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Wellness Visionary Club business InternatIonal
> September 2012
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 Wellness
Visionary
      Technogym’s Nerio
      Alessandri has placed
      a big BET on the
      industry’s future
Wellness Visionary Club business InternatIonal
It Takes a Village
         By Catherine Larner

                         … To move the industry in
                         the direction of Wellness

             W
                            ith lavish, purpose-built headquarters,                Technogym was born 28 years ago when founder
                            companies convey a message of confidence           Nerio Alessandri built his first resistance machine in the
                            and optimism to their customers, competi-          garage of his family’s home, but the firm’s association with
                            tors, and the world at large. And when a firm      “wellness” didn’t occur until eight years later. The term
             moves into extensive new facilities during a global economic      “Wellness Company” was coined, initially, to distinguish the
             crisis, when each day seems even less certain than the last,      fitness-equipment company from others, but, over time, it
             that statement is particularly bold and compelling.               became obvious that the concept of wellness was an impor-
                Confidence in the future is exactly what Technogym             tant and prescient one—a philosophy designed to promote
             intends to convey with the opening, this month, on                a healthy lifestyle and, in doing so, improve countless lives.
             September 29, of its new 645,000-square-foot consolidated             Today, the notion has come of age with the 2012
             Wellness Campus in Cesena, Italy. The massive complex             Summer Olympics in London, which has been designated
             encompasses offices, a factory, a warehouse, a research           the first Wellness Olympics. Technogym, appropriately, is
             center, a restaurant, a gym, and landscaped grounds. The          the official fitness-equipment supplier for the Games—the
             buildings make use of natural light and materials through-        fifth time it’s served in that capacity.
             out, all informed by stylish Italian design.                          “Wellness is our philosophy. It’s our corporate responsi-
                The company’s new headquarters are a palpable,                 bility,” explains Alessandri. “It represents an opportunity for
             concrete expression of its mission, vision, and brand—            the fitness industry to grow. Currently, only 8%–15% of the
             of its corporate ethos and the experience it evokes. For          population takes part regularly in fitness activities. It’s really
             years, Technogym has positioned itself as the                     a niche market. Wellness, however, is a broader concept that
             Wellness Company, and this, its latest achievement, is its        can dramatically increase the number of participants, up to
             Technogym Village.                                                30% of the population.

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Wellness Visionary Club business InternatIonal
The Technogym Village: site and staff

                                                                   vision and its possible global impact. He’s convinced that
The Village’s offices are                                          one of the best ways to communicate his sense of the
spacious and sophisticated                                         industry’s future to customers, investors, institutions,
                                                                   health professionals, and other stakeholders in the well-
                                                                   ness economy was to create this attractive and integrated
  “In fitness, people say, ‘I have to train.’ In wellness,         business complex.
people say, ‘I want to train.’ Fitness means ‘look good,’             The Village was designed by Antonio Citterio, a leading
while wellness means ‘feel good.’                                  international architect who’s worked with Technogym
  “Our dream is to inspire and help people to move more.”          for many years. It has three principal hubs: a
                                                                   430,556-square-foot factory, a 150,694-square-foot office
                                                                   space on four floors, and a Wellness Centre with a

The message                                                        64,583-square-foot gym. There’s also a 350-seat restau-
                                                                   rant and a variety of seminar rooms, all artfully crafted
Technogym is well-positioned to make that dream a reality.         from glass, wood, and aluminum. The corporate estate is
Last year, it had revenues of $510 million, reached 55,000         set on grounds that feature lawns, a lake, and mature
commercial installations in 100 countries, and had 25 million      cypress and pine trees.
people using its equipment each week. Alessandri coyly                “To stay in tune with the concept of wellness, the head-
describes the Technogym Village as his “new garage”—an             quarters is organized as a horizontal complex, extending
innovative new industry start-up with lots of interesting ideas.   into the landscape,” Citterio points out. “We’ve designed
  “The future is an empty box,” observes Alessandri,               a place that looks more like a college campus than an
who’s animated and passionate when he discusses his                institutional area.” >

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Wellness Visionary Club business InternatIonal
It Takes a Village

       The manufacturing area                                                                         Employees enjoy
       emphasizes efficiency                                                                          Technogym-ing

                   One of the goals, he explains, was to create a place        that members of senior management were mixing freely
                where people might want to spend some time outside of          with other staff. Also, at lunchtime, seeing the exhibition
                work hours. A prime example of this is the gymnasium           area of Technogym equipment flooded over by staff
                in the Wellness Centre, a building with an elliptical          doing their own personal workouts was amazing. This is
                footprint that faces the offices. “The gym isn’t just a        something we’d like to encourage with our own staff at
                showroom for exercise machines,” he indicates, “but,           St. George’s Park.”
                rather, a true club that’s used by the workers, custom-
                ers, and members of the medical community.”
                   “We don’t need a location as beautiful as this to
                produce fitness equipment,” observes Silvano Zanuso,           The method
                the company’s director of scientific research, who works       Plans for the Village were drafted eight years ago after
                with its 200 R&D staff, or 15% of the total workforce.         an appropriate site was found in Cesena. Nerio’s brother,
                “It’s easy to describe a product, but it’s harder to explain   Pierluigi Alessandri, oversaw the project, which consoli-
                the lifestyle that we want to take to market.”                 dated all of the company’s 14 existing facilities in nearby
                   “People have asked, ‘What does wellness mean?’”             Gambettola at one location to reduce costs.
                offers Alessandri. “Wellness entails not only equipment,          “The main challenge was to find the right combina-
                but software, content, environment, education, and             tion, the right balance, between the industrial needs, in
                experience––but, most of all, experience. The fitness          terms of logistics, processes, and efficiency, and our
                industry is composed largely of equipment; the wellness        desire to create a true wellness workplace for our
                industry consists of models and solutions. The Techno-         employees—one that would inspire our customers,” says
                gym Village is a visible product that makes the wellness       Pierluigi Alessandri. “We overcame this challenge by
                concept and industry more credible, more real, to              working with a great architect who understood our
                investors, and also inspires our customers.”                   corporate philosophy, as well as our operational needs,
                   One of the first Technogym customers to view the site       and by involving our internal working team in designing
                was David Sheepshanks, the chairman of the U.K.’s              the different areas. Who knows better than they do
                new National Football Centre, the St. George’s Park            exactly what they need?”
                complex, which opened this summer in Burton upon Trent,           “Thanks to the wellness experience that we’ve created
                Staffordshire, England. All five of its gyms have been         here, we can encourage people to adopt a new mindset—a
                equipped by Technogym, the center’s official supplier.         mindset that aims for excellence,” reflects Nerio Alessandri.
                   “After meeting Technogym’s team in the U.K., I real-           Zanuso agrees: “Today, I was outside with colleagues
                ized it was a highly reputable firm,” Sheepshanks              doing tai chi on the decking above the lake on the
                remarks. “But seeing what they’ve done here has crystal-       grounds. Our Village demonstrates how the built
                lized my thinking. This is a company that’s ahead of its       environment can encourage exercise. We need to create
                time. The scale, design, and modernity of the buildings        conditions that get people moving, that make movement
                are very impressive. I was struck by the size of the           an easy choice.”
                complex, but also how brilliantly organized everything            The message is already getting out.
                was on the production lines.”                                     Recently, TV companies were filming the new factory
                   Sheepshanks also enjoyed the restaurant. “It has an         buildings in the Village; and, in its June issue, Italian
                excellent healthy eating menu, but I also liked the fact       Vogue illustrated the relationship between health and

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Wellness Visionary Club business InternatIonal
The restaurant boasts a
                                                             The future
                               wellness-oriented menu      What does Nerio Alessandri see in the future for
                                                           Technogym and the industry? How will the economy,
                                                           which remains difficult in Europe, affect its prospects?
                                                              “This is a momentous time for the company, and
                                                           we’re not going to let the financial state of the world hold
                                                           us back,” he says. “If we focus on wellness and these
                                                           emerging opportunities, it will increase the value of the
                                                           sector, and enhance the prestige of the entrepreneurs
                                                           working within it. Insurance companies, medical organi-
                                                           zations, institutions, investors, analysts, and venture
                                                           capitalists will be more interested because what we’ll be
                                                           offering will be more professional.”
                                                              With 90% of its revenues coming from outside of
                                                           Italy—from 100 different countries—Alessandri believes
                                                           his company can compensate for difficult conditions and
aesthetics by portraying the Village as an iconic location
                                                           still generate growth. “For the last five years, China and
embodying the wellness lifestyle.
                                                           Brazil have been the main growth areas,” he points out,
   “We’ll take advantage of the interest in the buildings
                                                           “but the U.S. is the most exciting market.”
to promote the business,” Alessandri continues.
                                                              The company recently launched the first of its
“We don’t want to show; we want to share. This facility
                                                           initiatives to strengthen its U.S. operations by opening a
has been built for the entire industry, not just for
                                                           new headquarters in Fairfield, New Jersey. Over the next
Technogym. If the industry grows, then Technogym will
                                                           two years, there will be further efforts to increase its
grow too. We hope to have 25,000 visitors each year.”
                                                           national presence.
   Technogym is creating the world’s first Wellness
                                                              “In the U.S., the industry needs to invest in design,
University in the Village, which will tap the expertise of
                                                           innovative technologies, professional skills, environ-
Technogym sites around the world. Training is provided
                                                           ment, and service,” he suggests. “This sector shouldn’t
to both customers and industry professionals. The firm
                                                           be turned into a commodity, because, if it is, the end-
is also conducting a study of its own workforce, measur-
                                                           user will go for the lowest price, and there will be no
ing the effects of wellness intervention.
                                                           perception of value in the market. We should all create
                                                                                    value. If we talk only about cut-
                                                                                    ting, we’ll destroy the sector,
“This is a momentous time for the company, and                                      because there won’t be any
we’re not going to let the financial state of the                                   money to invest in people, train-
                                                                                    ing, and skills.”
world hold us back. If we focus on wellness and
                                                                                       Rather than thinking short-
these emerging opportunities, it will increase the                                  term, he insists, the industry
value of the sector, and enhance the prestige of the                                should have a clear vision for the
                                                                                    future, and invest more in well-
entrepreneurs working within it.”                                                   ness and less in leisure—even
                                                                                    when it’s difficult. Demand from
                                                                                    consumers is good, he assures,
   “Now, the notion of exercise as medicine is
                                                           and the clubs that are operating well … are doing well.
being adopted by the industry,” notes Zanuso. “Nerio
                                                              “This is just the beginning for us,” he concludes. “We
Alessandri was always ahead of his time. His imagina-
                                                           want industry operators to choose a brand, and, of
tion is amazing. He’s a wellness visionary.”
                                                           course, we want to be that brand. The real value is the
   Some visitors have toured the site since the company
                                                           customer experience; we need to help people feel
moved there in January, but the Village’s actual, official
                                                           positive and happy. This is our role, with respect to the
inauguration will take place this month, when 800 key
                                                           Technogym Village and our many other efforts—to
partners, scientists, politicians, and industry leaders
                                                           inspire, to advance a way of thinking about the future,
from 60 countries will attend Technogym’s annual
                                                           and to believe in the great opportunity that the wellness
Wellness Congress. The theme for the event, highlighting
                                                           industry is offering right now.” —|
the latest research and industry best practices, is “Let’s
Move for a Better World.” The keynote speaker will be
former President Bill Clinton.                             – Catherine Larner, catherine@catherinelarner.com

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