Hierarchy

• What does this word mean?

• Any organisational structure whereby the shape is similar to a pyramid.

• This is where there are fewer numbers of personnel on every layer towards the top

• Flat organisational structures look different to this

A quick starter activity

• Give example an example business for the next 4 organisations shown.

• Write the 4 down

Business Organisation

• Organisation by type• Global businesses – complex organisation

structures (Microsoft)• National – organisation possibly stretches

throughout the country (Li-Ning)• Regional – could be through a county or wider area

(North West, or province etc.. Hangkong Beer)• Local – small organisations serving local area or

community (Chicken Man)

Example ??

Example ????

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Example ????

FUNCTIONAL AREAS WITHIN BUSINESS

So what is today's lesson

about?

What will we learn today?

• What business functions are

• What different functions a business has

• What tasks these functions do

FUNCTIONAL AREASIn every business there are tasks that must be done on a

regular basis

These might include:• Selling Products• Paying Bills• Hiring Staff

These tasks are often called functions & are defined as:

“The person, or department responsible for completing particular tasks within a business, e.g. Finance”

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Business Functions

• Human Resources• Customer Service• Sales and Marketing• Research and Development • Administration and IT• Production/Operations• Finance and Accounts

Human Resources

• Recruitment and retention– Job descriptions– Person Specifications

• Dismissal• Redundancy• Motivation• Training staff• Health and safety and conditions at work

Customer Service

• Monitoring distribution• After-sales service• Handling consumer enquiries• Offering advice to consumers• Dealing with customer complaints• Publicity and public relations

Sales and Marketing

• Market research• Product– advice on new product development, product

improvement, extension strategies, target markets

• Promotion strategies• Pricing strategies• Sales strategies• The sales team

Research and Development

• New product development (innovation)• Product improvements• Competitive advantage• Value added• Product testing• Cost savings

Administration and IT

• Managing property – cleaning, health and safety, maintenance, security

• Reception

• Clerical work – reporting, recording, record keeping, communication

• Overview of quality control

• Use of IT systems

Production/Operations

• Acquiring resources• Planning output – labour, capital, land• Monitoring costs• Projections on future output• Production methods– Batch– Flow– Job

• Efficiency

Finance and Accounts• Cash flow– Monitoring income/revenue– Monitoring expenditure

• Preparing accounts• Raising finance– Shares – Loans

• Links with all other functional areas

NAME THAT FUNCTIONAL AREA

3 VideosWhat functional area?

What activities are carried out in this area?

FIND THE FUCTIONAL AREA

Around the room are 5 different functional areas- Finance- Human Resources- Production- Administration- Sales & Marketing

Move to the area of the room which you think the statement relates to!

Selling the product or service to customers,

either over the telephone or face to

face

Preparing the payroll and paying staff

salaries

Receiving and recording all job

applications, arranging interviews and

notifying candidates of results

Collecting, distributing & dispatching the mail

Arranging staff training and encouraging continuous

professional development

Promoting products and services through a variety of advertising

and promotional methods, e.g. TV,

online, direct mail & sponsorship

Scheduling routine machinery inspections

& maintenance & carrying out repairs as

required

What will we learn today?

• What business functions are

• What different functions a business has

• What tasks these functions do