Role of HR, Marketing and Finance in Business Studies

This report discusses the role of HR, Marketing, and Finance in the field of Business Studies. It covers the importance of these functions in the smooth functioning of a company like TESCO. The report also explores collaborative working practices and the concept of financial management.

INTRODUCTION TO
BUSINESS STUDIES
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EXECUTIVE SUMMARY
In order to perform business it is very essential that there must be an inculcation of
performance of various important functions including marketing, HR, finance and various others.
This report will discuss about the concept of various important business function including
marketing, finance, human resource that will assist the company including the TESCO to move
and head towards the direction of its objectives. This report will also cover the concept of
collaborative working practice that how the work in the form of collaboration with each other is
performed in the organization. This is being supported with the cultural model of Handy’s that
deals with the importance of organizational culture and its importance towards the company.
Lastly, this report will cover the concept of financial management and its associated concepts
that enable the companies consisting TESCO to have a control over its financial operation along
with its performance and monitoring.
Table of Contents
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EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................2
MAIN BODY..................................................................................................................................2
Role of HR, Marketing and Finance function.............................................................................2
Collaborative working practices..................................................................................................3
Financial management.................................................................................................................5
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8
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INTRODUCTION
HR, Marketing and finance are the important functions of the TESCO that enable it to
operate the smooth functioning of the business operations. As TESCO is one of the top retailing
company of UK so it the above function plays an important role in its business operation. These
functions make the company to create awareness among the customers related with its products,
availing the availability of finance along with maintaining the workforce. Likewise, the financial
management practice of the TESCO enables it to have an evaluation of the financial position.
Like other factor collaborative working practices including the culture of the company also assist
it towards the direction of the achievement of the company’s goal.
MAIN BODY
Role of HR, Marketing and Finance function
Since the Tesco operate its function by differentiating its work within different
departments. Its major department includes:
Human resource:
It is one of the major department and function of the company that handle every activity
related with the workforce and employees. This department is solely concerned with employees
and their related activities (Norton, 2017).
Role:
HR perform the role of attracting the employee towards the company so that the
company’s vacant position can be filled. Like attracting they also perform the role of selecting
the employees so that most suitable candidate will be selected and placed in the company
(Goswami, 2018). It is to be noted that their role is not only limited up-to the hiring and
selecting, but they also perform the role of performance appraisal whereby they evaluate the
employee’s performance along with raising it with the implementation of training session in the
company. Likewise, HR in TESCO is also responsible for the performance of the above roles so
that it can perform its operation in an efficient manner along with management of its business
operation with the efficient workforce.
Marketing:
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It is an important department of the company that enable it create awareness about its
products in the market. This department is responsible for the raising of sales along with brand
image of the company (Lasrado, 2019). In simple words, this function includes the activities that
is concerned with the company in respect of selling of product and services.
Role:
Marketing plays an important role in TESCO because it enables it to have access over
broad coverage over its customer. TESCO being a company operating at global level, marketing
enables the company to have access along with grabbing of customer. Marketing can also be
performed with through the digital and social media modes (Rangaswamy and et.al., 2020).
TESCO uses various modes of marketing including the social media where it uses social media,
digital media including the use of digital media and traditional marketing too. Through
marketing it makes communication with its customers and create its brand awareness. Marketing
enable the TESCO to create knowledge regarding its new and upcoming products along with
assisting it to raise awareness regarding its existing policies and discounts.
Finance:
This is also an important function of company that ensure availability of finance and
money within every department of the company so that the activities of the company would
being performed without any inadequacy (Pretorius, 2020).
Role:
This function plays an important role in terms of ensuring availability of finance for the
operation of the activities of the company. All the decision related with investment, financing
and distribution of dividend are concerned with the finance department (Tumbas, Berente and
vom Brocke, 2017). However, in case of TESCO the finance function makes the smooth
operation of its activities by enabling adequate distribution of finance within its department.
Likewise, due to broader spreading and diversification of the department of TESCO, an adequate
availability of finance would make its easy operation.
Collaborative working practices
Organizational culture:
It refers to the culture of the organization or the collection of the values, practices and
expectation that act as a guide for the action of the team members.
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This is highly dependent upon various factors including size, location or beliefs of the
employees of the organization. This can be understood as if the location of the company would
be in such country where the culture is spiritual then it will make the culture of the organization
as religious.
Organizational culture can also be defined with Handy’s model of culture. As per this
model there are majorly four types of culture:
Power:
As per this culture power is remained in few hands and they will control the entire
organisation.
Task:
It is usually adopted where the work is done in the form of task by the team.
Person:
Followed by those organizations where the people are more important and above the
company.
Role:
Delegation of roles and responsibility as per the specialization of an individual.
Organization culture of TESCO:
Culture refers to the belief or the way in which the people live. With reference to
organizational culture it includes the culture of the workplace in terms of positive and healthy
work culture (Domańska-Szaruga, 2020). In case of TESCO it usually follows a role culture
where roles and responsibilities are assigned as per specialization of an individual.
The culture of the TESCO is a truly supporter of collaborative working practice in terms
of supporting the individual or the co-employees or the workers. Since, it has a role culture so it
truly makes distribution of role as per the specialization which will direct have a support of the
collaborative working. Due to operation of work as per specialization the performance of
TESCO is also raised which shows its clear incubation of role culture.
Leadership style:
There are majorly three types of leadership styles:
Autocratic:
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Majority of decision are taken by a single individual. Decision making authority is in the
hand of a sole person.
Democratic:
Decisions are taken with the consideration of the views of the employees (Al Khajeh,
2018). Power is distributed at various level of department.
Laisse faire:
Whole power is distributed among the employees.
TESCO usually follow and operate its business function on the basis of following of
democratic leadership style wherein it distributes some power among different department. As it
performs its function in a distribution of various department so implementation of democratic
leadership would enable it much better performance. Likewise, it takes decision on the basis of
employee’s consideration and consultation.
Since, collaborative working environment consist of enabling support to employees and
professionals with regard to their work so an inculcation of democratic style of leadership by
TESCO enable it to fully justify this concept. This means that this style is a true supporter of the
collaborative working whereby employee’s ideas will be considered while taking decision and
thereby enabling co-operation of work.
Financial management
There are different types of documents that are used by the company to evaluate their financial
performance. There documents broadly include:
Profit and Loss account:
It is one of the important statement that enable the company to have an analysis of its
financial performance in terms of profit earn or the loss incurred by the company (Profir, 2017).
In simple words this document helps in analysation of profit and loss with respect of the
company. This document act as a base by which company can evaluate that whether they are
going in a right direction or not. This means through this document every company including
TESCO too cam analyse that whether their activities or the operation leading the company
towards the direction of the achievement of its goal or not. This is counted as an important
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document because through this statement company can analyse its actual profit or loss so that bit
can plan it’s future course of action.
Balance sheet:
It is also a financial statement that is concerned with the reporting of asset, liabilities and
shareholder’s equity at a specific point of time. It is an important statement because it helps in
evaluation of rate of return along with capital structure (Hoitash and et.al., 2018). As it is
prepared at the end of the financial year or on a quarterly basis so it helps the company to have
an evaluation of their assets and liabilities at that specific point of time. It is an important
statement for TESCO because through this statement it can check it’s financial position on a
specified date. Balance sheet also provides a snapshot to the TESCO regarding the position of its
equity along with assets and liabilities.
Cash flow statement:
It is an important financial statement which provides the information about the cash
inflows and outflows. Through this statement companies can determine that how much cash is
coming in the company and how much It is going out of the company (Anyushenkova and
Samorukova, 2019). This statement also used by company in order to determine that how well it
is managing its cash. This means that through this statement it is being analysed that how well
the company is generating cash in order to pay off it’s debts and operating expenses.
This statement is extremely useful for the TESCO because through this statement it can
have a check our it’s cash position. This statement also enables it to evaluate the cash receipts
and cash outflows as a result of its business operation. Through this statement it’s user can also
determine that how well the company is generating cash and on the basis of that they can make
prediction that how it will generate the similar cash in future too.
Thus, through the preparation of these statement TESCO can have a self-evaluation of its
financial position and on the basis of that it can further make future strategies too.
CONCLUSION
From the above report it can be concluded that the marketing, HR and finance plays an
important role in the operation of the business of the TESCO. Likewise, from this report it is also
understood that due to collaborative working practices and efficiency of the financial
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management the TESCO would being able to moving towards the direction of grabbing of
success. This report also raises the importance of working and organizational culture that how it
impact over the company’s performance and its employees motivation. It is also due to the active
working and implication of these concepts the company can effectively manage its working and
thereby assisting towards the goal accomplishment direction. This report also concludes the
importance of financial management with the context of TESCO that how effective management
of finance would lead to successful operation of company’s operation.
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REFERENCES
Books and journals
Al Khajeh, E.H., 2018. Impact of leadership styles on organizational performance. Journal of
Human Resources Management Research. 2018. pp.1-10.
Anyushenkova, O.N. and Samorukova, N.N., 2019. The cash flow statement of a business
entity. Наука и образование: новое время. (1). pp.220-223.
Domańska-Szaruga, B., 2020. Organisational Culture as a Factor of Effective Management of a
Public Organisation. Management Tourism Culture, p.265.
Goswami, A., 2018. Human resource management and its importance for today’s
organizations. Journal of Advances and Scholarly Researches in Allied
Education. 15(3). pp.128-135.
Hoitash, and et.al., 2018. An input-based measure of financial statement
comparability. Available at SSRN 3208928.
Ikechi, A., Chinenye, E.P. and Chiyem, O., 2017. Marketing Mix Concept: Blending the
Variables to Suit the Contemporary Marketers. International Academic Journal of
Management and Marketing. 9(1). pp.55-65.
Lasrado, F., 2019. Examining the role of marketing motives and benefits of quality award
frameworks. Measuring Business Excellence.
Norton, M.S., 2017. Guiding the Human Resources Function in Education: New Issues, New
Needs. Rowman & Littlefield.
Pretorius, P., 2020, July. Finance function as a business system. In INCOSE International
Symposium (Vol. 30, No. 1, pp. 1606-1620).
Profir, L., 2017. Financial Performance Analysis Based On The Profit And Loss Statement. Law,
Society & Organisations. 2(2). pp.47-51.
Rangaswamy, and et.al., 2020. The role of marketing in digital business platforms. Journal of
Interactive Marketing. 51. pp.72-90.
Tumbas, S., Berente, N. and vom Brocke, J., 2017. Three types of Chief Digital Officers and the
reasons organizations adopt the role. MIS Quarterly Executive. 16(2).
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