Report on Business Organizations: Types, Structures, and HRM Role

This report provides a comprehensive overview of business organizations, exploring various structures such as sole proprietorships, partnerships, and limited companies, along with their respective advantages and disadvantages. It delves into organizational structures, contrasting tall and flat hierarchies and their impact on management and employee relations. The report also examines key business functions, including Human Resource Management (HRM), production, and operations, highlighting their roles in organizational success. Furthermore, it discusses the importance of organizational culture, its influence on employee behavior and productivity, and its impact on business outcomes. The report concludes by emphasizing the significance of a well-defined management structure and a positive organizational culture, drawing examples from companies like Tesco, to illustrate the practical implications of these concepts.

Understanding
Business Organization
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Contents
Contents...........................................................................................................................................2
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
TASK 2............................................................................................................................................5
TASK 3............................................................................................................................................6
TASK 4............................................................................................................................................6
TASK 5............................................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9
Books and journals......................................................................................................................9
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INTRODUCTION
A company or an inventive organization involved in the business, industry, or business life is
known to as a business. Businesses can either be for-profit or non-profit entities. An organization
founded for the means of carrying on a commercialized business activity is referred to as a
business organisation. The foundations of such an organisation include legal systems that control
agreement and trade, property ownership, and registration. The set of beliefs, expectations, and
activities that influence and shape the act of all associates of the team is referred to as
organisational culture. Organizational culture assists in the increment of processes and the way
of judgement call. It also helps the team in approaching indeterminate hurdles. People who work
along with intention performance from having a defined mind-set that unites staff and assist
orderly working set up (Buenechea-Elberdin, 2017). There are various business functions which
have various tasks that an organisation does; they are classified into logistics and production
functions.
TASK 1
An organisation or entrepreneurial institution engaging in business, industrial, or research
projects is known as a business. Businesses can be about or non-profitable project devoted to a
foundation objective or a matter of concern. There are various three types of business like sole
trader, partnership, limited company and many more.
Sole trader:
Sole traders are identity individuals that own operate their personal firm.
Advantages:
It is a type of business which can start directly with the firms.
It is also gainful in rewarding at finance level as there are no other managers of the firms to share
a profitability and production.
It also contains less paperwork when working in this type of business which contains the
information of the entire person who has awareness in the firm (Dave, 2017).
Disadvantages:
Unlimited responsibility implies that legally liable for the company's losses incurred, whether
they're unpaid taxes, workplace rental, or technology expenditures. As a result, if they have
money problems, personal assets, such as home, may be at stake.
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These people have few tax planning opportunities due to the profit which is related to the income
tax in the financial year.
Marketing in a business as a sole trader or to have someone who is retired as forthright as it is for
the limited firms (Costa, Soares and de Sousa, 2017).
Example: A local grocery.
Partnership:
A partnership is a company with numerous proprietors. It isn't a limited company, and it isn't
required to submit paperwork.
Advantages:
There is the possibility of tax relief, which is a significant benefit owing to the tax benefits.
When opposing to maintain a limited partnership, one of the main benefit of a partnership
company is the lack of formalism (Hopkin, 2018).
Another important goodness of a partnership is the relation between the participants. Business
person that seek out to have a wide-ranging faculty of occupational group in various fields will
have a more profitable business.
Disadvantages:
Each partner is collectively likely responsible for the company's current cause, which means that
all partner is answerable for their part of the liabilities as well as all of liabilities.
A business partnership does not have an independent beingness from its associates. Unless a
general business concern with alternative plans is in place, it will be liquidated by default when
one of the participants resigns or dies (Elkington, Bunde-Birouste and Apoifis, 2019).
Although a partnership is more likely than a sole proprietor to be capable of contributing more
cash, a partnership will often find it much more difficult to increase finances than a limited
organization.
Example: Uber
Limited company:
Advantages:
Less personal liability
Professional status
High personal compensation
Disadvantages:
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Limited firms must be combined at firm’s house
Accounting needs which are very complicated
Very harsh process must be monitored when extracting prices from the firm.
Example: Photographer
TASK 2
Tall Structure:
 Definition: There will be several management levels if the range of control is small. That
is to say, there will be a large number of managers (Tretiakov, Whiddett and Hunter,
2017). The "Tall Organization System" is the name given to this organisational structure.
 Span of Control: "Tall Organization" is the product of a narrow control span. There are a
lot of managers here. Each manager is responsible for a small number of staff.
 Formal and Informal relationships: A director in a Tall Organizational Structures has
only less employees to handle. As an outcome, their link will remain unauthorized. It is
feasible to have individual relations.
 Control of subordinates: Because there are few employees in a Tall Organizational
Structures, there is strict control. Example: Tesco
Flat Structure:
 Definition: There will be fewer management levels if the breadth of influence is broad.
That is, fewer supervisors will be needed. "Flat Organization Structure" is the name given
to this type of organisation structure.
 Span of Control: "Flat Organization" is the outcome of a wide range of control. There
aren't many managers here. Each director is accountable for a good number of
employees.
 Formal and Informal relationships: A manager in a Flat Organization Structure is
responsible for a big number of assistant. As a result, they will have an authoritative
partnership. It is hard to have intimate relations (RAMGOOLAM, 2018).
 Control of subordinates: Since there are so many employees in a Flat Organization
Structure, there is a lack of control (Josef and Back, 2018). Example: Nike
TASK 3
Human Resource Management:
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HR is the subdivision of an organization accountable for placement, display, hiring, and
education job campaigner, and also directing human resource management strategy. Human
resource management is a necessary job in all firms. Firms would not be capable to effectively
attract and hold organization, increase and raise the enterprise, or keep a healthy, satisfactory
work atmosphere without HR management (Sofer and Schnell, 2017).
Production:
In a manufacturing procedure, production is the activity of changing unprocessed materials or
inputs into complete commodities. To put it in other way, it is making anything out of nothing.
Production is a method of merging numerous physical and non - physical inputs (ideas) to make
an expendable commodity (end product). It is the act of giving an outcome, like an item or
service, which has meaning and adds to individual's use.
Operation:
The operations department creates goods, manages excellence, and provides services. Along with
distribution networks, advertising, financial services, and human resource management,
operations are among the most important functions in a company (van Tulder, 2018). The
operations department is responsible for both planned and day-to-day supply chain development.
TASK 4
The society of an organization tells how workers should behave themselves in the firm.
Managers make individual views and values, which are then sent and repeated through various
method, yet affecting workers perceptual experience, actions, and knowledge (Van Greunen,
Venter and Sharp, 2019).
Organizational culture helps in the betterment of procedure and the management of decision-
making. It also aids teams in overcoming ambiguity hurdles. Workers who work along with
purpose benefit from having a defined culture that unites staff and supports orderly work set up.
Workers with a strong, health civilization have higher job gratification, greater job involvement,
and, as a outcome, higher efficiency. Workers that are happily involved go on the far side what is
expectable of them as they care about the working they do. This is beneficial for institution (Ali
Jokhio, 2019).
Cultural considerations have an important impact on business. Individual's priorities in life have
an causing on how they are handled. It also has an affect on the advertisement, marketing, and
delivery departments. It can have an effect on how a company analyses and make up one's mind
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how to connect a new industry. A healthy work atmosphere surrogate cooperation, encourages
morale, efficiency and productivity, and promote workers retentiveness. Work environment
feeling, team work, and productiveness are all developed (Brown, 2018). Most necessary, a good
working environment assist individual to aware less troubled. Productivity grows, firm goals are
promoted, and company performance is improved. These are the three ways society directly
causing presentation. If workers aware that they are a component of the civilization, they make
favourable ties with their workers. Group of individuals will keep on track, on the job for the
institution desired outcomes (Barnes, 2019).
TASK 5
In case of Tesco, Employee engagement is a main goal for a company with a team-first business
firm society. Companies with exceptional cultures are frequently on a mission to transform the
world using unproven methods (Kamble, Gunasekaran and Arha, 2019).
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CONCLUSION
It is concluded from the above report is that The publicly stating relation that modulate the
institution's operations are set out inside the management constitution, which provides proposal
to every organization. An elaborated study of an organisational scheme makes it easygoing to
create new workers and gives a basis for sustainable of expansion. The objective of a
management structural is to aid the system in accomplishing its end and outcomes, and also to
help individualist in the completion of their project with success and effectively. An organisation
structure allocates work roles and duty to workers and helps administration in subordinating and
control of operations. A business system's goals are things its purpose is to accomplish or
achieve over a definite time period. These might consider to make a net income to money the
company's learning and expansion, giving good-quality items to consumers, saving the planet,
among another things.
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REFERENCES
Books and journals
Buenechea-Elberdin, M., 2017. Structured literature review about intellectual capital and
innovation. Journal of Intellectual capital.
Dave, B., 2017. Business process management–a construction case study. Construction
Innovation.
Costa, E., Soares, A.L. and de Sousa, J.P., 2017. Institutional networks for supporting the
internationalisation of SMEs: the case of industrial business associations. Journal of
Business & Industrial Marketing.
Elkington, M., Bunde-Birouste, A. and Apoifis, N., 2019. Sustainable Funding Mechanisms
Used by Sport for Social Change Organisations. International Journal of Sport &
Society, 10(4).
Tretiakov, A., Whiddett, D. and Hunter, I., 2017. Knowledge management systems success in
healthcare: Leadership matters. International journal of medical informatics, 97,
pp.331-340.
RAMGOOLAM, M.K., 2018. THE EXPERIENCE OF PERFORMANCE APPRAISAL FOR
ETHNIC MINORITY EMPLOYEES IN UK ORGANISATIONS.
Sofer, M. and Schnell, I., 2017. Over-and under-embeddedness: failures in developing mixed
embeddedness among Israeli Arab entrepreneurs. In Embedded Enterprise and Social
Capital (pp. 225-247). Routledge.
van Tulder, R., 2018. Business & the Sustainable Development Goals: A framework for effective
corporate involvement.
Ali Jokhio, I., 2019. A critical exploration of talent management strategy and practice within
Pakistani banking organisations (Doctoral dissertation).
Brown, D., 2018. Business models for residential retrofit in the UK: a critical assessment of five
key archetypes. Energy Efficiency, 11(6), pp.1497-1517.
Kamble, S., Gunasekaran, A. and Arha, H., 2019. Understanding the Blockchain technology
adoption in supply chains-Indian context. International Journal of Production
Research, 57(7), pp.2009-2033.
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Barnes, C., 2019. Understanding the social model of disability: Past, present and future.
In Routledge handbook of disability studies (pp. 14-31). Routledge.
Van Greunen, C., Venter, E. and Sharp, G., 2019. Knowledge-sharing intention in knowledge-
intensive organisations: the influence of personality traits. Management Dynamics:
Journal of the Southern African Institute for Management Scientists, 28(2), pp.2-13.
Josef, B. and Back, A., 2018. Coworking as a new innovation scenario from the perspective of
mature organisations. In 6th International OFEL Conference on Governance,
Management and Entrepreneurship. New Business Models and Institutional
Entrepreneurs: Leading Disruptive Change. April 13th-14th, 2018, Dubrovnik,
Croatia (pp. 491-507). Zagreb: Governance Research and Development Centre (CIRU).
Hopkin, P., 2018. Fundamentals of risk management: understanding, evaluating and
implementing effective risk management. Kogan Page Publishers.
(Buenechea-Elberdin, 2017) (Dave, 2017) (Costa, Soares and de Sousa, 2017) (Elkington,
Bunde-Birouste and Apoifis, 2019) (Tretiakov, Whiddett and Hunter, 2017) (RAMGOOLAM,
2018) (Sofer and Schnell, 2017) (van Tulder, 2018) (Ali Jokhio, 2019) (Brown, 2018) (Kamble,
Gunasekaran and Arha, 2019) (Barnes, 2019) (Van Greunen, Venter and Sharp, 2019) (Josef and
Back, 2018) (Hopkin, 2018)
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