMMMMM – Manager in MMMM branch

Apologies: N/A
Guest: N/a

Meeting Agenda:
1.Identify location to open Perth’s branch

2.Identify employees to employee in Perth’s branch

3. Establish new supply for fitness clothes and supplements

4. Initiate Bounce fitness application

5. Make Bounce fitness as a brand name

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Matters arise from the previous meetings: Draft human resource plan pf the Bounce
fitness

Correspondence: All Department of Bounce Fitness

Agenda Items: Identify requirement of Human resource plan

Reports: Senior manager

Date for the next meeting: At 11:00 am on 25th of September 2020 at Sydney branch

Action Items: Business plan

Operational plan

Notes from Meeting

Each centre manger have right to take note from meeting.

Notes from the meetings:

- Improve HR
- Employee equal opportunity
- Diversity

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 - Employee retention program
- Increase intensive
Agreement on the philosophies, values and policies
HR development areas
In my view, the bounce fitness needs to develop staffing, development, compensation,
safety and health, employee and labor relations.
Equal employment opportunity and diversity
The Bounce Fitness will comply legal requirements relating to equal employment:
- Age Discrimination Act 2004
- Disability Discrimination Act
- Racial Discrimination Act
- Sex Discrimination Act
In addition, it also beneficial to have a diverse team. Because:
- it increases creativity and innovation
- better problem-solving and decision making
- increases profits
- higher employee engagement
Human resource information system
The Company need to use Huma Resource information system to collect and store data
on an organization’s employees.

Induction
The induction will be provided to every new employee in the Bounce Fitness. The
Induction will benefit the Bounce Fitness in following ways:

- Save money and time

- Reduces employee turnovers

- Ensures operational efficiency

- Makes new employees feel respected and valued

- Provides the necessary information

- Helps to establishing a good communication

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Industrial relation
The Bounce Fitness will prefer to employ long-term employees who are eligible work as
a full-time.

Job analysis and design

The Bounce Fitness will employ long term employees who are aligns with the
company’s goals, mission and vision.

Occupational health and safety

The Bounce fitness has to provide occupational health and safety working environment
to all employees and customers.

Performance management
The Performance management shall be drafted by communication of manager and
employees. The plan will be monitored and review by both of them.

Professional development
The Bounce Fitness will provide an opportunity to all its employees a professional
development.

Recruitment and selection

Recruitment and selection process shall be conducted only by merits basis.

Remuneration
The remuneration of the employee will be consist of base salary, commission, employee
benefits, paid and unpaid holidays.

Staff retention and Succession planning

The Bounce Fitness will provide an opportunity to employee who have a potential skill
and knowledge equals to position.

Strategic objectives and targets for the agreed plan

Focus areas
Strategic directions
Targets
Time/ Remarks

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Planning for the workforce

High quality of staff members

Senior management
December 2020

Training will be provided by Bounce Fitness in all stage

All employees
Once in 3 months

Reflect diversity of the local community

All employees
June 2021

Follow the human resource policy and procedures

Human resource department

September 2020
Enabling the organizations
To have diverse and skilled employees will enable Bounce Fitness to reach
objectives of the company
All employees
September 2025

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Two options for achieving objectives and targets
Strategic directions chosen
Cost
Benefit
Justifications
Choice of strategic directions
Solution 1, Outsourcing: HR from outside

3000 AUD
It is hard to find skilled employee than non-skilled. Therefore, the company may hire
non-skilled employee and train them in entry level position

Finding right and skilled employee is a tough for human resource. Therefore, the
company may hire may train them and provide them employee benefits.
Training
Solution 2, Internal HR provision: Internal HR

none
Recruitment agency has a ton of application and they are keen to find the best suitable
employees to targeted company.
It is much easier to find best suitable employee at all level.
Recruitment agency.
Final option/choice
Recruitment agency
Cost-Benefit analysis

Solution 1 Solution 2
(Full pack) (Separate)
Total Cost 3000 none

Total Benefit Train Easy to find the

employees the targeted
way the employee
company want.

Cost-Benefit Ratio middle High

(Total benefit/ total Cost)

Strategic human resource plan and support from senior management

Human resource strategic plan
Support from senior management

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The human resource strategic plan in bellow:
Planning the workforce
- High quality of staff members
- Reflect diversity of the local community
- Follow the human resource policy and procedures
Selecting, developing and retaining the best people
- Recruitment and selection strategies
- Leadership across the organization
- Employee retention and succession program
Enabling the organization
- Strong workplace cultures by innovation
- Develop capability of managers and human resource service.

In order to implement human resource strategic plan, the following supports are
required from senior managements:
Target Support from senior
management
Planning the workforce
High quality of staff The Senior
members management need to
cooperate with
employees by
providing a guidance in
training them.
Reflect diversity of The Senior
the local community management should
support diversity
community by
embracing their culture
or background
Follow the human The Senior
resource policy and management are
procedures required to support
human resource policy
and procedure by
giving the guidance to
Human resource.
Selecting, developing and retaining the best
people

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 Recruitment and The Senior
selection strategies management should
support recruitment
and selection
strategies by enabling
them to be transparent.
Leadership across The Senior
the organization management should
lead the organization
by doing what he/she
does; and be a role
model for employees
Employee retention The Senior
and succession management should
program always teach what they
know to their junior
positioned employees
Enabling the organization
Strong workplace The Senior
cultures by management should
innovation always listen new
ideas of employees
and encourage them to
have a new idea.
Develop capability of The Senior
managers and human management should
resource service develop their
employees capacity in
all level by providing
training program from
time to time.

Risk management plan

HR activity
Potential Risk
Probability
Mitigation Measures
Reference
Compensation and benefits

 Not payment

 low

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 Protect
Annual strategic plan

Hiring new employees

 Hiring unqualified employees

high
detect

 Annual strategic plan

Occupational health and safety

 Injury during employment

 high

 hazard mapping

 Annual strategic plan

Employee supervision
Not enough guidance from supervisor

 low

 training program

 annual strategic plan

Employee conduct
Not complaining with organizational objectives

 low

 respond

 annual strategic plan

Exiting e
employee
Changing its employment from Bounce fitness to another company

 high
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 Recover

 annual strategic plan

Print and include any documents from case

- Case study (Introduction)
- Annual strategic plan
- Mission, vision and values

Task 3: Implement human resources strategic plan

Work with others to see implemented as planned and required

Others involved in implementing the plan
Implementation plan

HR personnel

1.HR personnel are required to each and every responsibilities of position of the Bounce
Fitness. Draft position.
2.HR department are responsible to recruitment process stages

Line managers

1.Managers are responsible for providing guidance to new employees and give tasks
within branch.
Senior managers

1 Senior manager are responsible for directing employees to company’s objectives.

Employee representative groups

They are responsible to bring voice of employees and protect them from il-treatment
from company.
External contractors

Required to work accordance company’s policy and procedure

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 Outsourcing agencies

The outsourcing agencies are required to supply employees with potential skills and
education.
Suppliers

The suppliers are required to supply as rrequirement of the company.

Methods to Monitor and Review the plan

To achieve the strategic aims and objectives, the company will use followings methods:
- Tracking adaptation and measuring development
- Process tracking
- Outcome of harvesting
Adapt the plan if circumstance is change
The Company will adapt plan if the circumstance is changed by participatory mapping.

Evaluate and Review the performances

Organizational Objectives
Performance outcomes
Review – mid term
Review – annual
New fitness centres in Perth within 2 years
New branch
September 2020
December 2020
Investment through excellence of facility, staff and operational management
New facility
December 2020
June 2021

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Invest grater time in customer relationship management
Increased number of percentages
Every month
annual
Increase staff training in line with their job roles
Increased performance of the employees
December 2020
June 2021
Considerations for franchising or licensing as options in the next 5 years
Brand name
June 2022
June
2025
Implementing the Strategic HR Plan
IMPLEMENTATION PLAN
No Action-plan Time Method Adapt the KPI Responsible party
. framewto plan
ork monitor
and
review
the plan
Strategy 1: Open fitness centre in Perth
1.1 Identify June Monitorin From time Location New Manager
location 2020 g work to time
performa
nce out
put
1.2 Make a July Monitorin From time Contract New Manager
contract to 2020 g work to time
rent the performa
premises nce out
put
1.3 Conduct August Monitorin From time Renovate New Manager
renovation 2020 g work to time d
performa premises
nce out

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 put
1.4 Install all Septem Monitorin From time New New Manager
required ber g work to time equipmen
equipment 2020 performa t
nce out
put
1.5 Announce Septem Monitorin From time New New Manager
about ber g work to time branch
opening 2020 performa
new nce out
branch put
Strategy 2: Invest to excellence of facility, staff and operational management
2.1 Train Once in Employe From time Employe Human Resource
employees 3 e survey to time es Manager
months performa
nce
increased
2.2 Provide August Monitorin From time Time IT department leader
new 2021 g work to time saving
operational performa
IT system nce out
to put
employees
2.3 Renovate Februar Monitorin From time Renovate Manager
facility y 2021 g work to time d facility
performa
nce out
put
2.4 Hire skilled January Monitorin From time Employe Human Resource
employees 2021 g work to time es Manager
performa performa
nce out nce
put increased
Strategy 3: Increase customer relationship management
3.1 Conduct Once in Talking From time Identificat Manager/ trainers
survey 3 with to time ion of
months people issues in
the
fitness
center
3.2 Provide Increas Talking From time Increase CEO
benefits to e with to time of
membershi benefits people members
ps percent hip
age number
3.3 Conduct Once in Talking From time Participa CEO

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 events for 6 with to time nts of
membershi months people members
p hip
percenta
ge
3.4 Provide Once in Talking From time Participa CEO
caring 3 with to time nts of
program months people members
for hip
membershi percenta
p ge
Strategy 4: Provide training program for new employees
4.1 Conduct October Talking From time Identificat Human Resource
survey 2020 with to time ion of Manager
regarding people lists
employees’
lack of skill
4.2 Identify Novemb Talking From time Training Human Resource
training er 2020 with to time programs Manager
programs people
which are
suitable for
employees
4.3 Make a Novemb Talking From time Identified Human Resource
contract er 2020 with to time institution Manager
with people
training
institutes
4.4 Conduct Decemb Monitorin From time Training Human Resource
training er 2020 g work to time program Manager
program performa
nce out
put
Strategy 5: Make the Bounce Fitness as a franchising
5.1 Establish July Talking From time Communi CEO
brand 2023 with to time ty knows
name people about
bounce
fitness
5.2 Advertise August Monitorin From time advertise CEO
bounce 2023 g work to time ment
Fitness is performa
inviting nce out
companies put
5.3 Make a August Monitorin From time contracts CEO
franchisee 2023 g work to time

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 contract performa
with nce out
potential put
company

Task 4. Role Play

Link: https://youtu.be/82bppnk-r1Q

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