E:

Human resource management in the UK health and fitness industry

Lesson Objectives

• To be able to discuss human resource management in the UK Health and Fitness industry

Starter

What kinds of jobs do you think there would be in a busy gym?

Edexcel – this is the

information from the spec which relates

to HRM

APPROACHES TO STAFFING (141)

Multi-skilling

• Alex Smith who worked for Virgin Active and now works for Nuffield Health gym (as it was taken over):

• “staff are trained to cover a series of tasks, sales staff can do promotion or help in the gym”.

This is Alex (on the left) on duty in Derby town centre promoting the club

Benefits and drawbacks of multiskilling

• Benefit is the employee gets a wider range of tasks and so may be more motivated

• Staff can cover for absences / holidays / sick leave without it impacting on member care

• Drawback is employees may find they have to complete tasks they have not been trained for or don’t want to do

• Members may find that they ask gym staff for help but they don’t have the knowledge

Flexible working

• By definition, flexible working is a way of doing a job that meets the employees particular needs, whether that’s opting to complete tasks remotely, having flexible start and finish times, or phasing in retirement

• Since 2014, all employees now have the legal right to request flexible working, be that anything from flexi-time to job sharing with a colleague see HERE

Flexible working - benefits

• A) Gym employees will be more motivated as they are working the hours and patterns that suit their lives

• B) Employees for other companies that are on flexible hours may have more time to attend a gym which will boost membership

Outsourcing

• Some gyms choose to outsource their personal training programs to experts

• Benefits are a well run program, the input experts which may attract new members

• Drawbacks gym staff spending less time with the members

Freelancing

• Many personal trainers in gyms work on a freelance basis, this means they work for themselves and not the gym

• This means they are paid only a % of what the member pays for their service

• They can choose when they work, and also work at other gyms and take on private clients

RECRUITMENT SELECTION AND TRAINING (142)

Recruitment in health and fitness industry

• Some H&F businesses carry out the recruitment themselves

• Others use agencies who can put them in touch with H&F specialists

• Other smaller independent gyms may recruit via a website ad see HERE

Induction training in H&F industry

• When an employee starts working at a gym they should be given induction training – here is an example:

On-the-job training in the H&F industry

• This would take place in the employees normal working situation

• They may work shadow another employee doing a similar job

• They may be trained to use all the gym equipment or how to talk to a prospective member depending on their role

• This is very cost effective for the business

Off-the-job training in the H&F industry

• This may take place away from the gym

• The business may pay for an external trainer to complete the training

• This may be for example for IT systems, sales training or new equipment training

• This is expensive for the business but important if they want to offer new equipment

Example of off-the-job

training

Example of off-the-job

training

REPs: The register of exercise professionals

• Launched in 2002, REPs is an independent, public register which recognises the qualifications and expertise of health-enhancing exercise instructors in the UK.

• REPs provides a system of regulation for instructors and trainers to ensure that they meet the health and fitness industry’s agreed National Occupational Standards.

• Large collection of online magazines here if you wish to research further:

• HERE

ORGANISATIONAL DESIGN (143)

Hierarchical structure

• Many organisations like the police and the military have many layers in their hierarchy

• There are lots of opportunity for promotion

• Information takes a long time to get from the bottom to the top

• It takes a long time for decisions to be made

• Work is shared amongst more people so less stress

• Everyone knows where they are in the hierarchy, so very orderly and organised

Example of typical full service gym hierarchical structure

General Manager

Sales and Marketing Manager

Sales team leader

Sales

Sales

Marketing team leader

Marketing

Marketing

Gym and studio manager

Gym team manager

Gym staff

Gym staff

Studio team leader

Studio staff

Studio staff

Cleaning and maintenance

team manager

Cleaning team leader

Cleaning staff

Cleaning staff

Maintenance team leader

Maintenance

Maintenance

PA to the general

manager

Hierarchical structure

Advantages

Disadvantages

Advantages of a hierarchical structure

• Lots of layers in the hierarchy means lots of opportunities for promotion

• Supervisors normally have a small span of control so they can get to know their subordinates really well

• Knowing subordinates means they can delegate the right tasks and make sure their team is well trained

Examples are full-service gyms such as; Virgin Active, Nuffield

and David Lloyd

Disadvantages of a hierarchical structure

• Lots of layers and a long chain of command can mean that the business is very inflexible

• It can also mean that communications within the organisation are slow

• This is expensive as there are more managers and supervisors

FLAT STRUCTURE

Flat structure

• Flat structures are run in budget gyms where all processes have been automated – Members join online – no need for sales or marketing staff – No pool so no lifeguards – Turnstiles at the entrance read fingerprints so no need for reception

staff

• They have a wide span of control and a short chain of command so

information flows quickly throughout the organisation.

Manager

Studio trainer

Trainer Cleaner

Flat structure

Advantages

Disadvantages

Advantages of a flat structure

• Fewer layers of hierarchy between the bottom and the top of the organisation may mean that communication is fast

• This is a very low cost model, fewer staff means lower costs and a more efficient lean organisation

Disadvantages of a flat structure

• Staff can be overstretched or overworked in a flat structure as there is less supervision, this can cause stress and demotivation

• This can cause stress for members who may need to speak to a human about their diet / fitness / membership

• Lack of social interaction with the members

• See one member’s pros and cons

• HERE PIN code turnstiles mean no reception staff

MOTIVATION (144)

Financial incentives in the H&F industry

• Many of the full-service gyms, which offer a huge range of facilities and services, need sales staff to help point out the benefits to prospective members

• As an incentive these sales staff would be paid a wage plus commission on top

• So the more members that they sign up, the more money they make

Here is Alex Smith helping to sign up members at the

Virgin Active Gym in Derby (Alex is on the right)

Non-financial incentives in the H&F industry

• Ways that a gym can motivate employees:

• Job rotation

• Job enrichment

• Job enlargement

Job rotation

Employees are rotated between different jobs to avoid the repetition and boredom

• Pros •Relieves boredom •Easy to find an employee to cover for an absent colleague •More motivated due to wider range of skills • Cons •Training costs are high •Could be simply a greater number of boring tasks with less social benefits due to constant changing of groups

Job enrichment

• Employees are given redesigned jobs that have more challenge and are less repetitive and boring

• Employees are given more responsibility

•Pros •Develops unused skills and challenges employees •Allows employees to contribute to decision making process •Increased feelings of achievement •Cons •Some employees may feel under pressure not simply challenged •Costly •Benefits only when thinking long term as employees have to be trained •Not all jobs can be enriched e.g. gym cleaner

Job enlargement

• Employees are given extra tasks as part of their daily work

• For example a gym instructor may be given a spin class to take

•Pros

•Less boring an repetitive for the employee

•Gets the most out of an employee

•Cons

•Employees may just regard it as “more work to do”

LEADERSHIP (145)

Health and Fitness industry founders

What is the difference between

a leader and a manager?

Leadership Vs Management

Leadership

•Motivating and inspiring people

•Natural abilities and instincts

•Respected and trusted by

followers

•Innovates

•Original thinker

•Develops employees

•Wins followers

•Creates change

Management

• Directing and monitoring others

• Problem solver

• Official position of responsibility

• Accepts and conforms to the ‘norms’ of the business

• Plans

• Organises

• Co-ordinates

• Maintains

Autocratic leadership in the H&F industry

• Rigid organisations would follow an autocratic leadership style

• Tall hierarchies, long chains of command

• Very organised, staff have lots of promotion opportunities so tend to stay

• Some employees may be frustrated at just following orders and not having their ideas listened to

• Probably characteristic of the premium and full-service gym chains

Paternalistic leadership in the H&F industry

• Peter Roberts founded PureGym in 2009 with 4 sites

• He was a surveyor and saw a gap in the market for low cost gyms in the UK

• Full article HERE • After turning 70, he has

recently handed over to Humphrey Cobbold who will be the CEO while Peter remains as the Executive Chairman

• Article about hand over HERE

Democratic leadership in the H&F industry

• Democratic leadership is where a group or family own a business and ideas are shared and everyone involved has a say

• Independent luxury gyms owned by families

• Can be motivating to have ideas heard and used

• Decision making can take longer as everyone has to agree

Old Hall Country Club – won club of the year 2015 and has been family owned for

21 years

Laissez-Faire Leadership in the gym industry

• The former advertising executives turned fitness entrepreneurs certainly know their audience. The pair — who met through mutual friends on a surfing trip in Cornwall in 2007 —founded their first studio in Shoreditch in 2009, and now have a second in Queen’s Park

• Full article HERE

Pip Black and Joan Murphy founders of boutique Gym chain - FRAME

• 1) What are the benefits to a budget gym of operating a flat hierarchy?

• 2) What kind of leadership is mostly found in the large UK established traditional gym chains?

• 3) How can gyms use non-financial motivational methods to increase employee productivity?

1. The budget gym will reduce the number of employees and also the cost, therefore passing the saving on to the member in low fees, they also maximise efficiency

2. Autocratic leadership due to the large numbers of employees spread across multiple sites

3. They could use job rotation, job enlargement or job enrichment to give the employee a more vaired or larger set of responsibilities, all of which have no cost to the business

Sample question

Answer to sample question 1/3

Answer to sample question 2/3

Answer to sample question 3/3

How to level the answer

Sample question 2

[4]

Knowledge 1

Analysis 2

Application1

Answer question 2

Glossary

• Job enrichment; giving an employee more responsible tasks

• Job enlargement; giving an employee work of a similar responsibility to do

• Job rotation; moving an employee round similar tasks

• Delegation; the act of asking a worker to perform a task

• Team working; Employees in small groups with a similar aim