UOW Student Number-1131203

Masters in Business Administration (MBA)

7IB002 Operations Management

True Fitness A Case Study in Operations Management

Vijaya Durga

Instructor Mr. David

Word Count - 6039

UOW Student Number-1131203

Masters in Business Administration (MBA)

Contents
Page

Executive Summary3 Introduction.4 Purpose of the case study5 Porters value chain introduction and application to the organization ..5 Theoretical Frameworks.7 Techniques for designing and improving operations...8 Inventory Management and capacity Management..11 Principles of supply Chain Management..12 Different Models of Quality.14 Global and International Issues14 Application of the Theory..15 Recommendations..23 Research Methodology...27 Conclusion..27 Bibliography...28

UOW Student Number-1131203

Masters in Business Administration (MBA)

Executive Summary

This assessment paper will provide us an analysis and application of Porters value chain, and theories for the better operations in the organization. This analysis is done by evaluating the Value chain and research the value added elements of Porters value chain. The results of this assessment will show us Operations Management will add a value to the organizations business process and will help to find the risks and improvements in the operations. With the help of value chain strategies we can find how to reduce the effects of risks and improve the organizations business process. The assessment suggests recommendations for the True group, which will leads to the better operations in the organizations. The assessment concludes by explaining the Porters value chain activities and recommendations for the operations. In this assessment I am going to discuss about the Porters value chain activities, and value chain application in TRUE FITNESS organization, and how it will effect to the customers as well as to the organization. After the analysis of value chain activites in True Fitness, there are some recommendations for the better organization and for the satisfied customers. True Group is one of the Asias well known fitness and wellness organization. As a member of True Group I had a chance to experience their services personally and had a closer look at their operations. With the help of true group management I managed to get the required data to complete my assessment.

UOW Student Number-1131203

Masters in Business Administration (MBA)

Introduction

True Group is one of the largest fitness and wellness groups. True group

mainly consists of business in fitness and yoga, with secondary business in Spa and Aesthetics in selected region markets.

Established in 2004 in Singapore by Founder and Group CEO Mr Patrick Wee, this Singapore brand has made its own signature in five other Asia countries, which includes Singapore, Malaysia, Taiwan, Thailand and India. The group has invested over US$50 million regionally to provide the best yoga and fitness facilities. With the effective of best services True group has more than 150,000 members across the region. With the vision of bringing Yoga to all members, Mr Patrick has introduced Bikram Original Hot Yoga in all countries. Yoga is one of the ancient Indian cultures. In commitment of giving best services, True group has invited highly qualified Indian Yoga masters for the True Yoga. And recently True group has expanded its business and launched True Dance in Taiwan. Currently true group has 30 centres all over the region, and aiming for 100 centres in the next 5 years. After they tied up with one of the international Group Dubai International Capital (DIC) in 2008, True group is looking forward to expand its presence internationally and make the True Group as a truly global wellness brand.

UOW Student Number-1131203

Masters in Business Administration (MBA)

Purpose of the case study

The purpose of this case study can be categorised as exploratory, descriptive and explanatory (Saunders et al, 2007). These studies can be described as finding out what are the regular activities in the organization and what will be the outcomes with the process of operations management. As per the customer view point True Fitness needs to improve their services, and should make flexible prices for average people to enjoy all facilities. To achieve the customer demands True Fitness needs to improve their operations in all core areas. We will explore about the Porters value chain activities in True Fitness in later discussion. This assessment aim is to create a better organization of the regular activities in sales and services in True Fitness, and also to achieve the customer satisfaction and improved operations in the organization. As a member of Singapore True Group I am going to concentrate on Singapore branches, and this specific area to research make my survey more easy for this Assessment. Porters value chain introduction and application to the organization The term Value chain was used by Michael in his book called Competitive advantage: Creating and sustaining superior performance (1985). This value chain analysis explains the organization performance, operations and leads them to the organizations profits/ results. This value chain analysis describes the operations and activities with in and around the organization, and relates them to the organizations strength and performance. Therefore it evaluates how much value adding with each and every activity to the organization performance and services. The basic model of Porters value chain is as follows:

UOW Student Number-1131203

Masters in Business Administration (MBA)

Porters value chain

The value chain frame work of Michael Porter is a model that helps to analyze specific activities through which firms can create value and competitive advantage. Most organizations have to participate in hundreds and thousands of activities in the process of converting inputs to outputs. These activities can be classified as primary and secondary depends on the organizations requirement. According to Porter (1985) the primary activities are: 1) Inbound Logistics: This activity involves in a relationship with suppliers and includes all the activities require to receive, store and disseminate inputs. 2) Operations: are all the activities required to transform inputs into outputs 3) Outbound logistics: Include all the activities required to collect, store and distribute the output 4) Marketing and sales: activities inform buyer about products and services includes buyers to purchase them, and facilitate to purchase them. 5) Service: Includes all the activities required to keep the product or service working for the buyer after it is sold and delivered.
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UOW Student Number-1131203

Masters in Business Administration (MBA)

The secondary activities are: 1) Procurement: is the acquisition of inputs or resources, for the firm 2) Human Resource Management: Consists of all activities involved in recruiting, hiring, training, developing, compensating and laying off personnel 3) Technological Development: pertains to the equipment, hardware, software, procedures and technical knowledge brought to bear in the firms transformation of inputs into outputs 4) Infrastructure: Serves the companys needs and ties its various parts together, it consists of functions or departments such as accounting, legal, finance, public affairs, government relation, quality assurance and general management. The term Margin implies that organizations realize that depends on their ability to manage the linkages between all activities in the value chain. These linkages are very crucial for corporate success. The linkages are flows of information, goods and services, as well as systems and processes for adjusting activities. In most organizations, it is rather unusual that a single company performs all activities from product design, production of components, and final delivery to the customers. With the help of Porters chain activities we are going to discuss about the true groups operations and service delivery in its organization. As True groups main business is services and sales we are going to apply some of the value chain activities to the organization with the help of theoretical frame work.

Theoretical Frameworks

A Theoretical frame work guides research, determining what variables to measure, and what statistical relationships to look for (Trochim-2006). In my theoretical frame work I am going to concentrate on some core operation functions to understand the True Fitness operations in a better manner. Those core operation functions include:

UOW Student Number-1131203

Masters in Business Administration (MBA)

1. Techniques for designing and improving operations 2. Inventory Management and capacity Management 3. Principles of supply Chain Management 4. Different Models of Quality 5. Global and International Issues

1. Techniques for designing and improving operations : The process by which some functional requirement of people is satisfied through the shaping or configuration of the resources and/or activities that compose a product , or a service, or the transformation called process design Slack(2010) True Fitness is a largest and best workout facility located in Singapore, having 6 gym centres and 3 yoga centres in one of the prime areas to reach all working professions as well as to regular customers. Mainly True Fitness business will concentrate on two main core areas. Those are Sales and Services. Sales: To attract all customer levels True Fitness mainly follows the below sales channels. y y y y y Telemarketing Road shows Internet Marketing Corporate promotions Social Media Marketing

UOW Student Number-1131203

Masters in Business Administration (MBA)

Fig: The below figure will explains the marketing road map in any organization.

With the help of the above sales channels True Fitness managed to get 5000 + customers in Singapore branch. For their prestigious customers True Fitness is offering the below services. y Fitness, Spa, Aesthetics centres in all prim areas y 4 Aerobic studios, 1 yoga studio, 1 hot yoga studio, & 1 exclusive private yoga studio y Over 200 cardio Equipment y Over 150 yoga, Dance, Pilates & cardio wave classes per week y Over 130 Aerobic classes per week y Yoga masters from India over 10 years experience y Spinning studio with over 35 classes per week y State-of the art kinesis studio y Large & Variety of Resistance and free weight equipment y Qualified personal trainers and fitness instructors y VIP black card lounge y Members relaxation lounge
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UOW Student Number-1131203

Masters in Business Administration (MBA)

y y y y y

Steam rooms for men and women Over 1,400 lockers for men and women Over 70 showers for men and women True caf Operation hours: Mon-Sat, 6am 12am Sun, 8am - 10pm

According to Steve Brown (2001) any organizations business will reach to the customers/clients via operations. Depends on the operations strategy every organization will have their own standards of delivery of services/goods. Operation Managers will take the complete responsibility of the organizations operations and management. The below figure will explain s how the business of the True fitness is linking with customers via operations. Fig: Linking the business of the organization with customers via operations

Sales

The business of the True Fitness

Operations

The needs and wants of the True Fitness s customers or clients

Services

Source: Steve Brown (2001)

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UOW Student Number-1131203

Masters in Business Administration (MBA)

Even though True fitness is one of the major fitness centres in Singapore providing quality services, still there is lot of negative feed backs from the customers to improve organizations operations. We will focus on the suggestions and recommendations later in this assessment. 2. Inventory Management and capacity Management: Operations managers often have an ambivalent attitude towards inventories. On the other hand, they are costly, sometimes tying up considerable amounts of working capital. They are also risky because items held in stock could deteriorate, become obsolete or just get lost, and furthermore, they take up valuable space in the operation. On the other hand, they provide some security in an uncertain environment that one can deliver items in stock, should customers demand them. This is the dilemma of inventory management. In spite of the cost and the other disadvantages associated with holding stocks, they do facilitate the smoothing of supply and demand. In fact they only exist because supply and demand are not exactly in harmony with each other. Slack (2010) Providing the capacity to satisfy current and future demand is a fundamental responsibility of operations called Capacity Management. Slack (2010) The below figure will explain us how the inventory system work in a single-stage inventory management.

Stock
Sales Operati ons

Services

Suppliers

Source: Slack (2010)

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UOW Student Number-1131203

Masters in Business Administration (MBA)

Inventory management in True Group contains for the following products like: Fitness equipment, Yoga equipment, Facility equipment, Refreshment & Toiletry products, Staff equipment, Member reward /complimentary. The inventory management helps True Group to provide all necessary products and equipment to provide the required services where and when required for all the centres in the region. With the help of inventory Capacity management satisfies the current and future demands of the organization. 3. Principles of supply Chain Management: Operations managers have to look beyond an internal view if they want to manage their operations effectively. As operations outsource many of their activities and buy more of their services and materials from outside specialists. The way they manage the supply of products and services to their operations becomes increasingly important. Slack (2010) The below figure will explain us the strategy of supply chain management in the organization.

Source: Anonymous

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UOW Student Number-1131203

Masters in Business Administration (MBA)

To balance customers demands with the need for profitable growth, many companies have moved aggressively to improve supply chain management. Their efforts reflect seven principles of supply chain management. David, Frank (1997) y y y y y y y Segment customers based on service needs Customize the logistics network Listen to signals of market demand and plan accordingly Differentiate product closer to the customer Source strategically Develop a supply-chain wide technology strategy Adopt channel spanning performance measures

The supply-chain management in True group help to order the required products and equipment with the transparent quotation system for all its vendors where True group constantly look for the best available price for their customized products within the regulations desired by the organization. The below figure will explain us the process of supply chain management in True Group.

Organizations requirement

Inventory

Quotation Process

Vendors

Order process

Required Stock

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UOW Student Number-1131203

Masters in Business Administration (MBA)

4. Different Models of Quality: High quality goods and services can give an organization a considerable competitive edge. Good quality reduces the costs of rework, waste, complaints and returns and, most importantly generates satisfied customers. Slack (2010) As true fitness is a service oriented firm, the above model applies as more on the quality of service. In True group services are provided in three different categories. Those are: 1. 2. 3. 4. Black card members Regular members Trail members Personal training

The privileged services are provides based on their membership. We will clarify the discussion in our later Assessment. 5. Global and International Issues: As True group is established in five different Asian countries including Singapore. After they tied up with international group, Dubai International Capital (DIC) in 2008, True group is looking forward to expand their operations internationally. With their global expansion True group have to deal with the following global issues. Those are: Litigation communications Labour actions, including corporate campaigns Natural disasters and workplace accidents Environmental crises and issues Sexual and racial discrimination allegations Strategic planning for crisis management and response planning, training and simulations  Company or product boycotts      

We will discuss the above issues in our further Assessment.

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UOW Student Number-1131203

Masters in Business Administration (MBA)

Application of the Theory

With the help of application theory we are going to discuss further about Operations management process and its functions in True group. . Techniques for designing and improving operations: True group business mainly concentrates on sales and service operations. As we have discussed about True group sales channels as below. y y y y y Telemarketing Road shows Internet Marketing Corporate promotions Social Media Marketing

Telemarketing: This is one of the popular ways of promotion of sales of a brand or products. Telemarketing is known as inside sales or telesales. Telemarketing is marketing conducted over the telephone. Most telemarketing calls are called cold calls, means the recipient of the call has not requested that the telemarketer contact them. Nowadays telemarketing is one of the most controversial types of marketing and being viewed as an annoyance by many. Telemarketing can also include recorded sales pitches programmed to play over the phone via automatic dialling. And also sales include the short message services (SMS). With the help of clients database from different sources like telecommunications and others sales representatives will manage to get clients telephone numbers and they promote True group sales as the best fitness services in Singapore. Telemarketing sales is one of the best marketing technique and cost effective in True group. With the help of telemarketing True group managed to earn 20% profit in their total annual sales.

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UOW Student Number-1131203

Masters in Business Administration (MBA)

 Pros and Cons of Telemarketing in True Fitness: Even though Telemarketing is one of the most cost effective sales channels, it is one of the more intrusive methods of marketing. It can often do more hurting branding than help True group image, and it requires professional callers and well executed scripts to be effective. Road Shows: Road shows are a series of marketing events that True group organize at multiple locations to generate interest regarding their services that they want to promote. True group mainly targeted at new customers to join in their group. Every year True group will conduct at least 6-8 road shows to promote their services and introduce new offers. Even though it is the most popular marketing channel in True group it may not be profitable all the time. But it is really a good way to reach customers and to promote True brand as the best fitness brand. Internet Marketing: Internet marketing is also known as Digital Marketing. To promote True group services internet marketing using the different channels like web marketing, online marketing, and search marketing and also e-marketing. In this digital world to reach customers directly Internet marketing is one of the best sales channels in True group. In part of this internet marketing True group using primary avenues like search engine marketing (SEM), search engine optimization (SEO), banner ads on popular websites, email marketing and also mobile advertising. Even though it is costly way to reach customers Troup group managed to earn 40% of sales through the internet marketing in 2005-2010. As part of the internet marketing True group maintaining an own website with full details of services, offers, and even company profile also. With the help of this True group website customers can have a better idea of services and offers.

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UOW Student Number-1131203

Masters in Business Administration (MBA)

Corporate promotions: Means an activity to increase the demand for services and promote brand of the organization through the prestigious customers. True group has one of the best fitness groups having many customers throughout the Singapore. In part of True group prestigious customers our ERC Institute also taking part to promote True group sales and services throughout the institute. Social Media Marketing: is another way to persuade organizations services through the social media. Social media marketing is one of the cost effective ways to reach ordinary people who is connected with the media. To use social media marketing effectively, organization have to be perceived as members of the social media community, willing to interact with other members. In Singapore Media crop is one of the popular social media. True group has tied up with media crop since 2005 to promote True group services. The below graph will explain us profit and loss of the True group.
5 4.5 4 3.5 3 2.5 2 Operating Expenses 1.5 1 0.5 0 2004 2006 2008 2010 Total sales Gross Profit

Total profit and loss in US$ Millions Vs. years.

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UOW Student Number-1131203

Masters in Business Administration (MBA)

Even though True group providing the best services (as we discussed earlier) in the fitness organizations, still needs to improve its services to satisfy the customer needs. In Singapore Fitness First is one of the main competitor for True group. Depends on the short survey with both fitness group members, the below table will explain us the same kind of services in two fitness organizations.
Fitness First Gym Condition Towel Rental Locker Rental Locker Size Workout Attire Rental Machines & Free Weights Group Exercise (Classes) Swimming Pools Shower Amenities (Soap & Shampoo) DVD Rental Newspapers & Magazines Coffee, Tea & Soft Drinks Convenient Locations Earliest Opening Time (Only applicable to some clubs & certain days only) Latest Closing Time (Only applicable to some clubs & certain days only) Payment Mode Monthly Cost New Yes Yes Medium to Large Platinum Clubs Only Less Please visit website Yes Yes Yes Yes Yes Yes 6.00am True Fitness Old Yes No Small to Medium No More Please visit website No Yes No No Coffee Only So-so 6.00am

11.00pm Monthly by GIRO or Credit Card S$140+ (12-mth contract, early termination fee of S$200)

12.00am Full Amount (Pre-paid) S$50+ (24+6mths package)

Looking at the above survey True group needs to improve its service and operations to reach members satisfaction. With the above sales and services discussion true group can improve and design operations for a better organization

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UOW Student Number-1131203

Masters in Business Administration (MBA)

. Inventory Management and capacity Management: Effective inventory management plays a crucial role in the smooth and efficient operations running in any organization. Reducing the excess inventory and investing in the right inventories leads to better customer service and better inventory turnover. In True group Manager will take responsibility to make the inventory management successful. (Max muller-2004) The total cost of maintaining the desired inventory level must be held down to a reasonable figure, at the same time the inventory also is sufficient enough to use when it needed. In True group Inventory management systems is rely on barcodes and radio frequency identification (RFID) tags to provide automatic identification of inventory stocks. The inventory control management process in True group as follows: y Purchasing systematically y Keeping track of inventories y Other than manager inventory management specialist will responsible for checking the inventories y Utilising the storage facilities effectively y Having a clear idea of inventory turnovers y Knowing the cost of inventories y Knowing the Inventory service cost y Storage, handling, Risk costs on inventory True group never had a problem with running out of inventory, With Manager strategic operations inventory management has been maintained very effectively. Still Operation managers needs to mind four important things for a better inventory management (B.L.Brooks-1972), those are y How to control inventories y How to visualize the inventory costs to include in determining how much inventories are costing the company y How to determine the level of inventory that is most profitable y How to determine how much to order and how often to order With the help of the above tips managers can deliver the inventory effectively.
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UOW Student Number-1131203

Masters in Business Administration (MBA)

.Supply Chain Management: It is usually effects on total relevant inventory cost of the organization. The below figure will explain us the relationship between inventory management and supply chain management and the process of supply chain management.

In true group supply chain management (SCM) is the oversight of fitness equipment, information and finances as they move in a process from supplier to the fitness outlets. Supply chain management involves coordinating and integrating these flows both within and among the company. The ultimate goal of organizations supply chain management system is to reduce inventory. In True group SAP business suite software is used to manage, planning, execution, and collaboration across the responsive supply network. With the help of SAP supply chain management flow can manage very smoothly. With the help of transparent quotation system for all its vendors where True group constantly look for the best available price for their customized products within the regulations desired by the organization. Supply chain management always links with the inventory stock and organizations requirement.

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UOW Student Number-1131203

Masters in Business Administration (MBA)

. Different Models of Quality: High quality services and equipment is one of the main targets in True group. As True group is service oriented organization. In True group services and equipment is categorised into four different groups. 1. 2. 3. 4. Black card members Regular members Trail members Personal training

1. Black card members: Depends on the customers requirement some members will go for a long term fitness packages. Members who are having more than 3 years of fitness package can consider as Black card members. Black card members will have access pass to access the VIP lounge in all True branches. Black card members will enjoy signature VIP Black card lounges, massage chairs, special refreshments, separate lockers, separate bathrooms Black card members always will get free goodies for their long term membership. Black card members always treated as True groups privileged customers. 2. Regular Members: Members who are having less than one year fitness package with True group called as Regular Members. Regular members will enjoy all True group services (As we discussed before) other than VIP black card lounge. 3. Trail Members: True group always have the option to trail their services for free, once trail members like True group services then they will became Regular members to enjoy organizations services. 4. Personal Training: True group also have Personal Trainers for those who want to reach their goals effectively. These personal trainers are fitness professionals and they will involve in exercise prescription and instructions. These personal trainers will motivate members by setting goals and providing feedback accountability to members, and these trainers also will educate their members in many other ways of aspects of wellness besides exercise, including general health and nutrition guidelines.

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UOW Student Number-1131203

Masters in Business Administration (MBA)

. Global and International issues: As True group is establishing internationally, it has been facing global issues like       Litigation communications Labour actions, including corporate campaigns Natural disasters and workplace accidents Environmental crises and issues Sexual and racial discrimination allegations Strategic planning for crisis management and response planning, training and simulations

To overcome the above global issues, True group is following the below strategies. To overcome the litigation communications, in all branches managers conducting staff meetings, maintain good relationship with union leaders, third party agents. With all these activities true group managing a good relationship and communications with all staff. In most of the Asian countries there will be a labour unions and workforce agents, as most of the democratic countries having high influence of the labours. If the unions are not satisfied with the organizations offer they might go on strikes and walkouts. But True group is achieved full satisfaction from their staff, as there is no strikes and walkouts in True history. Natural disasters and work place accidents is something beyond to our control. But when it happened we should be prepared. True group is always prepared for the worst night mares. Most of the Asian countries are in earthquake zones and tsunami areas. To overcome the disaster effect True group is maintaining customised insurance policies for all areas as well as customised personal insurance for all staff. Now a days Global warming is one of the major issues in 21st century. To help the environment all True groups is using recycle products in their fitness centres and in some countries using natural resources to produce electricity for their fitness centres. In Singapore racial discrimination is one of the major issues. In True group also Westerners and locals are treating as primary members, and all other nationalities treating as secondary members.
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UOW Student Number-1131203

Masters in Business Administration (MBA)

True group is maintaining a customized strategic solution for different countries, as different countries has their own policies. The organization continuously upgrading staff trainings as members satisfaction is one of the main asset of True group. After this operation management case study on True fitness group I would like to suggest some recommendations which will leads to better operations.

Recommendations
As True group is a service oriented fitness facility in Singapore, the organization should concentrate on its services and operations in a better way. y Class room capacity: After introduce Yoga in 2007, hot yoga is one the most famous and popular activity in Singapore. Every day they are conducting only 7 classes for 40 members in each class. Most of the morning classes will be sufficient enough for regular members, but in peak time from 6pm to 10 pm for all the working employees the capacity of the hot yoga class is not sufficient enough, as a result many of the members alternatively have to choose some other activities. To avoid the peak timings some of the members choosing lunch time to attend hot yoga. The below table will explain us the capacity and demand for Hot yoga in True Yoga group. Hot Yoga (Time) 7.15-8.15 11.00-12.00 12.30-1.30 4.45-5.45 6.15-7.15 7.30-8.30 8.45-9.45 Capacity per class 40 40 40 40 40 40 40 Demand per class 10 13 25 20 60 80 75

If you look at the above table in peak time most of the members have to choose some other fitness activity because of the popular demand. To overcome this issue True group have to increase the capacity of the class from 40 to 80 members per each class. So that all members can enjoy the
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Masters in Business Administration (MBA)

most popular Yoga activity without wasting their timings in some other unwanted fitness classes. y Online Booking System: After trail members turn out into regular members they will get members access ID and PWD from the organization. With the help of ID and PWD members can book their desired classes through online. But the problem is members can actually book classes up to 3 days only. The True groups online system will not allow members to book their entire month or entire week classes. Like this way many members could not able to make time to book every 3 days, As a result most of the members missing their regular fitness activities. To overcome this problem True group need to improve their online booking system to satisfy all members needs. y Phone booking System: If the members could not make time to book through online alternatively they can make booking through phone. In True Group Phone booking system is not so famous, as the reception officers response wont be pleasant. Whenever a member called for class booking they simply say fully occupied and will hang-up if the class if fully booked. Instead of doing that phone officers may take members details and put them on Q for their desired classes, if not Officers can let the members know about other available classes at that time to make member little more comfortable. y New branch Expansion: True group is expanded in all major areas in Singapore except North-East area. Due to its popular demand in NorthEast area members need to travel long time to go to the fitness centres. To overcome this issue and increase the popularity True group needs to expand one more branch in North-East area. In this area Tampanies is one of the main area, before taking a final decision on final expansion in this area True group needs to undertake four steps to arrive the proper capacity decision, those are:

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Masters in Business Administration (MBA)

   

Estimate capacity requirement Address projected demand versus Current capacity Identify capacity alternative options Evaluate alternatives identified

The new branch should be wide enough to reach members requirement, and the branch capacity and operations should reach the new heights in the fitness organizations. y Personal Trainers: In True group every branch has their own professional fitness trainers for those who want to reach their goals more effectively. But all members wont be able enjoy the benefits with personal trainers. Members need to pay extra amount on top of the annual package. As a member point of view, all fitness outlets should have one or two professional trainers to train the members and educate them about the fitness equipment in a general way. In this way with the minimal supervision all members will aware of the exercise prescription and using of fitness equipment. y Racial discrimination: It is very important to remember that racism is a well-documented problem in Asia. Singapore is also no exception for this. Because of my personal experience majority of racism is against Indians only. On this topic there are a lot of documents and articles recognized by the public. In True group also Westerners and locals are treating as primary members, and all other nationalities treating as secondary members. Even though True group invited Indian Yoga Professionals in all branches as their Yoga masters, most of the other areas they will prefer to hire locals only. As racial discrimination is an international issue from many decades, UNESCO considered March 21 as the International day for the elimination of racial discrimination, in memory of the events that occurred on March 21, 1960 in South Africa. Even though we have international support for racial discrimination we still need to face the fact that we are suffering in this society because of racial discrimination.

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UOW Student Number-1131203

Masters in Business Administration (MBA)

To avoid this racial discrimination in True group organization needs to concentrate in some areas like Recruitment and selection, promotions, Training, pay and benefits, Terms and conditions of work. If the organization maintains the above areas depend on the staffs talent True group can overcome this issue. y Usage of fitness equipment: In all True fitness gyms thread mills are most frequent used fitness equipment especially in peak hours. In every gym centre there will be at least 10 thread mills. But the popularity is too high for these equipment and members need to wait for a while to access the machines. To avoid this discrimination organization needs to improve its equipment capacity according to members demand. Some of the new members wont have any idea bout usage of fitness equipment. For all those new members organization needs to take initiative to educate them how, when, what to use with the fitness equipment. y Medical facilities: In any fitness centres due to the weight lifting, or due to exercise members can get injuries. In True group they do not have any medical facilities to treat members. In all True fitness branches they have to maintain a workout injury specialist to treat the injured members. This medical facility will be benefit for not only members, but all staff also can get the treatment whenever they required. y Class schedule: True group have a policy that they will release their fitness class schedule once in a weak only. Because of this short term schedule members do not have choice to plan their fitness classes for the whole month or year. To overcome this issue organization needs to plan their class schedule for whole year. Other than the above True group needs to concentrate on small details like towels, refreshments, toilets, lockers. True group needs to identify the gaps between projected demand and current capacity. To improve the organizations operations managers should monitor the number of members complaints and feedbacks, tracking of member usage of number of facility services. Assuming that True group announces its major expansion plans in the coming period.

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UOW Student Number-1131203

Masters in Business Administration (MBA)

True group needs to analysis continuously of market capacity to compete with the other fitness organizations.

Research Methodology
Research Methodology means in which way I went about doing my research, and from what sources I have got the data to complete my assessment on this case study. I have done a survey on True group services within and outside of the organization. My main resource is True fitness staff and Manager. I have managed to get the required data about the true group. The data I have mentioned above in this assessment is provided by the True fitness staff and members. Secondly I have done a research through operations management books, journals, articles (can be find them in references) from the national library. And lastly I did use the True groups website as one of my resource.

Conclusion
There are many factors True group must take into account to help solve their current operations. A strategic operation planning and managers must be involved in the process of new operation strategy implementation to make the organizations services best. True group must seek best fit operational management system and continue the progress of fine operations and services to the customers. True group may benefit by benchmarking other fitness organizations that will bring profit to the True groups business, and also True group need to establish the capacity and risk management in their new branch expansion. True group have to introduce new strategy in fitness organizations that should consider as a benchmark by other fitness brands. Disclaimer: The information provided above is only for this assessment, which has been prepared by me. Unauthorised usage of this assessment is prohibited.

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Masters in Business Administration (MBA)

Bibliography
y y y y y y y y y y y y y y y y y y y y y y www.truefitness.com.sg Operations management Fourth edition (Nigelslack-2004) Operations Management Sixth edition ( Nigel slack 2010) Purpose of research Saundersal (2007) Competitive advantage: Creating and sustaining superior performance Michael Porter (1985). The research methods knowledge base 3rd edition, William, James (2006) Operations Management Steve brown, Kate, Blackmon (2001) The seven principles of supply chain management David, Frank (1997) Essentials of supply-chain management Hugos. M (2006) Operational failure and problem solving Julia, Michel (2009) Motivational operations Brent filson (2005) Guide to Inventory Accuracy Dave piasecki (2003) Research methods knowledge base William M.K. Trochim (2006) Essentials of Inventory Management Max Muller (2004) Inventory management and control B.L. Brooks (1972) Practicing management and leadership: Vision, strategy, operations and tactics Baker, Orton (2010) Business timelines: the intersections of strategy an operations management Loi Teck Hui (2004) Total quality management in strategy and operations: Dynamic grounded models Leonard, McAdam (2004) The different operations strategy planning process for service operations Mclaughlin, Curtis (1991) Assessing operations management from a strategic perspective Adam, Everette Operations strategy and performance A resource based perspective Bourne, Michael (2003) Strategy for capacity management of both constrained heat treatment operations in the manufacture of multiproduct families Oduoza (2009)

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