Business Environment and Leadership Styles

The assignment discusses the importance of business environment in organizational structure and scope. It also explores different leadership styles, such as authoritarian, participative, and free rein, and their impact on employee motivation and decision-making. Additionally, it covers customer service as a key aspect of business operations.

HOW BUSINESS OPERATE

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1 - The Business Environment.............................................................................................1
TASK 2 - Business Functions..........................................................................................................1
2.1 Explaining importance of accounting in the organisation................................................1
2.2 Describing different functions performed by HR department in the company................1
2.3 Outlining features of employment legislation in the country...........................................2
TASK 3 - Accounting Workshop....................................................................................................3
3.1 Interpreting information on the Profit and Loss account..................................................3
TASK 4 - Teams..............................................................................................................................5
4.1 Carrying out analysis to determine own and others’ roles in the team............................5
4.2 Describing stages of team development...........................................................................5
4.3 Assessing motivation theories..........................................................................................6
4.4 Discussing different types of leadership styles................................................................6
TASK 5 – Customer Service............................................................................................................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................7

INTRODUCTION
The operations of business is different in one organisation and in another as well. Present
report deals with analysing business environment and functions which are to be performed by
personnels. Furthermore, importance of accounting and team development is explained. Along
with it, leadership styles and motivation theories are discussed. Importance of customer service
and profiling is explained.
TASK 1 - The Business Environment
Covered in PPT
TASK 2 - Business Functions
2.1 Explaining importance of accounting in the organisation
The accounting is one of the integral part of company in assessing effectiveness of
business operations with much ease. Importance of accounting in organisation is that transactions
which occurs in normal operations are effectively recorded, summarised and thus, managerial
reports are prepared. It serves useful information for management as they are benefited with
effective information about financial performance of company (Aterido, Hallward-Driemeier and
Pagés, 2011). Furthermore, financial statements are formulated and provided to external parties
highlighting liquidity, solvency, efficiency and profitability position of company in the best
possible manner. Hence, without performing accounting tasks, financials of organisation cannot
be prepared in effective manner. Furthermore, decisions can be made by external stakeholders
and management with the help of accounting Thus, there is immense significance of accounting
in business for attaining overall financial health quite effectually.
2.2 Describing different functions performed by HR department in the company
HR department has following functions which need to be performed are as follows-
Recruitment and Selection-
The recruitment is the main function of HR personnels as they are entitled to carefully
screen candidates whether they will be able to perform tasks or not. Afterwards, candidates who
are deemed to be fit for job are selected quite effectively.
Orientation
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The orientation programs should be provided by personnels so that employee may
become familiar with aim and objectives of organisation. Moreover, workers should be provided
with long-term and short-term goals and to adjust himself with new job (5 Major Functions of
Human Resource Management. 2018).
Good working atmosphere
Working conditions must be appropriate and employees need to be motivated by HR
department as they are entitled to carry out function which will enhance overall productivity of
employees up to a high extent.
Employee relations
The relations with employees should be broadened so that they may feel committed
towards organisation and as such, productivity will be maximised in effective manner.
Training and development
It is the main function of HR department to effectively provide training to new workers
so that tasks allocated to them may be performed accurately. This will enhance productivity quite
effectually (Chavis, Klapper and Love, 2011).
2.3 Outlining features of employment legislation in the country
Employment legislation of UK provides effective way to benefit to employees which help
them to over rule difficulties found in the organisation. The main features of employment
legislation are listed below-
Employment Rights Act 2003-
The contractual rights are provided to employees in the best possible manner. The main
feature of this Act is that protection from unfair dismissal or termination from employment.
Sex discrimination Act 1975-
The Act protects employees against discrimination on the basis of selection between men
and women in company. Sex discrimination is also made in promoting workers and career
opportunities in effective manner.
Equal Pay Act 1970-
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Equal Pay Act provides that employees should be paid equally and no difference shal be
there in paying salaries to male and female in the company.
Race Relations 1976-
The race should not be bifurcated on the principle of sex. This means that illegal race
relations should not be present in carrying out tasks.
National Minimum Wage Act 1998-
The Minimum pays should be provided to employees so that cost of living can be tackled
by them with much ease.
TASK 3 - Accounting Workshop
3.1 Interpreting information on the Profit and Loss account
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It can be interpreted that Profit and Loss account is prepared showing total expenses
incurred and income earned in a particular year. Revenue is 200986 and cost of sales amounting
to 115490 is deducted to arrive at gross profit of 85496. After this, expenditures are deducted and
net profit is arrived at 44961. Hence, it is an account that shows total income gained after
minimising expenses.
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TASK 4 - Teams
4.1 Carrying out analysis to determine own and others’ roles in the team
The team work is effectively required in order to carry out desired outcome in effectual
manner. This is essentially required so that operational tasks can be easily achieved with much
ease. My own role in the team was that of team worker by which I was able to motivate team
mates in the team in accomplishing tasks in effective way (Gecevska and et.al, 2010).
Furthermore, Belbin theory can be explained in this context. The shaper role was carried out by
employee to face challenges and overcome them. Implementer role was made to achieve things.
Finisher role was to detect errors and to rectify the same and to meet deadlines. Coordinator role
was to coordinate activities of team. Resource investigator was entitled in carrying out
effectiveness of team and negotiate resources. Evaluator was to analyse critically options before
arriving at conclusion. Specialist role was limited to expertise skills possessed by him. Plants
role was allocated to member to come up with innovative ideas in achieving tasks.
4.2 Describing stages of team development
Tuck man process of team development can be applied-
Forming-
The group is formed for achieving tasks in effective manner. Team members are looking
for leadership to lead whole group towards goal accomplishment.
Storming-
At this stage, conflicts starts between members as they have difference in opinions. It is
required to be resolve in carrying out objectives (Laszlo and Cescau, 2017).
Norming-
The leaders provide reasons and objective behind achieving goals for a particular task.
Thus, conflicts are resolved and employees are committed to accomplishment of goal.
Performing-
At this stage, employees perform in accordance to the tasks provided to them. Hence,
group goals are achieved in this stage.
Adjourning-
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This is the last stage where group is disbanded as task which was to be achieved
according to target is accomplished. Thus, group comes to an end.
4.3 Assessing motivation theories
Maslow's Need Theory
There are needs which are required to be satisfied by individual and when one need is
fulfiled, person try to achieve next need as they are in hierarchy. First need is physiological
needs followed by safety needs, then social needs are achieved. Furthermore, esteem needs and
then seld-actualisation needs are accomplished by person (Croce, Tenca and Ughetto, 2017).
McClelland's Need Theory
The theory is based on need of achievers. This theory states that needs are acquired by
the people who posses it. The person will behave differently when need is not acquired by him
from other person.
McGregor's Theory X and Theory Y
Theory X states that workers will not produce desired output by their nature. Hence, it is
required to initiate strict direction to enhance productivity. Theory Y is different as it states that
employees will work provided they are motivated.
4.4 Discussing different types of leadership styles
Authoritative style-
The authoritative style is used to initiate strict control over the employees so that they
may accomplish tasks in effective manner. Complete decision-making lies with authoritarian
leader.
Participative style-
The leader involves participation of employees so that they may provide some
suggestions. Furthermore, decision is made by leader but participation is accomplished of
employees to develop skills among them and employees are highly motivated.
Free rein leadership style-
This type of leadership is completely provided to team members. Furthermore, there are
no restriction made on workers. Hence, decisions are made by employees quite effectually.
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TASK 5 – Customer Service
Covered in PPT
CONCLUSION
Hereby it can be concluded that business environment plays crucial role. The structure
and scope of organisations are different from each other. Furthermore, leadership styles are
important in carrying tasks as directed by the leader. It initiates customer satisfaction as
operational activities become streamlined quite easily.
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REFERENCES
Books and Journals
Aterido, R., Hallward-Driemeier, M. and Pagés, C., 2011. Big constraints to small firms’
growth? Business environment and employment growth across firms. Economic
Development and Cultural Change. 59(3). pp .609-647.
Brumana, M., Minola, T., Garrett, R. P. and Digan, S. P., 2017. How Do Family Firms Launch
New Businesses? A Developmental Perspective on Internal Corporate Venturing in Family
Business. Journal of Small Business Management.55(4). pp.594-613.
Chavis, L. W., Klapper, L. F. and Love, I., 2011. The impact of the business environment on
young firm financing. The world bank economic review. 25(3). pp. 486-507.
Croce, A., Tenca, F. and Ughetto, E., 2017. How business angel groups work: rejection criteria
in investment evaluation.International Small Business Journal. 35(4). pp.405-426.
Evans, G., 2017. Implementing e-government: An executive report for civil servants and their
advisors. Routledge.
Gecevska and et.al , 2010. Product lifecycle management through innovative and competitive
business environment. Journal of Industrial Engineering and Management. 3(2). pp .323-
336.
Laszlo, C. and Cescau, P., 2017. Sustainable value: How the world's leading companies are
doing well by doing good. Routledge.
Pearson, R., 2017. Business ethics as communication ethics: Public relations practice and the
idea of dialogue. In Public relations theory (pp. 111-131). Routledge.
Young, K. and Pagliari, S., 2017. Capital united? Business unity in regulatory politics and the
special place of finance.Regulation & Governance. 11(1). pp.3-23.
Online
5 Major Functions of Human Resource Management. 2018 [Online] Available Through:
<https://www.keka.com/5-major-functions-human-resource-management/>
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