Business Resources Report: Hendy's Ltd - Finance and Resources

This report provides a detailed analysis of the business resources of Hendy's Ltd, covering key aspects such as recruitment documentation, required skills for specific job roles, and the company's physical and technological resources. It delves into the internal and external sources of finance available to the business and presents an interpretation of the company's financial statements, including the profit and loss account and balance sheet. Furthermore, the report illustrates the use of budgets for financial control and examines the overall financial state of the selected company. The analysis covers various facets of business operations, including human management, physical management, and technology management, highlighting the importance of these resources for organizational performance and success. The report also provides a financial analysis using a balance sheet and break-even charts to exercise financial control. The report concludes with a discussion of the key elements of the trading and profit and loss account and the balance sheet for the selected company, highlighting the importance of financial planning and control.

BUSINESS RESOURCES
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BUSINESS RESOURCES
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Date
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Lecturer’s name

BUSINESS RESOURCES
Contents
Task 1...............................................................................................................................................3
Describe the recruitment documentation used in a selected organization and describe the main
employability, personal and communication skills required when applying for a specified job
role...............................................................................................................................................3
Task 2...............................................................................................................................................6
Describe the main physical and technological resources such as buildings and facilities;
materials; plant and machinery; equipment including ICT; technological resources such as
intellectual property required in the operation of the selected organization................................6
Task 3...............................................................................................................................................7
Describe a range of internal and external sources of finance available to the selected business.7
Using the company’s financial statements provide a brief written interpretation of the key
elements of the trading and profit and loss account and the balance sheet for the selected
company.......................................................................................................................................8
Illustrate the use of budgets as a means of exercising financial control of the selected company
......................................................................................................................................................9
Illustrate the financial state of the selected company................................................................10
References..................................................................................................................................11
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BUSINESS RESOURCES
Task 1
Describe the recruitment documentation used in a selected organization and describe the
main employability, personal and communication skills required when applying for a
specified job role
Every company has an expectation that the employees of the company will perform at their level
bet and they will be ready to do anything for the company. There are different aspects that must
be taken care before making the recruitment (Kennedy and Matthews, 2012). The variety of the
platforms can be described in the following way,
Identify the job role
It is very important for the company as well as for the applicant to know exactly about the job
role. It can be elaborated in such a way that the job role must be cleared from the company’s
point of view. Here in this case the company is looking for an ASM as in Area Sales Manager
and Assistant Area Sales Manager. The job is to supervise all the selling activities of the
company in a particular area. It can be said that the job mainly varies from area to area and the
managers must be eligible enough to track each and every selling activities of the company for a
particular area (Kuester and Rauch, 2016).
Application form
Application form actually tells about the terms and conditions of the company and it provides the
basic information about the applicant including the academic qualification and all. It can be said
that the company must design a perfect application form where the information of the application
will clearly be visible.
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BUSINESS RESOURCES
Application for Employment in Hendy’s Ltd
Personal Information Date of application:
Name:
Address
(Present):____________________________________________________________________
_
(Permanent):_________________________________________________________________
_
Contact
(Telephone):_________________ Mobile:__________________
Email:__________________
How did you learn about the company?
Position Sought:_________________________ Start date:____________________________
Expected salary:_________________________ Currently employed? (Y/N)_____________
Education Name & Location Graduate?-Degree? Subjects of study
High School
College/University
Other Education
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BUSINESS RESOURCES
List of requirements for the post
In this scenario, the company requires the following eligibility criteria of the candidates. They
are as follows,
 The student must have the original proof of every documents
 He or she must have a graduation certificate of a recognized university
 The student must have scored 55% or more in the graduation.
 Must have minimum 2 years of marketing experience (Wesley and Barczak, 2010).
The attributes of the candidates
There are several requirements that must be taken under the matters of concern in order to make
the selection process more effective and understandable for the applicant. In this case the
company is looking for an ASM and assistant ASM and the candidates must have the following
criteria,
 The candidates must have efficient communication skill in order to communicate with the
other staffs who are working in the sales department.
 The candidate must have the efficiency to maintain all the requirement documents of the
sold products.
 Must have the required leadership skills in order to maintain the employees who are
working under the manager.
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BUSINESS RESOURCES
Task 2
Describe the main physical and technological resources such as buildings and facilities;
materials; plant and machinery; equipment including ICT; technological resources such as
intellectual property required in the operation of the selected organization
In order to improve the performance of the organization the employees, management department
and the technologies must be improved. The HRM of Hendy’s Ltd must take all the required
responsibilities in order to improve the performance of the organization. It can be said that
different parts of the company have to be managed by different people. The different parts need
to get improved in the most convincing way without affecting the flow of the business. The
places where the improvement can be done are as follows,
Human management
It is the part of the business where the employees and the managers and the leaders of the
company are in operation. It can be said that the managers are the main persons who are
responsible for all organizational activities. The leaders are the one who take care of the
employees and their performances inside the organizational environment and the employees are
the main persons who actually do the tasks and reach the goal for the managers and for the sake
of the organization. If all the performance of those people gets improved then it can be said that
the performance of the organization will also get improved as a whole (Hoedemaekers and
Keegan, 2010).
Physical management
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BUSINESS RESOURCES
It actually refers to the physical movements of the employees, managers and the leaders of
Hendy’s Ltd. It is to say that the physical movements of the company actually decide the success
and aspects of the company. A business always tends to make activities in order to improve the
organizational productivity. The products and the servitude of the business can play the most
important role to decide the impact of the business. It is the responsibility of the authority to take
full care of the physical activities of the business. Moreover, the physical activities include the
different facilities of the business like the buildings, the facilities in the office, accommodation
for the employees, the computers, machines etc. These are the basic things which help the
business to produce the products and with the improvement of these things, the company also
gets improved.
Technology management
Technology is one of the crucial things from the point of view of the company. Everybody
knows that the companies with more advance technologies are considered to be the more
advantageous in the field of the business. So the technological part must be taken very seriously
in order to make all necessary improvements in the business field. The managers and the leaders
of Hendy’s Ltd. must take all the responsibilities and they must take the initiative to make all
technological improvements in business scenario. The information and communication
technologies must be improved, the intellectual property of the business must also get the proper
improvement and these improvements must be made in the operational field of the business
(Rattle, 2010). Employees, leaders and the mangers of the company must take every single
responsibility on their shoulders to improve the performance of the company.
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BUSINESS RESOURCES
Task 3
Describe a range of internal and external sources of finance available to the selected
business
There are many sources from which the business gets the desired finance for continuing the
business operations. The money may come from the internal environment or from the external
environment of Hendy’s Ltd.
Internal sources
Every business makes their strategies and the movements in order to make profit in the field.
After making the profit, every business always tends to invest the major amount of money for the
future of the business. It can be said that the money is recycled by this process and Hendy’s Ltd
also finds it easy to make the investment in the desired field. They do not have to depend on the
others for the investment if internal sources are available perfectly (Ciullo, Contalbrigo and
Lenisa, 2011).
External sources
It can be considered as a third party source from where the business gets its required amount of
money to invest. The third party can be any other company, other personalities, who bother to
invest their money in the business. In return they become the shareholders in the profit of the
company. These all activities are contractual and both the parties cannot afford to do anything
against the agreement.
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BUSINESS RESOURCES
Using the company’s financial statements provide a brief written interpretation of the key
elements of the trading and profit and loss account and the balance sheet for the selected
company
The key element of the company is their internal sources. It means the employees and their
abilities; the efficient management department and perfect leadership skills of the leaders have
helped the company to reach a milestone in the field. Their strategies and the management skills
also have played vital roles in the field. It can be firmly said that all the business activities have
been the key elements of the business. All these are based on the overviews of the performance
management team of Hendy’s Ltd. Moreover, the financial part of the company and the uses of
the money in different part of the business have also played vital roles in the field of the
business. The strategies have been made in such ways that the business has made huge amount of
profit in the field. There is hardly any filed where the business has faced loss and that is why the
business has been very effective in the field.
Here is the balance sheet of the company where the calculations of profit and loss can easily be
understood.
Units of
production
Variable
Costs
(£)
Fixed
Costs
(£)
Total
Costs
(£)
Sales
Income
(£)
Total
Contribution
(£)
Profit /
Loss
(£)
0 0 5600 5600 0 0 -5600
100 900 5600 6500 2000 1100 -4500
200 1800 5600 7400 4000 2200 -3400
300 2700 5600 8300 6000 3300 -2300
400 3600 5600 9200 8000 4400 -1200
500 4500 5600 10100 10000 5500 -100
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BUSINESS RESOURCES
600 5400 5600 11000 12000 6600 1000
700 6300 5600 11900 14000 7700 2100
800 7200 5600 12800 16000 8800 3200
900 8100 5600 13700 18000 9900 4300
1000 9000 5600 14600 20000 11000 5400
Fixed Cost = £5600 Variable Cost per Unit = £9 Selling Price per Unit = £20
The balance sheet actually tells about the assets, usability and the equity of the stakeholders of
the company. These are the basic expenses of the company depending on which the company get
the actual calculation of profit and loss. As far as the balance sheet is concerned it can be
assumed that it is more than perfect for Hendy’s Ltd.
Illustrate the use of budgets as a means of exercising financial control of the selected
company
The budget of Hendy’s Ltd. is the most valuable aspect for any kind of business in the field. It is
so because a budget can decide all the activities and movements of the company in the business
field. It is to say that the budget explains the actual position of the company and it also predicts
the future condition of the business in the most effective way. The budget must be set according
to the financial condition of the company. The management department of the company must
take all the responsibilities in order to control the budget and all the expenses of the company. In
this scenario break even charts are very important from the company’s point of view. It is to say
that break even charts include things like, fixed costs, variable costs, total cost of the company
and the total revenue of the business. It is actually a graphical representation of different costs.
The management department of the company must make all necessary movements to draw
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BUSINESS RESOURCES
proper break even charts and these charts should make the image of the total cost clear to
everyone (Çoknaz et al., 2016).
0 100 200 300 400 500 600 700 800 900 1000
0
5000
10000
15000
20000
25000
Hendy's LTD Break Even Simulator
Fixed costs Total costs
Sales income
Units Sold
Revenue/Costs (£)
It is clear that the breakeven point is the point where the company is in a neutral financial state. It
means the company is neither in any loss state nor in any profit state. The budget of the company
actually decides the loss and the profits of the business depending on which all the activities are
made. The breakeven chart also shows the overview of the budget.
Illustrate the financial state of the selected company
The financial state of Hendy’s Ltd. can easily be known depending on the accounting ratio.
Accounting ratio is the comparison of two main aspects of a financial statement. It is actually the
relationship of the current assets to current liabilities. The ratios can be used to evaluate the
financial condition of the company. This includes the strengths and the weaknesses of the
company in the most effective way.
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BUSINESS RESOURCES
The current liability of the company is $150,000 whereas the current asset is $300,000. Then the
current ratio of the company can be calculated as $300,000 to $150,000 or 2 to 1 or 2:1. This
ratio of 2:1 is the accounting ratio of the company that describes the financial state of the
company in the most effective way. The expenses and the profits of the company play handy role
in order to decide the accounting ratio and the loss that the company makes in the business field
is also very crucial in the field of business (Marens, 2016).
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