Comprehensive Report: Business Organisation Analysis and Strategies

This report provides a detailed overview of business organizations, starting with an introduction to their purpose and function. It explores various types of business structures, including sole traders, partnerships, and limited companies, highlighting their advantages and disadvantages. The report then delves into organizational structures, comparing tall and flat hierarchies and their impact on information flow and decision-making. It further examines key business functions such as human resource management, production management, and operations management, detailing their roles and responsibilities. Finally, the report discusses the importance of organizational culture and its positive influence on employee motivation and overall business success, providing examples of how culture impacts organizations like Hilton Hotels and Resorts. The report concludes by emphasizing the crucial role of businesses in fulfilling economic needs and consumer wants, along with the significance of a suitable organizational structure for smooth and efficient operations.

UNDERSTANDING
BUSINESS
ORGANISATION

Table of Content.
INTRODUCTION...........................................................................................................................1
MAIN BODY ..................................................................................................................................1
Paragraph-1..................................................................................................................................1
Paragraph-2..................................................................................................................................2
Paragraph-3..................................................................................................................................2
Paragraph-4..................................................................................................................................4
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
Business organisation is a corporate body or an entity that is organised by an individual
or group of individuals in order to carry out operations with the motive to earn profit from that
operations (Gitman, McDaniel and Shah, 2018). Business organisation is formed to fulfil the
needs and wants of peoples or to fulfil need gaps in the society so that profits can be earned in
exchange of these goods and services. In this report, a brief discussion will be made on business
organisation and its types along with their advantages and disadvantages. Along with this tall and
flat organisational structure, business functions and their management activities will be
discussed. Furthermore in this report, organisational culture and its positive impact towards the
success of an organisation will be discussed with appropriate examples.
MAIN BODY
Paragraph-1
A business organisation can be defined as a corporate structure that is organised and
operated by individuals or group of individuals with the motive of earning profit by fulfilling the
needs and wants of society or general public. A business organisation can further be classified
into different types that are Sole trader which is a form of business organisation which is owned
by a single person. The biggest advantage of a sole trader is that a sole trader is the sole eater of
all the profits that has been generated by the owner through carrying out various commercial
activities. On the other hand liability of the owner is unlimited and the owner is responsible for
the firm's credit up to their personal assets which is its biggest disadvantage. Some of the
examples of sole trader can be an individual tour guide, a small restaurant, a roadside guest
house etc. Another form of business organisation is partnership in which two or more than two
individuals enter into a legal agreement of carrying out business operations with a share in
profits and capital decided by them mutually. A major advantage of partnership is that decision
making process is smooth flexible and efficient as decisions are made mutually and any conflicts
or lacking indecisions are resolved. While a major disadvantage of partnership firm is that there
is no separate legal entity and the partners or owners are liable for company's credit till their
personal assets. A limited company is another type that is used by individuals to carry out
business operations which is a form of business organisation in which there are a large number of
owners that has proportionate share in the firm according to the equity they have invented in it.
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One important advantage of a limited company is that there is a separate legal entity i.e. the
liability of its owners is limited to the capital that they had invested in the organisation. While
decision making in these organisations are complex as their decisions affects a large number of
peoples and the statutory body has to make decisions accordingly. Hotel Premier Inn, Marriott
International hotels, Hilton Hotels and resorts etc.
Paragraph-2
An organisational structure the way of flow of information and commands in an
organisation in which operations are operated in a firm (Hester, Rogers and Robb, 2021). The
main motive of organisational structure is to enhance organizations in achieving their objectives
and aims by effective flow of information. A hierarchical or a tall organisational structure is a
type of flow of command or information which contains many leaders and superiors each
managing a different department (Steyn, 2020). Management in this structure is broken down to
different departments and each department coordinating to their upper department. The tall or
hierarchical business structure has more coverage in operations in an business organisations as
top level management has less load to look over business operations and different departments
look activities of their employees independently which is its biggest advantage. However, the
greatest disadvantage of tall organisational structure is that the line of communication can be
long and time consuming resulting delay in decision making. Another form of organisational
structure is flat organisational structure which is the type of structure containing less middle
managers in the way of command from an employee or lower management to the top level
management. Information flowed in this organisation is horizontal in nature and the problems
can be carried out to top level management in les time which is a major advantage of this
structure. The information carried in the firms that follows this structure is effective and quick
while on the other hand, it lays more pressure on top level management and burdens them with
more problems to deal with.
Paragraph-3
Human resource management is a department in an organisation which has to manage
different operations in the firm which are generally related to employees. These functions
contains hiring of employees who keeps the potential of managing a particular task in the
organisation. HR department has to interview and recruit different employees for the
organisation by various processes that has to be undertaken by them in order to analyse their
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potential and capabilities of working so that an efficient employee can be hired. HR management
also has to organise training and development sessions in order to teach new employees and
freshers the process of doing the work and explain them their organisational behaviour, culture
and different things about the company that a fresher needs to know in order to get bets effective
results in the organisation. They need to conduct different sessions regarding employees skill
development and teach them new methods that are being adopted by the firm so that better
effective and efficient results can be achieved in the organization. Another function performed
by HRM is that they share the relationship of an employer and employee and they need to build
this relationship in such a way that this relationship can be utilized by the firm for their benefits
and also employee's use of this relationship in order to acquire benefits from the organisation.
HRM highly influences a firm's operations as an effective management of human resources will
directly lead to hiring of best employees for the firm resulting in best effective results in the
organisation. Production management is a department in an organisation that is responsible for
all the factors related tot the production of goods and services that are being produced in an
organisation through their operations. The main functions of production management is to
selection of design of product that are being produced in an organisation in order to get better
sales for the organisation (Glock and et. al., 2019). The other main functions of this department
is to select the process of production in an organisation so that best effective way of production
can be determined and used in order to get bets effective results in the organisation. Another
function of production management can be quality check and inventory management as they are
responsible for every production related issues and problems so, this is their sole duty to look out
for the quality of goods and services that are being produced in an organization and also manage
the firms inventory so that stocks and input goods can be availed as soon as possible. Operation
management is the unit in an organisation that is responsible for every operational activities
happening in an organisation. They are to look over the overall organisational activities that are
being conducted in an organisation so overall production of company can be analysed. The main
functions of operation management includes. Operational planning that is to look for overall
decision making of organisational structure, behaviour etc. Management of finance that includes
setting budgets for different operations, growth, expansion and also to interpret how much to
invest in particular sector. Other functions include planning, organising and directing of daily
routine of activities that are conducted in an organization.
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Paragraph-4
Organisational culture have become a vital part for an organisation in the modern times.
It is referred as attributes that provides an organisation with a reputation that is well known
among the working professionals. It include attributes like values, practices and expectations,
guiding and informing actions of their staff (IASMINAGABRIELA and ALEXANDRA, 2019).
All these attributes helps the represent it's role as an organisation for environment and it's
workforce. A dysfunctional culture can even impact a successful business adversely resulting in
slowing down it's growth. However, a positive culture helps the workforce to stay motivated and
work towards achieving organisational goals. This is achieved through prioritising employee
welfare, creating policies promoting support, respect, empathy and trust along with providing
constant support at all levels. It also provides an advantage in the competitive environment as
working professional will prefer organisations that get great reviews from current and previous
staff-members. For instance, a hospitality industry such as Hilton Hotels and Resorts have
created policies that helps their workforce get a sense of security via providing them with all
possible assistance in their personal and professional lives along with life changing travel and
growth opportunities. This attracts new talents who are willing to start or shift to a workplace
providing a hospitable and secure environment.
CONCLUSION
From the above report this can be concluded that a business plays important role in
fulfilling economical requirements along with fulfilling needs and wants of consumers.
Nevertheless, a business can not operate on it's own and it requires a workforce helping in the
business to achieve it's objectives and a suitable organisational structure helps in creating an
effective and efficient flow of inform resulting in smooth functionality within an organisation.
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REFERENCES
Books and Journals:
Gitman, L.J., McDaniel, C. and Shah, A., 2018. Introduction to business. Rice University.
Glock, C.H. and et. al., 2019. Applications of learning curves in production and operations
management: A systematic literature review. Computers & Industrial Engineering, 131,
pp.422-441.
Hester, R., Rogers, A. and Robb, M., 2021. Making sense of organisational culture. In Leading
managing caring: (pp. 297-323). Routledge.
IASMINA, I., GABRIELA, P. and ALEXANDRA, V., 2019. COMMUNICATION
MANAGEMENT IN HIERARCHICAL STRUCTURES. Agricultural
Management/Lucrari Stiintifice Seria I, Management Agricol, 21(1).
Steyn, R., 2020. Leadership Styles and Organisational Structure. International Journal of Human
Resource Studies, 10(3), pp.98116-98116.
Turi, J.A. and Sorooshian, S., 2019. The impact of organisational structure on organisational
learning. Middle East Journal of Management, 6(2), pp.204-232.
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