Question
As you are preparing the memo for Mike, you decide to visit the first PHL location in person to get a better sense of the
As you are preparing the memo for Mike, you decide to visit the first PHL location in person to get a better sense of the business. When you arrive, you are greeted by the front desk attendant, and you ask if you can pop in to see Mike. He indicates that Mike is not around and has not been in for the last several days. Instead, he offers to introduce you to Mike's assistant, Romeo Cruz.
On your way to Romeo's office, you walk past one of the studios and notice the lights are dimmed and the music is blasting a popular hit.
Romeo looks surprised to see you and says he only has five minutes to talk. He tells you the following:
"With Mike away all the time, I've been really busy trying to bring some life back into this business. Mike appreciates my help because he's always away at cycling competitions and doesn't have time to deal with the business. I've been taking a lot more ownership of the operations at our two locations, and I've been making it my goal to bring this business in line with our competitors.
"I'm not sure if you've heard, but rumours have been going around that PHL just isn't keeping up with the latest trends. Riders want to have the same experience that their celebrity idols get, and that includes the latest beats, with more of a chic, nightclub vibe. No one wants to hear about endurance and fat-burning zones and whatever else Mike talks about."
You decide to change the subject and ask Romeo about the day-to-day operations. He says:
"I used to be one of the cycling instructors, but since Mike asked me to be his assistant a couple of months ago, I've basically been running the show. I do everything from maintaining our social media accounts to hiring instructors to bookkeeping you name it. We always have a front desk attendant at each location to take payment and greet riders, but everything else administrative is left up to me. Anyway, as you can see, I'm really busy and I've got to go."
Following your conversation with Romeo, consider whether there are any other operational issues you would like to address in your memo to Mike.
Could you please address the operational issues in the above question?
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