Importance of Business Functions in Organizations: Graduate Challenge

This report provides an overview of core business functions within an organization, including finance, marketing, production, human resources, and information technology. It emphasizes the interrelation of these functions and their collective contribution to smooth operations, expansion, and profit generation. The report highlights the specific roles of each function, such as financial management, marketing strategies, production processes, and human resource management. It also discusses the importance of modern technologies and effective communication between departments for achieving organizational objectives and generating revenue. The report concludes by emphasizing the significance of these functions in ensuring the overall success of a business, using examples like Amazon to illustrate how coordinated functions contribute to success.

Graduate Challenge

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
The Role and Importance of different business functions...............................................................3
Importance of Business Functions..............................................................................................3
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
Businesses performs different core activities that are part of its operations. These activities are
together forms a various functions that the businesses performed. These functions helps the
businesses to operate smoothly, expand and generate maximum profits.
The Role and Importance of different business functions
Organisations performs various different business functions namely Finance, Marketing,
Production, Human Resource, Information Technology and many more. These functions helps
the organisations to operate smoothly. As they are interrelated to each other the failure of any of
the function hinderer the overall operations of the organisations (Beckford, 2019). The finance
function operate around the procurement of the funds, taxes and budget allocation, etc. The
allocation of funds of the various departments is fulfilled by this functions. The cash flow
management, preparation of the financial reporting and investment decisions making is
performed with the use of this function.
Importance of Business Functions
 The Marketing function is to generate sales for the organisation and to device strategies
that create brand awareness of the organisation in the market. Marketing is responsible
for the promotion of the organisation and product development (Wagner, 2020).
 The Production function concerns with the manufacturing of the products, procurement
of the raw materials and ensures timely delivery of the end product. It also handles the
management of the inventories and maintaining customer demand.
 The Human resource function helps in to perform the recruitment of the employees,
performance appraisal, and staffing process. The human resource make sure that the
required human expertise needed by the different departments fulfilled properly for this
purpose the interviews are conducted to find out the required expertise and accordingly
recruitment of the employee is done.
 The IT function checks the network, database and systems administration. It performs the
task of purchasing and effective management of the information distribution system
within the organisation.

 The Administration function handles the general administration viz. arrangement of
resources, organising events, etc. Along with it there are various other business functions
that handles the distinct functional areas of the organisation which construct the whole
working mechanism of an organisation.
These functions helps in the proper utilisation and management of the organisation. Each
functional areas are important as they performs tasks that are essential for an organisation to
survive. The interrelation of each departments of the organisation shows the dependencies of the
different functions to each other. For example, the production department depends on finance
department for funds for the procurement of raw materials. In the current scenario for the
effective management of the business functions modern technologies and methods are used and
implemented. These systems helps in the effective coordination between the different
departments of the organisation. The business functions performance is based on the efforts,
communication between each departments and the availability of the resources at the right time.
With the effective working of business functions helps the organisation to achieve its objectives
and generate revenues that leads the organisation to success (Adegbite and et.al, 2017). For
example Amazon Inc. have no physical office but it is a successful organisation. It is because the
company's functions are performing in the coordination with each other. The finance department
coordinating with the operations and marketing helps the company to create a successful brand
value that helps the company to achieve success in the field of e-commerce.
CONCLUSION
The use of various organisational functions depends upon the type of business. As such these
functions plays an important role in the working of the organisation and helps in achieving its
objectives.

REFERENCES
Books and Journals
Beckford, J., 2019. The Intelligent Organisation: Driving Systemic Change with Information.
Routledge.
Wagner, S.M., 2020. Business and Environmental Sustainability: Foundations, Challenges and
Corporate Functions. Routledge.
Adegbite and et.al, 2017. Organisational Adaptations: A Pluralistic Perspective. Springer.