Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

Organisational Functions


Published on

Organisational Functions

Published in: Business
  • Be the first to comment

  • Be the first to like this

Organisational Functions

  1. 1. Organisational Functions 1 BTEC Business
  2. 2. What are an Organisation’s Functions? <ul><li>As we have seen, businesses exist to provide products or services that people want to consume </li></ul><ul><li>They do this by organising the firm’s resources to meet customers’ needs </li></ul><ul><li>Many organisations arrange these resources into different business functions </li></ul>
  3. 3. What are an Organisation’s Functions? <ul><li>Whatever the business, all organisations have to manage the following functions: </li></ul><ul><li>Sales and marketing </li></ul><ul><li>Accounts or finance </li></ul><ul><li>Human resources or staff </li></ul><ul><li>Administration </li></ul>
  4. 4. What are an Organisation’s Functions? <ul><li>Many businesses will also have the following activities that need managing: </li></ul><ul><li>Production </li></ul><ul><li>Purchasing or buying </li></ul><ul><li>Research and development </li></ul><ul><li>Whether they do or not depends on their industry or sector </li></ul>
  5. 5. Finding out more <ul><li>The following is a good source of information about organisational functions: </li></ul><ul><li>Biz/ed’s Virtual Factory </li></ul><ul><li>Find our more about production, marketing, accounts, stock control and design in a real world business at: </li></ul><ul><li> </li></ul>
  6. 6. Applying your Knowledge <ul><li>Now go to the following Biz/ed resource for more on a range of real world business organisations: </li></ul><ul><li>http:// </li></ul><ul><li>Select two businesses and analyse their key functional areas. Be prepared to feed this back to the whole group. </li></ul>
  7. 7. Organisational Functions 2 BTEC Business
  8. 8. Administration <ul><li>Administration is about supporting the work of an organisation </li></ul><ul><li>It is not the central purpose of the business </li></ul><ul><li>But every business organisation must have someone to carry out these tasks </li></ul><ul><li>Otherwise there would be chaos! </li></ul>
  9. 9. What does Administration do? <ul><li>Most businesses rely on administration in order to be ‘organised’ </li></ul><ul><li>Often administrative staff are vital to a firm’s activities </li></ul><ul><li>They have a close understanding of the business across all of its functional areas </li></ul><ul><li>They need to know who does what in the firm </li></ul>
  10. 10. Is Administration Important? <ul><li>The administrative function is an indirect part of a business </li></ul><ul><li>It is also crucial to what a business does </li></ul><ul><li>Examples of administrative tasks are: </li></ul><ul><ul><li>dealing with enquiries </li></ul></ul><ul><ul><li>giving messages </li></ul></ul><ul><ul><li>producing documents </li></ul></ul>
  11. 11. Research and Development <ul><li>R&D is about improving the products a firm makes or the way it makes them </li></ul><ul><li>Many large firms have dedicated R&D staff </li></ul><ul><li>But R&D is an expensive activity </li></ul><ul><li>So firms often rely on using the ideas of others </li></ul>
  12. 12. Research and Development <ul><li>In some industries R&D is the main source of future business growth </li></ul><ul><li>Examples are: </li></ul><ul><ul><li>Car manufacturers (investing large sums of capital in developing new vehicle models) </li></ul></ul><ul><ul><li>Pharmaceutical companies (reliant on new drug products for future growth) </li></ul></ul>
  13. 13. What’s Next? <ul><li>How businesses organise their functions into structures that work (or don’t)! </li></ul><ul><li>The pros and cons of different business structures. </li></ul>