Functional Areas of Business and Skills Required by Employees

This report discusses the key functional areas of business, including marketing, finance, human resources, customer service, research and development, and sales. It also outlines the skills required by employees to work effectively in their respective functional areas. The report is aimed at John, who is planning to run a local company named IOM Electronics Ltd.

Functional Areas

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
What is Business..........................................................................................................................3
Functional Areas of Business - Definition...................................................................................3
Key Functional Areas of Business...............................................................................................3
Various Functional Areas in Business.........................................................................................4
Types of skills needed by employees to work effectively in their respective functional area.....5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................1

INTRODUCTION
Business Function refers to the set of activities performed by the business organisation in
order to attain the business objective. This functions helps to run organisation in effective
manner and help in serving best to its customers, stakeholders, shareholders and employees. It
plays a vital important role in performing the day-to-day business activity. As it provide
vocabulary and suggest the framework to perform the business activity.
The main aim of report is to consult John, who has decided to buy a local company
named IOM Electronics Ltd and which is going to be run by himself. It defines the key
functional areas as well as various functional areas like marketing, finance and other. Report also
suggest him about the skills required by the employee to work effectively in their respective
functional areas.
MAIN BODY
What is Business
Business refers to organisation or entity engaged in industrial, commercial or professional
activity. It can be both profit making entity or not for profit entity (Sheth, 2020). IOM
Electronics Ltd. Is the business entity involve in sales and service of essential electronics goods
as well as service at two sites Manchester and Liverpool.
Functional Areas of Business - Definition
Functional area of business refers to the person, group of person, area or department
which is involved in particular business function like sales, marketing or others. Teams of
employees who have similar skills and expertise work together in order to meet the goal of their
respective functional areas (Brown, 2018). For example: Finance department of organisation
look into the financial activity and to utilize the financial resources in effective manner.
Key Functional Areas of Business
Key functional areas of any business organisation are its general functional areas. Its
include; Finance, Human Resource, Marketing, Operation, Sales, Research and Development.
Each of the functional area carrier out the work or task related to their department. The main
purpose is to ensure that business activity should be performed in efficient way (LeMaster and
et.al, 2020).

Various Functional Areas in Business
 Marketing: Marketing function refers to set of activities or tools related to creating the
effective communication, exchange and deliver the value for others. It brings value to the
customer, its aim is to identify, satisfy and retain. Marketing department is more
concerned in satisfying the customers needs in best price set.
The marketing department of IOM Electronic Ltd has to try best in order to promote, design and
update website of the organisation. They perform proper analysis and accurate market research to
advise their senior manager for further implementation and results.
 Human Resource: Human Resource department play a key role in reinforcing,
developing and in changing the culture. It is engaged in searching as well as screening,
recruiting and further in training as well as development. They are also involved in
maintaining the relations with employee, payroll and benefits.
Human resource department of IOM is responsible for recruitment of new employee and
ensure that they are best suits to their field and job. The HR Department also perform planning,
controlling, directing and organizing. They interact with customers, vendors, manufactures as
well employee in order to function effectively.
 Customer Service: Customer Service is engaged in helping the customers. They solve
the customers question, complaints, provide them information related to the product and
service, take online orders and process returns. It is function used to manage the
relationship between the customers and business.
The customers of organisation like IOM Electronic Ltd have high expectations from the
company. So they must look after their client concern and do the best possible in minimum time.
The company is engaged in sells and manufacture of electronic goods should employee technical
specialist and engineers to assist the customers with their complain.
 Finance: Finance Department is that essential part of organisation, without appropriate
funds nothing is possible. It is responsible for collecting the funds, managing those funds
within the business operations and furthermore planning for expenditure on various assets
(Nawaz and Koç, 2019).
IOM Electronic, finance department looks after the generation of invoice, check that payment is
received on time. The employee in finance department are also responsible for checking that
payment is received or not, if received than it is as per invoice or less. The manager in the

department also prepare the report and submit it to top management in order to suggest the
appropriate method of capital expenditure.
 Research and Development: Research and Development is valuable function for
business organisation to improve and growth. It involves the research related to market
and customer demand or needs in order to develop product and services which satisfy the
customer needs.
The Research and Development of IOM Electronic is controlled by Chief Technology Managers.
They look after software, products and on other aspect. Chief Technology Managers are
responsible to provide the best result as it is lifeblood for company. All the strategies and
planning is done on base of the report submitted by department.
 Sales: Sales plays a vital important role for every business entity. It is involved in
building the trust and loyalty among the business and its customers. The positive
interaction at time of sales encourages the customers to suggest his/her friend or family.
It impacts on growth of business and increase the brand-awareness and sales.
Sales in reference to IOM Electricals, it is found that customers demand for quality product and
contact to sales person to get an idea about the use and quality of product. Moreover, they also
suggest them best according to their budget and needs.
Types of skills needed by employees to work effectively in their respective functional area
 Skill required by Marketing Employees: The skills required by the employees
of marketing department include; good communication skills, creativity,
leadership, adaptability and many more. Employees of marketing department in
IOM Electrical required the skills like flexibility and adaptive management style,
vision and mission strategic planning, data analysis, interpretation and technical
competency.
 Skills required by Human Resource Employees: The good HR have the skills
like time management, communication, team-worker, problem solving and
leadership. Skill needed by Human resource employee in reference to the
organisation it must have the ethical action, commitment and proper planning and
goods towards the employee of the organisation (Netherton and Goldstein, 2017).
 Skills required by Customer Service Employees: The employee who are
engaged in providing customer service must have good communication skill,

command over the language, use of positive language. It is also important that
employee must have the full knowledge of organisation and its product as well as
service in which it deals. The customer service employee in IOM electrical are
technical assistant and engineers. They assist the employees through their learning
and practical skill. They are majorly involved in providing the detail of the
product and how to use it.
 Skills required by Finance employees: The basic skill needed by the employee
of finance department are; interpersonal skills, formal qualification, analytical
skills and many more. Mainly these employees are CA or professional in field of
accounts and finance. The finance employee in IOM Electrical have problem
solving skill and knowledge of IT software to perform the financial task. Proper
management of experience and keep employee updated with the organisation
requirement.
 Skills required by Research and Development Employees: The employees
who are engaged in research and development department mush have the skills of
proper communication, reasoning and thinking skills. In order to keep the
organisation updated in terms of market situation and scenarios. It is important
that employee must posses the analytical skills and keep utilizing them in
effective manner to serve the organisation in the best possible way (Wasilewska-
Błaszczyk and Mucha, 2020).
 Skills required by Sales Employees: Sales employees needed number of skill in
order to prove themselves as good salesman. The sales personnel of IOM
Electrical Ltd requires the skill of objection handling and public speaking. They
should give importance to customer feedback provided by them and working on
those feedbacks to serve customer better. Sales personnel of organisation with
their effective working skills or style can help organisation to develop and grow
in short period.
CONCLUSION
From the above discussion it is said that IOM Electrical Ltd can grow and develop in
short period only when the employees coordinate properly among themselves. Because all the
functional department are interlinked with other and for successful operation coordination among

all the department and employees it is important. John with a view of running the organisation
himself has to focus on all above discussed function and skill needed by the employee in their
respective department. He has to perform the proper market research and according to result it
has to start the operations. The Research and development team has to work continuously to
come up with innovations in order to assist the company to grow and develop. In order to serve
the customer in the best manner they have to work on feedback given by the customer regarding
the product or service. Then only its success will be possible and result in ease operations.

REFERENCES
Books and journals
Brown, S.P., 2018. Business Processes and Business Functions: a new way of looking at
employment. Monthly Lab. Rev.131. p.51.
Labaš, D., and et.al., 2018. Evolving Crisis Management-Current Jobs and Required Employee’s
Skills and Characteristics Analysis. In 6th International OFEL Conference on
Governance, Management and Entrepreneurship. New Business Models and
Institutional Entrepreneurs: Leading Disruptive Change. April 13th-14th, 2018,
Dubrovnik, Croatia (pp. 524-582). Zagreb: Governance Research and Development
Centre (CIRU).
LeMaster, and et.al., 2020. Early Integration of the Functional Areas of Business: Using a
simulation-based approach to teaching introduction to business. BUSINESS AND
BEHAVIORAL SCIENCES TRACK SECTION OF DEANS & ACCREDITATION,
INTERDISCIPLINARY, AND LEGAL STUDIES. 7(8). p.74.
Nawaz, W. and Koç, M., 2019. Exploring organizational sustainability: Themes, functional
areas, and best practices. Sustainability. 11(16). p.4307.
Netherton, B. and Goldstein, A., 2017. IOM Instrumentation Layout and Electrical Interference.
In Monitoring the Nervous System for Anesthesiologists and Other Health Care
Professionals (pp. 253-268). Springer, Cham.
Sheth, J., 2020. Business of business is more than business:Industrial Marketing
Management. 88. pp.261-264.
Wasilewska-Błaszczyk, M. and Mucha, J., 2020. Possibilities and limitations of the use of IOM
Product, Pacific Ocean. 10(12). p.1123.
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