JAIPURIA INSTITUTE OF MANAGEMENT, NOIDA

REPORT- FUNCTIONS OF MANAGEMENT

SUBJECT- Principles of Management

SUBMITTED TO: Dr. Pragya Gupta

Submitted by: Group-4

Saumya Dixit

Dhriti Bose

Verhsa Sharma

Riya Tyagi

Shivika Saxena
 INTRODUCTION
This project report is a study of management functions carried out in the Fitness
Industry. The study assists in further understanding of Principles of Management as a
subject.   
Management functions are a set of activities performed by a manager to achieve
organizational goals both long-term and short-term. The existence and practice of these
functions is important for the smooth functioning of the organization. These activities are
pervasive and are carried out across all organizations in all departments within the
respective organizations. These functions are as follows:
Ø Planning 
Ø Organizing 
Ø Staffing 
Ø Directing 
Ø Controlling 
In order to better understand these functions a study was conducted in the firms that are
a part of fitness industries. This project was undertaken to implement the classroom
learnings in the practical world and identify their respective roles in achieving short term
and long-term organizational goals. For the purpose of this project, two companies were
studied – Any Time Fitness Gym and Gym 2.0.
ABOUT ANYTIME FITNESS GYM
For the purpose of this study, an interview was conducted with Miss Kamna, the sales
manager of ANY TIME FITNESS GYM. She gave an overview of the ways in which they
follow management functions starting from planning to controlling and its importance in
the functioning of the gym.
Anytime Fitness was founded in 2002 by Chuck Runyon, Dave Mortensen, and Jeff
Klinger. Runyon is the CEO of the company. It is a 24hour fitness providing company
with its headquarters in Woodbury, Minnesota. It is present across 50 countries with
more than 4000 franchised locations. This company functions all around the year. This
is the major reason for it possessing a large client base of more than 3 million.

To manage such huge demand from a large client base it operated through different
franchises in various locations across the countries. They also require a huge
manpower to efficiently handle each of these business units. It faces tough competition
from following competitors-

1. Golds Gym
2. Planet Fitness
3. FRS
4. La Fitness
To make the company a more appealing and attractive among the clients, they follow
five management functions in the following ways:
 
1. PLANNING
MISSION STATEMENT
Their mission is to help people thrive through a fit and active lifestyle. Smart businesses
share a similar mission for their employees, one where workers are encouraged to
improve their health and fitness levels, increase their energy and productivity, and lower
the amounts spent on healthcare. Their Employee Wellness Program makes it possible
for company to encourage wellness in both their personal and professional lives.

VISION STATEMENT
Anytime Fitness aims to be the average joe franchise gym where they offer modern
facilities for the everyday person; not too over the top nor mediocre.

STRATEGY

 They have various customized plans for every customer. For example 18
Months plans, 12 months plan, 3 months plan. These plans are designed to
retain their loyal customers. They design their plans according to the needs of
their customers.
 A customer from one country has the full access to the fitness club located in
any city or country which is subject to the condition that, he/she possess the
permanent membership program.

GOALS
Each of the employees working in the sales department has a target of engagement of
customers by achieving billings up to Rs.20 lakhs which are to be accomplished in the
1st quarter. Based on this, they are rewarded in the form of scaling up their authority
and monetary incentive in the future events of the company. This is the short term goal
for the company: to approach various customers at a time.

2.ORGANISATIONAL STRUCTURE
They follow vertical organization structure. In this format the CEO reports to the owner
for any type of formal communication. There is one club manager for every gym who
manages accounting, sales, and marketing related activities. The fitness manager
manages every issue, problem-related with the professional trainers and the common
trainers reports to these specialized professional trainers. This type of hierarchy helps in
quick decision making.
 OWNER

CEO

CLUB FITNESS
MANAGER MANAGER

SALES ACCONTING HR TRAINERS TRAINERS TRAINERS

COMMON COMMON
TRAINERS TRAINERS

 
Based on the requirement of customers, they are engaged with different trainers.
For general training– all-rounder trainer
For personal training – specialized trainer with extra charges

3.STAFFING:
 Employees are the major resources of the company. All the employees of the
organization, especially the club manager and trainees are encouraged to have regular
interactions with their customers, both old and new, by apprising them of their current
schedule, improvising their health and exercise plans and offering new permutations
and combinations of existing programs to new customers. The key requirement of
staffing up this organization is, for the persons’ to strive and achieve high level of fitness
individually to implement the same professionally.

SELECTION
ANYTIME FITNESS is having certain eligibility criteria for selection process:
 They look for candidates who are graduates and possess some certificate or
experience in fitness and health sectors.
 A trainer who possess fitness certification from a recognized institution.
  A candidate having at least 2-3 years of experience.

TRAINING

Trainers undergo a minimum two days training program offered by the company, in
which they must crack an exam based on the training and achieve a minimum score of
80%. This is a mandatory criterion for selection.
Demo classes are held, for every new trainer to improve and test their skills. They are
judged on the attributes of client handling, engaging new customers and maintaining
their overall fitness. They are test and trained along these above-mentioned
parameters and if they manage to clear them, they become a coveted member of the
organization.

4.DIRECTING

Directing involves actions which influence individuals’ action to achieve goals. It

includes motivation, communication, leadership, and supervision which has positive
impact on an individual’s performance. It is mandatory for each member to spend at
least two months in the nearest franchise to observe the functioning and maintenance of
their brand name. the employees are accordingly rewarded and punished, based on the
under cover observation undertaken by a higher authority.

MOTIVATION

 This company maintain hygiene factors by providing a friendly working

environment through informal meetings.
 They provide training for skill development to their employees at regular
interval of time.
 For motivating their clients, they organize various events, games and
competitions.
 Company provides free bags, sippers and kit for every new membership.
 They organize parties and events for their employees to keep them motivated
and enthusiastic.
 After achieving an optimum target by the sales department, they are awarded
with incentives which can be monetary and non-monetary.
5. CONTROLLING

Controlling involves the monitoring of activities to make sure whether the activities are
being performed as per the plan or not. Controlling at every level is important to achieve
targeted goal without any deviation. Company believes that controlling at every level of
organization is very important. Since it caters to a large client base and huge number of
trainers, they follow procedures of controlling and forecasting. Company believes in
taking feedback from each of their client to measure their satisfaction level and if there
is any issue regarding the services HR manager immediately tries to work out a solution
for it.

 A fitness manager observes as well as handles conflicts if any, arise from the
end of a trainer or due to conflict of interest between the customer and the
trainer.
 Club managers monitor the functions of sales, accounting, and manage
customer complaints for better client services
 GYM 2.0

About company
Gym 2.0 is a health and fitness club located at Vikash Marg, Laxmi Nagar, New Delhi.
Owner- Lalit Kumar Yadav
The gym undertakes the following managerial functions in order to carry out its
operations and achieve its short term and long term goals and objectives.

PLANNING
Mission Statement
The gym provides clients with the most time-efficient and productive high-intensity
strength training, nutritional consulting, and post-rehabilitation experience possible in a
highly consistent manner.
Vision Statement
2.0 will profoundly improve the quality of life for thousands of people educating, inspiring
and providing the most efficient, effective and safe exercise program and nutrition life-
style system ever created.
Customized Membership- The customized membership plans comprise of 1 months, 3
months, 6 months, 12 months subscription period offered to the customers in order to
enroll and avail the facilities in forms of using equipment and healthcare services being
provided at the gym.
Target – Sales target 5 lakhs each month
The company tries to engage its customers by devising and providing effective
healthcare services and induce the habit of high fitness living standards by making the
following offerings to its customers:
 Healthy lifestyle
 Making career in bodybuilding
 Pocket friendly for students and individuals.
 Gym with all the best equipment’s.
 Separate trainer for ladies.
 Complimentary drinks and goodies.

MAJOR PLAYERS- The single handedly operated gym 2.0 faces competition from:
 1. Local gyms – gyms in the vicinity having better product offerings and state of the
art equipment for engaging health conscious customers.
2. Franchise gym- the franchise gyms pose a major threat as they operate on a
larger scale and are affiliated to a brand name which provides assurance to the
customers about the health and fitness services being provided. They also
undertake better investment activities which make it tough for sole operated
gyms located in nearby local markets or residential areas.

ORGANIZATIONAL STRUCTURE
2.0 follows a vertical organization structure:

Owner

Manager

Traine
Trainer
r
The gym 2.0 operates on a small scale and mans the gym through a vertical structure
where the manager reports to the owner of the gym while trainers who engage with
customers and provide the basic services report to the manager and not directly to the
owner.
Based on type of training customers are provided trainers.
for general – all-rounder trainer.
for personal – specialized trainer with extra charges.

STAFFING
 Eligibility -They require graduate candidates holding the required certification
from a recognized institution like K11, GMSA.
  Selection – The selection is based on the health, fitness and activeness levels of
the candidate. The certificates from a recognized institute help in shortlisting the
candidate. The owner appoints the trainer on a probation period of 5 days demo
training session so that he can get the feedback from the customers and select
the trainer.

DIRECTING
 For motivating the trainers, the owner provides monthly monetary incentives to
the trainers. The criteria for incentives are based on engaging the maximum
number of customers and retaining them
 For motivating their client’s, various events are organized. such as bodybuilding
championship and CrossFit trainings, where the customers showcase the
improvements, they have witnessed in the duration of their membership by
engaging them in activities to test their strength, endurance and agility.
 Communication is formal: top-down communication.

Controlling
 The gym takes regular feedback from their customer about the services being
provided to ensure the customers remain satisfied and happy with the level of
training and services being provided
 The manager observes as well as handles conflicts if they arise in any form
between the trainer and the client or among the trainers.
 The managers monitor the functions of sales, accounting, and also manage
customer complaints.

    
CONCLUSION
With the help of conducting this study, it was observed that different industries follow
different practices and set certain benchmark rules and norms for the firms operating in
such industries to follow and regulate the functioning of the industry in its entirety.
The basis of selecting candidates based on their fitness levels and appropriate
certifications offered by legitimate institutes and centers is the primary set standard
across this industry. The industry operates by engaging customers by devising
membership programs which may prolong from 1-12 months membership period. The
offerings within these memberships may vary depending on the scale of operation of the
firm. Therefore, this study has allowed to ascertain that each organization, no matter
how big or small requires a certain level of planning, organizing, staffing, directing and
controlling to maintain, improve and keep in check the smooth functioning of the
organization.