Business and Business Environment INTRODUCTION 1 TASK 11 P1 Different Types of the Organisation

Business and Business
Environment

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Different type of the organisation.....................................................................................1
P2 Pros and cons of the different types of the organisation with their scope, size, structure and
objective. ...............................................................................................................................2
TASK 2............................................................................................................................................6
2.1 Different departments of the organisation with their inter-relationship and their operation.
................................................................................................................................................6
TASK 3............................................................................................................................................6
3.1 Analysis of macro environment and their impact on the NATWEST..............................6
TASK 4............................................................................................................................................9
4.1 SWOT analysis of the NatWest........................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Business environment is the sum total of all the internal and external that can affect the
organisation operations, decision-making, profitability and productivity. There are various external as
well as internal factors where internal includes organisation culture, value system, organisation
structure, human resources, corporate culture etc. and external factors includes political, social,
technological, economical etc. for this report, NatWest PLC have been selected which is more than
44000 office in the world and world's leading international bank. The report includes different types
of organisation such as private, public and charity as well as it includes different department and their
inter-relationship between different organisation. SWOT and Pestle analysis is also made in this
report which help to find internal and external factors that can affect the NatWest.
TASK 1
P1 Different type of the organisation.
In the existing business environment, there are different type of organisations operate for the
different purpose. On the basis of their nature, business operation and objective, these are categorised
into several categories, are as follows:
Private organisation: Private organisation is defined as the business entities which is owned and
managed by the private players or investors. The key purpose of the private organisation is to earn
profit from the different economic and commercial activities. All the shareholders and owners avail
all the profit earned by the company (Aguilar, 2017). There are different type of private owned
organisation exist that are partnership, sole proprietorship and co-operation. There are different
purpose of the organisation and on that purpose, they are categories such as the aim of sole
proprietorship is to serve intense profits to the single person that is owner of the company. Whereas
in the partnership firm, all the profits are earned and distributed to the partners. And in the
corporation organisation, the revenue is earned so that they can able to provide return to their
shareholders. The different private sector organisation in the UK are Prima, Tesco, Marks and
Spencer.
Public organisation: It is also known as the governmental organisation which is directly owned and
managed by the local authorities. The key objective of these firm is to serve well being and benefits
for the society. They generally work so that they can help society in order to sustain in long run not to
earn economic benefits and profits but they. The span and size of the activities of this government
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business is so broad and they are directed to the serve non-economic benefits to the society. These
types of the firm are made with the different means such as formed by the direct administration
function which the help of tax paid by the local residents, other example is state owned enterprise
which is run on the basis of expenditure of the national and state government. As well as there is
another form of public organisation that is public outsourcing where public and private venture come
together to that they can able to share liabilities and assets of their related firm (Davis and
Blomstrom, 2016). They key aim of such type of company is to diversify the project and take
maximum benefits of the organisation. Such as National health services, which is the renown public
sector firm which work for the growth of the society and enhancing the community health in the most
effective manner. NHS is formed with the purpose of better availability of the appropriate health
services to every class. The good example of public organisation are London's Olympic Stadium,
World Health Organization (WHO), Sydney Harbour Tunnel, New York's Central Park, Hong Kong
Disneyland.
Charity: It is the specific type of the non-profit organisation, and they do not work to earn any type
of profit from their operation. The sole common objective of this type of company is to ensure
society wellbeing and public interest. The example of the charity firm is Christian Aid which is
introduced with the interest to change the world swiftly (Kennerley and Neely, 2013). The key
objective of this organisation is to make the world fell comfortable that every individual can become
free from the poverty problem. They do not expect any profits and benefits from the firm but they
continue their activities for the moral and social cause. Well known charity's organisation includes
Oxfam, Red Cross and Red Crescent and Medecins Sans Frontiers
P2 Pros and cons of the different types of the organisation with their scope, size, structure and
objective.
Private company
Pros
 These type of organisations are more attractive and have large number of the potential
customers.
 It the company want to sell their asses or whole company, in that case there are large numbers
of buyers (Buchholz, 2016).
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 These types of firm have potential to earn large profits and revenue as compare to charity and
public companies.
 Transfer of the ownership can easily be done in the private ventures.
 All the activities and operation is managed in the effective and efficient way.
 They can have choice to adopt both the small and large firms (Rose-Ackerman and Tobin,
2015).
 These companies do not need to file their financial statement with the registrar of the
companies and their financial information is not available to the public.
Cons
 They need to fulfil various legal requirements which is made by the companies act,
government etc.
 The registration process is very difficult as compare to public companies.
 Financial statements should be audited with some exceptions in terms of the new Companies
Act (Aguilar, 2017).
Public organisation
Advantages
 In the public-sector organisation, they can able to improve the financial condition by getting
money which is not to be repaid.
 Thy help the country to influence their economic activity, boots up the country’s output
 They can easily plan to grow the society because all the planning is made by the government.
Disadvantages
 It will be difficult for the government enterprise to manage and control these organisations
because they need to give time to attend meeting which is held for the interest for the society.
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 There will be lower salary is given to the employees because they work in order interest for
the society so they reduce their cost which is not beneficial for the workers in the organisation
(Davis and Blomstrom, 2016).
Charity
Pros
 They generally do not need to pay any income tax or corporation tax
 Capital gain tax gifts to charity and stamp duty are free form the inheritance tax.
 They get special treatment in case of VAT in different circumstances.
 They can easily raise fund from the government, grant making trust and public as compare to
the non-charity organisation (Kennerley and Neely, 2013).
Cons
 The rules are strict which is applied by to the trading of the charity and these rules are made
by the Charity commission guidelines charities and trading.
 They are not allowed to receive any financial benefits as they are working for the benefits for
the society.
Type of
organis
ation
Sole trader Partnership Public Private Charity
Size These
organisations
have small
size as this is
run and
managed by
the single
person that us
The size of this
organisation is
dependent on the
number of
partners, if there
are more members
than the size is
large and if it is
In private
administration,
the size of
company may
be small or big,
it is dependent
upon the
investor, if he
In charity
firm, the size
is small
because they
work for the
society well-
being so they
do not need to
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