Messages and Memos the Long-Term

¶ … Messages and Memos

The long-term well-being and efficacious functioning of the company depends not only on the efficient management of the financial aspects which concern it, but also on the wise management of the company's human resources. In a competitive environment where both us and our competitors have access to similar resources, the difference in creating a competitive advantage derives from the efficaciousness with which the company functions internally. This efficaciousness will reach the desirable levels only by having employees who do their work with commitment because they are properly motivated. One of the best ways o keep them motivated is to keep the Fitness Center.

Subject relevance

The issue represented by the maintaining of the Fitness Center is of high importance to our company. There may be both arguments pro and against, but the matter must be analyzed from a long-term advantages and disadvantages perspective. The investments which have been made so far regarding the center, as well as the benefits which have derived from its maintenance ought to be seriously taken into consideration. The decision regarding the keeping or the elimination of the Fitness Center will have important consequences for the company, from the financial point-of-view, as well as from the point-of-view of the employee's satisfaction and stimulation.

Arguments against the keeping of the Fitness Center

There have been arguments which have suggested that, for the benefit of the company it would be better to close down the Fitness Center. The first factor which has been brought into discussion was the financial one, that is, too bigger costs compared to the limited use of the center from the part of the employees. The second factor regards the motivational aspect and it states that a fitness center is not an incentive with our competition. The third aspect brought into discussion argues that the fitness center represents a mere recreational unit. The fourth argument against the keeping of the center regarded the use of its location for other purposes.

Arguments in favor of keeping the Fitness Center

Argument No. 1

It has been argued that the Fitness Center represents an expense that the company can not justify and that consequently, it should be closed down. On the contrary, the fitness center should be considered an investment. An amount around a million dollars has been invested in the creation of the location and its endowment with all the necessary facilities. In addition, there has been an investment made in its popularization amongst employees at all levels through the Wellness Program. All this has resulted into frequent use by 35% of the company's employees.

There are two aspects that need to be underlines here. The first one is that those who have been using the center have obtained important benefits in terms of health condition and a better motivation, this having direct positive consequences upon the functioning of the company. The second one refers to the fact that, in time, with the proper popularization of the Fitness Center, the percentage of employees using it will increase, thus leading to more long-term advantages for the efficacious functioning of the company.

Argument No 2

It has also been argued that a Fitness Center is not a motivational technique among our competitors. Nevertheless, there is no golden rule stating that business should be conducted in the same manner by all the companies working in a certain area. Different companies have different organizational cultures which allow them to function depending on different mechanisms. From this point-of-view, it can be stated that our company values productivity and dynamism. From this point-of-view, it is safe to say that the company also values a healthy employee who actively participates to the development and well-functioning of his company.

Argument No 3

There are opinions according to which the Fitness Center represents a mere recreational unit. The truth is that the Fitness Center is first and foremost an opportunity for all the employees of the company to keep themselves vigorous and in good health. The center has a swimming pool and I endowed with all the necessary devices one would need in order to exercise on a daily or weekly basis. Sport has numerous and various advantages. Not only does it allow one to be strong and energetic, but it also provides people with the possibility of getting rid of the accumulated stress. From this point-of-view, it can be stated that this type of physical activity helps our employees to be less stressed and therefore happier. Less stress and more happiness means employees with a higher degree of motivation and consequently better, more efficient employees.

Argument No 4

It has been suggested that the location of the Fitness Center could have a better use. It has been recommended for the location to be used as headquarters for the company's Information system department. It may be true that this department is undergoing development, but one can not turn any kind of environment into a proper work place. The fitness center was conceived to be what it is. The complete reorganization if the space would imply further expenses and it would not guarantee a 100% satisfying result.

Argument No 5

The medical costs of the Rocky Mountain employees who have used the Fitness center in the past two years have diminished. One may argue that there is no direct connection between the two realties, but the situation is much too obvious to be considered a mere coincidence. It is safe to say that the medical expenses that the company needs to take care of in case our employees need them, are far bigger than the costs required by the maintenance of the existing Fitness Center.

Numbers showed that the more the employees used the fitness center, the lesser were the expenses that the company had to make in order to keep them healthy. The 65% of the employees who never used the Fitness center cost the company a total of 81.500 dollars, while the ones who made medium and frequent use of the center cost the company just 21, 100 dollars. It must be stated that the frequency of going to the Fitness Center appears to be directly correlated to the increasing or decreasing of the medical expenses. Numbers have shown that the higher the frequency of use was, the smaller the medical expenses became.

All in all, considering the strong possibility for a future increased use of the center, it can be assumed that the company will obtain long-term financial advantages through the reduction of medical expenses

Argument No. 6

The absenteeism rates among the people who used the Fitness center were smaller compared to the absenteeism rates of those employees who didn't. Physical exercise is known to lead to better health conditions. And a better health condition means that an employee will be able to work more efficiently. In addition, it means that that specific employee will not get sick frequently and therefore, come to work more than an employee who has a poorer health condition. This means not only diminished medical expenses for the company, but also an increased productivity. Therefore, it is safe to say that, the keeping of the Fitness Center will have numerous advantages for Rocky Mountain from a long -term perspective and that it ought to be considered a strategic investment rather than a futile expense.