Potential Issues Encountered in Managing Luxury Clubs and Spas

The assignment brief discusses the management of a major project, specifically the opening of a new luxury club and spa by Watson PLC. The scenario highlights the importance of handling demanding customers, increasing revenue through operational efficiencies and innovation, and providing exceptional services. To succeed in this project, effective leadership, administration, and control are crucial to manage the various stages of the project life cycle, including planning, execution, and monitoring.

2017
Management project
Stephen Omoroghomwan

Abstract
This work provides valuable insight into the planning and management of any project.
It focuses on the various aspects that need to be taken into consideration when there is a task
of handling a project such as the managing scope, the type of project, project quality
management, budget planning, time planning and many tasks as such. To achieve the given
objective, the assignment is divided in two parts- the first comprises a series of questions and
answers related to any project and the second involves planning of a specific project related
to an organisation.

Table of Contents
 Task One
 Task Two
1. Executive Summary
2. Mission and Vision
3. Start-up summary
 Start-up expenses
 Start-up assets
4. Market Segmentation
5. Services
6. Skills needed by the project manager
7. Strategy and Implementation Summary
8. Competitive edge
9. Marketing strategy
10. Publicizing
11. Pricing Strategy
12. Sales strategy
13. Management Summary
14. Challenges in project management
15. Conclusion
16. References

Task One
Answer 1
There are different kinds of projects that fall under project management. To start upon
a specific one, it is imperative to identify the category it falls under. Broadly, the kinds of
projects are as such:
 Managerial: Administrative activities include scholarly labourers. Its scope may vary
as the venture continues.
 Development: Construction is an agreement business where the extension is presented
in detail before the venture begins and the degree of hazard is generally little for the
measure of speculation
 Hardware or System Installation: The objectives are well laid out and speed is
fundamental. Hazard ought to be low if the venture was systematically planned.
 Projects of event management: This is a stand-out venture where degree may change
amid the venture and instability is high(Youker, 2002).
Answer 2
The statement of scope is a very integral part of a project. Keeping that in mind I
would incorporate in my managing scope statement the following:
 Justification of the project purpose
 Evaluation of product scope
 Acknowledgement criterion
 Deliverables
To elucidate the subdivision of the scope of work, the traceability matrix is a very
handy and convenient tool. The framework is a table that follows every prerequisite through
any related sub-venture's necessities and also through the entire life cycle to guarantee that

the project imperatives are completely fulfilled. The requirements incorporated in the
framework are such as goods’ necessities, business requirements and so on(Portny, 2013).
Answer 3
The Gantt chart for the given information will be as such:
1 2 3 4 5 6 7 8 9 1
0
1
1
1
2
1
3
1
4
1
5
1
6
1
7
1
8
1
9
2
0
2
1
2
2
2
3
A
B
C
D
E
F
G
H
It is important to chalk out the critical path for the given project in order to streamline
activities. It can be established that the given project is divided into 8 tasks, from A to H. and
the completion of these tasks will take a whole of 22 days.
The sequence of tasks can be identified as A-C-F-G or A-C-F-H and another sequence
that emerges is B-D and B-E. Keeping in mind the predecessor tasks, these pattern emerge.
The advantages of using a gantt chart are as follows:
 Clarity will be running through different stages of a task
 Elucidating diagram positions offers a simple, visual strategy to colleagues
comprehend errand advance.

 Having the capacity to arrange steps and chalk out a systematic procedure(Taylor,
2013).
Answer 4
A project can be considered to be successful if it delivers on the following aspects:
 If the project has been completed on schedule, and even if there has been a delay, it
has not accounted for much cost
 If the objectives have been effectively fulfilled
 If the project has been completed within the stipulated budget and the burden of costs
is not significant
 If the team working on the project is satisfied with the outcome
 If the customers to whom the services of the project are rendered are satisfied with
it(Pozin, 2012).
Answer 5
The key rules of assessing and managing risks on a project are:
 Chalking out the risks associated at the beginning of the project gives ample ampunt
of time to work through them
 There should be frequent discussions about the risks associated with the team
members and also experts outside of the group. This will ward off any apprehensions
or fears in facing the risks.
 There must be good focus on the opportunities associated with the risks. A
comprehensive SWOT analysis will yield this.
 Analysing risks through studying the effects of the projects risks and evaluating the
entire project(Evans).

Answer 6
The management of project quality is a learning territory in venture administration
related to the nature of a venture. It takes into consideration the venture's subsequent result
and the administration of the whole project. The objective of this is to distinguish, survey,
control, and accomplish item quality utilizing particular procedures and
exercises(VirginiaTech, 2013).
The project quality management consists of the following:
 Quality Planning
This is determined by how much the venture satisfies prerequisites. Quality
administration arranging decides quality approaches and strategies important to the venture
for both the deliverables and procedures.
 Quality Assurance
The concentration of value affirmation is on the procedures which are a part of the
venture. Quality confirmation guarantees that venture procedures are utilized successfully to
create quality deliverables
 Quality Control
The concentration of value control is on the goals of the venture. Quality control
screens extend deliverables to check that they are of adequate quality and the client is
fulfilled(VirginiaTech, 2013).

Task Two
Executive Summary
Watson PLC is a social wellbeing club that is popular for its services in fitness and
health clubs. It is concerned with physical excellence as well as with mental prosperity. The
chain of clubs is based in Britain and has been the premier choice for luxury treatments such
as spas. it also provides dance and aerobics training and a lounge for relaxation of its
members. This top-notch club has been pampering the privileged members leading to their
wellbeing and prosperity by placating their worries through rigorous workouts, yoga, and
contemplative meditation.
Watson PLC is soon going to inaugurate a new club in the city of Birmingham. This
new venture is to add to the series of accomplishments, and is touted to be bigger and
superior to the previously established clubs in terms of the services provided and the
magnificence of luxury to be imparted. The investment is close to a million pound the
tentative date of establishment will be 48 weeks from now. The primary objectives in the
management are to establish a small 100-seater cinema hall and a beauty spa.
This work entails a comprehensive business plan to establish the same. The project
management of this new club takes into account several aspects in terms of infrastructure,
time bounds and finances. The following details serve to work out the same(Kwag, 2008).
Mission and Vision
The objective of our organization is to upgrade the lives of people by giving a space
that guides the body with therapeutic procedures and options leading to overall wellbeing.
Our main goal is to maintain a beneficial business by giving top-notch helpful
services and aesthetician benefits in an upscale and congruous environment. The newly
opened spa will offer services of varied styles- customary Swedish massage, Deep Tissue
work, Sports Massage, Reflexology, Hot Stone Massage, and others. Our authorized

aestheticians will offer the most recent in skin medications, body medicines and other
treatments. The other objectives are as such:
 Make a domain for individuals to feel positive and healthy about themselves.
 Give administrations to those seeking to fortify and recuperate their bodies because of
any harm, stress or sickness.
 Lay out special offers and activities during festive seasons(Ferreira Company, 2016).
Start-up summary
Start-up expenses
Legal £7,500
Insurance £500
Stationary £1,500
Rent £8,000
Consultants £300
Research £0
Brochures £250
Expensed Equipment £8,500
Other £1,000
Total £27,550
Start-up assets
Required cash £500,000
Start-up inventory £5,000
Other current assets £75,000

Long term assets £0
Total assets £580,000
Market Segmentation
The market division for Watson PLC is particular to two groups. The first group
comprises the people with corporate jobs. We have picked these individuals, aged between
mid-twenties to late forties. Being in distressing occupations with sedentary lifestyles, they
required unwinding and relaxing services to be catered to them. They additionally have the
monetary luxury to consistently treat themselves to a facial or a back rub. Regularly in the
working scene it is important to look robust and fit, in this manner, we will offer our services
to keep the city workers fit and upbeat.
The next group that Watson PLC targets are individuals either recouping from some
harm or individuals who need specialized care and treatment due to some congenital
condition. To help these individuals with our services, we have created a safe setting where
these people feel comfortable and not ill at ease or vulnerable.
Another objective class is that of the youthful moms who are searching for a club that
will suit their requirements and keep their youngsters close. We have composed a structure
where the crèche for kids can be monitored by their mothers while working out in the work
out area. We trust that progressions like that will be viewed as welcome additional members
that will bring new individuals(Scott wilson Ltd).
Services
The new club in the chain of Watson PLC will rise a notch higher from the
conventional services and will provide an array of luxurious procedures and services to avail
one of. These services are as such:

The services offered by the new club under Watson PLC are categorized under the
following heads:
 Club services
1. A 100-seater cinema hall that will organise plays weekly
2. 4 tennis courts with floodlights
3. Saunas (separate areas for men and ladies)
4. 4 pools that will be temperature flexible
5. 3 exercise centres, one of which will have an adjacent crèche
6. Table tennis rooms
7. Kids' fun and activity zone
8. Private White sand shoreline and tidal pond with shoreline sports
9. Non-mechanized and mechanized water sports
10. Snooker room
11. Bowling alleys
 Spa services
1. Singular, isolated treatment spaces for men and ladies
2. Private changing zone and rooms for shower
3. Personalized Locker rooms
4. Sauna
5. Bar lounge for relaxation
6. Steam room
 Business room services
1. PCs with plasma screens
2. Rapid Internet services wireless in nature
3. Assistance in meeting rooms

4. Business card and letterheads administrations
5. Secretarial administration
6. Filtering, photocopying, binding and printing services
7. Interpretation administrations(Ferreira Company, 2016).
Skills needed by the project manager
 Credible nature – the head of this venture is coming into a set up association and must
have a repute of credibility so that the associates of Watson PLC can rely and support
his decisions
 Innovativeness as an issue solver – He should be able to come up with innovative
hacks to resolve any issues or impediments that might lie in the way
 Resistance for vagueness – Watson PLC needs the project head to be firm and
decisive and take pragmatic decisions in the setting up of the club. He should have the
capacity to adjust and advance the venture, regardless of the possibility that all parts
of the organization aren't simple to comprehend
 Adaptable administration style – The chief will be required to manage new
individuals and situations and must conform as needs be.
 Viable correspondence – on account of the unclear way of tasks, great relational
abilities are critical in understanding what a client needs and also what is required is
having the capacity to pass on that vision to the venture group(Einsidel, Darnall, &
Thamhain, 2000).
Strategy and Implementation Summary
Lay emphasis quality, inventiveness, and reliability of administration- Watson PLC
identifies itself as different from its rivals by offering a staff of professionals who are
proficient in their callings, as well as will be prepared in comprehension the elements of
individual vitality frameworks in order to amplify the association with their customer and all

the more effectively address the issues of the customer. This will also utilize in handing the
multifaceted services that the new club will offer
Provision of a superior and unique atmosphere. The new club will be splendid in the
way that it will cater to its members a very palliative and alleviating setting where clients can
appreciate being spoiled and getting away from the worry of their regular day to day
existences.
Foster a feeling of camaraderie in business. We will concentrate on reinforcing the
trust of our client base, and servicing administrations, as well as data that will help everybody
in the movement of acquiring an adjusted and solid way of life. We will likewise work with
our specialists to provide excellent services to the members(Khwaja, 2016).
Competitive Edge
Watson PLC has got an edge in competition due to its capacity to showcase its
services adequately and innovatively in order to get the customers and afterwards back that
up with the best administration and services in the business. This mix of extraordinary
administrations, exceptional settings and the associations with the clients lead us to the
colossal achievements which it can credit itself to(Avaya, 2011).
Marketing Strategy
The promotional system will be as such so as to ensure success. it will comprise the
following steps:
1. Accentuate our name and interesting administrations through advertising.
2. Concentrate on the strategically important position of the new club.
3. Inculcate group connections through remarkable and quality products and services,
benevolent and soothing environment, and setting up outright trustworthiness of our
administrations(abcfinancial, 2015).

Publicizing
The strategy is to keep on placing advertisements in the neighbourhood social and
wellbeing magazines the whole year around. Hand-outs and pamphlets will be distributed
inside a five-mile span. Radio and TV advertisements will be done just when the club has the
advertising amid the most unpleasant circumstances of the year for the Christmas season and
for the end of sessions for colleges.
There is a requirement to construct a lucid and a self-explaining website for the new
club. After the initial six months, and unquestionably after the principal year, we will assess
the reasonability of having target customers promote on the webpage, and on the other hand,
we will assess feasibility of publicizing on our objective customers sites.
Associations with co-operations will be executed once the club has developed beyond
its equal the initial investment point. The marketing team will likewise shape advertising
cooperation with any business with whom the club shares basic business objectives. The team
will likewise execute shared advantages with our business and eatery partners which will
promote the club in local parameters(abcfinancial, 2015).
Pricing Strategy
The strategy of pricing of the services will be like that of our rivals. The club will not
charge in excess nor will charge too menial amounts but rather standard costs for the
administrations. For the initial one year, the new members will be able to avail themselves to
a 50% rebate on the prices of all services. Thereby, the standard membership fee will be
approximately 250$. This however is subject to change(Kwag, 2008).
Sales Strategy
The primary sales strategy is to showcase the new club to open purchasers as a
particularly alluring place that will upgrade their lives.

The services will be offered through every representative's expertise, graciousness,
and warmth, making a trusting impact on all clients, along these lines building up devotion
and reliance. The club will guarantee every visit to the new club as an unwinding and
significant experience, so clients can simply rely on upon the image of reliability and trust
when they arrive(Scott wilson Ltd).
Management summary
The administration group will comprise of the chief, general supervisor, and right
hand director. The club procure just those whom exhibit the qualities vital for working in a
supporting situation, and the ability to push ahead in lieu of sustaining principles
The main group comprises 40 workers, comprehensive of a general administrator and
an aide supervisor.
The employees will be in from the three store divisions of club, spa and film floor.
Each floor will have three receptionists as well as a control room with all the technicians.
Also a help desk will be provided at the entrance to each floor, where any person can report
in case of any assistance required(Newport, 2009).
Challenges in project management
Customer Profiling
Assembling and utilizing customer inclinations and insight so as to enable the right
service to a customer might be an issue that the club will encounter. There will be required a
system to assemble information and profile through the many wellsprings of collaboration
both on and off Property.
The Demanding Customer
Being in the club and spa business, many a times the staff has to deal with the
whimsical customer or the demanding customer, some of whom are tough nuts to crack. An

unpleasant meeting or incident might also create a blot on the services. Hence handling such
guests with utmost care and patience is of importance.
Lowering Cost, Increasing Revenue
How to distinguish new income streams while make reserve funds through
operational efficiencies especially in specific non-room income (e.g. feast, spa, golf, meeting
rooms, and eateries). What's more, how is innovation used to upgrade staffing levels and the
apparatus they utilize - including s portable electronic gadgets required to carry out their day
to day procedures. The most effective method to utilize innovation to streamline changes for
greatest profitability is a challenge to be figured out(Parkwood Leisure, 2016).
Conclusion
Watson PLC is a very well established and prestigious chain of luxury clubs and spas
in Britain, and an addition to this chain has to be very well planned and executed. The new
club not only should provide the services intrinsic to the essence of this chain, but must also
rise above the level to bring in innovation and magnificence in the services. The whole plan
is hefty on the budget side but promises to give returns once the new club is
inaugurated(Ferreira Company, 2016).

References
abcfinancial. (2015, January 21). Using Fitness Club Management Software to Increase Revenue.
Retrieved from www.abcfinancial.com: http://www.abcfinancial.com/abc-articles/using-fitness-club-
management-software-to-increase-revenue/
Avaya. (2011). The Top 4 Challenges facing hospitality industry today. Asia Tech Directions , 14.
Einsidel, A. A., Darnall, W. R., & Thamhain, H. (2000). KEY SKILLS OF THE PROJECT MANAGER.
Retrieved from www.pm4id.pressbooks.com: https://pm4id.pressbooks.com/chapter/1-3-key-skills-
of-the-project-manager/
Evans, M. H. (n.d.). Managing Projects. Excellence in Financial Management , 56.
Ferreira Company. (2016). Sample of a Strategic Plan. Ferreira Company , 30.
Khwaja, A. (2016). How to Open a Salon or Day Spa. Retrieved from www.entrepreneur.com:
https://www.entrepreneur.com/article/79550#sec2
Kwag, M. (2008). Journal of Hotel & Business Management. Journal of Hotel & Business
Management .
Newport, J. P. (2009, May). How Clubs Are Surviving Now. Retrieved from www.wsj.com:
http://www.wsj.com/articles/SB124182691791402525
Parkwood Leisure. (2016). Design and Build. Retrieved from www.parkwoodleisure.com:
http://www.parkwoodleisure.co.uk/design-and-build
Portny, S. (2013). Project Management For Dummies, 4th Edition. A Wiley Brand.
Pozin, I. (2012, March 20). 6 Ways to Measure the Success of Any Project. Retrieved from
www.inc.com: http://www.inc.com/ilya-pozin/6-ways-to-measure-the-success-of-any-project.html
Scott wilson Ltd. (n.d.). Feasibility Study for a Replacement Leisure Centre. Hart District Council , 80.
Taylor, J. (2013). Top Ten Benefits of a Gantt Chart. Retrieved from www.brighthubpm.com:
http://www.brighthubpm.com/templates-forms/2434-top-ten-benefits-of-a-gantt-chart/
VirginiaTech. (2013). Project Quality Control. Retrieved from www.itiplanning.com:
http://www.itplanning.org.vt.edu/pm/qualitycontrol.html
Youker, R. (2002). Common Characteristics of the Major Types of Projects. Retrieved from
www.maxwideman.com: http://www.maxwideman.com/guests/typology/characteristics.htm
NOTE
1. Your referencing must be Harvard referencing
2. In your task 2 you have to discuss about the following as stated
in your assignment brief Project Life Cycle stages, processes,
leadership, and administration and control problems associated

with managing the lifecycle of this major project and relate this
to the scenario and give a good argumentative written.
3. Check your grammars and spellings
4. Remember the submission date its 13th of February 2017