All businesses make decisions and carry them out efficiently. People need to know what they are doing. Businesses have a structure that groups people into areas of similar work so that it can be easily managed.
Businesses which are divided up into different working groups are called 'Functional areas' Research is needed to find out how they are divided & understand how they work.
To make products or provide services, a business is involved in:
* Human resources
* Marketing and sales
* Customer service.
In the Human resources department, people have to make sure that employees can work effectively and safely. They deal with the following:
* Recruitment, retention and dismissal
* Working conditions
* Health and safety
* Training, development and promotion
In the finance department, people need to manage money coming in and going out of the business and also to keep financial records.
They also need to understand these financial records in order to plan what to do next, they need to:
* Preparing accounts
* Pay wages and salaries
* Obtaining capital and resources.
In the administration department, people carry out day-to-day tasks. These activities cover:
* Collecting and distributing mail
* Filing and keeping records
* Organising meetings
* Cleaning and maintenance
To make a product or provide a service, a business needs resources such as:
* People, for example operators, managers, support staff, specialists
* Materials, for example products for retailing, raw materials
* Equipment, for example vehicles, computers, machinery.
Marketing and Sales
Businesses carry out a range of activities to find out about customers' needs and then
provide for them. These activities include:
* Market research
To keep their customers happy, businesses provide a range of customer...