5 MODEL CHARACTERISTICS OF OLYMPIC SPORT ORGANISATIONS IN SLOVENIA MODELNE ZNA^ILNOSTI OLIMPIJSKIH [PORTNIH ORGANIZACIJ V SLOVENIJI Jakob Bednarik* Franci Ambro`i~* Renata Mo~nik* Marko Kolenc** Marjeta Kova~** Bednarik, J., Ambro`i~, F., Mo~nik, R., Kolenc, M., & Kova~, M. (2000). Model Characteristics of… KinSI 6(1–2), 5–11 Abstract The study deals with the characteristics of Olympic- sports organisations in Slovenia and the main differ- ences in relation to non-Olympic sports organisations dealing either with competitive or recreational sport. Two samples were obtained. The data on the em- ployee structure comes from a sample of 366 sports organisations, representing about one sixth of all sports organisations, while the financial data mirrors incomes and expenditures of fifty-five sports. The or- ganisations and sports were classified into Olympic, non-Olympic competitive sports and recreational sports ones. The cadre and financial structure and the differences were analysed with descriptive statistics, chi-square statistics and canonical discriminant anal- ysis. Slovenian sports organisations are mainly managed voluntarily. Olympic sports organisations are situated mostly in cities, are smaller, have much higher in- comes and expenditures and a relatively high level of professionalisation. Statistically significant differences were found between the three types of organisations in size, seat, income and expenditure and cadre struc- ture. The most discriminating variables were the num- ber of voluntary technical staff, honorary administra- tive staff, voluntary medical staff and full-time instructors. Keywords: sport, organisation, Olympic sport, non- Olympic sport, recreational sport, model, Slovenia Izvle~ek V ~lanku so analizirane modelne zna~ilnosti tistih {portnih organizacij, katerih {portna panoga je na pro- gramu olimpijskih iger. Ugotovljene so tudi glavne ra- zlike med temi {portnimi organizacijami in tistimi, ki se ukvarjajo s tekmovalnim {portom v ne-olimpijskih panogah ali rekreativnim {portom. Dobljena sta bila dva vzorca. Podatki o strukturi za- poslenih izhajajo iz vzorca 366 {portnih organizacij, medtem ko finan~ni podatki ka`ejo prihodke in odhodke petinpetdesetih {portnih panog. Organiza- cije in {portne panoge so bile razvr{~ene v tri skupine: olimpijske, ne-olimpijske tekmovalne in rekreativne. Kadrovska in finan~na struktura ter razlike med skupinami so bile analizirane z opisno statistiko, χ 2 testom in kanoni~no diskriminantno analizo. Olimpijske {portne organizacije se nahajajo v glavnem v mestih, so manj{e, imajo veliko vi{je prihodke in odhodke ter relativno visoko stopnjo profesionalno zaposlenih delavcev. Statisti~no zna~ilne razlike so bile dobljene med tremi skupinami organizacij v ve- likosti, sede`u, prihodkih in odhodkih ter strukturi kadrov. Najbolj diskriminativne spremenljivke so bile {tevilo volonterskih tehni~nih delavcev, honorarnih administrativnih delavcev, medicinskega osebja in redno zaposlenih u~iteljev. Klju~ne besede: {port, organizacija, olimpijski {port, ne-olimpijski {port, rekreativni {port, model, Slo- venija (Received: 4. 12. 2000 – Accepted: 12. 12. 2000) *University of Ljubljana, Faculty of Sport, Ljubljana, Slovenia **Slovenian Sports Office, Ljubljana, Slovenia Contact address Jakob BEDNARIK Univerza v Ljubljani – Fakulteta za {port, Gortanova 22, SI-1000 Ljubljana, Slovenia Tel: +386 1 540-10-77 Fax: +386 1 540-22-33 E-mail: jakob.bednarik@sp.uni-lj.si 6 INTRODUCTION Every human activity has a function, a purpose. The human activity we call sport has, like all other human activities, different functions and purposes: winning a competition, education, relaxation, health preserva- tion, rehabilitation, earning, diversion for viewers and above all a way of life, which contains the substance we call ”the quality of life” (Bednarik and Petrovi}, 1998). Therefore the question arises which are the most significant. When we speak about Olympic sport and mean the sportsmen that will participate at the Olympic games, or are trying to qualify, we have automatically also de- fined the most important function. Namely, Coubertin’s saying ”the important thing in the Olympic Games is not winning but taking part” (Schoedel, 1968) has not held for a long time; now, the maxim is ”winning (achieving the best possible re- sult) is everything”. Only such results trigger then the satisfaction and interest of the spectators. According to this maxim, the sports pleasure of the public then verifies and justifies the efforts of all involved (Bednarik, Petrovi} and Nyerges, 1997). Watching a sports event springs from the inner need of the spec- tator who nurtured this need through his interest for sport. Only in this way does the top-level sports result become a multiplicator, a generator of mass sports and sport industry, their promoter and the promoter of the native country of the athlete and coach and al- so of the sports event in which the result was achieved. It is precisely these functions of the sports result that define the financial part of its exchange val- ue (Bednarik, Petrovi} and Nyerges, 1997). Slovene athletes have won 185 medals in Olympic sports and 98 medals in non-Olympic sports between 1996 and 1999 at the highest level competitions (se- nior World Championship, senior European Cham- pionship, World Student Games, junior World Cham- pionship, junior European Championship). At the last summer Olympics two Slovene athletes won two medals. Relative to the number of inhabitants (1.98 million), Slovene sport ranks among the most suc- cessful in the world (Bednarik, Petrovi} and Nyerges, 1997; Bednarik and Petrovi}, 1998). Slovene sport is organised in clubs. These can be placed into the third sector according to the typology of Chelladurai (1985), which is financed from public and private funds, but established and managed by the private sector. The sports organisations in Slovenia had in 1997 at their disposal 344 million EUR (Bednarik, Petrovi} and [ugman, 1998). In 1997, 2130 clubs (Kolenc and Bednarik, 1999) reported 90,000 ath- letes and 265,000 members (Bednarik, Kolenc, Petrovi}, Simoneti and [ugman, 1998). From the works of various authors (Amis and Slack, 1996; Verhoeven et al., 1997; Kikulis, Slack and Hinings, 1995a; Theodoraki and Henry, 1994) we can suppose that predominantly professional organisations differ from predominantly voluntary ones in the num- ber of members, amount of funds, cadre structure, competitive or recreational activity, etc. Even if Hirschmann (1974) found that clubs and their asso- ciations are predominantly voluntary organisations, one can ask if this also holds for sports organisations dealing mostly with top level sport – Olympic or non- Olympic sports – or just for organisations mostly deal- ing with recreational sport. The main purpose of this study is just that: finding some model characteristics of sports organisations, not just in light of their volun- tary or professional organisation, but comparing those dealing mostly with top level sports in Olympic and non-Olympic sports, and those dealing with recre- ational sports. Slovene sport has products, which are comparable to global ones and also successfully satisfies its functions (Bednarik and Petrovi}, 1998). Cognisance of the sport organisations’ model characteristics gives the possibility of re-organisation and new organisation in a way that we know gives good results. Olympic sports have some specific demands due to their competi- tion cycles in comparison with non-Olympic sports and are mostly more commercially interesting (Bednarik, Simoneti, Petrovi} and [trumbelj, 1998), we can therefore suppose that their model charac- teristics differ. Since sports organisations, which are not involved in sports competition have a different product from those that are (Chelladurai, 1985), it seems rational to expect different organisational char- acteristics, which should be taken into account in managing sport. METHODOLOGY Subject sample Two samples were analysed. The first consisted of 55 sports (financial data) and the second of 366 sports or- ganisations (cadre structure). The financial data (incomes and expenditures) for the individual organisations was unfortunately not avail- able to us, so data summed into sports – the data of all organisations of the same sport are given as a sum – was used instead. Fifty-five sports (sums of data on individual organisations) were analysed. The sports were classified into two groups – Olympic and non- Olympic sports. The population of sports organisations (henceforth or- ganisations) was defined as all the national sports as- sociations, communal sports associations and sport clubs entered into the register of sports organisations Bednarik, J., Ambro`i~, F., Mo~nik, R., Kolenc, M., & Kova~, M. (2000). Model Characteristics of… KinSI 6(1–2), 5–11 7 in Slovenia, compiled after passing the new Law on Clubs (Zakon o dru{tvih, 1995). There were 2,225 such units registered at the time of observation, 464 organisations returned our questionnaire, but after eliminating some which did not complete the ques- tionnaire, the sample analysed here consists of 366 units (organisations and clubs) which gave at least all the basic data (16.5 % of the total population). The or- ganisations were classified into three groups – Olym- pic, non-Olympic competitive and non-Olympic re- creational. Variable sample The complete questionnaire for sports organisations consisted of more than sixty items; we shall present here only those analysed for this study. SIZE – size of the unit (1=-100, 2=101-250, 3=251-500, 4=500- members) SEAT– located in: 1=rural, 2=urbanfringe, 3=city The next thirty variables recorded the number of em- ployees, according to the nature of association with the unit (voluntary, employed part-time, full-time em- ployees) and their function (training: coaches of all levels (code numbers s1, s2, s3), umpires (s4) and medical staff (s5); managing: managers (f1), adminis- trative personnel (f2), competition organisers (f3), technical staff (ft)). The variable code is in two parts: (1) voluntary work (ZV), retained part-time (ZH) or professional full-time (ZP) (2) denotes their function, ex.: s4=referee (see codes in parenthesis above). The criterion variable (OLYMPIC), defining the nature of the unit, was derived from the sport(s) practised in the unit and the nature of the activity (competitive, recreational). It divides the sports organisations into three groups – Olympic, non-Olympic and recre- ational sport. In the case of the sports sample, the following vari- ables were analysed: total income, sale income, total expenditure and labour costs. The sale income and labour costs were also computed as relative values (percentages). Data analysis The data was analysed in three stages. First the de- scriptive statistics of the variables – frequencies and percents for nominal and ordinal variables and the basic central tendency and dispersion parameters for the scale data – were computed. In the second stage the predominant nature of each organisation was determined (Olympic, non-Olym- pic, recreational), according to the sport(s) practised in the organisation and level of competition or non- competition. In the third stage contingency tables were construct- ed and the chi-square statistic computed to test the difference between the organisation types in the in- dividual independent variables. Canonical Discrimi- nant Analysis was also used to see which of the kinds of employees or financial data best differentiated be- tween the organisation types. All differences (Chi- square in contingency tables or Wilks’ Lambda in canonical discriminant analysis) with an error less than 5 % were judged as statistically significant. RESULTS The majority of sport organisations in Slovenia have up to 100 members, one fifth up to 250 members; larger organisations are rather scarce (Table 1). It is in- teresting to note that ”Olympic sport organisations” are the most numerous, followed by ”recreational- sport organisations” and ”competitive non-Olympic sports”. The three types of organisations differ in size, which is attested by the statistically significant χ 2 (Table 2). Olympic organisations are smaller than the other two, most of the largest organisations are non- Olympic competitive ones. Almost half of the organisations have their base in cities, the rest are almost evenly divided between those in the suburbs and rural areas. The differences between the three types are statistically significant (Table 3). The difference between Olympic and non- Olympic competitive sport organisations are small, with more Olympic-sport organisations based in cities. However, recreational-sport organisations differ a lot Bednarik, J., Ambro`i~, F., Mo~nik, R., Kolenc, M., & Kova~, M. (2000). Model Characteristics of… KinSI 6(1–2), 5–11 Variable/Code 1234 M i ssi n g SIZE 61.2 21.9 7.4 9.0 0.5 SEAT 25.7 23.2 48.6 2.5 OLYMPIC 42.1 26.2 31.7 Table 2: Differences between organisations – size Size/Sport Olympic non-Olympic Recreational – 100 56.5% 60.0% 69.6% 101 – 250 31.8% 16.8% 13.0% 251 – 500 6.5% 6.3% 9.6% 501 - 5.2% 16.8% 7.8% Table 1: Distributions of nominal and ordinal vari- ables Remark: Only percentage values are given due to lack of space, for value codes see the description of variables section. χ 2 = 24.1 C = .249 p(χ 2 ) = .000 8 from both, being almost equally based in urban and rural milieus. The general cadre structure of Slovene sport organi- sations will not be presented due to limited space. However, some points are worth noting. If we first look at the number of staff (voluntary, professional and all), great differences can be seen between the indi- vidual organisations, with numbers ranging from 1 to over 500. This great variability can be seen also from the standard deviations, but inspection of the means shows that a typical organisation has between fifteen and twenty cadres, larger ones are the exceptions. It might also be worth mentioning that the volunteers outnumber professionals four to one. Inspection of the cadre structure according to their function shows that the most numerous are coaches (of all levels), or- ganisers of competitions and umpires. This holds true for all types – voluntary, retained part-time or full-time employees. Technical staff (ft) are present in all the three categories, while medical staff (s5) and man- agers (f1) are mostly voluntary. The multivariate differences between the groups (Olympic/non-Olympic/recreational) in cadre struc- ture and financial indicators given in Table 4. Three comparisons have been made – the first between Olympic and non-Olympic sport organisations in cadre structure, the second among all three types in cadre structure and the third between Olympic and non-Olympic sports in financial indicators. The data for the discriminative functions are given at the head of the Tables. Both analyses of the cadre structure gave statistically significant differences, while the multi- variate differences in financial parameters were not statistically significant. An inspection of the discriminant correlation coeffi- cients shows that the most discriminative variables for the first comparison (Olympic/non-Olympic) are: the number of voluntary technical staff, part-time admin- istrative staff, voluntary medical staff and part-time in- structors. The solution for three-way comparison (Olympic/non-Olympic/recreational) is very similar, with a slightly changed order of importance. The most important discriminators are: the number of part-time coaches, voluntary medical staff, voluntary managers, part-time administrative staff, voluntary umpires, vol- untary technical staff and voluntary coaches. The post- hoc univariate difference testing shows that these in- dicators are statistically significant univariate discrim- inators as well. Table 5 shows typical cadre models for the three types of organisations. In general, Olympic-sport organisations have more employees of all types than non-Olympic-sport organisations, and both more than recreational-sport organisations. In some indicators there are already differences between the first two types, while in others they differ only from recreational-sport organisations. Bednarik, J., Ambro`i~, F., Mo~nik, R., Kolenc, M., & Kova~, M. (2000). Model Characteristics of… KinSI 6(1–2), 5–11 Table 3: Differences between organisations – seat Seat/Sport Olympic non-Olympic Recreational rural 16.8% 22.3% 42.1% urban fringe 25.5% 26.6% 19.3% city 57.7% 51.1% 38.6% χ 2 = 22.7 C = .245 p(χ 2 )=.000 Table 4: Discrimination between Olympic, non- Olympic & recreational organisations Function Eigenvalue % variance can. corr. Wilk’s λ sig. (1) 1 .222 100.0 .426 .819 .010 (2) 1 .242 74.8 .441 .745 .000 2 .081 25.2 .274 .925 .388 (3) 1 .122 100.0 .330 .891 .217 Variable DCC(1) F(1) Sig. F(1) DCC(2) F(2) Sig. F(2) ZVS1 .009 .01 .944 .005 .00 .998 ZVS2 .058 .19 .665 .045 .13 .875 ZVS3 .002 .00 .988 .261 5.09 .007 ZVS4 .174 1.66 .199 .302 4.07 .018 ZVS5 .319 5.59 .019 .359 6.01 .003 ZVF1 .262 3.78 .053 .328 4.84 .008 ZVF2 -.085 .40 .529 -.021 .29 .752 ZVF3 .147 1.19 .277 .244 2.63 .073 ZVF4 .151 1.26 .264 .193 1.66 .192 ZVFT .377 7.83 .006 .264 4.53 .011 ZHS1 .132 .95 .331 .143 .90 .410 ZHS2 .097 .52 .471 .123 .68 .508 ZHS3 .238 3.11 .079 .373 6.20 .002 ZHS4 -.031 .05 .821 .122 1.53 .218 ZHS5 .161 1.42 .234 .226 2.25 .106 ZHF1 .106 .62 .431 .001 .38 .682 ZHF2 .332 6.07 .014 .320 4.98 .007 ZHF3 .056 .17 .677 .102 .47 .628 ZHF4 .159 1.39 .239 .172 1.41 .247 ZHFT .166 1.51 .221 .084 .74 .480 ZPS1 -.132 .96 .329 -.047 .74 .476 ZPS2 -.299 4.93 .027 -.229 2.32 .100 ZPS3 -.001 .00 .992 .149 1.69 .186 ZPS4 ZPS5 ZPF1 .075 .31 .580 -.096 1.31 .270 ZPF2 ZPF3 .068 .26 .613 .113 .56 .570 ZPF4 -.019 .02 .889 -.080 .41 .667 ZPFT .007 .00 .959 -.153 1.80 .168 TINCOM .875 4.87 .032 SINCOM .800 4.07 .049 TEXPND .869 4.80 .033 LCOST .781 3.88 .054 Legend: DCC – discriminant correlation coefficients, F - F coefficient, Sig. F - significance of F (post-hoc univariate differences) • missing data signifies variables with no within-group variance • (1) analysis Olympic : non-Olympic organisations • (2) analysis Olympic : non-Olympic : Recreational organisations 9 The multivariate differences in financial indicators (Table 4) were not statistically significant possibly also due to the small number of units (55 sports), making the ratio sample size : degrees of freedom un- favourable. The univariate statistical differences, how- ever, are all (with the exception of labour cost) statis- tically significant and very large in absolute values (Table 5). DISCUSSION One reason why sports organisations dealing pre- dominantly with competitive sport (Olympic and non- Olympic sports) base their seat in cities, while there are more organisations dealing with recreational sports in rural areas is probably in the better infras- tructure in urban areas. Competitive, and especially top-level sport, requires a critical mass of knowledge, personnel, facilities, equipment etc, which is usually only available in larger cities, especially in countries with a smaller population. The second reason is prob- ably in the number of possible members. Haggerty and Denomme (1991) namely found that there is a connection between the home-club distance and the chosen club. Sports organisations are therefore moti- vated to organise their activities close to their poten- tial ”clients” and since cities have a greater popula- tion, they are ”the place to be”. The young athletes trying to become top level sportsmen are secondary school pupils or students. Top level athletes in non- commercial sports from the sponsors’ point of view, which achieved marked success (rowing, kayak-ca- noe, swimming, shooting…), but also most of the top athletes in the commercial sports (skiing, track and field) are also students. These come to the university centres which are in cities, and the circle is closed. However, the situation is somewhat different for recreational-sport organisations. Recreational sport should be accessible to all, no matter where they live. In light of the finding by Haggerty and Denomme (1991) it is logical for the recreational-sport organisa- tions to operate locally, hence the even distribution of such organisations between urban and rural areas. One can only hope that this situation persists and that these organisations will not be lured to the cities by (false) hopes of higher revenues. Maybe the state will be willing to systematically allocate some funds to such organisations to keep carrying out their ”mis- sion”. The finding that the sports organisations dealing with competitive sport are mostly larger than those dealing with recreational sport is in accord with the findings of Amis and Slack (1996), Kikulis, Slack and Hinings (1995b) and Verhoven et al. (1997). Olympic sports differ from the non-Olympic ones in higher income, therefore it is normal that they also have higher expenditures, since they are non-profit organisations and must use all their income for the or- ganisation’s activities. Olympic sports deal with a much greater financial potential and it is therefore not surprising that they have higher labour costs — 13.5 % of the total compared to 7.2 %. This level of profes- sionalism should not be ascribed only to the people employed (cadre structure), but also to the greater level of professionalism among the athletes. The finding that Olympic sports differ from the non- Olympic ones in sales income is to be expected, since the sports which are interesting for sponsors in Slovenia are mostly Olympic sports (Bednarik et al., Bednarik, J., Ambro`i~, F., Mo~nik, R., Kolenc, M., & Kova~, M. (2000). Model Characteristics of… KinSI 6(1–2), 5–11 Table 5: Typical Olympic, non-Olympic and recre- ational organisations Variable Olympic Non-Olympic Recreational ZVS1 2.53 2.45 2.50 ZVS2 .92 .58 .72 ZVS3 1.42 1.42 .58 ZVS4 4.99 2.63 .86 ZVS5 .47 .06 .06 ZVF1 1.14 .30 .18 ZVF2 .91 1.06 .91 ZVF3 4.74 3.02 1.91 ZVF4 2.77 1.24 .95 ZVFT .90 .21 .47 ZHS1 .82 .52 .41 ZHS2 .74 .22 .14 ZHS3 1.44 .82 .41 ZHS4 .61 .72 .06 ZHS5 .13 .03 .00 ZHF1 .01 .00 .01 ZHF2 .23 .07 .09 ZHF3 .14 .07 .02 ZHF4 .13 .03 .03 ZHFT .20 .10 .16 ZPS1 .01 .06 .02 ZPS2 .00 .03 .04 ZPS3 .33 .33 .05 ZPS4 .00 .00 .00 ZPS5 .00 .00 .00 ZPF1 .02 .01 .04 ZPF2 .00 .00 .00 ZPF3 .05 .03 .02 ZPF4 .01 .02 .03 ZPFT .06 .06 .27 TINCOME 255,390 46,820 SINCOME 165,635 35,530 TEXPEND 250,248 42,534 LCOST 43,472 3,967 Legend: all given values are arithmetic means of the relevant groups Group centroids: 1 2 3 Olympic +.370 +.557 .274 Non-Olympic –.596 –.230 –.430 Recreational –.549 10 1998). It is interesting to note, on the other hand, that sales as a percentage of total income is significantly lower for Olympic sports (60.2 %) than for the non- Olympic ones (70.4 %). This points to the fact that the state financial support favours Olympic sports. The data, however, shows that sports organisations in Slovenia, similarly to EU (Andreff, 1994), are financed predominantly from private sources. The statistically significant differences in characteris- tics, defined by the cadre structure according to the European Classification of Professions (Camy and Roux, 1997), which perform their work voluntarily (as defined by Horch, 1994), part-time or full-time, show that Slovene organisations have different cadre struc- tures, depending on whether they deal mostly with competitive or recreational sport. The differences between competitive and recreation- al sports organisations in the number of umpires and coaches can be ascribed to the nature of their work, this demands in competitive sport much more such employees. The voluntary orientation of the umpires is understandable as they perform their work just for payment of expenses incurred. The statistically signif- icant differences in voluntary and part-time coaches show that a lot of coaching, probably mostly with the younger athletes, is voluntary or part-time alongside a regular full-time employment. The differences between the Olympic and non- Olympic organisations in full-time instructors lead us to believe that the latter are forced to employ full- time but also not-fully qualified coaches, because there are not enough professionally trained (educat- ed) ones available in Slovenia. The organisations also differ in the number of medi- cal, technical and administrative staff; This shows that dealing with Olympic sports is more demanding than with non-Olympic sports, and dealing with recre- ational sport is even simpler. The voluntary work of medical staff can be ascribed on one hand to some sport-oriented (enthusiastic) doctors in Slovenia and on the other hand to the publicity they gain from their work with top athletes can then be exploited in their regular job. The differences in the part-time adminis- trative employees can be ascribed to rationality, since part-time employees work (and are paid) only as much as there is work to be done. However, the dif- ferences in voluntary technical staff are harder to ex- plain: one would not expect here persons searching for personal satisfaction or ”fall-out effects” in their full-time professional fields. The picture becomes clearer if we take in consideration that sports organi- sations in Slovenia are not the owners of the sports fa- cilities (Bednarik, Petrovi} and [ugman, 1998). It is therefore obvious that these are not technical facility staff (of course employed full-time), but ancillary tech- nical staff in the training and competitive processes. These are usually parents or friends of the athletes. Sports organisations should become more profes- sional, in combination with volunteers (Schrodt, 1983; Beamish, 1985; Frisby, 1986; Macintosh, 1988; MacMillan, 1991; Thibault, Slack and Hinings, 1991; Auld and Godbey, 1998). This in consequence means a lesser role for volunteers in the organisational pro- cess (Slack, 1985; Macintosh, Bedecki and Franks, 1986; Slack and Thibault, 1988; Slack and Kikulis, 1989) and the transfer of the decision and manage- ment function into professional hands. Since the de- cision process is vital in any organisation (Knoke, 1981), predominantly voluntary management of Slovenian sport could lead to its inefficiency. However, Slovenia does have top level sports achieve- ments which are comparable to other European coun- tries when taking into account its population (Bed- narik and Petrovi}, 1998; Bednarik, Petrovi} and Nyerges, 1997). The percentage of sport-active is on the same level as in other European countries (Bed- narik and Petrovi}, 1998), sports organisations are fi- nanced to about 75% from private sources and the model of financing sport is very similar to the EU mod- el as defined by Andreff (1994). It could be conclud- ed that the effects of sport in Slovenia are relatively good, either in spite of, or precisely because of vol- untary management. 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