Managing and Running Small Business

MANAGING AND RUNNING
SMALL BUSINESS
TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
LO 1.................................................................................................................................................1
P1 Main consideration a social enterprise or small business needs to address when planning &
allocating resources to achieve objectives...................................................................................1
LO 2.................................................................................................................................................2
P2 Varied procedure of consumers relationship for Marshfield bakery......................................2
P3 Ways use by small venture to develop transactionally and its benefits as well as drawbacks
......................................................................................................................................................3
LO 3.................................................................................................................................................4
P4 Annual intemised monthly cash flow forecasting showing the variable and fixed costs of
the organisation............................................................................................................................4
P5 Explaining how break even could help in application to organisational situation.................5
P6 Contribution of key financial statements in successful management of organisation. ..........6
LO 4.................................................................................................................................................7
P7 Key regulations and legislation that have implications on Marshfield bakery.......................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................9

INTRODUCTION
Managing and running a small business is quite challenging task for those who want to
establish it within specific sector with available resources. The current assignment will be based
on Marshfield bakery, which falls under category of small firms in the UK. This study will
explain main considerations of chosen company in context of resource planning and allocating. It
will define the importance of and techniques for planning & allocating resources. Furthermore,
this report will justify the process of customer relation management and ways of developing
venture transnationally. It clarifies annual itemized monthly cash flow, application of break-even
analysis and interpretation base on financial statement for firm. This assignment will describe the
implication of important regulations and laws on Marshfield Bakery as selected small
organization.
LO 1
P1 Main consideration a social enterprise or small business needs to address when planning &
allocating resources to achieve objectives
Marshfield bakery may appropriately plan and allocate its key resources to workers by
considering the main elements which enable each employee to achieve set objectives of its
business.
Identify resources-
Before planning and allocating resources such as machines, raw materials and task to
workers, company mainly consider accessibility of staff, which make them able to allocate things
accordingly (Li, Cai and Qian, 2018).
Premise & equipment planning-
The main consideration of chosen company in context of above process is equipment
planning, which make manager capable to purchase and then allocate each equipment according
to number of staff.
Workforce planning-
Before conducting above discuss practice, organization may analyse need relate to
effective workforce and then develop plan to hire people who are able to achieve its business
objectives.
Skilled workforce requirement-

The most important thing that Marshfield bakery might consider before resource planning
and allocating, is requirement relates to skilled and talented workforce in the workplace which is
essential analyse in term of gaining competitive edge and achieving aim.
Planning of activities-
Marshfield bakery as small company may recognize plan of activities that might conduct
at workplace to achieve business goal and objectives.
Securing bank loans-
It is actually very important for organization of secure bank loans or overdraft as it allow
them to make further plan in context of resource and permit allocating to staff which they used to
gain benefits for firm.
Application of techniques and tools in analytical manner to plan and allocate key assets-
There are different forms of methods and approaches are accessible in the world of
business that chosen company may use to plan and them allocate its resources such as IT
facilities, equipment's, competences and other things in systematic manner (Gheorghe and et.al.,
2018). Gantt chart and critical path analysis are the two different elements that provide benefit to
organization while planning and allocating resources as it define the requirements relate to
different forms of resources.
Importance of planning & allocating resources-
Resource planning and allocating is quite beneficial and essential for Marshfield bakery
as it help to improve its operational efficiencies and enhance performance as well as productivity
level of workers (Li and et.al., 2017). By conducting above activity, organization may prevent
use of unnecessary products in form of purchasing resources that are needed by employees to
achieve business objectives. It considered as procedure of planning, organizing and assigning
resources in a form that support to reach company strategic objective. Resource planning and
allocating is beneficial in term of making firm enable to effectively meet demands of consumers.
LO 2
P2 Varied procedure of consumers relationship for Marshfield bakery
Valuing consumers-
Chosen company may use this process in context of managing customer relation.
According to this method, by valuing consumers, their needs and suggestions, firm successfully
build a strong bond with target market and manage it effectively.

Acquire customer faith-
Development of effective and appropriate loyalty programme provide opportunity to
organization in regard to acquire its target segment faith and retain them for longer period of
time. It also helps to manage relationship with potential consumers.
Develop effective communication channels for buyers-
Live chat in the recent time is one of the most useful and beneficial communication
channels that many companies either small like Marshfield bakery or large, used to communicate
with buyers which enable them to maintain healthy relationship (Hendriyani and Raharja, 2018).
Usage of consumer care programmes-
Online rating and testimonials are two form of customer care programmes that
organization may use and gain its benefit in term of managing effective relationship with each of
its buyer.
Usage of social media platforms-
The most common and appropriate process that firm may use in context of customer
relation management is development and use of social media platforms, where millions of people
have already created his or her account to take update about market trend (Jacobson, Gruzd and
Hernández-García, 2020).
Elements of consumers relation management process in context of achieving business
objectives-
The entire procedure consists four key components are valuable for company in regard to
achieve set objectives of its venture. The first element is to understand market and consumer
needs, which enable firm to manufacture and offer products accordingly. Second component is
target, according to that small business may develop offer which they want to provide to target
market. Third element is sell and fourth is service. All these components are beneficial for
chosen enterprise as it help to increase sales which is important to enhance. On the other hand, it
affect negatively upon venture in form of consuming time while applying first element.
P3 Ways use by small venture to develop transactionally and its benefits as well as drawbacks
Transactional venture may define as a business that carry out commerce across global
boundaries. Small companies just like Marshfield bakery and start up may internationalize
because of increasing profitability, productivity and customer base.