Download ###Business Functions and Organisation

Business Functions
and Organisation
ICT Applied GCE
Unit 2: How organisation use ICT
 Objectives
 To learn about the functions within an organisation
 To learn the types of organisational structures
ICT Applied GCE
Unit 2: How organisation use ICT
Business Functions
 Human Resources
 Sales and Marketing
 Research and Development
 Production/Operations
 Customer Service
 Finance and Accounts
 Administration and IT
ICT Applied GCE
Unit 2: How organisation use ICT
Human Resources
 Recruitment and retention
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Job descriptions
Person Specifications
Dismissal
Redundancy
Motivation
Professional development and training
Health and safety and conditions
at work
 Liaison with trade unions
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ICT Applied GCE
Unit 2: How organisation use ICT
Sales and Marketing
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ICT Applied GCE
Market research
Promotion strategies
Pricing strategies
Sales strategies
The sales team
Product – advice on new product development, product
improvement, extension strategies, target markets
Unit 2: How organisation use ICT
Research and Development
 New product development
 Product improvements
 Competitive advantage
 Value added
 Product testing
 Efficiency gains
 Cost savings
ICT Applied GCE
Unit 2: How organisation use ICT
Finance and Accounts
 Cash flow
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Monitoring income/revenue
Monitoring expenditure
 Preparing accounts
 Raising finance
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Shares
Loans
 Links with all other functional areas
ICT Applied GCE
Unit 2: How organisation use ICT
Production/Operations
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Acquiring resources
Planning output – labour, capital, land
Monitoring costs
Projections on future output
Production methods
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Batch
Flow
Cell
 Efficiency
ICT Applied GCE
Unit 2: How organisation use ICT
Customer Service
 Monitoring distribution
 After-sales service
 Handling consumer enquiries
 Offering advice to consumers
 Dealing with customer complaints
 Publicity and public relations
ICT Applied GCE
Unit 2: How organisation use ICT
Business Organisation
 Organisation by type
 Global businesses – complex organisation structures
 National – organisation possibly stretches throughout the
country
 Regional – could be through a county or wider area (North
West, South East, etc.)
 Local – small organisations serving local area or community
ICT Applied GCE
Unit 2: How organisation use ICT
Business Organisation
 Authority – the right to make decisions and carry out tasks
 Span of control – the number of people a superior
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is responsible for
Chain of Command – the relationship between different levels
of authority in the business
Hierarchy – shows the line management
in the business and who has specific responsibilities
Delegation – authority to carry out actions
passed from superior to subordinate
Empowerment – giving responsibilities to people
at all levels of the business to make decisions
ICT Applied GCE
Unit 2: How organisation use ICT
Administration and IT
• Managing estates – cleaning, health
and safety, maintenance, security
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Reception
• Clerical work – reporting, recording, record
keeping, communication
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Overview of quality control
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Use of IT systems
ICT Applied GCE
Unit 2: How organisation use ICT
Organisation Charts
Hierarchical Structure
Managing Director
Marketing
Director
Sales Director
A
B
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C
D
Market
Research
Finance Director
Strategy Purchasing Sales
Manager Manager
Accounts
Manager
Unit 2: How organisation use ICT
Organisation Charts
Pyramidal Structure
MD
Senior
Management
Middle
Management
Workers
ICT Applied GCE
Unit 2: How organisation use ICT
Organisation Charts
Centralised/Entrepreneurial
Finance
R&D
Production
MD
Marketing
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Sales
Unit 2: How organisation use ICT
Organisation Charts
Collaborative
Sales
Accounts
Marketing
Production
ICT Applied GCE
Unit 2: How organisation use ICT
Organisation Charts
Circular/Flat
Marketing
Finance
Sales
Production
R&D
ICT Applied GCE
Unit 2: How organisation use ICT
Organisation Charts
Matrix Structure
Marketing
Sales
R&D
Project
HR
Production
Finance
ICT Applied GCE
Unit 2: How organisation use ICT
Organisation Charts
Changes to business structures
Linked to new thinking on leadership and management
Less hierarchical
Emphasis on communication
and collaboration between sections
 Global businesses – more complex structures
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ICT Applied GCE
Unit 2: How organisation use ICT