MMS716 Report: Critical Analysis of a Sports Organization: AGPA

This report provides a critical analysis of the Australian Grand Prix Association (AGPA), examining its organizational structure, goals, strategies, and decision-making processes. The analysis covers various modules, including organizational theory, strategic alliances, organizational culture, power dynamics, and conflict management. The report highlights the AGPA's strategies, such as differentiation and diversification through travel packages, and discusses the importance of strategic alliances and change management. It also explores the sources of power within the organization and the decision-making models employed. Finally, the report offers recommendations to enhance revenue streams, including increasing sponsorship, diversifying ticket sales strategies, and leveraging website advertising. The report uses various academic references to support its findings and recommendations. This report is helpful for students looking for insights into sports management and organizational analysis.

CRITICAL ANALYSIS OF A
SPORTS ORGANIZATION
THE AUSTRALIAN GRAND PRIX ASSOCIATION

INTRODUCTION
• THIS PROJECT IS AIMED AT ANALYSING THE BUSINESS OF THE GRAND PRIX
ASSOCIATION
• THIS IS ALSO AIMED AT SUGGESTING A FEW POINTS OF RECOMMENDATIONS

MODULE 1 - ORGANIZATIONAL THEORY AND
RESEARCH
• THE AUSTRALIAN GRAND PRIX ASSOCIATION IS A SPORTING EVENT ORGANISING COMPANY
• THE ORGANISATION USUALLY ARRANGE THE FORMULA 1 RACING TWICE A YEAR
• THE ORGANISATION HAS CONTRACTS TO ORGANISE GRAND PRIX TILL THE YEAR 2023

MODULE 2 - GOALS, EFFECTIVENESS AND
STRUCTURE
• AUSTRALIA IS WELL KNOWN FOR ITS
SPORTS
• GRAND PRIX IS A PRESTIGIOUS
FORMULA 1 RACING EVENTS
• THE AUSTRALIAN GRAND PRIX
CORPORATION EFFECTIVELY TAKES UP
THE RESPONSIBILITIES WITH THEIR
INTENT TO DELIVER YEAR AFTER
YEAR

MODULE 3: STRATEGY & STRATEGIC
ALLIANCES
• THE AUSTRALIAN GRAND
PRIX ASSOCIATION
ADOPTED THE STRATEGY
OF DIFFERENTIATION
• THE AUSTRALIAN GRAND
PRIX CORPORATION HAS
DIVERSIFIED IN A
CONTEXT THAT IT NOW
ALSO OFFERS GRAND
PRIX TRAVEL PACKAGES
FOR CUSTOMERS

MODULE 3: STRATEGY & STRATEGIC
ALLIANCES CONTINUE..
• THE AUSTRALIAN GRAND PRIX ASSOCIATION MAKES FEW CONSIDERATIONS
BEFORE ENTERING INTO STRATEGIC ALLIANCE WITH A COMPANY
• THESE ARE AVAILABILITY OF VEHICLES, COMMITMENT TO BE IN A LONG
LASTING PARTNERSHIP, ETC.

MODULE 4: SPORT ORGANIZATIONS AND
CHANGE
• CHANGE IS ESSENTIAL TO THE BUSINESS
• THE AUSTRALIAN GRAND PRIX ASSOCIATION STARTED LATE IN REGARDS TO BRINGING A CHANGE TO
THEIR OFFERS
• THEY STARTED OFFERING TRAVEL PACKAGES TO INCREASE THEIR CUSTOMER BASE

MODULE 5: POWER, POLITICS AND
CONFLICT IN SPORT
• THERE ARE VARIOUS SOURCES OF POWER FOR AN INDIVIDUAL AND AN ORGANISATION
• THE AUSTRALIAN GRAND PRIX ASSOCIATION USES MORE DOMINANTLY “ACQUISITION
AND CONTROL OF RESOURCES”

MODULE 6: ORGANIZATIONAL CULTURE AND
DECISION MAKING: THE LEADERSHIP
IMPERATIVE
• MOST OF THE PROFITS COME FROM THE STUDENTS DOING THEIR GRADUATES AND MASTERS IN
UNIVERSITIES
• AN INDIVIDUAL WITHIN THE ORGANISATION USES THE BOUNDED RATIONALITY MODEL INSTEAD
OF USING A RATIONAL MODEL FOR DECISION-MAKING

RECOMMENDATION 1: INCREASE THE
NUMBER OF SPONSORS
• CASH IN-FLOW WILL INCREASE
• REVENUE STREAMS WILL GET STRONGER
• THE TRIPLE BOTTOM LINE APPROACH OF THE AUSTRALIAN GRAND PRIX
ASSOCIATION WILL ALSO SIGNIFICANTLY IMPROVE

RECOMMENDATION 2: MAKE DIFFERENT
STRATEGY FOR TICKET SALES
• PRICING STRATEGY SHOULD BE MADE DIVERSIFIED
• IT SHOULD BE MADE APPEALING TO CUSTOMERS OF ALL AGE AND INCOME
GROUPS
• THE PROPOSED SUGGESTION WILL ACCELERATE THE REVENUE GENERATION
• PREMIUM CUSTOMERS SHOULD HAVE REASONS TO INVEST FOR

RECOMMENDATION 3: PUT ADS ON THE
EVENT WEBSITE
• PUTTING ADS IS A GOOD WAY TO
GENERATE MORE MONEY
• THIS WILL FURTHER THE REVENUE
STREAMS FOR THE ORGANISATION
• TO BE ABLE TO LEVERAGE THE
RECOMMENDATION THEY MUST LEARN
WAYS TO MANAGE THE WEBSITE
TRAFFIC