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Location Of An Organisation


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Location Of An Organisation

  1. 1. Location of an organisation
  2. 2. Reasons <ul><li>There are good </li></ul><ul><li>reasons why an </li></ul><ul><li>organisation is where </li></ul><ul><li>it is </li></ul><ul><li>Its not just because </li></ul><ul><li>it has to be somewhere! </li></ul>
  3. 3. Factors to consider: <ul><li>Raw materials </li></ul><ul><li>Land </li></ul><ul><li>Transport links </li></ul><ul><li>Workforce </li></ul><ul><li>Energy </li></ul><ul><li>Market </li></ul><ul><li>Government aid (grants) </li></ul>
  4. 4. Raw materials <ul><li>These are the things that are needed by organisations to manufacture useful products </li></ul><ul><li>Eg – a brewery needs good water- many are found in Burton on Trent, because the river Trent is a supply of good water </li></ul><ul><li>The marmite factory is also in Burton – because waste yeast from the breweries is their raw material </li></ul>
  5. 5. Land <ul><li>Land is expensive in the south east of England </li></ul><ul><li>This is why companies often relocate to the North </li></ul><ul><li>(The BBC are relocating from London to Manchester) </li></ul>Cheap ! Dear !
  6. 6. Transport Links <ul><li>It is good to be near: </li></ul><ul><li>Motorways </li></ul><ul><li>Railway links </li></ul><ul><li>Bus routes </li></ul><ul><li>Seaports/ channel tunnel </li></ul>
  7. 7. Workforce <ul><li>The availability of a workforce with the right skills is very important for employers </li></ul><ul><li>employers may have to recruit from abroad if there is not a skilled local workforce – this has happened in the health, construction and education sectors </li></ul><ul><li>This may however, only be a short term solution </li></ul>
  8. 8. Market <ul><li>There needs to be a market for the product or service </li></ul><ul><li>If there are no users of the service, then the organisation may go out of business </li></ul>
  9. 9. Energy <ul><li>Many organisations involved in making products or providing services require large amounts of energy to work effectively </li></ul><ul><li>They may also need a back up supply in an emergency </li></ul>
  10. 10. Grants <ul><li>Governments may provide financial incentives to organisations to attract them to an area </li></ul><ul><li>This could be an area where there used to be heavy industry and there is a skilled workforce who have been made redundant ( e.g. Birmingham – closure of Rover car factory) </li></ul><ul><li>This may help to reduce start up costs and ease recruitment issues </li></ul>
  11. 11. Activities . <ul><li>Explain why good transport links are important for an organisation </li></ul><ul><li>Explain what is meant by the market for an organisation </li></ul><ul><li>Explain why an employer may recruit abroad and give reasons why this may only be a short term fix. </li></ul><ul><li>Explain why organisations may consider relocation and what they must consider if they take this option </li></ul><ul><li>Why are grants important to organisations? </li></ul>
  12. 12. Effects on the local environment <ul><li>Pollution ( chemicals) </li></ul><ul><li>Noise </li></ul><ul><li>Visual </li></ul><ul><li>Traffic </li></ul>