Legal Structure and Management of a National Level Sporting Organization Essay

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Legal Structure and Management of a National Level Sporting Organisation

Sports activities in the world today are becoming more popular and are attracting huge crowd. This is one of the reasons that have made sponsors to come in so as to help such clubs that are not able to support themselves financially. Through sponsoring, the sponsor is able to market and advertise its products within the stadium where the club is playing among other benefits. It is worth noting that sports are viewed as a means of income to each stakeholder including the players. Essendon football club has made Australia to be known worldwide because of the good performance the club has exhibited over the years.

Essendon Football Club is rated as a dynamic world class club in the Australian sporting arena. The success and competitiveness of the club is dependant on its set legal structure and proper management that foresees its functioning among its members. A stringent analysis is carried out by the club and all the proposed approvals are considered for the future success of Essendon Football Club as these will facilitate the process of retaining its image and position in the sporting industry of Australia (Lloyd, 2011). This in turn guarantees the club its prosperity and competiveness at all the levels of the industry. The paper focuses on the legal structure of the club, its governance procedures and that of the election system put in place for the office bearers. It also addresses other issues that affect the performance of the club in its performance program. It is evident that the above aspects play a crucial role in the overall operation of the club. This will enable the club to point out the departments that are working towards attaining the set objectives and also those who are derailing the performance process among its loyal members.

The paper will try to look at the election board process and issues that revolve around sponsorship and governance of the club. It will also look at the professional conducts of the board members and other members of the club including their commitment and dedication to their roles regardless of their positions in the club. It is worth noting that the election of the members should include interstate members since they play an important role in the process of election. Cases of indiscipline should be dealt with utmost caution as this ensures that the club is successful.

As we speak the Essendon Football is believed to be a household name when it comes to football leagues in Australia. In addition, it has been very successful and well organized since it came into existence as a junior club in the year 1871 and as a senior club in the year 1873. It is a club that has a deep and rich history. Over the years, it has had a number of ups and downs that has made the club what it is today.

Generally, the industry of sports is very competitive and is continuously growing at a high rate hence requiring more money to run the sector (Maine, 2012). More money is being channeled to sports as is the case in Australia because clubs are investing heavily in glamorous uniforms, music, videos and other things so that they can stand out. It is due to this fact that sports organizations are constantly and continuously adapting to the ever changing environment of sports. This is the more reason that Essendon Football Club is working hard so as to maintain its superiority in Australia by regularly checking and changing with the current aspects so as to ensure they are always ahead of the game to its competitors.

In this regard, for Essendon to maintain the top position among sporting organizations in the Australian Football league and the general sports industry in Australia, the club should look at those things that make it not to function well. Some of these things will include things like the legal structure of the organization, elections and governance of the bearers of offices together with the sponsorship among other issues. It is important to note that these factors are essential and important to the functioning of the club. By closely examining these factors, the club is able to come up with necessary changes that are needed to ensure the club is running effectively. Regularly and constantly these factors at Essendon football club will ensure that the club runs smoothly, effectively and successfully.

Legal Structure

A legal structure in the Essendon Football club was incorporated because these would ensure that it is legally recognized in the laws and regulations of Australia.

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Hence, Essendon Football club is legally recognized by law (Books, 2011). In incorporating the club into the administration, it simply meant that there were more advantages as compared to the disadvantages. It is worth noting that the sports industry is growing and the club being incorporated means that it will receive legal protection in the event something happens considering there is a lot of money and other resources that have been pumped into the industry. One of the main advantages of being incorporated into the law is that the club is legally recognized by law.

The clubs administration will also have the advantage of performing different many functions unlike those clubs that are not legally recognized. This means that the club is in a position to invest, take loans and sue in its own name. The other benefit that comes with registering the club is that the members of the club and various stakeholders are protected. The other thing that the club benefits by being registered is that it allows the club to earn revenue from sponsorships (Jozsa, 2004). The other thing the club benefits by being registered is that it is exempted from paying taxes considering the task in Australia is high. By legally being registered, the club made the right decision so as to ensure that the club is successful. The other thing worth noting is that the club is registered as a limited company which basically means that the member does not need to contribute more than the amount that the member has undertaken in contributing to the club.

Governance and Election of Office bearers

Essendon Football club is not a profit making club hence the profit accrued is not shared amongst members, instead it is returned back to the community or club. Members join sports clubs because of the social aspect that comes with it like attending the clubs events and games.

The sports industry has significantly grown over the years. The marketing and sponsorship in the sports industry has also grown immensely. All over the world, Australia is ranked third when it comes to sponsorship (Murray, 2009). The club enjoys sponsorship from high sponsors who have a good support base with high membership numbers like Emirates and Adidas. With this in mind, it is therefore essential that Essendon as a club maintains high levels of excellence so as not to disappoint the sponsors. Essendon as a club is largely and widely known in Australia hence many sponsors come into the club so to offer their support. It is due the excellent performance of the club that many sponsors are willing to support the club and stay there for long. However, there have been incidences where there have been disagreements within the club that might end up affecting the club's overall performance hence chasing away sponsors.

Some of the recommendations being put forward to ensure that the club retains the current performance level and sponsors and also to attract new sponsors and win more titles include things like continuing being a non-profit organization so that they can be exempted from paying taxes. This in turn ensures that the members of the club and employees are highly motivated hence good results and more sponsors. The other recommendation being brought forward is that the club should ensure that members of interstate are issued with the right to vote because they are part and parcel of the club. In addition, the club should ensure that they increase the annual general meeting quorum because some members do not truly represent the members in the board. It is also mandatory for the club to ensure that the sponsors are fully satisfied so as to be assured of long-term sponsors and a good relationship between them and the sponsors. It should come up with a clear and concise process and procedures that will reduce indiscipline cases and unprofessionalism among club members as this is bound to affect the reputation of the club in general especially negatively. This is not a good thing as it might drive away sponsors. Lastly it should come up with an independent committee that will nominate the committee members. This is done with the aim of ensuring that the elected members are qualified and are credible enough to be members of the board.

Constitution Issues

The management process of sporting organizations is viewed as similar across all the….....

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