Business and Business Environment Report - NatWest Bank Case Study

This report provides a comprehensive analysis of the business environment, focusing on the case of NatWest bank. It begins with an introduction to the business environment and its impact on company operations, followed by an examination of different types of organizations, including public, private, and voluntary sectors, and their respective scopes and sizes. The report then delves into the relationships between various organizational functions such as Human Resources, Finance, Administration, Marketing & Sales, Production & Operations, and Customer Service, highlighting their interdependencies and contributions to the overall success of the business. The report concludes with a summary of the key findings and insights, offering a valuable overview of the business environment and its implications for organizations like NatWest. This analysis covers key aspects of business operations and provides insights into the financial sector and its environment.

Business and The Business
Environment

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Different types and purpose of organisation..........................................................................1
P2 Scope and size of different types of organisation..................................................................2
TASK 2............................................................................................................................................3
P3 Relationship of different organisation functions....................................................................3
TASK 3............................................................................................................................................6
Covered in PPT...........................................................................................................................6
TASK 4............................................................................................................................................6
Covered in PPT...........................................................................................................................6
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Business environment is the combination of internal and external factors which directly
affects company operations. It includes various factors such as suppliers, customers, individual,
rivals, government and other social trends. These components affects organisation actions,
process, development, productivity and net profit. NATWEST is the commercial bank which is
based in United Kingdom (Adeoye and Elegunde, 2012). It has a large network with approx. 960
branches in all over country. This bank provide various services such as investment banking,
commercial banking, financial service and other financial products or services. The main purpose
of this report is to understand different types of organisation with their size and scope. Also
identify relationship of various functions of firm such as HR, finance, marketing and sales
departments.
TASK 1
P1 Different types and purpose of organisation
NATWEST is the financial corporation which provide various types of services to their
consumers who are spread into a substantial areas. A company run their business by earning high
income for operate their different functions and activities that assist in increasing productivity
and profitability (Sevkli and et. al., 2012). There are various types of organisation such as
private, public and voluntary sector which are important for community. Here are the main
functions which are discussed as under:
 Public sector- These are organisation which are formed for promoting reputation and
provide facilities to public. It is that sector which run and operate by government and
their authorities provide growth to society. These companies run their business
operations by using tax money which are given by common people. The example of
public company is BBC. Its stands for British Broadcasting Corporation which are
establish for promoting different channels (Akimoto and et. al., 2014). The firm has
more than 35000 workers in which approx. 20 thousand are permanent and remaining
are temporary employees. The basic objective of this organisation is to earn maximum
profit for providing best service to their viewers. BBC get funds from government but
still it is not controlled by it. Thee are many challengers who creates threats in the
market. BBC made high demanding programmes which are related to social issues.
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 Private sector- It is that type of organisation which is owned and operated by some
individual group, associations, corporation and private persons. Their main aim is to
earn profit and maintain goodwill among customers. This company provides share in
huge market for all local people. Any person can purchase share of firm without taking
permission (Amin, Razmi and Zhang, 2011). The business objective is to earn high
profit while gaining market share in retail market. The example of this type of company
is NATWEST which is private sector banking firm. It is provide various type of services
to customers. The main motive of bank is to gain high market share and convert it into
profitable business. This is financial institutions which is control under territory sector
and provide investment services to different types customers. The prime objective of
this business is to satisfy all customers needs and wants in the market.
 Voluntary sector- This is that sector which provide social welfare to common people.
They do not earn profit but they distribute various types of activities and help needed
person. In this sector employees do not get any salary but they voluntary enter in the
field and help the poor individuals. It is also known as non- profit and non government
company which aim is to achieve a higher level of effectiveness in solving various
issues or problems (Chavis, Klapper and Love, 2011). These type of firm are controlled
by committee and it help in managing business operations. The aim objective of
company is to raise living standard of people who are living in society. The example of
this type of organisation is Oxfam which is non profit firm and provide help in reducing
poverty in countries.
P2 Scope and size of different types of organisation
Private firm- NatWest is commercial banking institutions which provide various of
services to their customers. The company decide to expand their business in more than 20
countries (Nikolaou and Evangelinos, 2010). It has more than approx. 7.5 million personal
customers and have 850000 small business accounts of common people. They plan to provide
services to more customers that includes commercial, investment, financial and other products or
services.
Public firm- BBC is the public company which stands for British Broadcasting
Corporation. It is the biggest leading broadcasting enterprise with large number of workers. It
has around 20950 staff employees and total number of workers are approx. 35000 who work in
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this company (Chow and et. al., 2011). It is one of the firm which broadcast 28 language channel
through TV, radio and provide other online services in Arabic and Persian.
Voluntary firm- This type of organisation need fund from investors who are interested
to invest amount in the company. Oxfam is the voluntary from which assist in reducing poverty
form whole country. Government also funded amount approx. 4.2 dollars to the enterprise. An
organisation need to expand their business operations and some other firms provide money or
create performance of this sector.
TASK 2
P3 Relationship of different organisation functions
NATWEST is commercial banking organisation which provide financial service,
investment service and various types of products or services to customers. The aim of fir is to
give best online services and maintain accounts of new and existing customers. Company main
objective is to coordinate and satisfy customers form their respective accounts which open in this
bank (Drucker, 2017). There are certain functions which are manage relation with different
departments.
 Human resource management- This is an important part of every organisation which
control and manage all functions of company. It includes recruitment, selection, hiring
and scanning employee background. The department hire right person at right place on
right position who have excellent skill and knowledge which enhance growth of
organisation. Company managers responsibility is to develop new strategies and plans
which are provide high profit and also increase productivity of products or services. The
main objective of firm is to achieve target goals which are necessary for the business.
They participate in effective process of recruitment and selection and it assist in analysis
employees who are best suitable for the firm. It is the duty of managers to handle all task
in effective manner (Fan, Fang and Lu, 2014). It is that department which control and
manage all activities or functions of all task and analyse basic performance of workers.
 Finance- This is an essential factor of every company. It assist in managing and
controlling each function that need finance to operate them. The duty of manager is to
prepare budgets during production process and analyse invested money of company. The
major functions are control by this department in proper manner. They promote their
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products or services by using different tools and this is used by funding investment in it
(Pest Analysis. 2010). Company need to plan campaign and other activities of business
operations. It is also the responsibility of HR manager to distribute equal salary or bonus
among their employees. They can increase funds which are important for making high
profitability and raise reputation of firm.
It help in accomplishing goals and objectives which can expand business. The aim of
organisation is to control budget system which evaluate clear picture of financial position of
NAWTEST (Gecevska and et. al., 2010). It is important for increasing performance of company
as well as employees. There are some activities which must be managed by organisation for
eliminating errors and mistakes that occurs during process of budgets. This is that department
where all budgets and annual reports are prepared and also analyse performance of each
employees. They need to set budgets which are helpful for company growth and development. It
assist in introducing new plans and strategies which provide growth and improve all functions of
firm in effective manner.
 Administration- It is that department which control and manage all financial work of
company. The manager collects data, maintain documents and resolve conflicts which
arise between organisation and employees. It assist in maintaining, securing and
gathering all important data which are required for the firm growth and development
(Moutinho, 2011). This also help in translating resolution of specific trouble or issues
which creates misinterpretation between firm and customers. NatWest manage this
function and it assist in achieving desired goals and targets. This is some kind of office
work which will enhance productivity and profitability of company and set goals and
objectives. They collect all information about their competitors selling products
(Hamilton and Webster, 2015). They can save data which are related to specific goods
and commodities that will offer in large market.
 Marketing and sales- It is that department which is directly offer products or services to
potential customers. This help in promoting goods and commodities by using various
mediums such as radio, television, templates, online, magazines and books. The main
objective of this is to develop new plans and strategies which attracts large number of
buyers or clients towards them. There are some techniques or tools which help in
reaching target goals for the firm. An organisation need to follow entire procedures of
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effective marketing for best outcome (Organisation Structure. 2013). The company use
different types of promotion activities for enhance their profit and productivity. They
need to advertise their services and products which build strong image among customers.
It is that department which linked with each department function, without marketing
company can not sale their products. The main objective of marketing is to attracts large
number of customers towards their products or goods in effective manner. Customers
basically attracts with innovative commodity which are produce by employees and
develop new idea for reaching more buyers in target market (Iskanius, Page and
Anbuudayasankar, 2010). They also set target market which can identify potential
purchaser who are interested to buy particular goods.
 Production & Operations- This is important department of organisation which process
all products or services which serve in the market. It is duty of manager to produce
effective commodities which are essential for company and provide extreme growth in
large market. They need to process their production function and develop innovative
goods which attracts more customers (Knudson and et. al., 2012). Company should use
latest techniques and tools which assist in increasing customers interest towards purchase
of new goods. Operation refers to an activity which perform each business function for
enhancing growth and develop strategies for smooth run the process of production. This
is responsibility of manager is to serve innovative type of services or products to
customers in the market.
 Customer service- It is the department which directly linked with company customers. It
assist in solving problems or issues which are related to product or services. They give
suggestion on specific problem and also provide necessary information related to the
particular goods or commodities (Klapper, Lewin and Delgado, 2011). These functions
are operated and controlled by top authority who are high level management of
NATWEST. The decision should be taken by board of directors and CEO who are
company owners. It is an important for an organisation is to provide accurate information
about each and every product which they purchase. The aim motive of this department is
to provide correct information to customers and help in identifying best products which
are suitable for them. The manager of this department is focus on achieving customers
attraction which are increase their business sale and products are make in innovative way.
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TASK 3
Covered in PPT
TASK 4
Covered in PPT
CONCLUSION
As per above mentioned report it can be conclude that business environment is a
combined elements of two factors that includes external and internal which directly or indirectly
affects business operations. A company run their business for earning high income for operate
their different functions and activities that assist in increasing productivity and profitability.
There are various types of organisation such as private, public and voluntary sector which offers
products or services to people. NATWEST is commercial banking organisation which provide
financial service, investment service and various types of products or services to customers. The
aim of firm is to give best online services and maintain accounts of new and existing customers.
The functions of different department help in achieving company goals and objectives.
Departments such as Human resource, Finance, Marketing and Sales, Administration, Customer
service and Production & Operation.
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REFERENCES
Books and Journals
Adeoye, A. O. and Elegunde, A. F., 2012. Impacts of external business environment on
organisational performance in the food and beverage industry in Nigeria. British
Journal of Arts and Social Sciences. 6(2). pp.56-65.
Akimoto, K., and et. al., 2014. Assessment of the emission reduction target of halving CO 2
emissions by 2050: macro-factors analysis and model analysis under newly developed
socio-economic scenarios. Energy Strategy Reviews. 2(3). pp.246-256.
Amin, S. H., Razmi, J. and Zhang, G., 2011. Supplier selection and order allocation based on
fuzzy SWOT analysis and fuzzy linear programming. Expert Systems with Applications.
38(1). pp.334-342.
Chavis, L. W., Klapper, L. F. and Love, I., 2011. The impact of the business environment on
young firm financing. The world bank economic review. 25(3). pp.486-507.
Chow, A. T., and et. al., 2011. Broadband network with enterprise wireless communication
system for residential and business environment. U.S. Patent 7,944,948.
Drucker, P. F., 2017. The Theory of the Business (Harvard Business Review Classics). Harvard
Business Press.
Fan, W., Fang, S. and Lu, T., 2014. Macro-factors on gold pricing during the financial crisis.
China Finance Review International. 4(1). pp.58-75.
Gecevska, V., and et. al., 2010. Product lifecycle management through innovative and
competitive business environment. Journal of Industrial Engineering and Management.
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Hamilton, L. and Webster, P., 2015. The international business environment. Oxford University
Press, USA.
Iskanius, P., Page, T. and Anbuudayasankar, S. P., 2010. The traditional industry sector in the
changing business environment–a case study of the Finnish steel product industry.
International Journal of Electronic Customer Relationship Management. 4(4). pp.395-
414.
Klapper, L., Lewin, A. and Delgado, J. M. Q., 2011. The impact of the business environment on
the business creation process. In Entrepreneurship and Economic Development (pp.
108-123). Palgrave Macmillan UK.
Knudson, K. J., and et. al., 2012. Assessing the life history of an Andean traveller through
biogeochemistry: stable and radiogenic isotope analyses of archaeological human
remains from Northern Chile. International Journal of Osteoarchaeology. 22(4).
pp.435-451.
Moutinho, L. ed., 2011. Strategic management in tourism. Cabi.
Nikolaou, I. E. and Evangelinos, K. I., 2010. A SWOT analysis of environmental management
practices in Greek Mining and Mineral Industry. Resources Policy. 35(3). pp.226-234.
Sevkli, M., and et. al., 2012. Development of a fuzzy ANP based SWOT analysis for the airline
industry in Turkey. Expert systems with Applications. 39(1). pp.14-24.
Teece, D. J., 2010. Business models, business strategy and innovation. Long range planning.
43(2). pp.172-194.
Wetherly, P. and Otter, D. eds., 2014. The business environment: themes and issues in a
globalizing world. Oxford University Press.
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Online
Organisation Structure. 2013. [Online]. Available through:
<http://www.lightinghomes.net/gallery/legal-entity-structure-chart.html>. [Accessed on
27th September 2017].
Pest Analysis. 2010. [Online]. Available through:
<http://www.managementparadise.com/forums/principles-management-p-o-m/208865-
pest-analysis-bank-america-corporation.html>. [Accessed on 27th September 2017].
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