Functional Areas in Business Organizations and Required Skills for Employees

This report analyzes the different functional areas in business organizations and the type of skills that are needed by the employees to work properly. It also discusses the case study of IMO Electronics Ltd.

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.

 Marketing: It is the functional areas which is concerned for promoting the products and
services by attracting the large group of customers so that higher profitability and
revenue can be generated within the organisation. Now a days, there are various digital
marketing techniques such as social media marketing. E-mail marketing, content writing
and so on. In context to IMO Electronics Ltd., marketing manager is emphasising on
promoting their brand by which they can they attract the large group of potential
customers so that they can earn higher profits and revenue. They can use social media
marketing, email marketing in order to have the large customer base by which they can
have higher growth in the market.
 Finance: This is the functional areas that is concern for procuring and accessing the
funds in the different departments so that resources can be rightly utilised with the aim of
generating better outcome within the organisation(Tiger and Effertz, 2021). They can
hire the few people who can manage the invoices or as complex as a team of individual
who are performing their task in making better results in the finance department. In
context to IMO Electronics Ltd. The finance manager can access the funds from the bank
or their shareholders by which all the other functions can be operated in an appropriate
manner.
 Information technology: It is the unit which is concerned for building communications
network for a venture which is safeguarding the data and the information, creating and
administering database. It is also concerned for ensuring the efficiency and security of
business information. In an organisation, IT department helps in accomplishing the
various task in an easy manner also connects the different department with single
networks(Fukui, 2020). In context to IMO Electronics Ltd., IT manager should use
advance technology in order to get effectiveness in their functional areas.
 Production: It is the department which is concern for converting the raw material into
finished goods and sell them in the market place. This is the action of manufacturing
goods with the help of raw material with the aim of generating higher sale in the target
market(Meeker, 2020). In context to IMO Electronics Ltd., They can ensure the proper
availability of raw material so that production can be done on the faster scale and they
contribute to the growth of the company.

2. Explain the type of skills required by the worker to be able to work effectively in such
functional sections.
Each functional areas requires the efficient and specialised employees who can perform
their their job role in an effective manner with aim of achieving desired goals. In consideration
of IMO Electronics Ltd., there are integrated set of skills that is required to perform various task
in functional areas and they are explained as follows:
 Communications skills: It is the means of sending or receiving information with the
help of computer and phone lines or exchanging the information by speaking, writing or
using other other medium of communication in order to have better results with the
organisation(Tiger and Effertz, 2021). It can be verbal, non-verbal and make understands
employees about the information so that all the task can be performed in an appropriate
manner. This also helps employees to have proper coordination and corporation with the
exchange of ideas and though with each other. In context to IMO Electronics Ltd.,
effective communication helps in having the better coordination among the employees by
which they can achieve the goal of the organisation.
 Teamwork: There are various departments which are working for the growth and the
success of an organisation. Team is the group of people who are working with the
individual who are having same skills and area of interest so that goal can be rightly
achieved. Effective teams can be formed by having coordination and the effective
communication among the staff. In context to IMO Electronics Ltd., group of people can
effectively work towards the group goals within the organisation.
 Problem solving and decision making: An employees must be good optimiser as they
are good enough to have the better decision making by analysing the business
Key Functional Areas

environment so that better results in the departments(Sadewo and et. al., 2021). Manager
of the company will take the better decisions by identifying the deviations from the
operations. In context to IMO Electronics Ltd., Employees should have problem-solving
skills by which they can take the critical decision in difficult situation. This also helps in
having the better results towards the efficiency of the employees within the organisation.
 Flexibility: It is the main aspects in which the employees must have the ability in which
they can change themselves according to the situations. This also helps in adjusting the
individual according to the situation so that they can handle it properly with the aim of
having positive results within the organisation. A rigid person can not adopt the changing
environment which leads to have the adverse results within the organisation. In context to
IMO Electronics Ltd., flexible employees agree to adopt the change within the
organisation so that they can have the right approach in performing various tasks.
 Integrity: It is the inherent attribute of the individual that helps in adopting the better
approach in the market in order to have the honesty at the workplace. it defines the
honesty of the individual which is being taken for the further implementation for the
action of course(Yang, Dokovna and Burwell, 2021). In context to IMO Electronics Ltd.,
Honest integrity helps the individual to have the better approach towards performing their
functions in an appropriate manner. It is the main consideration of the employees to have
better results within the organisation that helps in attaining the goal of the company.
CONCLUSION
It is concluded from the above report that functional areas plays ans significant role in
developing the overall efficiency of the employees. There are various departments such as
human resource, marketing, finance and production that are contributing to the growth of the
business. Moreover, various skills are needed for the employees which are team working,
effective communication, integrity that helps in effective working of the employees so that the
desired objective of the company can be attained in an well-defined manner.

REFERENCES
Books and Journals
Fukui, H., 2020. Policy-making in the Japanese foreign ministry. In The foreign policy of
modern Japan (pp. 3-36). University of California Press.
Meeker, K.L., 2020. Preservation of Functional Organization in Alzheimer Disease (Doctoral
dissertation, Saint Louis University).
Sadewo, E. and et. al., 2021. Using morphological and functional polycentricity analyses to
study the Indonesian urban spatial structure: the case of Medan, Jakarta, and
Denpasar. Asian Geographer, 38(1), pp.47-71.
Tang, X. and et. al., 2021. Effects of functional groups of–NH2 and–NO2 on water adsorption
ability of Zr-based MOFs (UiO-66). Chemical Physics, 543, p.111093.
Tiger, J.H. and Effertz, H.M., 2021. On the validity of data produced by isolated and synthesized
contingencies during the functional analysis of problem behavior. Journal of Applied
Behavior Analysis, 54(3), pp.853-876.
Yan, M., Hu, Y. and Dong, X., 2021. Managing complementary assets to build cross-functional
ambidexterity: The transformation of Huawei Mobile. Management and Organization
Review, pp.1-34.
Yang, F.C., Dokovna, L.B. and Burwell, R.D., 2021. Functional differentiation of dorsal and
ventral posterior parietal cortex of the rat: implications for controlled and stimulus-
driven attention. Cerebral Cortex.