Case Study, Stage 1: Business Environment Analysis

Attached you will find the Case Study and the 1st staged project assignment. I would like to have the word document completed in accordance with the assignment
guidelines.

Case Study, Stage 1: Business Environment Analysis

Before you begin this assignment, be sure you have read the “UR UMUC Healthy Fitness Center Case Study.”?

Purpose of this Assignment

This assignment gives you the opportunity to apply the concepts of the Porter Five Forces model to a specific business, develop a strategic
direction for your Fitness Center, and identify a process that could be improved with the use of technology. This assignment specifically addresses the
following course outcomes to enable you to:

• analyze business strategy to recognize how technology solutions enable strategic outcomes
• analyze internal and external business processes to identify information systems requirements.

Business Environment Analysis for UR UMUC Healthy Fitness Center

The UR UMUC Healthy Fitness Center has been in business since 1980 and has seen an increase in competition from
small fitness centers, Cable TV and Internet Exercise channels and sites, Wii and other TV Game Console, various exercise equipment infomercials and increasing
supply of Exercise DVD’s . One of your fitness instructors told you that she saw a sign announcing the construction of Gold’s Gym (a
well-known national fitness franchise) a few blocks away. Your staff is worried and is looking to you to provide reassurance that the competition will not
affect the business. In addition, you have decided to develop your strategic direction for bringing the UR UMUC Healthy Fitness Center into the 21^st
century.

You know that Michael Porter’s Five Forces Model is a useful tool for analyzing a business, understanding the importance of the five
competitive forces and helping to develop its Generic Strategy. It is also used to aid organizations facing the challenging decisions of dealing with changes
made by existing competitors, entering a new industry or industry segment, or developing a strategy for dealing with new competition. The Five Forces Model
helps determine the relative importance of the forces affecting competitive position that could affect the future success of a business. The Five Forces
are:

• Buyer Power
• Supplier power
• Threat of substitute products or services
• Threat of new entrants
• Rivalry among existing competitors

The Five Forces and the Generic Strategy are fully described and discussed in the textbook, and the Business Model and Competitive Advantage
are covered in Module 1. In order to analyze the Fitness Center’s current competitive position and develop a Generic Strategic direction, you have decided to
use the Five Forces Model to analyze your Fitness Center business.

Assignment

Using the textbook and external resources, write a short paper 2-3 pages in length, not including References page and cover sheet,
responding to the bulleted items below. Remember to use the APA formatting rules and correctly cite and
reference your sources with APA format. Use the Grading Rubric to be sure you have covered everything. Submit your paper via your Assignment Folder as a
Microsoft Word document with your last name included in the filename.

Create a document that includes the following:

• Brief introduction providing the background of the case, why you are writing and what is to come in your paper. This should only
  be 3-5 sentences.

A?路Perform a Porter’s Five Forces analysis for your UR UMUC Healthy Fitness Center, addressing each force in
one or two sentences and defining the force, its impact (Positive, Negative or Neutral) on the Fitness Center and whether it should affect your strategy
(Yes/No). (See Textbook, pp. 18-21 and Course Module 1.) Do not identify solutions or things that you are
doing that would affect the factor. (The idea is to identify how the different forces affect the UR UMUC Healthy Fitness Center
and how much.) This provides you with a view of the business that will allow you to select a Generic Strategy and a Strategic Business Area on which to focus
your efforts.

• Determine which of Porter’s Three Generic Strategies (see textbook page 22) that you will use to improve your UR UMUC Healthy
  Fitness Center for the 21st century and explain why you selected it and tie it into the significant forces that you have identified.

A?路Using your analysis of the Fitness Center’s Business Model (based on what you learned in Module 1), identify an
important Strategic Business Area that needs to be improved. The Strategic Business Area is to be selected from the direct variables (explained
in Module 1 and illustrated in the Walmart Example Case Study, page 3). The Direct Variables are: suppliers, competition, employees,
location, organizational components, owners and customers. The Walmart Example demonstrates use of this concept, so you should review it and make sure that you
are on the right track. Explain why you have selected that Strategic Business Area and how improving it will improve operation of the
Center, including how it relates to the Generic Strategy you selected.

• Within the selected Strategic Business Area, identify and select a single daily process that is within and supports the Strategic
  Business Area that needs improvement. Note: A process is defined in your textbook as “a standardized set of activities that
  accomplish a specific task, such as processing a customer’s order.”? (Baltzan, 2013, p. 23) (In Stage 2 you will model the AS IS process and the TO BE
  Process, and propose a technology solution to improve the process you identify here, so select a process that is appropriate for a technology
  solution.)

• At the end of your report with your References enter the following headings and complete the information using one concise phrase for
  each. You will be starting each subsequent stage by including this information as a method to keep us focused on the objectives.

GENERIC STRATEGY:

STRATEGIC BUSINESS AREA:

PROCESS TO BE IMPROVED:

In determining which process you select for improvement, be sure to keep in mind the remaining projects within this Case Study. You should
review Stages 2-5 to get an understanding of the future projects that build on this initial stage and to aid you in selecting a process (and later proposing a
technology solution) that can support the requirements of the follow-on assignments.

Do not start on Stage 2 until you receive feedback on this Stage as the Process that you select is crucial and your instructor may recommend
that you change processes so that you can successfully complete the case. You MUST incorporate the recommended changes in all subsequent Stages.

The “right” and “wrong” answers have to do with whether or not you correctly incorporated the course concepts from the textbook and addressed
all parts of the assignment. You need to do some external research on at least one aspect of the assignment – your choice – and incorporate it and
cite/reference it in APA format in your response. The specific strategic area you select for a technology solution is not as important as that it makes sense
in light of the course content and the Case Study and is well supported with your application of the course concepts and your external research. Use the Rubric
below to be sure you have covered all aspects.

UR UMUC Healthy Fitness Center Case Study

In 1980, the UR UMUC Healthy Fitness Center was opened in a growing area of a bedroom community, by Tom Ellington, a UMUC Business
Management graduate after he retired from the US Marine Corps. It has an exercise room with many different kinds of specialized
equipment, rooms for various exercise and martial arts classes, and locker rooms with showers for men and women. In addition, there is a small snack area where
members can buy bottled water, soda, fruit juices and snacks, with tables and chairs where people can relax. There are several part time staff members that man
the counter where people check in; they also sell memberships and collect payments. There are trained exercise room attendants to assist members, and a
maintenance staff to ensure cleanliness of the facility and minor maintenance of the equipment. Recently you were hired by the owner and founder as the
manager, and you are very excited about this opportunity!

UR UMUC Healthy is a for-profit Fitness Center and must cover its variable costs, fund future improvements and produce a reasonable profit
for the owners. Unfortunately, business has been steadily declining over the last five years. Although your predecessor did a good job at the Center, it has
become out-dated. You recognize that some of the equipment really needs to be replaced, but you are not sure which equipment should be replaced first. The
classes and exercise programs available have also become out-dated. There is little known about the makeup of the membership (age, sex, goals, interests,
problems, complaints, etc.). You don’t know if there are long waits for particular equipment. If you had more information in these areas you feel that you
could increase membership and income. For instance, if you knew which equipment was most heavily used, perhaps you would opt to replace that first, or add more
similar equipment. The membership fee structure has not been reviewed in many years, and your contracts with outside firms that perform preventative and major
maintenance, and those that provide cleaning supplies, vending machines, and towels have not been reviewed in a number of years. Recently, there have been
weeks when the Center has run out of clean towels and the vending machines were out of the most popular items. In addition, customers have been requesting WiFi
reception in the Center as well as cardio monitoring features on the cardio equipment.

The Center is open from 5 AM to 10 PM and is busy most of the day; however, the make-up of the people differs over the course of the day and
each group has its own characteristics. The early group, 5 “?o 8 AM are the heavy workout members who speed through their exercises and head out for work or
school. The next group, 8 AM -2 PM are older and take their time exercising and attending classes and spend a lot of time in social interaction; they are
generally either retired or moms with their kids in school. The period from 2 “?o 4 PM is the least busy and is made up largely of high school students and
others who like a less crowded environment. From 4 – 7 PM the group is made up of workers on their way home who want to get their workout in before dinner. The
last group, 7 “?o 10 PM, is young single people who want show themselves off and attract the opposite sex, while exercising or taking classes.

One problem that you notice immediately is that you do not know which employees are scheduled to work each day, and there is no way to
quickly get a substitute if one is needed. All employees require annual training and certifications in CPR, Safety, First Aid and the use of AED
Defibrillators, while the contract trainers require various additional certifications periodically based on their specialty. All of the membership records,
orders for towels and snack bar items, and financial and payroll accounts are kept on paper. The Center does not have a Web site, and uses very little
marketing except word-of-mouth, and essentially still operates the same as it did in 1980.

Throughout this course you will manage the UR UMUC Healthy Fitness Center, taking advantage of business practices discussed in the class, the
Course Modules and the textbook to increase revenue, keep the business running, and bring the Center into the 21st century. You will identify one area
that is in need of improvement and that can be improved through the use of technology. You are not expected to solve all of the problems identified or address
all improvements that could be made at the UR UMUC Healthy Fitness Center. Note: We’re looking for a technology solution. While installing a handball court may
attract new customers, it is not a technology solution.

The following is an example of how you will identify a business need and a technology solution: Last year, the Fitness Center had no
effective way to check its members in when they arrived. Sign-sheets were used at the front desk, and employees had to check that against their printed list of
members. This caused members to have to wait at the front desk, and several had complained about this situation. To address the business need of quickly
checking members in, a small system was acquired that allowed the Fitness Center to issue membership cards with a bar code; then, members swiped their card
upon entry to the Center and if the card read successfully, the member would be admitted.

Note: As you approach the case study assignments, you will find it helpful to think about your own
experiences with a fitness center or gym. Making a trip to a local fitness center may help you think about the processes, challenges, and opportunities.

STAGED ASSIGNMENTS

The case study and assignments address the Course Outcomes to enable you to:

• analyze business strategy to recognize how technology solutions enable strategic outcomes
• analyze internal and external business processes to identify information systems requirements
• identify and plan IT solutions that meet business objectives.

Upon completion of these assignments you will have performed an array of activities to demonstrate your ability to apply the course content
to a “real world situation”? to:

• Analyze the business environment and identify a strategic area for improvement (Stage 1)
• Propose an appropriate technology solution to improve a selected business process (Stage 2)
• Evaluate various IT considerations of the proposed technology solution (Stage 3)
• Communicate your solution and the IT considerations to stakeholders using a presentation format (Stage 4)
• Identify and explain the next steps in implementing the solution (Stage 5)

The staged assignments are designed to follow the relevant course modules and chapters of the textbook in the class schedule, and are due on
the dates shown in the Syllabus.

Stage 1 Project: Business Environment Analysis (Word document with analysis)

Stage 2 Project: Business Process Models and Technology-Supported Solution Proposal (Word document with proposed solution and process
diagrams)

Stage 3 Project: Template for IT Considerations (Word table)

Stage 4 Project: Executive Briefing Presentation (PowerPoint Presentation on proposed solution)

Stage 5 Project: Outline of Next Steps (Word document in outline format)

The weight of the assignments is shown in the Course Syllabus. The due dates are shown in the Course Schedule.

Assignments for stages 1, 2 and 5 require external research, outside of the textbook and course modules. The grading rubric is
included with each assignment.

These assignments are designed to help you identify how to effectively analyze and interpret information to improve the business. This is an
opportunity for you to apply critical thinking skills and think like a business professional. When you are writing a paper or developing a presentation,
prepare it as if it is going to the owner, Mr. Ellington, whom you want to impress with your knowledge and abilities. Don’t just go through the
mechanics of pulling together information — think about what you are doing, why you’re doing it, whether it make sense, whether the information seems
realistic, and what the results show. Support your recommendations with your research. It’s important that you identify relevant,
timely resources that specifically support the points or information you provide in your assignment. You should read the source and assimilate the information
first, and then put it into your own words and incorporate it into the flow of your writing (with an appropriate in-text APA citation and a list of references
at the end of your paper). Direct quotes should be used very sparingly”??only when the author’s own words uniquely present a concept that would be lost if
paraphrased by you.

One of the prerequisites for this course is that you have a fundamental working knowledge of word processing and presentation software.
Detailed instructions for each Staged Project, 1 through 5, are posted in the designated area of the classroom. You are to prepare each assignment in the
indicated format (i.e., table, outline, report, presentation or other specified format) and submit it as an attachment through your individual Assignments
Folder in WebTycho. No credit will be given for assignments submitted in file formats other than those stated in the assignment instructions.

Because these assignments require you to use Microsoft Word and PowerPoint (as indicated in the instructions), you may need to “brush up” on
your familiarity with these or use functions that perhaps are new to you. Therefore, do not wait until the last minute to begin an activity. You
should read through all the assignments in advance to ensure you (1) understand what is expected, and (2) allow enough time to effectively create the
information being requested.

Additional Information

There is a significant amount of information available to you to assist in developing your skills in using the Microsoft Office Products. MS
Word and PowerPoint are required for these exercises. The textbook comes with access to the publisher’s website (http://www.mhhe.com/baltzan) where there are a number of resources,
including Tech Plug-Ins for Office 2003, 2007 and 2010. Don’t hesitate to use the on-line help and wizard tools built into the MS Office applications for help
as you work with the software tools. There are also other web sites, such as www.eHow.com, and www.microsoft.com that provide tips. Even YouTube has some useful videos demonstrating various
techniques.