Types and Purpose of Organisations - Public, Private and Voluntary Sectors and Legal Structures

Business and Business
Environment

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK1.............................................................................................................................................3
Types and purpose of organisations - public, private and voluntary sectors and legal structures
................................................................................................................................................3
Size and scope of different types of organisation...................................................................5
TASK 2............................................................................................................................................7
Relationship between Different organizational objectives and structure...............................7
Advantage and disadvantage of interrelationship between organizational functions............8
Different kinds of business structure and the interrelationship of the different organizational
functions.................................................................................................................................9
Identify the positive and negative impact of macro-environment on NHS............................9
TASK 4..........................................................................................................................................11
Conduct internal and external analysis of organisation in order to identify strengths and
weaknesses...........................................................................................................................11
Apply appropriately SWOT/TOWS analysis.......................................................................13
Strengths and weaknesses interrelate with external macro factors......................................14
Impact of both macro and micro factors...............................................................................15
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................16

INTRODUCTION
Business is considered as an ongoing activity which generate profit with the help of
manufacturing, production, promoting, selling activities. Business may be a legal entity which
run by the individual or group of people. Every business has a purpose. Some organisations have
profit motive but others exist to serve society. Every company requires an environment that
promotes better performance. There are different types of organisations such as public, private
and voluntary companies. For this report three companies are chosen like National Health
Services is a public company, Ford is a private company and Shelter is a voluntary company.
Every company purpose is different for the society. This report identify size, scope, vision,
mission and legal structure of these companies and also discuss about the interrelationship
among all organisational functions and identify the structure of the company. This report also
determines the external factors through PESTLE analysis and explain the strength, weaknesses,
opportunities and threats of the company through SWOT analysis.
TASK1
Types and purpose of organisations - public, private and voluntary sectors and legal structures
The organisation refers to the group of people coming together for achieving common
goal. There are various forms of organisations and they have their own motive and structure. The
different forms of organisation are as follows:
Public Organization
The public sector are the organisations which are owned and operated by the
government. They are composed to provide the goods and services to public for economic
welfare by government owned and controlled organisations (Alexandersen,et.al, 2016).
Example: National Health Service(NHS)
Purpose -The purpose of the public organisations is to serve the public by bridging
optimum development of all regions. The main motive is welfare of the public at large.
Legal Structure -The legal structure refers to the form of ownership and control of the public
sector enterprises. The public sector is managed by the government on three levels they are: Public Corporation : The public corporation refers to the government owned business. It
is controlled by the central and local governments and other public corporations.

 Municipal enterprise : The Municipal enterprise refers to the act of UK which
restructured the incorporated boroughs of England and Wales. It is governed by the
Municipal Corporations Act, 1938.
Private Organisation
Private organisations are managed by the individuals or group of individuals for profit
motive. The government have no ownership control in this structure (Alford and Greve, 2017).
Example -Ford
Purpose -The main purpose of the private sector organisations is earning profit. As they
are majorly the contributors of taxes that helps in development of economy.
Legal Structure -the legal structure of the private sector is divided as:
Sole proprietorship: The sole proprietorship is structure in which one man manages the
operations and it is unincorporated from of structure. Partnership - The partnership is a form in which two or more group of individuals
manages the operations. The partnership is registered and governed by the concerned law.
 Companies -The group of individuals come to run business with profit. The company has
separate legal entity other than its registered members. They are governed by the
companies law ( Arefieva, Miahkykh and Shkoda, 2019).
Voluntary Organisations
The voluntary organisations refer to the pooling of members with sharing common goal.
These members form the association and enter into agreement. The goods and services are
provided with aim of the welfare of public.
Example -Shelter
Purpose
The main purpose is to serve the community the motive is welfare of public rather than
profit.
Legal Structure -The legal structure is as follows: Trust -The Trust is form of charity based on the trust and good motive to let another
party use the resources and property of latter.
 Unincorporated associations -The unincorporated association are formed by the people
who share common goal and the owners are solely liable for the actions.