Team Assignment Paper (Final)

Team Assignment Paper (Final) - Atlantic Health Centre...

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Atlantic Health Centre started off as a small business run by one man (Jim Cormier) and his five employees in Nova Scotia. After three years it was time to expand to a larger location, the industry was changing and Jim knew that he needed to include not only just his exercise facilities but a spa, and restaurant as well. The main problem that had arose the first year after expansion was a 100% turnover in staff, which had rapidly increased from five to forty over the course of the expansion. The turnover resulted from constant dissatisfaction of employees, and problems such as lack of scheduling systems. These problems would not have been brought to Jim's attention in a sufficient period of time. There were constant tensions between the three units of the health centre, due to the inconsistent strategies used by the owner with regards to the distribution of salary and commissions. There are many different ways one could go about fixing the organizational and management problems, and each has its pro’s and con’s. One of the problems that need to be addressed is the need for reconstruction of management duties. It is important for employees to be able to recognize chain of command and know to whom to report to for quicker conflict resolutions. If management duties were restructured it will have an increase in efficiency by the managers as they will be able to micro-manage each section without another manager interfering, overall this will result in harmony between all sections of the health centre in response to better management. This does not go without problems; management would need to be retrained on new duties and policies, which could lead to staff being upset due to a changing management style, causing tension and
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resignation. Also it will lead to less flexibility between managers therefore creating less room for views and opinions. One of the problems with the 100% turnover was the fact that everyone was being paid so differently. Clear and concise remuneration on individual sections based on industry standards is required. The lower paid staff would be happy because they are now being paid equal to others employees at the club. This may motivate them to be better at their job. It would also reduce competition between employees, and industry wages. Set salaries will minimize the negotiation needed from managers, reducing administration expense/time. Higher paid staff would be upset getting lesser pay or receiving equal salary to less educated and time demanding jobs. This would upset them because they had to go through schooling only to receive a pay cut that would make their salary much less then others at different centres. . This may make them unenthusiastic at their job therefore more likely to resign. Jim will be making less profit due to lack of competition. Proper Information Systems to aide in the spa department will improve coherence
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This note was uploaded on 05/31/2008 for the course AHSS 1030 taught by Professor Ford during the Fall '08 term at University of Guelph - Humber.

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Team Assignment Paper (Final) - Atlantic Health Centre...

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