BSBMGT615: SWOT Analysis and Development Plan for Lonsdale Fitness

This report provides a comprehensive analysis of Lonsdale Fitness's organisational development, focusing on its expansion and need for standardized practices. It begins with a SWOT analysis, evaluating the company's strengths, weaknesses, opportunities, and threats within the competitive fitness industry. The main body then details an organisational development plan, addressing the need for change driven by social and technological factors, including client complaints and the obsolescence of existing equipment. The plan covers stakeholder management, identifying key stakeholders such as employees, clients, and franchisees and outlining strategies to manage their expectations and support the changes. A communication plan is also included, specifying how information will be shared with stakeholders. The report emphasizes the importance of clear planning, managing resistance to change, and fostering continuous improvement within Lonsdale Fitness to enhance client satisfaction and operational efficiency.

BSBMGT615 –Contribute
to organisational
development

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Stage 1: SWOT Analysis.............................................................................................................1
Stage 2: Organisational development plan .................................................................................2
CONCLUSION..............................................................................................................................17
REFERENCES..............................................................................................................................18

INTRODUCTION
Organisational development refers to studying successful changes and performance of an
enterprise. It is effort planned, organised along with managed for improving effectiveness
together with health by using devised interventions in processes through behavioural science
knowledge. It is goal based methodology that seeks to change values, beliefs, practices and
attitudes in order to adapt better technology as well as live with fast changing paces (Avenant,
April and Peters, 2016). Lonsdale Fitness is the selected organisation for assessment. In past
durations, the company went through rapid expansion and its franchises are left to work as
independent units. The entity have huge preferences to increase satisfaction of clients and for
this, it has decided to standardise practices and operations. The assessment includes SWOT
analysis of company and organisational development plan.
MAIN BODY
Stage 1: SWOT Analysis
It is the study taken by company for the purpose of determining its internal strengths,
weaknesses together with external opportunities and threats. By using the tool, managers
evaluate competitive position together with develop strategic planning for the entity. In context
to Lonsdale Fitness, SWOT Analysis is as follows:
Strengths
 Lonsdale Fitness provided top class
facilities and have state of art facilities
including industry certified
equipment, spacious gym, quality
trainers and so on.
 The entity have adequate capital
sources and infrastructure rick
operations.
 The locations of the fitness centre are
great and well established.
 The fitness institution have built
expertise in entering into new
Weaknesses
 Lonsdale Fitness have been emphasising
towards consistent revenue generation
due to which they fails in controlling
other costs.
 The equipments along with personal
fitness plans are changed by the
managers with time that arises as costly
affair (Brink, 2020).
 Lonsdale Fitness have gained success in
integrating with small fitness entities
which have resulted in sharing failures
to work with firms having distinct work
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market and gained success. This
helped in building new revenue stream
as well as diversifying economic cycle
risk in the market where it operates.
culture.
 Profitability ratio together with net
contribution percentages of the company
are below industrial average.
Opportunities
 In present era, people are more
emphasised towards fitness and
growing demand about fitness is
huge opportunity for Lonsdale Fitness
to capitalise on.
 With changing lifestyles such as
obesity, huge consumption of junk or
fast food, lifestyle disease, etc many
people are making attempts to become
part of weight loss programs that
creates increasing needs of fitness
centres (Choi, Martins and Bernik,
2018).
Threats
 There are fitness centres everywhere in
community living spaces, apartments
and hotels. Many of them are not
required to pay which attracts many
audiences to go there. This can emerge
as strong substitution threat for
Lonsdale Fitness.
 As Lonsdale Fitness operates in multiple
nations, it faces threat of currency
fluctuations particularly in given
volatile political climate within multiple
markets across globe.
Stage 2: Organisational development plan
Introduction
Lonsdale Fitness is the company that went through quick expansion because of which all
its franchises are left with option to function or operate independent units. The company have
huge urge to enhance client satisfaction and have planned to standardise the ways within which
its franchises operate. It have also received many complaints from clients related to some
personal trainers, customer service techniques and others (Chowdhury, 2019). The factors which
shows that change in the company are required includes social and technology. Social structure
of society is concerned with changes in size, distribution along with composition of population.
In context to social factors, customers are key that are influencing the company to its systems
and practices. Complaints received from clients is the main social factor that shows needs of
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change. At same time, technological factors are the ways new equipments, tools and practices
which initiates changes. The equipments, systems and other technological aspects that are
adopted by the company to provide training and fitness facilities have become obsolete. In the
market, various updates and innovative systems for head-offices are available, apps to provide
fitness classes and many more are available which shows that Lonsdale Fitness needs change to
develop the organisation.
Organisational development is attained by shifting supporting structures or
communication processes (dos Santos, Figueiredo and Pais, 2020). It is objective related
methodology that is used in order to initiate change of system within the institution. In case with
Lonsdale Fitness, one of the advantage of this organisational development is continuous
development. By participating in developing the standards and solving customers queries, entity
continually develops their models of business. It creates constant patterns of improvements
within which strategies and tactics are improved, evaluated, executed as well as assessed for
quality and outcomes. This organisational development will build favourable environment
wherein managers are able to embrace changes and leverage influence of periodical renewal. The
other advantage of such development of company is enhancement of communication with clients
and franchises. Open communication system enables the company to understand significance of
change and solve complaints of clients effectively. Moreover, clear planning is needed in
Lonsdale Fitness for providing clarity, focus, guidance and direction for the entity. It drives
alignment of business or keeps all things and resources on track. Clear planning fosters
collegiality along with fosters opportunity for discussion and transforming practices. Within
Lonsdale Fitness, clear planning is required for facilitating management by objectives,
minimising uncertainties, improving morale of employees, achieving profits, solving clients
complaints and encouraging innovation.
Change is inevitable in nature but so is resistance and reluctant to change. These are
common human characteristic of employees to try along with keep their activities, methods and
standards constant (Gatarik, 2019. Gray and Jones, 2016). In Lonsdale Fitness, personal trainers
are expected to resist adoption of changes in standards of systems, improvements in fitness
classes and many more. In order to manage the resistance and reluctance to change, managers of
the company will consider opinion of all staff on whom proposed change will have effect and
accordingly influence them with rewards and other financial benefits. Along with this, sufficient
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prior training to personal trainers will be provided which will help them to accept changes with
confidence.
Organisational development scope – Overview
a. Stakeholder Management
Stakeholder refers to the party which have interest in organisation as well as have
potentials to affect or be affected from practices of business (Hodge, 2016). Similarly,
stakeholder management is defined to the process of building and maintaining healthy
relationship with people that have huge impact on working of enterprise. It involves activities
through which expectations and requirements of each stakeholder are managed properly. In
context to Lonsdale Fitness, following are the stakeholders and other related information to
manage all:
Stakeholde
rs
Awareness Degree of
challenge or
support
Influence Plan for greater support
Employees Employees
of Lonsdale
Fitness are
aware about
required
changes in
systems,
service
techniques
and
standards.
They have
high
awareness
level about
current
Lonsdale Fitness
expects higher
support from
employees for
the project and
plan related to
developing the
organisation.
Moreover,
employees such
as personal
trainer creates
challenges by
resisting
changes and
working with
Organisational
employees gets
highly influenced
from any change in
strategies, practices
and systems
(Hofmann and
Vermunt, 2020). In
case with Lonsdale
Fitness, employees
including personal
trainers feels more
comfortable in
working with old
standards and
systems. If some
Employees plays key part
in organisational
development. In Lonsdale
Fitness, employees
including personal trainers
will be influenced to
engage and support change
through the following:
 Communicating
powerful vision.
 Aligning systems,
standards and
structures to their
vision.
 Providing training
for new structures,
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project and
plan of
entity.
same practices
or standards.
practices or systems
are changed then it
influence them in
high extent.
standards and
systems.
 Properly handling
anti-changing
people.
 Giving
responsibilities and
ownership for
franchises.
Clients or
customers
These are
external
stakeholders
which have
low
awareness
for changes
in the
company.
Lonsdale
Fitness
wants their
clients and
customers to
know or
have
awareness
about new
fitness
classes,
different
customer
Companies
needs high level
of support from
clients and
customers for
the changes so
that all of their
complaints are
properly
addressed.
Customers and
clients are
supporters to
execute changes
as they have
high
expectations
from company
and have belief
that when some
changes are
initiated then it
Clients and
customers highly
influence the
organisation and
changes. In Lonsdale
Fitness, customers or
clients influences
organisation through
behaving towards
products and services
that are offered and
sharing feedbacks
about experiences
they expected and the
one that they
received. Many
customers influences
company through
complaining for the
services and actions.
Lonsdale Fitness will
engage customer or clients
to willingly involved as
well as support change in
company through
following ways:
 Analysing concerns
from point of view
of customers.
 Engaging them in
eco-system of
company
(Humphreys,
Healey and
Heward‐Belle,
2020).
 Offering them real
values.
 Asking them
recommendations
for the change.
 Developing
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service
techniques
and
standards of
operations or
equipments.
is for their
benefits.
emotional
connections.
 Making clients part
of company.
Franchisee Franchisee
have low
medium
information
about
changes in
standards,
systems and
structures of
Lonsdale
Fitness. It is
important for
them to have
detailed
awareness
about
organisation
al project
and plan.
Franchisee are
challengers for
Lonsdale Fitness
as they do not
support changes
that are made by
the company in
its standards,
systems and
services, rather
franchisee
prefers to work
as per own
aspects of
standards and
systems while
offering services
in market (Ikram
and et.al., 2019).
Franchisee influence
Lonsdale Fitness in
various manner. In
case, operating
independently helps
franchisee to learn
about business and
gaining institutional
knowledge so that
success aspects are
attained. They also
improves operational
quality, keeps
locations cleaner as
well as provide
training to employees
as they own the
business.
Franchisee are important
for business as they
represents big businesses
and create revenues for
franchisor. Following are
some of actions that will be
taken by Lonsdale Fitness
to engage franchisee to be
willingly involved and
support change:
 Connecting with
franchisee and
encouraging
conversation.
 Understanding
challenges together
with improving
systems.
 Renewing
relationship.
b. Communication
Communication is the act of exchanging information or meanings from one place or
person to other by using mutually understood symbols, semiotic rules addition to signs. All kinds
of communication engrosses at least one sender, message, channel and recipient. In an
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organisation, communication is considered as fundamental to exist and survive as it assist in
developing and sharing views, ideas, feelings and facts between people for the purpose of
reaching common understanding. In context to Lonsdale Fitness, communication is continuous
process that forms a base of coordination among company and stakeholders for running
smoothly addition to efficiently. It is key to coordinate activities and sharing information for
decision making. Moreover, communication is vital for for effective addition to quick
performances of organisation and stakeholders (Leiber, 2018).
Communication plan is a road map to get messages and ideas delivered to audiences. It
ensures that enterprise sends specific, accurate and clear message with measurable outcomes. In
Lonsdale Fitness, communication plan is effective policy driven approach that helps in providing
necessary information to stakeholders (Lindsey and Chapman, 2017). It defines what information
is required to be shared, when it should be delivered, what communication channel or means to
deliver information is to be adopted and what format will be adopted so that each stakeholder
receives meanings. The communication plan for Lonsdale Fitness which specifies what
information, format, time and delivery means will be delivered is as follows:
Stakeholders What When Format Means of delivery and
recording
Customers
or clients
Customers are the one
who buys products
and services of
company. In context
to Lonsdale Fitness,
information related to
organisation, fitness
classes, standards of
equipments related to
fitness and existing
service techniques.
Other than this,
information about
new locations, new
The
informatio
n will be
delivered
to
customers
or clients
in coming
1 month
duration so
that all of
their
complaints
are solved
The format in
which
information
will be
shared to
customers or
clients is
daily check-
ins and
weekly
updates. All
this depends
on interest
and
The modes or means of
delivering and recording
information to clients or
customers are as follows:
Slack: It is one of messaging
application that allows
Lonsdale Fitness to stay in
touch with customers on
daily basis to deliver
information an d record
feedbacks related to current
changes.
Phone: The other means of
delivering and recording
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packages and diet
chart will also
delivered to
customers or clients.
promptly. motivations
of customers
or clients
(Mykkänen,
2018).
information is phone through
which Lonsdale Fitness will
work with clients and
manage nuances of
communication effectively.
Employees Employees are people
that are hired by
entity to perform
particular job. In case
with Lonsdale Fitness,
information about
changes in hours
worked,
compensation, salary
and other benefits,
layoffs as well as
anything which
impacts of their daily
lives will be delivered
to employees that are
fitness trainers
(Nathan, 2018).
The
informatio
n will be
delivered
as soon as
final
decision is
made by
top
manageme
nt of
Lonsdale
Fitness.
The format to
communicate
information
with
employees
includes
thinking 'end
game',
creating flow
for
information,
using context
to make
information
relevant to
employees,
thinking long
term and
telling them
roles and
responsibiliti
es.
To deliver and record
communication with
employees including
personal trainers, Lonsdale
Fitness will use following
communication means:
Internal E-mail: All
companies have internal e-
mail that are used to share
information with employees.
In relevance to Lonsdale
Fitness, internal email is best
option to share important
information with employees
related to changes in
practices and standards of
services.
Meetings: To share and
record confidential
information, face to face
meetings will be organised
by managers of Lonsdale
Fitness.
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Franchisee Information
concerned with
franchise agreement
will be shared by
Lonsdale Fitness. It
includes information
about organisational
policies, controlled
rights, rates of
equipments, royalties
and advisory services.
The
informatio
n will be
delivered
to by
Lonsdale
Fitness to
franchisee
in 15 days
of
duration.
To
communicate
with
franchisee,
Lonsdale
Fitness will
use
communicati
on format of
written
aspects.
The channel or medium for
delivering and recording
information concerned with
franchisee which Lonsdale
Fitness will use are as
follows:
Skype: To share infromation
with franchisee on regular
basis, Lonsdale Fitness will
try to maintain bi-weekly
Skype to make conference
calls and have effective
communication.
Letters and memos: It is
one of traditional channel to
communicate with
stakeholders. With letters
and memos, Lonsdale
Fitness will present business
information to franchisee and
build personal relationship in
proper manner.
c. Training
Training is basic concept to develop human resource. It is related to developing specific
skill at desired standard through practice together with instruction (Nuño-Solinís, 2017). In other
words, training reefers to the act of increasing skill, competence and knowledge of a person to
perform specific working or operation. Education plan is basis for activities related to training. It
requires alteration or is tailored as per needs of users so that they understands things in well and
effective manner. In context to Lonsdale Fitness, the company will understand needs of training
of each stakeholder group that are employees, clients and franchisee through maintaining human
9

relations. With proper communication or human relations, it will become possible for managers
to determine what type of training are needed to be provided and at what duration. Employees of
the company needs training related to interpersonal skill training, management skills training,
customer service training, problem solving and personal development. Moreover, customers
training is offered to potential customers of company so that they can make effective utilisation
of products and services to fuller capacity. Lonsdale Fitness have customer support team that
assist customers to solve problems and responds towards their complaints after the fact that
training the customers is the support which is required by them.
Training activities are the abstract form for planned undertaking which improves
knowledge and expertise of an individual (Roblek and Meško, 2018). It is developed in advance
by company for teaching particular abilities for specific audience or stakeholder group. In
context to Lonsdale Fitness, training activities for each stakeholder group that are employees,
customers and franchisee are developed through analysing current situations related to
knowledge gaps, training etc., designing strategy, structure, assessment and delivery methods.
The next is to create courses and testing them. At last, all training courses are executed in
systematic manner.
In the company, various methods are used to deliver content so that each stakeholder
group received training for improving their knowledge and potentials. For employees of
Lonsdale Fitness, training methods of role playing, coaching or mentoring, management specific
activities, hands on training and group discussion. The next is customers or clients that will be
provided training by using methods of instructor led training, e-learning training programs and
webinars. Customer training activities are created to help and use services that are offered by
entity (Rosati and Faria, 2019). It will raise experiences of customers and assists in resolving
their complaints. Similarly,. for delivering training content to franchisee, suitable methods that
will be used by Lonsdale Fitness are conference lectures, e-learning programs and ongoing
training. With all these methods, appropriate content that will improve knowledge and
competence so that al the working are completed on time and all the services of fitness are
provided as per requirements.
d. Stakeholder Objectives
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