Advantages and Disadvantages of Interrelationships between Organisational Functions

Business and
Business
Environment

Table of Contents
INTRODUCTION ..............................................................................................................1
MAIN BODY ......................................................................................................................1
Different types of business structures, size and scope of public, private and voluntary
sector.............................................................................................................................1
Analysis of advantages and disadvantages of interrelationships between
organisational functions and their impact on the organisation structure.......................7
Application of PESTLE model to support a detailed analysis of the macro-
environment to demonstrate negative and positive impacts on business operations...9
Evaluation of impacts that both macro and micro factors have upon business
objectives and decision-making..................................................................................11
CONCLUSION.................................................................................................................14
REFERENCES................................................................................................................15

INTRODUCTION
Business is defined as activities or practices that are conducted for making one's
living or creating money by manufacturing or buying as well as selling products and
services. Along with this, Business environment is considered as the sum total of whole
internal as well as external factors which impact on the business operations and
functions (Aithal, 2015). So it is essential for every organisation to always keep eye on
the internals and external factors, which help in decision making process. Through this
firm able to gain various benefits such as enhance in profit, development of strategic
plan and many more. There are three organisation taken for this assignment Ford which
is a private, The British Heart Foundation as a voluntary and Crown Prosecution Service
that is public. The aim of conducting this report is to analyse business environment in
respect of different companies for this different topics are under taken like several types
of organizations along with its scope and size. Interrelation among the different
organisational functions as well as application of PESTEL analysis with its positive and
negative aspects. Furthermore, it will also include evaluation of SWOT analysis of two
companies that justifies process of decision making as well as it will include interrelation
among strength and weakness with macro factors.
MAIN BODY
Different types of business structures, size and scope of public, private and voluntary
sector
According to the scene given at brief, there are three companies are taken i.e.
public, voluntary and private and those companies are Crown Prosecution Service, The
British Heart Foundation and Ford respectively. Below evaluation of their business
structure, size, cope are given:-
Private Organisation:
This is consider as those firm who conduct their business operations under the
private ownership (Bocken, Rana and Short, 2015). They may issue their stock as well
as have shareholders, but they can not trade their shares on public exchanges and they
also not issued it through an initial public offering (IPO).
 Background of the company
1

Ford is conducting its business at Automotive industry. It is founded by Henry
Ford in year 1903 and its head office is located at Michigan, United State. They offer
number of automotive products such as luxury vehicle, commercial vehicle, pickup
trucks and so on. There are approx 1,99,000 employees are working at respective
company.
 Structure
The respective company follow Joint Stock Company as their legal organisational
structure (Burns, 2016). Through this they able to conduct their business operations and
functions in effective manner.
 Size
Size of respective company determine by their numbers of employees and at
respective company there are near by 1,99,000 employees are working at worldwide
level.
 Scope
In respect of Ford, they can expand their business operations and function to
those market where they are not operating. Along with this they can also manufacture
some more innovative vehicles that include electric cars, hybrid cars and so on.
 Vision
Ford's vision is to become world's leading consumer organization who offer
quality automotive products and services to society.
 Mission
The mission of Ford is that they want to become global family with a proud
attribute passionately attached to providing individual mobility for society around the
world according to their requirement.
 Objectives
Objective of Ford is to be stabilising the environmental condition by considering
minimising long term emission (Demil and et. al., 2015). Along with this they also want
to develop infrastructure which expand the use of bio fuels as well as minimise
dependency on oil.
 Purpose
2