Functional Areas in Business Organisations

This report discusses the various functional areas in business organisations and the skills needed by employees to work effectively in these areas. It focuses on IOM Electronics Ltd, a small electrical company, and highlights the administration function, customer service function, distribution function, finance function, HR function, and ICT function. The report also emphasizes the importance of time management skills, team-building skills, analytical skills, and financial management skills for employees in these functional areas.

Functional areas

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Describe the various functional areas in business organisations................................................3
Describe the types of skills needed by employees to be able to work effectively in these
functional areas...........................................................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7
Books and journals ..........................................................................................................................7

INTRODUCTION
A business organisation operates its various activities by dividing up of respective tasks
of an organisation into various departments. A manager or a leader of a business firm ensures
effective coordination between its departments for regulating effectiveness of respective effort
being produced by various individuals working in an organisation (Kasaev, Petrovskaya and
Kasaev, 2019). The present report is based on operational working of IOM Electronics Ltd, it is a
small electrical company that have employee count of 200 employee and has well established
two sites in Liverpool and Manchester. This meta-analysis will highlight various functional areas
as well as various skills required by employee for effectively working under such functional
areas of the chosen organisation.
MAIN BODY
Describe the various functional areas in business organisations.
Considering a large business organisation, it is easier to identify separate functional areas
as these kind of organisation is usually supported with various departments. These department
are being assigned a task as per their professional skills and knowledge and are being
coordination as well as monitored on a regular basis (Laurent and Leicht, 2019). This ensures
effective as well as timely completion of work of an organisation, by ensuring completion of
respective personal goals of respective staff along with completion or organisation goals and
objectives of a particular organisation. In regards to selected firm i.e. IOM Electronics Ltd,
company being a small scale enterprises, that conducts various operational tasks within the
boundaries of the nation (Cho, Kim and Jeong, 2017). Management department of the business
firm divides various tasks of an organisation into respective functional areas. These functional
areas with respect to chosen firm are as follows:
Administration Function: This function in an organisational structure relates with
dealing with regular operational function of a business firm. It is an inclusion of checking
corporate mails, monitoring operational tasks, bringing in flexibility of efforts being produced in
an organisation and many more. In context to chosen business firm, managers and leaders of the
firm dedicate its pure dedication in conduction of administration function in the respective
organisation. It helps in bringing in flexibility of efforts being produced in a business firm and
also ensures motivated working environment of the workforce. With addition to that, it enables

firm to establish better goodwill in its given marketplace which enhances sales activities of the
firm for a longer period of time.
Customer Service Function: This element of business function relates to providing
quality of customer service to valuable customers of company in its given marketplace.
Operating in today's business environment is no joke for an operational management of a
business firm. Managers and leaders of the firm along with various uncertainties, has to face
brutal competition from another company's dealing in similar marketplace and delivering with
same product or services to various consumers (Webb, 2017). In regards to chosen firm,
managers of the firm uses this tool for bringing in uniqueness of product as well as service being
delivered by the company to its valuable customers. It helps in forming up of good reputation of
company's product, as it becomes more responsive in customer's feedbacks and also makes
necessary changes in quality of product or services as per demands of market customers.
Distribution Function: This function of a business enterpriser relates to delivering up of
good and services of company at right time, place and right condition in given marketplace of the
workforce. It is an important task before management of a workforce to distribute various
products and service to its customers effectively, as ineffective distribution function could lead to
wastage of raw materials or sometimes also leads to loss situation for the organisation. In regards
to selected firm, concerned department of business firm ensures effective conduction of
distribution function in an organisation. It helps workforce to function more effectively in given
business market and also ensures better cost control methods for a business firm.
Finance Function: It is one of important function that is concentrated by concerned
management of every business firm. It relates to proper utilisation of financial resources of a
firm, which directly related to providing up of adequate resources for conducting every activity
of an organisation. With relation to chosen enterprise, high level authority of business firm
provides and sets up proper budget plans for regulating important operational activity of the
business firm.
HR Function: This function relates to managing human as a resource working in an
operational firm. It is an inclusion of managing human as a resource working in a organisational
structure (Morgeson, Brannick and Levine, 2019). In relation with selected firm, managers of the
firm regulates effective HR functions in an organisation to ensure proper coordination of efforts
and avoids wastage of individual efforts as well as resources of organisation.

ICT Function: It includes using up of technological means to conduct respective
operational activity of a business firm. By using innovative technologies, various business
activities of an operational firm gets a boost and helps manager of a firm to attain respective
goals and objectives of the firm. In regards to chosen business firm, operational activities of the
firm in order to deal with internal as well as external factors effecting business firm uses this
innovative function to keep business activities up to date with market customers trend.
The above mentioned functional areas of the business firm allows, managers and leaders
of the firm to deal with various business environment uncertainties present in the given market of
a business firm. With addition to that, it also ensures better functioning of a firm with existence
of various internal as well as external factors affecting operational working of a business firm.
Describe the types of skills needed by employees to be able to work effectively in these
functional areas.
After determination of various functional areas within a business organisation, next step
of concerned authorities of a business firm is to develop skills of various staffs working in an
organisation. In respect to chosen firm i.e. IOM Electronics Ltd, pure dedications are being made
by respective managers and leaders of the firm to develop as well as update core strengths and
skills of different employee working in an organisation. Different types of skills needed by
employee for carrying operational activities effectively of a business firm within these functional
areas are as follows:
Time management skills: This is one of the most important skill that is required by
respective staffs working in an organisational structure. It includes operating various activities in
an organisation keeping in mind time as an important resource for a company. In regards to
selected firm, managers as well as leaders of the firm conducts operational activities of the firm
ensuring better utilisation of time resource of the business firm. Developing these skills in
respective staff helps firm to deliver best quality products as well as services to their customers
at right time.
Team-building skills: This skill includes carrying respective activities of a business firm
by ensuring a team approach rather then an individual approach in an organisational structure. In
relation with chosen firm, various operational tasks in an organisation is being taken place by
various staffs as a team effort (Murray-Smith and Johansen eds., 2020). It helps in attaining
objectives of the firm more effectively.

Analytical skills: This type of skill is an inclusion of analysing available data as well
information useful for conducting operational tasks of an organisation. With addition to that,
these skills also includes problem solving as well as correct decision making in respective
business situation. Operational management of the chosen firm ensures presence of these skills in
respective employees working in the workforce. It helps firm to use their resource effectively
and ensures better productivity of the firm.
Financial management skills: This type of skills relates to managing finance as a
resource in a business firm. It is being said that, if financial resources of a firm is being managed
effectively in an organisation there are 90% chances of being a firm to successfully attain its
objectives at given time period. In context to chosen organisation, managers as well as leaders of
the firm ensures using these resource effectively. This helps firm to operate its desired
operational activities with full freedom and perform its innovative activities in respective
working structure of the firm.
Operational management of IOM Electronics Ltd, ensures availability of such skills in
various staffs working in an organisational structure. This helps business firm to deal with
regular fluctuations in business environment and also protect firm from respective internals as
well as external factors affective effective working of a business firm.

CONCLUSION
From the analysis of above report, it can be concluded that, a business organisation
regulates its respective business activities by performing respective operational functions. This
helps business firm to successfully attain business objectives and goals in given time period and
by also without hampering quality of efforts being produced in an organisational firm. With
addition to that, respective employee skills needed for effectively working in these functions are
being stated in this research paper.

REFERENCES
Books and journals
Kasaev, B. S., Petrovskaya, M. V. and Kasaev, M. B., 2019. Innovative approaches to business
managing functional areas in a territory. Industrial Engineering & Management
Systems, 18(3). pp.440-453.
Laurent, J. and Leicht, R. M., 2019. Practices for designing cross-functional teams for integrated
project delivery. Journal of Construction Engineering and Management. 145(3).
p.05019001.
Cho, J., Kim, E. and Jeong, I., 2017. International orientation and cross-functional integration in
new product development. Asian Business & Management. 16(4). pp.226-252.
Webb, S. P., 2017. Knowledge management: Linchpin of change. Routledge.
Morgeson, F. P., Brannick, M. T. and Levine, E. L., 2019. Job and work analysis: Methods,
research, and applications for human resource management. Sage Publications.
Murray-Smith, R. and Johansen, T. eds., 2020. Multiple model approaches to nonlinear
modelling and control. CRC press.