Functional Areas in Business Organizations and Required Skills for Employees

FUNCTIONAL
AREAS

Table of Contents
INTRODUCTION ..........................................................................................................................3
LO1..................................................................................................................................................3
1. Describe the functional areas in business organisations.....................................................3
2. Explain the type of skills needed by the employees to be able to work effectively in such
functional areas.......................................................................................................................5
CONCLUSION ...............................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Functional areas are the sub-divisions in which all the operations is being performed with
the specialised workforce with the aim of attaining efficiency in them. It is team of employees
that are having similar skills and abilities by which they can attains the desired goal in an well-
defined approach (Tang and et. al., 2021). There are various departments which are operating
such as Human resource, Marketing, Finance, Information technology and so on. For this report,
IMO electronics Ltd is the chosen organisation. As per the case study, John is the 21 years old
and having very little experience as he has just won £10 million on lottery. John has decided to
buy a local venture with the aim of running the company himself. It is the regional organisation
with 200 workers based over two sites in Manchester & Liverpool. Thus, This report will analyse
the different functional area and the type of skills that is needed by the employees to work
properly.
LO1
What is business
It is the separate legal entity which is being operated for the sole of generating the higher
revenue within the organisation so that it can be expanded to the internal boundaries. There are
different types of business which included public venture, private venture and social venture.
1. Describe the functional areas in business organisations.
Every organisation is working with the help of various functional areas and they are
effectively attaining the organisational goal in an effective manner. In relation to IMO
Electronics Ltd, there are functional areas in that people are working with the aim of achieving
the desired goal and they are explains as follows:
 Human resource: This is the functional area in which human resource manager
emphasis on recruiting and hiring the deserving individual who can perform their job
role in well-defined manner (Yan, Hu and Dong, 2021). It is also concerned with
training, development, compensation, leaves and welfare of the employees so that they
can get the positive working environment in order to achieve the desired results of the
company. In context to IMO Electronics Ltd., The human resource manager should hire
the potential candidates who can perform their job role in an appropriate manner and
leads to attains the organisational goal.