Significance of Business Functions and Interrelationship

This document discusses the significance of different business functions and their interrelationship in the context of NHS. It explores the importance of marketing, finance, operations, and human resources in achieving the goals of NHS effectively and efficiently.

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TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
Evaluating significance of the various business functions and interrelationship between them
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REFERENCES................................................................................................................................3

INTRODUCTION
Evaluating significance of the various business functions and interrelationship between them
There are different functions that are been performed within NHS for attaining growing success
in the long run and in achieving the goals effectively and efficiently. Several business functions
that plays a crucial role in the working of NHS.
Importance of different business functions are as follows-
Marketing- It acts as the most essential department as it plays an important role in
respect of creating the relationship and awareness between NHS and the costumer. This function
helps in developing such strategies which results in fulfilling the needs and the desire of the
customers (Saebi and Foss, 2015). Under this department various communication tools are been
used like sales promotion techniques, advertising for the purpose of promoting the products of
NHS in the overall market which in turn leads to wide market capture (Bustinza and et.al., 2015).
Finance- In the business, finance department acts as the lifeblood as it deals with
acquiring and the utilisation of the funds which are essential for running the operations
efficiently (Noe and et.al., 2017). It helps NHS in allocating the funds in an effective manner so
that large profits could be generated. This function assist the organization in determining the
requirement of the funds and the sources of the finance through which the funds need to be
raised.
Operations- It acts as the centre for an NHS as it oversees several functions of business
and is considered as the mechanism for controlling the activities of its business. It is counted as
function that connects all the facets of business that is starting from the HR function to the
finance department (Bidmon and Knab, 2018). It plays a crucial role in ensuring the timely
delivery of products by converting the raw material into the finished product optimally.
Human resources- This function directly throw light on the internal weaknesses and
strengths of the NHS (Reim and et.al., 2017). It plays a critical role in motivating the employees,
recruiting and selecting the best candidate for running each and every department effectively
(Huemer, 2017).
Interrelationship between different business functions-
Without marketing, all the other department cannot be able to function smoothly as it
provides the HR department in recruiting the right talent, finance department in allocating the
funds within the profitable channels and production department in producing the quality product
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in accordance with the taste and preferences of the customer (Kim and Lui, 2015). For
instance- NHS spends a huge expense on its marketing function in order to create brand image
across the world and in promoting its services so that more and more awareness could be
developed.
In order to carry on the routine activities of the production department, finance plays a
crucial role without funds products cannot be produced (Fareri and et.al., 2018). Similarly,
Human resource and the marketing function also highly depends upon the finance function in
terms of developing competitive strategies, training of the employees etc.
Without adequate production, customer demand cannot be met and for producing the
product efficiently, skilled human resource is needed. Human resource department assist NHS in
evaluating the performance of its employees and providing them with proper training for making
further improvements and in bringing efficiency in the production process.
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REFERENCES
Books and journals
Bidmon, C. M. and Knab, S. F., 2018. The three roles of business models in societal transitions:
New linkages between business model and transition research. Journal of Cleaner
Production. 178. pp.903-916.
Bustinza, O. F. and et.al., 2015. Servitization and competitive advantage: the importance of
organizational structure and value chain position. Research-Technology
Management. 58(5). pp.53-60.
Fareri, S. and et.al., 2018. Workers 4.0: skills, profiles and jobs in different business
functions. Economy, employment and skills: European, regional and global perspectives in
an age of uncertainty. p.95.
Huemer, L., 2017. Strategizing in horizons and verizons: Distinguishing between mediators and
firms’ mediating functions. IMP Journal. 11(2). pp.274-288.
Kim, Y. and Lui, S. S., 2015. The impacts of external network and business group on
innovation: Do the types of innovation matter?. Journal of Business Research. 68(9).
pp.1964-1973.
Noe, R.A. and et.al., 2017. Human resource management: Gaining a competitive advantage.
New York, NY: McGraw-Hill Education.
Reim, W. and et.al., 2017. Implementing sustainable product–service systems utilizing business
model activities. Procedia CIRP. 64. pp.61-66.
Saebi, T. and Foss, N. J., 2015. Business models for open innovation: Matching heterogeneous
open innovation strategies with business model dimensions. European Management
Journal. 33(3). pp.201-213.
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