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Non-profit sports organizations are focused on activities where profit is not the goal. At the same time, adopting a healthy, entrepreneurial business approach means focusing the mission on the realization of the vision and goal. Modern non-profit organizations that want to be as efficient and enterprising as possible invest in management and managerial tools to achieve their goals. In order to find better solutions on the way to the goal, they abandon stereotypes and focus on their own efficiency, thus achieving greater efficiency in their actions. No organization, even a non-profit, can sustain itself without investing revenue in its projects, operations and staff. In sports, in order to maintain direction and a clear path towards the goal, a sports non-profit organization must think about ways to achieve the goal and its complex social mission by creating an entrepreneurial and managerial atmosphere that will identify and increase opportunities for the growth and development of its organization and thereby improve organizational performance. A sustainable, growing and secure non-profit sports organization is much more likely to inspire donor faith and stakeholder trust than an organization that struggles to survive each year and uses outdated, poor software solutions to facilitate its operations. With an entrepreneurial attitude towards the growth and success of the organization, with a well-placed and controlling-oriented management, a sports non-profit organization becomes capable of investing in programs, events, technology and opportunities that will increase the public's trust in the organization, position it in the market, improve operations and highlight its mission and purpose. The WEG concept, through its five contents, represents the key to the successful direction of the organization towards the goal of management by objectives. At the same time, controlling, as one of the most important functions of modern management, shapes the journey towards the goal according to the WEG concept of management by... divided into its five forms of managerial behaviour: management by delegation, management by participation, management by exception, management by results, management by motivation... which are the basis of the success of a sports non-profit organization.
ABSTRACT
Non-profit sports organizations are focused on activities where profit is not the goal. At the same time, adopting a healthy, entrepreneurial business approach means focusing the mission on the realization of the vision and goal. Modern non-profit organizations that want to be as efficient and enterprising as possible invest in management and managerial tools to achieve their goals. In order to find better solutions on the way to the goal, they abandon stereotypes and focus on their own efficiency, thus achieving greater efficiency in their actions. No organization, even a non-profit, can sustain itself without investing revenue in its projects, operations and staff. In sports, in order to maintain direction and a clear path towards the goal, a sports non-profit organization must think about ways to achieve the goal and its complex social mission by creating an entrepreneurial and managerial atmosphere that will identify and increase opportunities for the growth and development of its organization and thereby improve organizational performance. A sustainable, growing and secure non-profit sports organization is much more likely to inspire donor faith and stakeholder trust than an organization that struggles to survive each year and uses outdated, poor software solutions to facilitate its operations. With an entrepreneurial attitude towards the growth and success of the organization, with a well-placed and controlling-oriented management, a sports non-profit organization becomes capable of investing in programs, events, technology and opportunities that will increase the public's trust in the organization, position it in the market, improve operations and highlight its mission and purpose. The WEG concept, through its five contents, represents the key to the successful direction of the organization towards the goal of management by objectives. At the same time, controlling, as one of the most important functions of modern management, shapes the journey towards the goal according to the WEG concept of management by... divided into its five forms of managerial behaviour: management by delegation, management by participation, management by exception, management by results, management by motivation... which are the basis of the success of a sports non-profit organization.
Keywords: control-oriented management, entrepreneurial attitude, management by..., nonprofit sports organizations success, WEG concept
1. INTRODUCTION
Entrepreneurial approach and impulse in non-profit organizations also initiates activities because it engages resources, activates, hires, which affects the standard, consequently social satisfaction and forms part of the national economy. Sport certainly fits into this content and increasingly, very dynamically takes its place in the economic network of society. Regardless of the non-profit organization, it needs entrepreneurship and definitely quality and proactive management. Today's modern management with its extremely important function of controlling begins to mean efficiency and success, transitioning sport to a higher level where sustainability and long-term success are necessary. The concept of management is difficult to translate because its components are inseparable, so it remains ideal to take it originally by visualizing the combination of leadership and management with the help of planning and controlling. "Leadership and management only make sense if their functions lead to the goal. For this, the path to the goal must be planned, so there must be a set of instruments with the help of which the business can be actively managed and maintained on the planned path" (Lukovic., & Lebefromm U.) Controlling as a function of management has the role of navigation by which business is directed and maintained on the way to the goal, which contributes to efficiency in management. The controller, as the controller, has the task of "navigation" on the way to the goal. "At the same time, in every situation, he acts as a seller of goals and plans, which means that he has to build an instrument that, when comparing the planned and actual state, helps to detect neuralgic points in the process that need to be corrected.!" The role of the seller of goals and plans, as Deyhle? calls the controller, is a binding and responsible role that requires the controller to acquire new knowledge, and for the Croatian conditions of development of controlling, the WEG concept in application would be an important step towards goal-oriented management. In this way, controlling contributes to a high level of management efficiency, develops motivation and strong involvement and engagement of all employees focused on a common goal. At the same time, the organization is oriented towards an open leadership style in which employees truly participate in the work process, interested in the results of their work, and where the goal is to make each of them successful and thus the final goal of the organization. The management WEG system is based on the principles of controlling, and on the way to results, it goes through five management by... which work harmoniously in everyday life and practice. The balanced operation of the WEG concept is the basis of a safe journey to the goal even in a non-profit sports organization. Considering the above, the goal of this paper is to valorise the use of the WEG concept of controlling-oriented management in a sports non-profit organization that contributes to the successful realization of the goals of the sports organization. In accordance with the goal, the hypothesis represents the claim that the WEG concept significantly contributes to a clearer and safer path towards the goal and is a key aid in the process of management thinking and decision-making.
2. SYNERGY OF MANAGEMENT AND CONTROLLING IN A NON-PROFIT SPORTS ORGANIZATION
When talking about non-profit organizations, the focus is on the nature of the business, which is not focused on making profit and whose business success is not measurable by profit. Their primary focus is creating social impact and benefiting society. Nevertheless, in order to function effectively and efficiently, non-profit sports organizations focus on quality management in order to achieve excellence and the realization of their social mission. Such management creates the result of a useful and high-quality social impact and of course an economic contribution because both effects on society are present and significant. "Successfully implementing the management of non-profit organizations means strategically planning the development of the organization, building an appropriate organizational structure, responsible and professional management of the organization and management of employees and volunteers, as well as quality measurement of results."? "Non-profit organizations should constantly invest in themselves, i.e. develop their management and people and focus special attention on the process of measuring success. Achieving efficiency is not a matter of chance, but of a dedicated strategic approach to business, which implies the application of business techniques and methods."· Today, modern sports are managed according to the principles of entrepreneurial economy, so management and its important function of controlling are indispensable in effective management and implementation of decisions. According to Lukovié, controlling means being goal oriented, planning oriented, facing the future and always striving for better.'
The controlling approach in management becomes a part of mental awareness in the dynamic world of entrepreneurship, risk, constant changes in which the implementation of thoughts, strategies, the path to the goal needs constant monitoring, measurement of execution in relation to the planned and undertaking of activities to achieve the desired results. Controlling in the sports management of the non-profit organization Gymnastics Club Marjan, an example of which is given in this paper, is a supporting function for management in making strategic decisions. GC Marjan, regardless of its non-profit character, manages in a modern way according to the principles of entrepreneurial economy, using various controlling methods that have been guaranteeing the achievement of the set goal of the organization for many years.
3. "FROM PLAN TO GOAL"
Controlling, as a dominant function of management, helps management on the way to the goal by connecting with planning as an initial and key starting function. Planning makes sense if it is connected with controlling, because controlling planning realizes the operational and strategic goal of the entity. If there is a goal, there must also be a plan, and controlling and responsible management are responsible for the implementation of the plan. "Modern controlling keeps everything under control or as Jackon says, being controlling.® According to Lukovié, being controlling becomes the key to management success. "Organization always makes sense when it is goal-oriented, which is why it is inseparable from the goal."" The path to the goal is a concept that includes a plan for organizing the resources needed to reach the goal, a plan for using resources how and in what way, in what time frame, how and when. The dynamism of the environment in which the organization operates necessitates the closest connection between planning and controlling. Controlling is a process that contributes to better and more effective planning, better quality and more effective reaction to extraordinary circumstances. Therefore, as Lukovié states", planning in modern management has meaning and purpose only when 1t takes place with the help of controlling.
4. WEG CONCEPT
Albrecht Deyhle, today's most influential person in the field of controlling or the father of modern controlling, laid the foundations of controlling in Germany, observing the practice and graphically presenting and interpreting its reality." From those 60 years on, he imposed controlling as an inseparable system of efficient management, which grew into the German school of management and thus into the European school. In particular, the WEG concept or the WAY concept as translated by Lukovic and the Croatian language translation stand out. The WEG system was developed in practice in Germany in the 1970s, and is based on three pillars that are also the premises of a control-oriented management system: 1. Wachstum GROWTH, 2. Entwicklung DEVELOPMENT and 3. Gewinn PROFIT. Alfred Deyhle was motivated and encouraged by the practice of Drucker's management by objective concept and developed his management by... system, which focuses mostly on the employee's personal task by delegating goals and responsibility for results. What is extremely important is that managers of all levels support such a system that directs employees within the fundamental trinity: path - development - profit (result), because ultimately the meaning is that all set business functions both operationally and strategically lead towards the goal.
Within the whole process, planning and controlling are inseparable functions that support each other, while the controller is in charge of navigating this unity towards the realization of the goal. Deyhle, inspired by the example and requirement of practice, broke down the business system into subsystems, each of which has its own tasks and responsibilities, defining them in phases and levels as management by... trinity path - development - profit (result).
"Drucker's management by objectives is the goal and umbrella concept of the WEG model of managerial behaviour, in order to eventually reach global management by motivation. On the way to management by motivation, one goes through five management by... in managerial behaviour. All five together ultimately shape management by motivation, which is the key to successful management and the condition for the realization of the planned business goal."!°
5. WEG ON THE EXAMPLE OF THE NON-PROFIT SPORTS ORGANIZATION GYMNASTICS CLUB MARJAN
According to Lukovi and Lebefromm, at the beginning of the WEG model, there is always a role model that should be presented and show which WEG - WAY should be taken to reach the goal. The model is always idealistically set and multidimensional in order to satisfy the requirements of all Stakeholders. At the same time, the goals that are set with regard to the role model must be set concretely, quantitatively and measurably."!! Support for the WEG model in terms of displaying all aspects of business (financial aspect, client aspect, learning and development aspect, internal process aspect) is provided by the Balanced Scorecard along with a strategic goal map with measures that evaluate and monitor the path to the goal.
10 Lukovié T., Speranda I, Kizielewicz J., OFEL 2015 - Dubrovnik 2015
11 Lukovic, T. & Lebefromm U.:" Controlling Planom do cilja", Druga knjiga, Dubrovnik 2014., pg. 208-210
The Gymnastics Club Marjan, through a strategic map of goals and measures, has also set a model for the expansion of the sport of gymnastics. According to Lukovi and Lebefromm, at the beginning of the WEG model, there is always a role model that should be presented and show which WEG - WAY should be taken to reach the goal. The model is always idealistically set and multidimensional in order to satisfy the requirements of all Stakeholders. At the same time, the goals that are set with regard to the role model must be set concretely, quantitatively and measurably. Support for the WEG model in terms of displaying all aspects of business (financial aspect, client aspect, learning and development aspect, internal process aspect) is provided by the Balanced Scorecard along with a strategic goal map with measures that evaluate and monitor the path to the goal. Through a strategic map of goals and measures, the Gymnastics Club Marjan has also set as a model the expansion of the sport of gymnastics with the aim of popularizing and selecting top gymnasts and at the same time increasing its own income with the aim of reducing financial dependence on the local budget. "The WEG concept has the form of a bridge in which the left column represents managerial techniques of leading and encouraging employees, while the right column represents managerial techniques of planning and management. The link between these two pillars is presented as managerial behaviour, which is the link between the left and right pillars."'> How the Gymnastics Club Marjan set up the concept in accordance with management by... is shown on an example from practice. Initial situation: Gymnastics Club Marjan is a non-profit sports organization that has been operating in Split, Croatia for 26 years as a successful sports team, but also economically successful. It develops an entrepreneurial spirit and management with the goal of a differentiation strategy determined on the basis of the club's mission and vision. In addition, in its operations, it follows highly ethical standards of business, credibility, transparency, social usefulness, which is recognized in the social community. At the head of the club is the President with the Board of Directors, which performs its tasks in accordance with the statutory obligations. Also, all members of the board share the same entrepreneurial impulse as the assembly, which is the highest governing body of the club. The president runs a successful business and has a background as a sports manager and lecturer in the field of management and controlling.
a) Preparation for an entrepreneurial decision
Person X is employed in the club, whose education and role include management (mag. oec.) but also coaching (gymnastics instructor). In accordance with the decision of the Assembly and the entrepreneurship of the Management Board and the President, the club, based on its strategic determination, intends to follow the model of the set model of spreading the sport of gymnastics with the aim of popularization and selection into top gymnastics and at the same time increasing its own income with the aim of reducing financial dependence on the local budget. For this purpose, wanting to achieve such a goal, said person X is in charge of creating a business plan for future operations:
1. Renting an adequate hall space and forming at least 5 new groups of the gymnastics school. - In this way, the level of management by objectives was derived, on the basis of which person X was given the task of preparing a business plan.
b) Acceptance of objectives
After the presentation of the business plan to the President and the Board of Directors, in accordance with the powers and the Club Statute, all relevant elements of the business plan were discussed and the project was accepted.
An insight was gained into the entrepreneurial project and the plan of the club, as well as into the ability of person X to manage the project, and thus management by objectives was developed.
с) Preparations and creation of conditions for entrepreneurship according to the WEG model
The WEG model is gradually developing, successively moving from phase to phase through different levels of management by... The next stage that person X needs to do is to find an adequate hall space for rent within the planned but limited budget with emphasized guidelines and indicators that need to be met and respected. The opportunities on the market are limited because the space requires certain standards that are not set as normal construction requirements in everyday construction, and therefore such spaces require modifications and improvisation, which would increase the cost of the project and as a result break the budget.
In this phase, management by participation developed because person X knew exactly his task, had a goal, conditions, standards according to which the task was to be performed in order to gain the foundation and conditions for continuing the implementation of the project.
The budget at his disposal is under the impact of inflation, which requires accelerated action and action to avoid a decrease in the value of assets and a weakening of investment power. The President and the Board of Directors believe that it is necessary to look at the surveys of the space so far and make a decision that in the next period of 15 days it is necessary to decide on the most adequate space that will meet the needs of the business plan or to make a decision to abandon the project. This move by the President and the Board of Directors is a phase of management by exception... which will lead to the further course of business development within the given period. Person X realized that he had to narrow down the search, suggest a choice according to requirements, standards and conditions and suggest the final selection of the hall space to the President and the Management of the club. Person X's knowledge of management, as well as professional sports knowledge, definitely contributed to the fact that she presented the premises within five days of the instruction. Based on the presentation of all relevant information that was in favour of an excellent choice of space, price, contractual conditions, location that indicated a good response from clients (members), the President and the Board of Directors, in accordance with their powers and the Statutory provisions, made a decision to rent the hall space. This phase represents management by result. The result was the signing of the lease agreement and the path to the goal was opened. Person X is in charge of implementing the project, which he does in a very modern way appropriate for his age, with knowledge of modern Internet versions that speed up communication and implement prompt information flows. Doubts are sometimes raised before the President and the Board of Directors about the aforementioned modern applications, but regardless of their opinion, which is correct, but perhaps based on more classic work methods, they let person X work while observing the results of the work and the motivation with which it relates to the project. In this phase of apparent freedom and independence in the successful implementation of the project, management by motivation is developed, which is also the only right path towards the achievement of the results or the set goal. This phase finally leads to long-term and sustainable management by results. From all of the above, showing the gradual transition from phase to phase of the management by model, it is easy to conclude that the concept of managerial relationship and behaviour towards co-workers/employees in the way of delegation, motivation, involvement is of great importance. Modern management and controlling are focused on subtasks, sub-functions, sub-responsibilities on the way to the goal, decentralizing the goal to subgoals, thus increasing the share of work value and motivation of all stakeholders in business.
As Lukovic states, "the WEG-model set in the form of a bridge (М) elaborates management by objectives through five sub management by... (1) management by objectives, (2) management by participation, (3) management by delegation, (4) management by delegation and (5) management by results. Each of the mentioned management by... phases are in the realization of management by objectives, and in order for the realization of the goal to be successful, it is necessary to create an atmosphere of motivating work, i.e. management by motivation". The results of this model are visible in the practice of the Gymnastics Club Marjan. The application of the WEG concept began on January 1, 2023, and the results are presented in the club's financial operations report for December 31st 2023.
The indicators from the presented table speak of an increase of own income in the mass of total income by 14.26%, and of the number of clients, which increased by 130 or 7 groups, which is more than planned. The expenditure for hall space rental increased by 18.59%. Due to the good negotiations with the owner of the space and the redistribution of groups according to different dates and the cost of the dates, as well as the economic schedule of the work of the coaches, a significant business step forward was achieved both in terms of sporting achievement and in business. As you can see, the non-profit sports club GC Marijan using the WEG concept with a modest budget realizes its goals by optimizing processes through the WEG management concept. This is a good example of connecting science and practice, with a note that the WEG concept arose from practice, became part of controlling science and was returned to practice, which is one of the key goals of science and research.
6. CONCLUSION
The example of the Gymnastics Club Marjan as a non-profit sports organization and a relatively small sports club clearly shows how important it is to have a well-founded management and control tools such as the Balanced Scorecard, the strategic goal map and, consequently, the WEG concept. All mentioned systems and concepts used enabled a very concrete journey towards the goal. With the responsibility of management for achieving the goal and controlling for the path to achievement in this presentation, WEG controlling-oriented management honed the creation of an atmosphere for motivated work, work with an idea and a personal statement of abilities and skills within the framework of teamwork where everyone equally fights for the achievement of the overall final goal. In the case of GC Marjan, the expansion of the sport of gymnastics with the aim of popularization and selection into top gymnastics and at the same time increasing own income with the aim of reducing financial dependence on the local budget.
The application of the WEG model significantly contributed to the club's successful entrepreneurial project, as well as the controlling knowledge that certainly gave this sport nonprofit organization a boost and opened up opportunities for further business success and the implementation of a differentiation strategy. To be unique, different from others, one step ahead of others, relying on your own management, knowledge and entrepreneurial impulse.
LITERATURE:
1. Encyclopaedia of Management, 5 th Edition, Edited by Marylin M. Helms, D.B A,
2. Marié I, Menadzment neprofitnih organizacija, Sveuciliste u Zagrebu, Ekonomski fakultet, 2018.
3. Lukovié T., Lebefromm U.: „Controlling, koncepcija 1 sluèajevi ", Prva knjiga, Sveuciliste u Dubrovniku, 2009.
4. Lukovié T., Lebefromm U.: „ Controlling, Planom do cilja ", Druga knjiga, Sveuciliste u Dubrovniku, 2014.
5. Osmanagic, Bedenik, N.: "Kontroling - Abeceda poslovnog uspjeha", 3 promijenjeno izdanje, Skolska knjiga Zagreb, 2007.
6. Pet oblika menadzerskog ponasanja u funkciji WEG modela vodstva, Lukovi T., Speranda I, Kizielewicz J., OFEL 2015 - Dubrovnik 2015
Figures:
1. Concept of a controlling-oriented management, Author translation according to Deyhle; A, Controller-Praxis, Fúhrung durch Ziele - Planung - Controlling, Band II, Verlag fiir Controlling Wissen AG Offenburg, 2003, p. 137
Tables:
1. Presentation of financial indicators of GK Marjan's operations, GC Marjan financial documents 2023
1 Lukovié T., Speranda L, Kizielewicz J., OFEL 2015 - Dubrovnik 2015
2 Deyhle, A.: „Controller - Praxis", Band 1, Verlag für ControllingWissen AG, Offenburg, 2003., page 46
3 Marié, I. : Menad%ment neprofitnih organizacija, Sveuciliste u Zagrebu Ekonomski fakultet, 2018, page 150
4 Marié, I. : MenadZment neprofitnih organizacija, Sveuciliste u Zagrebu Ekonomski fakultet, 2018, page 210
5 Lukovié, T. & Lebefromm U.: „Controlling, koncepcija i sluéajevi" - Prva knjiga, Dubrovnik, 2009, page 21
6 Lukovié, T. & Lebefromm U.:"Controlling Planom do cilja", Druga knjiga, Dubrovnik 2014, page 21
7 Lukovié, T. € Lebefromm U.:"Controlling Planom do cilja", Druga knjiga, Dubrovnik 2014, page 21
8 Ibidem, page 22
9 Deyhle, A.: ,.Controller-Praxis, Führung durch Ziele - Planung - Controlling", Band II, Verlag für ControllingWissen AG Offenburg, 2003, page 12.
12 Lukovié T., Speranda I, Kizielewicz J., OFEL 2015 - Dubrovnik 2015
13 Lukovié T., Speranda I, Kizielewicz J., OFEL 2015 - Dubrovnik 2015
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