Different Types of Organisations and Organisational Functions and Structures

This assignment discusses different types of organisations such as private, public, and voluntary organizations. It also explores the functions and structures of organizations, including marketing, sales, and human resources departments. The assignment further analyzes the macro environment using PESTLE analysis.

Business and business
Environment

Table of Contents
INTRODUCTION...........................................................................................................................1
PART 1............................................................................................................................................1
1 Different types of organisations...............................................................................................1
2 Size and Scope of the organisations.........................................................................................3
3 Organisational functions and structures...................................................................................4
PART 2............................................................................................................................................6
PESTLE analysis.........................................................................................................................7
SWOT Analysis.........................................................................................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Business refers to the effective collaboration of internal and external factors includes
client, customers, agents, management, workers, suppliers along with activities by government,
innovative techniques and many more. These assorted factors always influence overall business
activities and functions positively or negatively both. On the other hand, business environment
considered as helpful process that determine useful resources, business opportunities, improve
performance, assists in planning along with business profitability. Thus, business environment is
en essential aspect of any business (Ashnai and et. al., 2016). This assignment is divided in 2
parts, whereas, 1st part will explain about several type of firms such as public (Crown
prosecution services), private (TESCO Plc) and volunteer (OXFAM). Herein, 2nd part of this
assignment will get covered negative and positive influence of macro environment and SWOT
analysis along with their interconnection with external factors of macro environment.
PART 1
1 Different types of organisations
Private Organisation:
TESCO plc is taken as private firm which was formed in the year of 1919 by Jack Choen
along with it is headquartered in Welwyn Garden City of United Kingdom. This firms is known
as great British multinational groceries and merchandise retailer. So as per the present scenario it
is most considerable firm that have unique presence at marketplace of UK. By having such kind
of presence they have further opportunities to gain huge profits by attaining competitive
advantages (Bastian and Muchlish, 2012).
Purpose: The main aim of respective organisation is to satisfy entire needs and wants of
people through reviewing feedbacks of customers.
Nature: TESCO has great presence at marketplace as they always use large number of
techniques or strategies so that they can achieve competitive advantages.
Legal structure: TESCO is large organisation and having huge legal structure in order to
operate business properly. Herein, one legal structure of respective firm is Corporate Governance
that deals with shareholders in order to achieve targeted business goals by overcome carbon
footprints means business do not produce large amount of of carbon dioxide. Thus, legal services
deals with any type of legal matter at workplace.
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Business objectives: Main objective of TESCO is to offer clothing and electronics goods
along with provide more services online to end consumers. For this, they are aiming to create
best shopping experience for customers to achieve its desirable objectives (Cuervo‐Cazurra,
2011).
Public organisation:
According to his Crown Prosecution Services takes as public organisation which was
formed in Wales or England. Main work of this organisation is to give best legal advice with
legal policies from federal government through conducting best research to achieve proper
results.
Purpose: The main aim of this company is to provide positive culture for people along
with protect them from every negative affect within the country.
Nature: It was established in 1981 for developing best policies in order to proper
research or investigation among lots of crime.
Legal structure: As respective firm is associated with several legal services, in order to
make appropriate legal structure they always use legal laws to protect economy of country.
Business objectives: Main objective of this organisation is to develop best effective
regulations and rules so that they are able to make country happy (Glova, Sabol and Vajda,
2014).
Voluntary organization:
Oxfam has been taken as voluntary firm which is known for effective decisions of 20
independent organisations within specific country. It was formed in 1942 through Jackson Cole
in England which is helpful for everyone as its offers their services worldwide.
Purpose: To give so many other options as alternatives for individuals by reducing
poverty.
Nature: As this firm refers to the combination of 20 independent organisations, all that
working together to attain same predetermined goals. Main nature of this organisation is to
arrange political advocacy through execution of few ideas and strategies.
Legal structure: As per this trustees of respective firm always responsible to develop
best legal laws in order to conduct every business activity in a easiest way.
Business objectives: The main objective of respective firm is to overcome nations
poverty to give better life for people.
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2 Size and Scope of the organisations
Every organisation have different types of mission, vision, scope and size, those are as
follows:
Private Organisation (TESCO)
Scope and Size Goods and Services Vision Mission
TESCO is wide
organisation which
plays significant role
within the
marketplace. Along
with it deals with large
number of product and
services to achieve
consumers goals.
Thus, they have good
scope of their
business. On the other
side, having 7,000
stores in different
countries makes wide
size of firm.
Main goods and
services of this private
organisation is
merchandise or
groceries for satisfying
consumers
(Biggemann and
Buttle, 2012).
Vision is to
accomplish consumer's
needs and wants in a
perfect mode.
Main mission of this
firm is to develop
better quality of goods
and services.
Public Organisation: (Crown Prosecution Services)
Size and Scope Product and Services Vision Mission
Crown Prosecution
Services provides
better laws so that they
have good scope of
their work. Along with
operating 800,000
There are several
proposals from
department of police.
Along with respective
firm offers huge legal
services to overcome
CPS has vision to
become independent
and successful to
provide better advice
for people.
Main mission of CPS
to provide huge
services to create
happiness within
society.
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criminal prosecutions.
Along with by
operating 2,900
solicitors with 600
members they have
effective size.
criminal issues from
economy.
Voluntary Sectors: (OXFAM)
Scope and Size Commodities and
Services
Vision Mission
Oxfam is the
combination of 20
self-directed charitable
belongings in which
all employees are able
to work together.
Thus, this organisation
has large scope and
size to reduce poverty
across the globe.
There are several
goods and services
towards individual as
they are dealing with
so many legal
prosecutions in order
to reduce issues from
the country's economy
like poverty.
To develop better
options for firm in
order to organise
some valuable ideas to
people.
Main mission is to
remover poverty from
nation to protect every
human's life. By
equally treating each
and every employee at
workplace.
3 Organisational functions and structures
As per the competitive scene ample number of organisations having huge workers that
plays significant role globally (Koh, Fichman and Kraut, 2010). In relation with TESCO they are
effectively working by using large number of resources in order to achieve common goals and
objectives. With the help of using such kind of goods and services they can fulfil entire needs
and wants of people that makes business successful in front of consumers. At the same side, they
also use large number of functional units in order to become more successful to attain fixed goals
or objectives. There are several departmental unit which are interrelated with each other of
TESCO, those are as follows:
Marketing department:
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To make business successful while facing difficult situations at marketplace can be tough
for firms. But at the same time its necessary for them to develop few ways to gain future goals or
objectives. In regards with TESCO as they are following hierarchical structure so that they have
power to regulate its marketing department in a perfect way. With the help of using this
functional unit they can easily deal with tough situations along with able to manufacture different
types of products or services to satisfy consumers needs and wants. Therefore, marketing plays
significant role along with enhance firm's productivity as well as profitability in a valuable mode
(Grewal, Chakravarty and Saini, 2010).
Sales department:
This department plays crucial role as every firm depends upon sales unit to achieve
targeted goals. In relation with TESCO they have large number of products and services in order
to increase firms value of satisfy needs of people. With the help of using sales functional unit
they are able to offer proper goods so that customers can easily willing to pay for appropriate
goods and services. Along with they can maintain good relations with this department for further
growth in future. Thus, it is also relate to marketing department for doing each research
perfectly.
Human resource department:
The main aim of this functional unit is to recruit and select high skilled employees for
firms. Therefore, it is responsibility of HR manager within TESCO to select skilled candidates in
order to increase value of firms. Thus, HR always need to conduct such kind of training sessions
in order to increase more value of their employees for firm. By recruiting large number of skilled
or knowledgable employees they can grab ample amount of future opportunities and achieve
profitable goals in an effective manner (Kurnia, Karnali and Rahim, 2015).
Organisational structure:
It is one of the best way for every firm to run their business in a successful manner along
with they can improve their so many modes of running business effectively. In relation with
TESCO, they generally follows flat organisational structure in which manager needs to develop
effective strategies fro better decision making process by which they can manage overall work of
firm and achieve targeted goals or objectives in a short period of time.
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As per the given flat organisational structure, it can be said that if TESCO is following
this structure so that they can manage entire systems of its business and able to attain desired
goals in an appropriate manner. On the other side, it is essential for firm to have such kind of
structure so that they can sustain at marketplace for long period of time. Further it helps them to
develop clear mission and vision of firm that makes them successful along with encourage them
to achieve competitive goals or advantages. Thus, all interconnections of various department
shows the working ability of firm in front of their competitors (Sako, 2012).
PART 2
At current period of time so many firms are working to gain huge profits and probability
of their business into complex situations. This is always possible for firms to have effective
workforce that helps them every time and commonly increase firm's value or their profit in a
proper way. For instance, business environment plays significant role as this term includes large
number of factors that have direct impact on firm's functions or their activities. On the other side,
dealing with several functions in difficult situations can be difficult for firms that develop
problems towards attaining targeted goals. Therefore, they are needed to have different types of
resources in order to make sustainability of business. In regards with different types of UK
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supermarket chains has recently form effective plans to restructure of their business in order to
achieve more competitive advantages as they can directly response to change within the every
situation of business environment. In context of TESCO, they always follow several kind of rules
and regulations in order to make effective policies thus, it is necessary for them to reviewing all
governmental rules and policies before manufacturing the product in country. There is PESTLE
analysis have been used for better understanding of different aspect, those are as follows:
PESTLE analysis
It refers to the particular framework of macro environmental factors which is used for
environmental scanning components of strategic management. With the help of this firms are
able to understand the performance themselves (Rainer and et. al., 2013). Therefore, it is most
considerable analysis Thus, there are few factors of PESTLE analysis, those are mentioned in
beneath:
Political factor: Government of UK has recently opted so many tax measures that
influenced Tesco. As this organisation operating its functions and business within 12 countries
including Europe and Asia. Thus, there are few factors that influence business operations of
Tesco. These factors includes political instability, unemployment rate, economic condition and
many more where it is running. For example: import duty on products or services can influence
Tesco due to import from outside the UK like East Asia or China.
Positive: Having such kind of issues from instability of political factor influence firm as
they can easily able to learn few concept so that they can make or produce such kind of goods
and services by which they can attain desired goals.
Negative: Due to instability or higher imports rate firms can get have direct influence on
their overall sales or services (Spieth and Schneider, 2016).
Economic factor: Another crucial part of the framework. These comprises of deflation
and inflation rates, unemployment, etc. TESCO should have been more careful while dealing
with such factors. When the tax rates were high, country's economy was uprising. The
purchasing power of customers was increasing, which was beneficial for company. On the other
hand, due to decrease in income of individuals, TESCO has reduced their sales and profit. Also,
it will be required by TESCO and so on, to enhance careful while dealing with such factors.
When the tax rates were high, country's economy was uprising. Customers purchasing power
was increasing, which was beneficial for company.
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Social factor: This factor also plays an effective role for TESCO Plc, which is enclosed
with different elements like demographic, age, income, regions and so on. TESCO Plc is the
biggest retailer in the market so it target people with disposable income who can easily buy the
product. It has been analysed that, TESCO Plc provides wide range of variety of products used
by everyone from toddlers to old age people thus it increases sales of the company. Including
this, it is said that because of increase in unemployment rate, TESCO Plc has faced various
issues in relation to profit margins. TESCO is said to be one of the biggest merchandiser and
retailer in the market so, its products were at wide range of variety and were used by everyone
from toddlers to old age people. It target people with disposable income who can easily buy the
product.
Technological factor: Technology is important because it simplify the work , reduces
manpower and resources and has affected organisation production capacity and cost efficiency.
But TESCO should improve its technology at advancement level because market is changing at
every phase. TESCO has boost up its business online such as groceries thus it triggered sales
revenue of company. Away with this, it is said that the cost of implementation of advanced
technology is very high it added cost to the product (Theron and Terblanche, 2010).
Legal factor: This is particularly one of the crucial element of external business
environment, which include, employment law, antitrust law, money laundering and more.
TESCO selling its product and providing financial services all over the market, therefore, it said
that this company is much more engaged to different legal structures followed by number of
nations in all over the world. On the other side, the positive impact of following legal policy and
procedures of various nations in which TESCO is already conducting business, it has enhanced
brand image or goodwill of company. Due to changes in legal procedure results in alteration of
companies policies imposed negative impact on the company.
Environmental factor: The rules and regulations followed by TESCO with the purpose
of protecting environment which are the rules and regulations followed by company that helps
in protecting environment. Due to Environment enactment law, it imposes penalty on companies
which eroded brand image or goodwill of company. Also, it is much required by TESCO to keep
on looking among different areas through which, this organisation could effectively reduce the
number of limits.
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SWOT Analysis
Basis Tesco Marks and Spencer
Strength This company leading no. one
grocery retailer supermarket
within the UK. By having such
kind of strength this brand
operate 6,966 stores across the
globe.
This is one of the best well
known brand which deals
with several kind of products
globally. Along with they
always make fine quality of
goods that attracts the large
number of customers.
Weakness In the year of 2012 this brand
has failed to operate its large
number of stores within the
Japan and US. Along with in
2018 this firm fell more than
9% due to decline in profit
(Zeng, Li and Duan, 2012).
Sometimes, this brand has
draw back like bad publicity
as non trendy stores. Along
with increasing working cost
reduce the work efficiency
thus, it is necessary for this
brand to use new techniques.
Opportunities This firm has recently
launched Jacks stores with
effective discounted offers. It
shows their growth so that they
have they have opportunities
to develop effective strategic
partnership with reputed firms.
By having effective global
presence at marketplace, they
have opportunities to
increase their business along
with expansion of market in a
better way. It helps them to
achieve desired goals in a
proper way.
Threats Economic crisis and credit
crunches includes tax and legal
matters, governmental
regulations and such kind of
rules that influence overall
performance of Tesco in a
Increasing competition every
day direct influence overall
business activities of Marks
and Spencer. On the other
side, Tesco and Sainsbury's
whereas, Marks and Spencer
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critical manner. still relaying on mega stores.
Thus, there are lots of
competitors of this firm those
includes Asda, Aldi UK,
John Lewis Partnership,
Waitrose and Partners and so
many(Weybrecht, 2017).
During the current period of time, TESCO is always trying to have several kinds of
strategies and so many business ideas in order to achieve targeted goals in a perfect way. In
regards with Tesco, as this is very well recognise organisation so that they have great image to
achieve competitive advantages. Interrelationship between Pestle and Swot analysis within the
Tesco, mentioned below:
Political Economical
TESCO always operates its business operations
worldwide. Thus, they are able to accomplish
people needs and wants at marketplace.
Interrelation in the strength or weakness with
external factors: Weakness and strength of
this factor are interrelated as they both
determined identity of Tesco. Thus, they
generally needed to follow effective laws and
rules for future (Trkman, 2010).
For satisfying consumers Tesco requires to
have satisfactory goods and services with low
price. Interrelation of strength or weakness
with external factors: This factor generally
influence firm's environment positively.
Social Technological
In this, TESCO maximises amount of goods
and services within UK that satisfy customer's
needs.
Interrelation in the strength or weakness with
external factors: Both functions work together
so that they can improve further functions of
By having unique and new techniques increase
firm's value in a proper way.
Interrelation in the strength or weakness with
external factors: In regards with Tesco they
always updated with new techniques so that
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firm. they can achieve targeted goals.
CONCLUSION
As per the given assignment it has been concluded that, business and the business
environment plays significant role within the organisation as it is the combination of so many
factors, all that have direct or indirect impact on firm's functions or their operations as well. On
the other side, firm is able to learn so many concepts so that they can effectively make few
changes strategies in order to targeted specified goals and objectives in a proper way. By using
large number of tools and technologies they have opportunities to gain effective outcomes along
with able to produce large number of goods and services in an effective manner. There are
SWOT and PESTLE analysis has been specified above used by firm by which they can further
expand their business at high level. Thus, it is necessary for every organisation to follow such
kind of tools so that they can make better ways to achieve organisational goals.
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