Wednesday, October 19, 2011

The Sundale Club

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The Sundale Club

Case .1


Juan¡¦s Angels

Buy custom The Sundale Club term paper

(Aguirre, Dotson, Lozano, Smith)

BUSI 471

June 6, 00

Juan¡¦s Angels

BUSI 471

Ms. Paulette Burkhart

June 6, 00

Case .1

The Sundale Club


The Sundale Club is the largest of the athletic social clubs in the city. It is well established in the community and has a prestigious reputation. It has over 1,000 members and has always had a waiting list for new memberships.


Initial concerns began to arise when the once prestigious club began to experience a sudden decline in membership and interest in their facility. The once thriving athletic social club found it increasingly difficult to get members to participate in its social activities. There was also a noticeable decline in members renewing their memberships and an increase in the number of cancelled memberships. Oddly, the once energetic staff now seemed frustrated and unhappy with their jobs.

At the request of an anonymous employee, the corporate Human Resource department began an internal investigation. The purpose of the investigation was to determine the root of these problems. A team of HR managers went to this particular Sundale Club location and spoke with several employees and members.

Problem Causes

Based upon the information gathered from the employee interviews and conversations with several members of the club, the HR team determined several possible root causes

„h Inappropriate and unprofessional behavior on the part of Chuck Johnson

„h Failure of the peers and co-workers to confront Chuck about his behavior

„h Failure of management to investigate the complaints, take the necessary actions, and reply back to those who complained

When Frank Havens, the assistant Athletic Director, went to Ted Ellis to discuss the complaints, Ted chose to dismiss the complaints. After some consideration, this action was unacceptable to Frank and he felt he could no longer work in this environment. Frank resigned. Ted immediately replaced Frank with Chuck Johnson. Ted¡¦s decision resulted in additional issues such as

„h Chuck was promoted over other qualified and tenured employees, such as Pat Franklin, Women¡¦s Activities Manager.

„h When Pat challenged Ted¡¦s decision, she was terminated.

„h When word of Pat¡¦s dismissal spread throughout the club, employee moral plummeted

„h Employees feared retaliation if they voiced their disapproval

Systems Affected

From the problems and causes identified, it became apparent the problem had consumed the entire structure of the club, both internally and externally. The low moral had impacted the psychological structure of the club and the decline and lack of interest by the members were starting to affect the technical structure of the club.

To compound the problem, Ted¡¦s managerial decisions seemed to have a negative impact on the goals and values of the club and ultimately, the corporation as a whole.


The initial thoughts were to

„h Terminate Bob Watts, Sundale Club Director, for lack of initiative and action, his previous years of dedication and pending retirement justified his continuance

„h Terminate Ted Ellis for his biased and favorable decision making process, as well as, his lack of properly handling employee issues and customer complaints at his club

„h Terminate Chuck Johnson for his inappropriate and unprofessional behavior

However, after considering all employee and customer comments from the interviews, the HR team recommendations are as follows

„h Conduct and investigative interview with Pat Franklin

„h Counsel Chuck Johnson, Assistant Athletic Director, on his inappropriate and unprofessional behavior

„h Demote and relocate Ted Ellis, Athletic Director, to another (smaller) club in the city or give him the option to resign

„h Counsel with Bob Watts, Director


To implement these recommendations, we would like to suggest that you

„h Offer the Athletic Director¡¦s position to Pat Franklin, upon her reinstatement with The Sundale Club

„h Conduct a Learning Laboratory for all Sundale Club employees using the Johari Window Model to examine and improve interpersonal communication within the organization

„h Transfer the operations authority to Pat Franklin, the new Athletic Director and the marketing authority to Carol Happ, Social Director, until Bob Watts retires and is replaced

„h Corporate Human Resources will have oversight on all personnel issues including but not limited to hiring, terminations, and promotions

The Vice President of Human Resources is prepared to meet with all the employees identified and the Human Resource department is prepared to conduct the suggested learning laboratory upon your approval. There are several options available to Ted Ellis at our other facilities and we are prepared to discuss those options with him at the appropriate time.

Do you have any questions or concerns?

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