Resources for Business Operations

This report focuses on the resources needed by businesses to effectively undertake operations. It covers topics such as recruitment documentation, skills required for specific job roles, resources required in the operation, financial sources selection, contents of trading and profit loss account, use of budgets as a means of exercising break even, and the financial state of a given business.

Business Resources

TABLE OF CONTENTS
INTRODUCTION.....................................................................................................................................3
P1. RECRUITMENT DOCUMENTATION...........................................................................................3
P2. SKILLS REQUIRED FOR SPECIFIC JOB ROLE........................................................................4
P3. RESOURCES REQUIRED IN THE OPERATION.........................................................................6
P4. FINANCIAL SOURCES SELECTION FOR BUSINESS..............................................................7
P5. CONTENTS OF TRADING AND PROFIT LOSS ACCOUNT.....................................................8
P6. ILLUSTRATE THE USE OF BUDGETS AS A MEANS OF EXERCISING BREAK EVEN.....8
P7- ILLUSTRATE THE FINANCIAL STATE OF A GIVEN BUSINESS..........................................9
CONCLUSION..........................................................................................................................................9

INTRODUCTION
The report is undertaken in order to make emphasis on the resources which is needed by
businesses in order to effectively and efficiently undertake the operations further which it is
essential to manage the role of all the resources into the organization. Thus for this purpose the
organization taken into account is Tesco.
P1. RECRUITMENT DOCUMENTATION
The need to recruit an extra member of staff is identified. A new job description is set out, or an
existing one is updated; this will include the job title, the person in which the employee will be
responsible to and a list of all the tasks they will undertake in their work. The job specification is
reviewed and revised; this will include essential qualifications, essential characteristics, desirable
qualifications and desirable characteristics (Chaffey and White, 2010). Advertisements are
designed and placed in appropriate media: they could advertise the job on notice boards,
company newsletters, employment agencies, job centres, head hunting, careers service or youth
training. Job details and application forms are sent to applicants: the employer will some details
from the employee such as personae details (name, BOB, address), education and qualifications,
work experience, post of responsibility, other interests and the name and contact details of 2
referees.
Applications are sorted out and a shortlist is drawn up this short list is drawn up by the
employer reading the letter of application and CV, discussion of the good points, identifying one
way the application could have been improved, grading of the application (A, B, C or marks out
of lo) and decided which 2 applications are the best and why.
Interview invitations are sent to shortlisted applicants
Interviews take place (and an oral job offer may be made): they take interviews in order
to find out if the person is able to the job well and to find out if the person will “fit” in the
organisation.
Referees are invited to comment if the references are satisfactory, a written job offer is sent
The offer is accepted and a written contract of employment is signed (Montgomery, 2011).
Layout for person specification

Job description This should highlight the major requirements
of the job in a concise format
Activities and market place There should be a brief description of the
environment in which the organisation
operates
Location Applicants need to know the location the
organisation and the location of the job
Salary expectation Figures are not always necessary, but an
indication of the salary level (or a recognised
grade) should always be given
Address and contact This should appear, with a telephone number
if appropriate
Qualifications Certain jobs require a minimum entrance
qualification, which should 1 clearly stated
Experience This should be made clear as it will have a
bearing on the expected salary level for the
job
Fringe benefits The advertiser may wish to mention a
company car, health scheme, ect.
P2. SKILLS REQUIRED FOR SPECIFIC JOB ROLE
Organisation: Tesco PLC

Job Role: Helpdesk Administrator
Job requirements Description of the main
(as detailed on Job
employability, personal
Evidence of how y meet these
Description and/or
and communication skills
skills
Employability skills Employability skills are I
meet the employability skills
those skills necessary for
getting, keeping and being
required them across
experiences in qualifications
successful in a job. To
succeed ¡n the Helpdesk
Administrator position ¡n
Tesco PLC, the candidate
must have Suitable
qualifications. In this job, the
candidate will be required to
have GCSE English at grade
c or equivalent. This is the
minimum criteria which is
essential to be considered
employable by Tesco
I meet the employability
skills required for this job and
have acquired them across
experiences in my personal
life, my work life and through
my education.
I possess the suitable
qualifications which are
necessary for this job. I
have A grades in
English at GCSE Level. This
allows me to meet the
requirements which are
needed to even be considered
for this job.
Through my work life, I have
gained experience in a similar
field/role. I work part time as
an Office Adminstrator in
XYZ agency.
Experience in similar sector
(Administrative experience)
The candidate must also have
experience in the industry.
Administrative experience in
a busy, pressurised
In this job, I carry out roles
similar to the ones which are
a part of the helpdesk
adminstrative role in Tesco

environment is essential for
this job to ensure the person
¡s experienced and suitable
for this job.
(Truong, 2010).
Experience in this field has
allowed me to improve my IT
skills, including
Microsoft suite, something
that
Tesco require for the
application process.. I have
worked in a pressurized
environment and this has give
me valuable insight into how
a busy, successful office runs.
P3. RESOURCES REQUIRED IN THE OPERATION
Physical
At Tesco the building they use ¡s essential towards the day to day running of the business. In
order for the business to provide products and services to its customers they will need different
in-house resources to facilitate the smooth running of the business. A building on its own would
not be enough for the store to be fully operational, they need materials such as; shelves (to
display items), fridges and freezers (to keep cold and frozen items ¡n the right condition until
they are sold), tills (so they have a recorded system of what is sold and how much it costs),
lighting, computers (for administration) etc (De Clercq, Lim and Oh, 2013).
Another physical resource that is required for the operation of the business is insurance,
some insurances are required by law for businesses to have this includes employers’ liability
insurance which provides insurance in case anything happens to employees as a result of the
business, Tesco also pays for public liability insurance that covers any injuries to the public that
are caused by negligence. Building and contents insurance is also necessary to ensure that the
store will not lose too much money if the store is ever damaged, vandalized or stolen from.
Security can be an issue for big companies like Tesco, this is because people find it easier
to steal from big corporations than litt le independent shops, most Tesco shops are open 24/7 so

they hire security staff that are there around the clock, Tesco also uses security cameras and
security tags (on expensive or commonly stolen items) to facilitate the work of the security
guards.
Organisations are required to have policies and provisions for what should happen if an
emergency within the building occurs (Truong, 2010). If an emergency was to happen all the
employees will know exactly what to do, organisations must also have the equipment within the
building ready to use if necessary.
Technological
Tesco uses software that is loaded on to all their technology. The software is the
programe that tells the technological items, like tills, what to do, it is loaded with all the bar
codes of items the store sells which means employees can quickly and easily scan items and the
tills will add it up with the least human labour possible, Tesco would not be able to operate well
if it didn’t have the specific software because the software keeps everything in check with what’s
coming in and what’s coming out.
Experience and skills are necessary for Tesco to work as a business, skills are required
for the higher up jobs in the business such as management. Intellectual property needs to be kept
secret as it is required for Tesco to ensure that new ideas they come up with to improve the store
will not be stolen and used in other competing stores (Ricart and Casadesus-Masanell, 2011)
P4. FINANCIAL SOURCES SELECTION FOR BUSINESS
Retained Profit can be defined as the amount of money that ¡s left over when the all the
overhead and costs of business have been deducted. Retained profit could be used by a business
to pay shareholders as a dividend or to invest in new equipment such as a new state of the art to
make the business more efficient This is a good source of finance for Tesco to use as it is there
for them to use and they don’t need to go to the bank or any other organisation to borrow
money /loan which can be a lengthy process as they will be looking at the financial side of the
business to see whether they would be able to pay the loan back. Also by using profit they won’t
owe any interest to the bank.
Personal Savings can be defined as the amount of personal money that the owner himself
puts into the business. Personal savings could be used by a business to pay staff their wages or to
reinvest into the business to revamp the décor or front house of the store. This is a good source of
finance for Tesco to use because like the previous source; it is there for them to use and they

don’t need to go to the bank or any other organisation to borrow money /loan which can be a
lengthy process as they will be looking at the financial side of the business to see whether they
would be able to pay the loan back. The owner of the Tesco can use his own money in whichever
way he chooses and doesn’t need to get anybody’s approval.
Shareholders can be defined as people who have bought a share/stake within the business
Shareholders may be used by a business like Tesco to invest in new produce or stock for the
business like new food products such as meat and rice or flour, they could also be used to invest
in new tables or chairs for the restaurant, the amount would just depend on how many shares
they sold. This is a good source of finance for Tesco to use as they would not have to get a bank
loan and so would not have to pay interest back. The shareholders could also then help the owner
with the running of the retail store.
P5. CONTENTS OF TRADING AND PROFIT LOSS ACCOUNT
A Trading, Profit and Loss account (Income Statement) can be defined as an account that
highlights a business’s financial performance over a given period of 1 year which includes the
sales revenue, Cost of sales, Gross profit, expenses and Net profit of the organisation or business.
The purpose of the Trading, Profit, and Loss account is to show the business whether or not ¡t
has made a profit or made a loss over that 1 year period thus giving a better insight to the
business owners to see whether the business venture is successful or not and if it’s worthwhile
for them to trade (Truong, 2010). If an owner sees that he/she are making a huge loss then they
may decide to stop trading as the business venture will be deemed unsuccessful as the business
will be losing a lot of money due to making a loss.
P6. ILLUSTRATE THE USE OF BUDGETS AS A MEANS OF
EXERCISING BREAK EVEN
Number of customers in the ratio of Sales Revenue and Total Cost.
50 x £25,000 = £1,250,000
100 x £25,000 = £2,500,000
150 x £25,000 = £3,750,000
200 x £25,000 = £5,000,000
250 x £25,000 = £6,250,000
300 x £25,000 = £7,500,000

350 x £25,000 = £8,750,000
400 x £25,000 = £10,000,000
450 x £25,000 = £11,250,000
As you can see from these results, Tesco only need 350 customers to break even seeing
as the total costs of the store are £8,000,000. Budget at Tesco, like all businesses/charities etc.
have budgets. These budgets are made by looking at how much profit the company makes each
year.
If the store had 400 customers then they would make an extra £2,000,000 a year. This would
mean that their budget would be a lot higher than if they had 350 customers and made £750,000
a year.
P7- ILLUSTRATE THE FINANCIAL STATE OF A GIVEN BUSINESS
Current liabilities
£1,685,838
£7,577 = £222.4
£561,394
£8,968,431 x 10 = 6.25%
Above statement shows the gross profit as a percentage in relation to turnover.
Performance
Sales - £561,394
Total assets - £11,685,838 = £0.05
The solvency ratio indicates whether a company's cash flow is sufficient to meet its short-
term and long-term liabilities. The accomplishment of a given task measured against present
known standards of accuracy, completeness, cost, and speed. In a contract, performance is
deemed to be the fulfilment of an obligation, in a manner that releases the performer from all
liabilities under the contract.
CONCLUSION
According to analysis, it can be concluded that job specification is reviewed and revised;
this will include essential qualifications, essential characteristics, desirable qualifications and

desirable characteristics. Advertisements are designed and placed in appropriate media: they
could advertise the job on notice boards, company newsletters, employment agencies, job
centres, head hunting, careers service or youth training. At Tesco the building they use ¡s
essential towards the day to day running of the business. In order for the business to provide
products and services to its customers they will need different in-house resources to facilitate the
smooth running of the business. Tesco is well focused towards application of technical measures
for continuous improvement.

REFERENCES
Books and Journals
Chaffey, D. and White, G., 2010. Business information management: improving performance
using information systems. Pearson Education.
Montgomery, C. A., 2011. Resource-based and evolutionary theories of the firm: towards a
synthesis. Springer Science & Business Media.
Truong, D., 2010. How cloud computing enhances competitive advantages: A research model for
small businesses. The Business Review, Cambridge. 15(1). pp.59-65.
De Clercq, D., Lim, D. S. and Oh, C. H., 2013. Individual‐level resources and new business
activity: The contingent role of institutional context. Entrepreneurship Theory and
Practice. 37(2). pp.303-330.
Korunka, C., Kessler, A., Frank, H. and Lueger, M., 2010. Personal characteristics, resources,
and environment as predictors of business survival. Journal of Occupational and
Organizational Psychology. 83(4). pp.1025-1051.
Ricart, J. and Casadesus-Masanell, R., 2011. How to design a winning business model. Harvard
business review. 89. pp.1-2.