Redhawks Consulting
Women’s Tennis Association
Asian-Pacific Office
Key Concern
• To determine the appropriate staffing of
the newly formed Women’s Tennis
Association Asian-Pacific Office.
Outline
•
•
•
•
•
•
•
•
•
Key Concern
PESTEL Analysis
Identification of Alternatives
Key Success Factors
Recommendation
Phases of Implementation
Timeline
Budget
Summary
PESTEL Analysis
Political
•
•
•
•
Communist State
No substantial political opposition
Subversive groups: Falungong Spiritual Movement; China Democracy Party
Government discretion on hiring individuals and starting a new business
Economic
•
•
•
•
Population: 1.33 billion
Government controlled currency exchange rate
Inflation: 4.8%
GDP per capita: $5,300
Social
•
•
•
•
•
•
Primary Ethnic Group: Han Chinese 91.9%
Languages: Standard Chinese, Mandarin
Religion: Daoism, Buddhism, Christianity, Muslim
Median age: 33.6 years
Literacy Rate: 90.9%
Growth Rate: 0.629%
Technological
•
•
•
•
•
Cell phones: 461.1 million
Radio: 417 million
Television: 400 million
Internet: 162 million
Government censorship of Internet usage
Ecological
• Climate: Very diverse; tropical in South and Subarctic in North
• Natural Resources: Coal, iron, ore, petroleum, natural gas, mercury, tin, tungsten
• Environmental Issues: Air pollution, water shortages, deforestation, desertification
Legal
• Civil law derived from Soviet and Continental civil code legal principles
Identification of Alternatives
1.
2.
3.
4.
Ethnocentric Approach
Polycentric Approach
Geocentric Approach
Governmental Approach
Alternative 1:
Ethnocentric Approach
Strengths
• Know the headquarters' and
company methods/procedures
• Qualified candidate
• Respect for WTA
• Familiar with WTA brand values,
attributes and office culture
• Resemble look and feel of other
offices around the globe
Weaknesses
• Asian operation would not be
marginalized
• Would not have time to teach
Chinese employees
• Lack of knowledge of China and
culture
• May not speak foreign language
Opportunities
• Career advancement
• Learn more about the sport
• Development of global outlook
• Exposure to different nationalities
• Can be taught about the company
Threats
• Chinese citizens feel threatened
• Political opposition
• Hostility among other culture
Alternative 2:
Polycentric Approach
Strengths
• Cost containment
• Nationalism
• Employee morale
• Understand local market
• Speak local language
• Understand political system of
China, wouldn’t offend government
Weaknesses
• May not be able to effectively
communicate with headquarters
• Cultural variations with other WTA
offices
Opportunities
• Career advancement
• Learn more about the sport
• Development of global outlook
• Exposure to different nationalities
• Can be taught about the company
Threats
• May not be available due to
Olympic Games
• May not respect WTA or fully
represent them
• May not have time to plan and
execute premier tournament
Alternative 3:
Geocentric Approach
Strengths
• Best candidate for the position
• Not culture specific
Weaknesses
• May have an overwhelming
number of candidates apply
• Unknown probability of company
knowledge
Opportunities
• Career advancement
• Learn more about the sport
• Development of global outlook
• Exposure to different nationalities
• Can be taught about the company
and sport
Threats
• Political opposition
• Hostility among other culture/may
not fit in
Alternative 4:
Governmental Approach
Strengths
• No political pressure
• If Chinese, know more about
culture
• If Expatriate, know more about
WTA
Weaknesses
• May not be the best candidate
• May be a “Yes” man
• May not be accepted by the rest of
the company
• May not be able to effectively
communicate with headquarters
• Cultural variations with other WTA
offices
Opportunities
• Career advancement
• Learn more about the sport
• Development of global outlook
• Exposure to different nationalities
• Can be taught about the company
Threats
• May not be available due to
Olympic Games
• May not respect WTA or fully
represent them
• May not have time to plan and
execute premier tournament
Key Success Factors
Weights
Compensation
Technical
Competencies
Ethnocentric
Polycentric
Geocentric
Government
0.1
1
0.1
3
0.3
1
0.1
3
0.3
0.05
3
0.15
2
0.1
2
0.1
1
0.05
Adaptability
0.2
3
0.6
1
0.2
2
0.4
1
0.2
Leadership
0.1
2
0.2
2
0.2
2
0.2
1
0.1
Country Understanding
Company
Understanding
0.2
1
0.2
3
0.6
2
0.4
3
0.6
0.2
3
0.6
1
0.2
2
0.4
1
0.2
Cultural Understanding
0.15
1
0.15
3
0.45
2
0.3
3
0.45
1
2
2.05
1.9
1.9
Recommendation
• Alternative 2:
Polycentric Approach
Phases of Implementation
I. Establishment of Vice President
II. Hire Vice President & Director
III. Training
IV. Develop Staff
V. Plan & Execute First Event
VI. Milestone Review
VII.Self-Sustainability
VIII.Long-Term Planning
Phase I:
Establishment of Vice-President
•
•
•
Timeframe: Upon Approval of Plan
Vice President of Strategic
Management
Duties:
–
–
Oversee Regional Offices
Develop & Execute Long-Term Plans
Phase II:
Hire Vice-President & Director
•
•
Timeframe: Upon Appropriate Approval
Search/Hiring Committee
–
–
–
–
•
David Shoemaker, COO
Board Representation
Human Resources
External HR Expert
Preliminary Recommendation:
–
U.K. Regional Director
Phase III:
Training
•
•
Timeframe: 0-4 months
Training of V.P. in Chinese Culture
–
–
•
First Priority
Examples: Power Distance, High/Low
Context, Values
Training of Director
–
–
Location: WTA Headquarters (U.S)
Examples: Mission, Goals, Values
Phase IV:
Develop Staff
•
•
•
Timeframe: 4-6 months
Hiring of all staff to ensure success
Covers all aspects of sport management
–
–
–
–
–
–
–
–
Marketing/Promotions
Events
New Media/Sports Information
Ticketing
Concessions
Legal
Human Resources
Merchandising/ Licensing
Phase V:
Plan and Execute First Event
•
•
•
Time Frame: First 12 months
Pro-Am Tournament
New Staff in charge
Phase VI:
Milestone Review
•
•
•
•
Time Frame: Following First Event
Evaluation of new staff
Conducted by the Vice President
Criteria for evaluation:
–
–
–
•
Ability of new director
Employee Capabilities
Overall success of event
Secondary Evaluation
Phase VII:
Self-Sustainability
• Time Frame: Upon First Successful
Milestone Review
• Vice-President leaves
• Gives the new staff control.
• Serves as a consultant as needed.
Phase VIII:
Long-Term Planning
• Time Frame: 5 years and beyond
• Future Expansions:
– Larger Tournaments for WTA- Asia Pacific
– Expansion of Offices
Timeline
Months
Phase I: Establishment
of Vice President
Phase II: Hire Vice
President and Director
Phase III: Training
Phase IV: Develop Staff
Phase V: Plan and
Execute First Event
Phase VI: Milestone
Review
Phase VII: SelfSustainability
Phase VIII: Long-term
Planning
0
3
6
9
12
+
Budget
Expense
Budget (US$)
Chinese Personnel
181,357.00
Vice President Position
100,000.00
Expenses related to Vice President Position
Total:
63,147.00
344,504.00
Redhawks Consulting
Women’s Tennis Association
Asian Pacific Office