Ymca of Ontatio

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Assignment Questions

1. What are the chief elements of the YMCA of London’s strategy in 2005? What role do the organization’s values and principles play in its strategy?

The chief elements of the association are to increase the number of members and initiate strategic operations in every service areas of the YMCA.

Organizational values are long-term actions and activities of voluntary work through 20th century. It is also a non-profit organization that aims to a healthy growth and development of young people. It establishes a great contribution to social responsibility manner.

This voluntary and socially responsible activities attract investors and partners. It is the reason of today’s success of the company.

2. What are the three main service areas within the YMCA of London? Are the business models for each of these three areas similar? How do they differ? Which of its services is best positioned for growth? Which service is in the weakest position?

The three main service areas of the London Y are Child Care services, Health and fitness and Recreation, Camping and Outdoor education.

The business models of these areas are totally different. Each of them has unique activities. HFR (health, fitness, recreation) offer health and fitness programs for people in five branches each lead by a general manager: CBY, BHY, ELY, SCY, WDY.

Child care services offer services through 16 child care centers located in London, Strathroy, St.Thomas and Woodstock in a leased premises. The London Y serves children in three categories: infant, toddler, preschoolers. They offer full-time, part-time and flexible care options and its fees are set between the midpoint and the high end of fees charged in London.

Camping and outdoor education has variety of programs running from traditional day camps to sports camps and other specialty camps.

HFR has the strongest position of growth. For year 2005 they projected to reach 46464 participants while the other two service areas targeting 1134 and 26595 participants.

The weakest position could be Child care services. Even though the highest revenue percentage of the YMCA it has the lowest amount of participants. The YMCA is all about having more members and grow its operations through the world.

3. What factors have contributed to the recent success of the YMCA of London? How will these factors impact the organization heading into the future? Would the YMCA of London be considered to have a strong YMCA position profile, consistent with the YMCA of Canada’s strong association profile as presented in the case?

The most important contribution to the success of the association is accomplishment of careful balance of internal cost cutting and growth through partnering and program expansion. New CEO of the London Y Elliot has been appointed as the new leader in 2001 and changed its organization structure. Most of the managers and employees are volunteers. It has good impact on productivity and saves labor expenses.

Many varieties of programs and services are willing to maintain London Y’s operations in the future by increasing the number of members and participants. If the company recruits more professional managers and employees, it will have stronger position.

4. What is your assessment of the YMCA of London’s performance through 2005? What was the most profitable part of the YMCA of London’s business as of the end of fiscal 2004? Please use the financial ratio summary in Table 4.1 of Chapter 4 as a guide in doing the calculations to support your financial assessment.

The most profitable service area is child care services amounting $4,958,138 in 2004. Child care revenues are considered much higher than the others even though it has the lowest number of participants. So the child services play an important role in the London Y.

Community programs revenue decreased from 2002 to 2004 by around...
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