Analysis of Business Organization: Types, Structure, and Functions

This report provides a detailed analysis of business organizations, covering various types such as sole traders, partnerships, and limited companies, along with their respective advantages and disadvantages. It delves into organizational structures, comparing and contrasting tall and flat structures, and examines key business functions including Human Resource Management, Production, and Operations, highlighting their impact on the organization and its employees. Furthermore, the report defines organizational culture and explores its influence on the overall success of a business. The content includes an introduction, main body with detailed explanations, and a conclusion summarizing the key findings, supported by references to academic sources.

Understanding Business
Organization

Table of Contents
INTRODUCTION .........................................................................................................................1
MAIN BODY .................................................................................................................................1
Different type of the business organisation with advantages and disadvantages .......................1
Compare and contrast tall and flat structure of an organisation..................................................2
Discuss various business functions such as Human Resource Management, Production,
Operations, and so on. and the impinging of their structural management act on organisations
and the people within the coordinate..........................................................................................3
Define structure culture and explain how affirmative civilization impacts on the happening of
arrangement.................................................................................................................................3
CONCLUSION .............................................................................................................................4
References:.......................................................................................................................................4

INTRODUCTION
Business is the commercial activity which is being done with the aim of making money.
Every business must have an objectives of making profit and raises the sales so that they can
have the brand value in existing market and other market (Dietz, and Mulder, 2020). The
business have the various legal structure which have various kinds of laws that makes them a
legal form of business. This report will cover the various kinds of business and its system.
Business organisation define that how business are structured and how the organisational
structure help the company to meet their objectives. Generally business organisations are
designed to pay attention on either generating the profit and improving society in which business
operates. When a business is concerned towards generating profit then it is known as for profit
organisation. Whereas, a business focuses on improving the society through education, heath
care, arts and some other areas then it is know as non profit organisation which is not typically
referred to as business. This business will be based on the various organisation structure, type so
that business along their their advantage and disadvantages and it will also include different
function of the organisation, organisational culture and their positive impact ion the business's
success.
MAIN BODY
Different type of the business organisation with advantages and disadvantages
Sole trader- In this, a sole trader is self employed and operate his own business as an individual
but can employ the staff members (Usman, and et., al., 2019.). In this, owner is solely
responsible for the entire business and all its debts- owner and business are effectively one and
same. That means any losses made by company must be paid for out the owner's pocket that is
called unlimited liability.
Advantages
 Business's data is kept private with security as compared to the other types of business
where data is visible at the companies house.
 Owners have a full control over the business and he is only person who take all the
decisions.
 After owner paid the tax, owner can keep all the business profits.
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Disadvantage
 Owner is liable for all the business losses
 Pressure for the business to get succeed is placed on individual's shoulders.
 It is difficult for the owner to financially fund his business ventures.
Partnership- in this kind of the business, there are two or more individuals form a business
together and all the partners share their responsibilities for the business. Profit made in business
are split between all of them and they are personally liable to pay their share of the tax.
Advantages
 More partners means higher profit possibilities and it become easy to financially fund
their business.
 It become easy to take right decision as partners get selection of the ideas and opinions.
 Partnership allow the organisational task to be assigned to every partners equally based
on their skill that take stress off just single person.
Disadvantage
 Possibility of the not being able to come to a greemnt on how a business is run. As per
the taxation, partners must pay their own tax.
 This kind of business have a huge chances if conflicts
 They have to share a profits among the partners.
Limited company- this kind of the business have a huge amount of members that makes it
more big company. This kind of company is register under the stock exchange market. The
decision making power are In the hands of investors or broad members.
Advantages -
 This kind of business have the positive factor that they have a huge number of
investors. This is being .
Disadvantages -
 It has a unlimited liability .
 The decision making is very slow .
 This kind of structure have an issue in recording transactions.
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Compare and contrast tall and flat structure of an organisation.
Tall and flat are types of organisational structure that is refers to the system of an
institution levels of administration. A tall organization or vertical system is one which leading
sits at the senior level of the chain of order with different levels of management in width.
Whereas a flat organizational structure or horizontal company includes least levels of
management and more workers autonomy in the decision making procedure ( Goldenfein, .
and Mann, 2022). In the big hotel like Hilton hotels have to adapt a tall kind of organisational
structure as of all the decisions are in the hands of the senior level and all the details are
flowed on all the floor of an organisation. Whereas the verdant leisures adapt a flat
organisational structure as they have to make all the decision in between the directors and other
senior management and details are in between the management only. They passes the order
among the employees In order to attain the goals (Glebovskiy, , 2019).
Discuss various business functions such as Human Resource Management, Production,
Operations, and so on. and the impinging of their structural management act on
organisations and the people within the coordinate.
Business have assorted kinds of functional areas that all plays a vital role in there places also
they all are assigned by the job in which all they are expertise like human resource and finance,
operations, it , research and many others. Some of these are listed in below -
1. Human resources - this is area which is liable for hiring an effective employees who
are e beneficial for the company in order to fill the vacant place with in the company
they all have the there own responsibility of providing training and learning sessions so
that they can have the develop skills so that the employees use that improved skills in
accomplish goals successfully (Hasan, , and et., al., 2019.).
2. Production - It is areas that manufactures the goods and reduce the overhead cost of
producing goods they are required to understand the needs and wants of the buyers so
that they can produce the goods that is required in marketplace. As it also decides the
value of the goods and other product by managing other factors including margins.
3. Operations - it is the management areas which manages all the activity and operations
also they supervise the functions and operations. They also manages the inventory that
is required in hotels business and others. They have to look out on all the activity.
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Although they have to see the actions that is performed in the company by employees.
They are the bodies that connect management and top level subordinates.
4. Information technology – this department is responsible for making the business
operations more smart working and easiness in completing task also they have to
make a websites and other application in order to approach users through websites and
buyers cab directly connect an organisation also they have to improve the system and
update all of them in order to make the quick dimension system.
Define structure culture and explain how affirmative civilization impacts on the happening of
arrangement.
An organisational culture is a system that designs how some activities are directed In
regards to attain an aims of an institution. These actions can consist rules and
responsibility. It also determines how details flows among all the departments . They have
particular hierarchy with in company. A attainable company structure explains all worker
responsibility and how it sets in the total system as well as how company can reach it aims.
The positive culture impact the business in attaining the goals in an affirmative manner, they
helps in making efforts to attain a goals also it assist in motivating employees so that they can
give there level best so that productivity can be gain in business that directly hit the operation
and economic scale of the institutions. It also makes the systematic functioning with in an
organisation (Cheah, Amran, . and Yahya,, 2019).
CONCLUSION
It is concluded from above report that business have the various kinds of legal structure and all
have the various kinds of laws and regulation to be in market place also they have to follow in
order to make the working more systematic and organised. This is being analysed from the
above report that the various business structure having its pros and cons that explains the
function and what is suitable to adapt in order to start a business. Also described the
organisational structure and its different kinds and how they helps in making an effective
functioning.
References:
Books and Journals
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Alexander, A.A., Jha, S. and Pandey, A., 2020. Understanding how hybrid organisations tackle
social challenges: An institutional logics approach. South Asian Journal of Business
Studies, 9(2), pp.193-213.
Cheah, J., Amran, A. and Yahya, S., 2019. External oriented resources and social enterprises’
performance: The dominant mediating role of formal business planning. Journal of
Cleaner Production, 236, p.117693.
Dietz, J.L. and Mulder, H.B., 2020. The PSI theory: understanding the operation of organisations.
In Enterprise Ontology (pp. 119-157). Springer, Cham.
Glebovskiy, A., 2019. Inherent criminogenesis in business organisations. Journal of Financial
Crime.
Goldenfein, J. and Mann, M., 2022. Tech money in civil society: whose interests do digital rights
organisations represent?. Cultural Studies, pp.1-35.
Hasan, N., and et., al., 2019. Factors affecting post-implementation success of enterprise resource
planning systems: a perspective of business process performance. Enterprise
Information Systems, 13(9), pp.1217-1244.
Usman, U.M.Z., and et., al., 2019. The determinants of adoption of cloud-based ERP of
Nigerian's SMEs manufacturing sector using TOE framework and DOI theory.
International Journal of Enterprise Information Systems (IJEIS), 15(3), pp.27-43.
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