Explaining Different Types, Purpose and Scope of Organizations

This report explains the different types of organizations, including private, public, voluntary, and legal structures, and their purpose and scope. It also discusses the interrelationship between various functions of an organization and their link with organizational structure. Examples of JD Sports, Better Leisure Centre, and National Playing Fields Associations are provided. Course code and college/university are not mentioned.

BUSINESS ENVIRONMENT

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................4
MAIN BODY..................................................................................................................................4
LO1 Explaining the different types, purpose and scope of organizations...................................4
LO2 Interrelationship of the various functions of the organization and their link with
organizational structure...............................................................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Business environment refers to the group of people. Firms and the other factors that are
outside the control of the industry but used to have impact on the production. The environment
that is totally elated with the aspects of business is the business environment. Business
environment is related with the internal and external factors of the market that used to have great
impact on the working of business. The current report will put focus on the different types and
purpose of the organization which will include public, private and voluntary sectors. Further this
report will outline the size and scope of the different types of organizations in the market. At last
this report will indicate the relationship between the different organizational functions and their
link with organizational structure and objectives.
MAIN BODY
LO1 Explaining the different types, purpose and scope of organizations
The organization refers to the group of people working for the particular purpose in order
to have competitive advantage in the market (Möller, Nenonen and Storbacka, 2020). There are
different types of organization that helps to have improvement in the activities related to the
business. The different types of organization is as described below:
1. Private sectors: This sector is related with the part of the economy that is owned
and run by the people or by the companies in order to have profit in the market. It
includes all the businesses that used to work for the profit and owned and
controlled by the government (Abu-Rumman, 2021). The private sectors in the
market used to have the larger share in the economy and used to work for having
the profit. This sector also used to have collaboration with the government in
order to run the agencies that are commonly called public- private partnerships.
The main purpose of these type of organization is to earn profit by selling goods
and rendering services in the market.
Example of private sector is as described below:
JD sports fashion is private company that was founded in 1981 by having the single store in
North West of England. This is one of the leading Omni channel retailer of the sports. The
company has 3300stores in almost 29 countries which includes UK, Europe, Asia and North
America.
The company has 60000+ employees and having the 6.2 Billion revenues in the market.

Scope: The company has the wide scope as it used to have its operations in the UK and Republic
Ireland, Spain, France, Austria, Australia, North America, etc.
Size: The websites of the company used to have more than 50% of the contribution of the overall
sales. This used to have consequence and used to have impact on the opening of number of stores
in the market (Buchheim, Krieger and Arndt, 2020). The company used to provide online
services to the customers that helps them to have more customers.
Strategy: The strategy of the company is to have the strong consumer connection, Omni channel
capabilities, Expansion in the international market, etc.
Organizational chart: The below is the chart of the JD sports that includes the principals
subsidiaries and variables interest:
2. Public sectors: This sector is related to the selling of the public goods and the
services related to the government. The services include the military,
infrastructure, public transit, education, law enforcement that is provided by
government in the market. The portion of the market is owned and controlled by
the government and government corporations (Hussein and Al-Mamary, 2019).
The main purpose of this organization or sector is to provide the services that are
important for the well-being of the society. It sometimes used to provide cost free
services or services at the subsidized rates. The role of public sector is wide as it
helps the society to have the smooth functioning and ensures that they must

provide the better services in the market. These sectors used to run by having the
fund through taxation and used to provide the specific requirements in order to
have well-being in the society. There are three levels of the government that is
federal, regional and local levels.
Example of public sector is as given below:
Better Leisure Centre: This public company was established in 1993 and this is one of the
largest charitable social enterprise. This used to provide leisure, health and community services
to the people in the UK market. The company used to have 46 million visitors an have 650000+
members. This charitable trust used to operate 258 public sports, 88 libraries, children centres
and 5 adventurous places.
Industry: It is the sports, leisure and culture type industry.
Foundation: It was founded in 1993.
Headquarters: The company has its headquarters in Royal Arsenal London, UK.
Employees: It used to have 13500+ employees.
Scope (Places of operation): The company used to work nationally in 272 Locations of UK.
It has 26 places in London, 7 places in North West, 9 places in South and also operates in the
South east, west midlands, Northern Ireland and east Midlands.
Size: The GLL company used to have 10500 employees. The company used to provide the
community services and used to have good space for everyone. This used to provide the quality
leisure, health and the facilities related to libraries in order to have good communities where they
are operating. GLL has forecasted the turnover of UK's 23 Billion social economy and this was
the challenging private sector in this market. It used to provide the sports, health and intervention
and education and also used to offer GLL sports foundation. This is one of the largest and
independent support programmes in order to have talented and young athletes in UK (Bennett,
2021).
Strategy: The strategy of the company is to have he three facility based strategies that used to
work for current and future provisions of the sports. It also used to provide the outdoor and
indoor spaces for playing the sports accordingly.
3. Voluntary sectors: This sector goal and purpose is to have and create the social
impact rather than having the profit in the economy. This is also called the third
sector which used to include civil society or the non-profit sectors. It is very

important to have this type of organization because it used to provide the services
in the community. This type of organizations used to serve for the specific client
group and used to charge with the services although they are non- profit
organizations (Winch and Cha, 2020). It includes the charities and other NPO's
which helps them to work for the welfare of the society.
The best example of voluntary sector is: National Playing Fields Associations (NPFA)
This voluntary sector was established in 1925 in order to have safeguarded and have the secure
playing fields and have the open places in order to benefit the overall community. This charitable
was founded on 8 July 1925, and this was registered as the charity and royal charter in 1932.
Strategy: The purpose of the company is to secure and have the adequate fields for
playing in order to fulfil the needs of all the sections of the society. This helps to have the proper
security related to the children by having the playgroups and to support the existing sports
ground.
Place (Scope): The voluntary organization used to consist of the general council at which
they are represented with the different sports bodies, large town, local authorities and
representatives of the UK. The individuals are also the members of this association and helps the
company to work and provide welfare in the society. This also consists of executive committee,
sub- committees and the few staff members. NPFA used have nearly hundreds grounds in the
country where it used to have its operations.
The charitable organization used to have the partnerships which helps them to have good
market share. This used to work with trust works that used to have 300 local authorities in over
650 towns. Their aim to have the wide scope in the market by setting more partnerships which
helps them to grow in the society.
Organizational structure: The organizational structure of the company is so wide that
helps them to have the welfare in the society. It consists of head executive, managers,
fundraisers, etc.
4. Legal structures: The legal structures in the market consists of different types of
organizations such as corporation, partnerships, limited liability, sole traders, etc.
These types of organization used to operate in the market and used to work for the
earning of profit. The purpose and aim of each of the legal structure is different
which helps them to survive in the competitive market. The business structure

used to know about the legal structure of the organization that used to have
influence on the day-to-day activities of the business.
LO2 Interrelationship of the various functions of the organization and their link with
organizational structure
Functional structure refers to the business structure that helps the company to organize them into
the different departments which are based on their specialisation (Parsons and Lepkowska-
White, 2018). The different department used to serve as the functional units that helps the
company to operate in the best way.
The interrelation of the different functional department supports the organization in order
to have the better coordination and communication. Further this also helps the company to attain
the goals and objectives. Various departments of PUMA is as described below:
PUMA Finance: This department of the company used to focus on the matters related to
finance. This includes the accountancy, tax, audit, etc. that must be performed in order to have
proper maintenance of the finance in the organization.
PUMA Marketing: This department consist of various functions that helps the company
to sell their products in the market (Krings, Palmer and Inversini, 2021). This includes
commercial management, brand management, production and marketing of the products in the
market.
PUMA Research and development: This is one of the important department for the
company that helps them to know about the new fashion in the market. Puma research and
development team helps them to know about the new product and design that helps them to lead
in the market.
PUMA HRM: This is also important department of the company that helps them to have
the proper management in the company. By having the god HRM team it helps the cited
company to work in the proper manner. In order to work in the market, the company must have
the top-performance and provide the training to the staff for better production.
PUMA production: In this department the company used to produce the variety of
products which they used to sell in the market. They used to sell the own- branded sportswear
which includes the footwear and clothing. This is one of the first flagship store in the markets of
United Kingdom.

PUMA IT: The IT department of the company used to focus on bringing the new tools
and technologies that helps the company to have faster production. This used to encourage and
motivate the staff in order to work and have good production. The company used to provide the
service-oriented culture that helps them to lead in the market. By having the good IT team, it
allows the company to make better decisions and have better market share.
PUMA customer service: Providing the best customer services helps the company to
meet the expectations of the customers. This includes the problems that are faced or will be faced
by the customers in the market. By having the good customer service, it helps the company to
have the more customer satisfaction in the market.
PUMA organizational structure type: The cited company has the Unitary organizational
structure type. This is also known as the functional structure type that used to involve the
hierarchical structure of the organization (Nalawade, More and Bhola, 2019). In this type of
structure, the headquarters are the top and the other members used to have different departments
in order to do work. This helps the company to make the strategic decisions that helps them to
have better operations in the market.
The interrelation between the different departments of PUMA is as described below:
Human Resources and finance department: In this working company, the HRM and
finance department used to play a vital role. The finance department of the company used to
provide the salary and other expenses to the HR department that helps them to have better
management in the company. These both are the crucial functions of the company that helps
them to have the proper operations in the market. The finance department of Puma is linked with
the HR in order have the proper pay roll to the employees. The HR department of the company
used to have various practices that used to have monetary rewards, pay roll, etc.
Marketing and Operation management: The marketing department of the company used
to play a vital role in order to have the better promotion in the market. It is the responsibility of
the company to have the better operations that helps them to have good marketing (Vergés and
et.al., 2019). The marketing of the products produced by Puma is based on the operations. So this
both functions are interrelated with each other that helps the company to grow in the market. The
operation management of the cited company also used to play the vital role which helps them to
have development of the measures in order to produce the better quality of goods.

Marketing and customer services: The marketing of the Puma is very high rated, this is
due to the brand name in the market. The company used to have direct link with the customers
by getting the feedback that helps them to survive in the market (Sikora and et.al., 2021). This
makes the company to know about the feedbacks from the customers which makes them to have
better production in the market.
CONCLUSION
From the above it is concluded about the different types of sectors that includes public,
private and voluntary sectors. These sectors used to have different purpose and scope that helps
them to have better operations in the market. The private sector example includes the JD sport
which used to provide better services related to sports in the market. A public sector is owned
and controlled by government and this includes Better Leisure Centre as an example. The
voluntary organization use to work by having the charity and donation. In the report, it is
explained by using the National Playing Fields Association as an example. Further, it has also
evaluated about the legal structure which includes sole proprietorship, partnership, companies,
etc. This report has also described about the scope and nature of the different types of
organizations. At last this report has sum up about the interrelation between the different
organizational functions. As the purpose and goals of organization is to have the target market
that helps them to achieve the objectives. So each organization has the different goals and
objectives which they used to work on.

REFERENCES
Books and Journals
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Krings, W., Palmer, R. and Inversini, A., 2021. Industrial marketing management digital media
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Möller, K., Nenonen, S. and Storbacka, K., 2020. Networks, ecosystems, fields, market systems?
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Nalawade, R. K., More, D. K. and Bhola, S. S., 2019. Employability skills required for
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Parsons, A. L. and Lepkowska-White, E., 2018. Social media marketing management: A
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Sikora, T. and et.al., 2021. The essence and scope of competitiveness of healthcare organisations
in Poland. Optimum. Economic Studies. (4 (106)). pp.18-29.
Vergés, A. and et.al., 2019. Tropicalisation of temperate reefs: Implications for ecosystem
functions and management actions. Functional Ecology. 33(6). pp.1000-1013.
Winch, G. M. and Cha, J., 2020. Owner challenges on major projects: The case of UK
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