Page 4 - SPLS_104_Assessment_task_1_DoubellJ

When comparing both business operational structures, some structural characteristics are easily
identifiable. For example the West Coast Cricket Academy’s organisational structure, in my opinion it
resembles a normal ltd public companies structure. Where it has an owner/founder at the top of the
hierarchy, then directly underneath the owner you would find the general manger and directly
underneath the general manage you would find the employees. When looking at the operational
structure of the Gary Kirsten Foundation, it closely resembles that of the For-profit sports
organization. The only differences found is that one single person owns the organization. The
organization is run by a board of directors just like a public company structure but they aren’t paid.
The board of directors, Managers and coaches all work on a voluntary basis. Other characteristics
can be compared between a for-profit and non-profit organization for example.
Characteristics For-Profit Non-Profit
Objectives Profit Motive Societal benefit
Focus Immediate customer Long-term society
satisfaction
Organizational Culture Resource rich Resource poor
Expenditure seen as Expenditure seen as Cost
Investment
Constituency Customers Multiple
(Clients/Customers/Donors)
Marketplace Competitive Competitive although
collaborative for some
tendering & service provision
Performance Measurement Sales/Revenue, ROI, Dividends, Clients served, Client
Market share satisfaction, Repeat donors
Exchange Money Often free
Senior Management Business & Management Traditionally based upon
degree qualification wealth of industry experience
Employees Paid Volunteers
Revenue Sales Government, fee for service,
Donations/Fundraising
Accountability Shareholders Board of Directors,
Stakeholders
Governance Paid Board of Directors Voluntary Board of Directors
Product Physical goods & services Physical goods, Services
including emotional &
informational support,
behavioural change
Product Demand Typically no large fluctuations Possible large fluctuations (for
example Disaster relief)
Taxation Yes No
(Chad, 2013)

When comparing the two different types of sports organisations there are differences that arise,
those differences can be found in 6 sections. Those sections are as follows, the Purpose of the
organization, Funding, Target Audience, Management, Organizational culture and lastly taxation.

Purpose:

All organizations have a purpose, but one of the biggest differences profit versus non-profit
organizations have lies in the fact that for-profit organizations’ primary mission is to generate profits

3 | P a g e