Importance of Different Business Functions and Their Relation with Each Others

This document discusses the importance of different business functions such as marketing, finance, human resource, and production, and how they are related to each other. It highlights the roles and responsibilities of each department in achieving organizational goals and increasing sales. The document emphasizes the need for cooperation and communication among functional units for better outcomes.

Graduate Challenge

Executive summary
Functional units of organization play an important role. Different functional department
like marketing, human resource, production and others have their different responsibilities.
Overall, they want to help company in accomplishing their goals and increasing sales. For this
purpose, all functional units work closely with each other’s and by exchanging information they
accomplish their individual as well as common goals.

Table of Contents
MAIN BODY..................................................................................................................................3
Importance of different business functions and their relation with each others..........................3
REFERENCES................................................................................................................................5

MAIN BODY
Importance of different business functions and their relation with each others
Organizations of different sectors have several departments, which have different roles and
responsibilities such as:
Marketing: Marketing is one of the effective departments that are responsible for promoting
products of organization and attracting customers towards buying products.
It helps company in increasing sales by attracting customers and promoting products of
company.
Finance: This department is responsible for acquiring funds, managing them and planning for
expenditures of funds.
It manages funds and Help Company in taking strategic decision by providing important
information (Ekpo, Etukafia and Udofot, 2017).
Human resource: This department performs several functions and the main responsibility of
this department is to manage people by recruiting skilled workforce, training to them,
performance appraisal and motivating them.
This department helps company in accomplishing their goals by motivating skilled
workforce towards them.
Production: This department is responsible for producing qualitative products which is the main
key of satisfaction of customers.
It is the main functional area that helps company in providing qualitative products to
customers and increases their experience.
Interrelation of all functions: For better outcomes, all functional units have to cooperate
with each other’s and they are connected with each others such as:
Marketing and production: Marketing department interact with customers and gather
information like their needs, current market needs and others. They also promote goods of
company and try to attract customers. Whereas, production department is responsible for
producing products in an effective manner. For better outcomes and satisfying customers,

marketing department communicate with production department and provide all information of
customers to them. On the basis of customers’ information, production department produces
goods as per the needs and taste of them. When customers receive products as per their
requirement then it makes them feel valued and they are more likely to stay with brand (Attri and
Grover, 2017). So, it can be said that there is requirement of communicating all functional
department with each others for getting information and performing functions in a better way.
HR and finance: HR is a group of people which is mainly responsible for hiring skilled
employees within an organization. Rather than this they perform several other functions like
providing training to them, performance appraisal, providing rewards and motivating them.
Overall it can be said that they manage people and make them able to stay with the company for
the long run. Whereas, finance department is responsible for managing funds. They have to make
financial statement in which they have to add all information related to fund. They provide fund
or financial resources to all departments. For performing functions, HR department has to
interact with finance and they have to give al information about their functions and required
finance. On the basis of information and detailed analysis, finance department provide fund and
manage them accordingly. So, it can be said that there is interrelation of functional department.
Both departments of Tesco closely work with each others and it is the reason, Tesco is well
organized and managed retailer.

REFERENCES
Books and Journals
Attri, R. and Grover, S., 2017. Analysis of quality enabled factors of production planning system
stage of production system life cycle using interpretive structural modelling
approach. International Journal of Productivity and Quality Management. 22(1).
pp.22-41.
Ekpo, N. B., Etukafia, N. and Udofot, P. O., 2017. Finance manager and the finance function in
business sustainability. International Journal of Business, Marketing and
Management. 2(1). pp.31-38.