Introduction to Organization Management: A Case Study of Home Food, UK

Desklib provides past papers and solved assignments for students. This report analyzes Home Food, UK's business.

INTRODUCTION TO ORGANISATION MANAGEMENT
0

Table of Contents
Introduction......................................................................................................................................2
Understanding of the main functions of an organization.................................................................2
An understanding of the basic models, concepts and organizational structures in an organization3
An understanding of the role and processes of marketing, human resource management and
customer...........................................................................................................................................3
An understanding of the role of accounting and an introduction to the main tools of analyzing
internal and external costs of running an organization....................................................................4
Conclusion.......................................................................................................................................6
References........................................................................................................................................8
1

Introduction
In order to conduct fluent business operations, it is essential to conserve a constructive position
in a market. In order to maintain the competitive edge of the organization in the market and to
follow the important factors, which are responsible for operating the operation in a competitive
market, is mentioned in the case study in context of Home Food, UK. The study analyses and
present that the home food organization believes and identifies the key issues of the organization.
This study also presents the budget for current pay bill.
Understanding of the main functions of an organization
Company background
One of the fast growing food industries with wholesale business of food distribution within entire
Manchester is The Home Foods, UK. Mr. Wright in Manchester established the organization in
the year 2005. The concern organization deals with a wide range of delicious cakes and scones
made in home. They also provide hot and cold buffets in special occasions, which are specialty
of the organization in UK (Chak Leung Lam and Adams, 2017). The mentioned company also
serves sporting teas in the evening presentation and in the matches. They provide business
lunches with homemade delicious cakes, soups and sandwiches. There are many more services
available in the market provided by the company with a very reasonable budget. The Home
Food, UK is the most demanded and best selling food company in the markets of Manchester.
The functions of Home Food
The main functions of the Home Food, UK are to serve the hot and cold buffets in special
occasions with an affordable price, to serve sporting tea in the grounds of matches, to make
homemade delicious cakes and scones, to maintain the hygiene of the food, make attractive
presentation of packaging to maintain its market position in UK. The company delivers good
quality food to the people that eventually create a good reputation for the respective
organization.
2

An understanding of the basic models, concepts and organizational structures in an
organization
However, the issues related to the external and internal environment of business cannot be
predicted (Feng et al., 2017). Economically the organization is stable if any kind of inflation
arises then there is a bit of risk that might occur. English cuisine that is adopted is very
traditional and all its customers admire it. As the name suggests the food is made in home and
the priority of the company is always maintaining the hygiene of the food. This objective is one
of the biggest reasons for the success of it in the market. As per the customer satisfaction model,
the demand of any product in the market automatically increases if the quality of the product is
maintained. It is also ensured that waste or stale food items are not supplied to the customers.
this creates a trust for the company among customers. The home food, UK knows that the food is
one major concern for human being (Bortolini et al., 2016).
An understanding of the role and processes of marketing, human resource management
and customer
Competitors of Home Foods
Role and process of marketing
Analyzing the opportunities made by the competitors in the market that are availed by the
organization. By evaluating the opportunity, the chosen organization can fulfill the need of the
customers that may not be satisfied by the competitor organization in the same place. The Home
Food has competitors such as, Whole Food, Food for Life and Tree of Life in UK. This
organization cannot fulfill the needs of the customers who are fond of the food made with
traditional methods and maintained with hygiene that is the specialty of the Home Food, UK.
Selection of the target market is used to select the customers in different aspects, such as age
group and similar others. The most important aspect of marketing is to follow the marketing mix.
Home Food Company has followed the factors of marketing mix to fulfill the needs of the
customers for making the marketing process effective. The Home Food Company has
successfully done the management of the marketing efforts (Clapp and Scrinis, 2017).
3

Human resource management
Behind the production of every successful organization, the people have done the most essential
part. It is not possible to make food and to maintain the food quality without the help of skilled
workers. Every organization needs skilled workers for the achievements of the organization. as,
Home Food is a homemade food company and the food are made with the maintenance of
hygiene and traditionally the organization needs a lot of skilled workers for the cooking,
packaging as well as for making promotional activities.
Customer services
The major concern for any organization is to fulfill the requirements of the customers to establish
the business successfully. The chosen organization has fulfilled all the requirements as it makes
food with good quality along with affordable budget. It makes food traditionally to follow the old
methods of cooking which has most demand in the market of UK. The presentation of the
packaging made by the chosen organization is very attracting and satisfying to the customers
(Cohen and Ilieva, 2015).
An understanding of the role of accounting and an introduction to the main tools of
analyzing internal and external costs of running an organization
Financial position of Home Foods
The purpose of an accounting in a business organization is to maintain all the financial
information to the stakeholders of the organization. This accounting section includes the
suppliers, investors and creditors. In order to manage the account of an organization, it is
important to have an accounting section. The investments made by the chosen company for the
betterment of the products or to maintain the accounting department of the company (Giampietri
et al., 2016) maintains the food quality and the income from the selling of the food
Internal accounting management
Managing accounting creates the internal reports that have been done by the company and it
solves various kind of business problem related to the finance. Home Food is economically
stable and has a huge demand in the market so the company needs more well organized
accounting department to maintain all its economical issues (Imbert and Papp, 2015).
Accounting data for the decision making
4

In order to run a business, the organization requires accurate information about the liabilities,
assets, cash position and profits. Accounting gives crucial information of the organization. It
plays a significant role in assessing the viability of the investment made by the chosen
organization.
Accounting for the government regulation
The concern organization has to maintain the governmental issues of UK. Taxation and the
social security sales are included in the part the tax given by the company and the sales record is
included in the accounting part. The chosen organization makes all the taxation and security
sales according to the government of UK (Jackson et al., 2016).
Accounting for planning
Every successful organization like Home Food, UK has to make planning to achieve the goals of
the organization. The concern organization makes planning for the innovative ideas for
increasing the variation of the food items and the presentation of the packaging. The company
has made planning in their marketing process for the promotion of the company (Warren Jr et al.,
2015). All the collected datas are used to manage the forecast and developing to meet the goals.
Using data for budgeting
It is very important to follow the budgeting data of an organization according to the budget of the
country. Budgeting is important because the reports from the past and the present and the future
prediction cost effectiveness is essential for creating projection of cash flow and sales plans..
Cost accounting on products
This accounting section is involved with the products. Purchasing of raw materials, packaging
cost and the salary for making the food to the workers are included in this. An accounting
manager needs to follow that how much investment is made for developing the pricing strategies.
Home Food, UK makes food with very high quality with also an affordable pricing, which is an
advantage for the company (Ivert et al., 2015).
Present situation of the company
The company has made a rapid growth in the market of Manchester. However, by the time the
quality of food is dropping a bit which can be a huge loss for the company. The company also
needs some promotional strategies to promote their business with the help of technology. People
of Manchester demand the previous quality of Home Food, UK.
5

Cost of current pay bill
Particulars Amount
(£)
Adjusted
amount
(£)
Total
amount
(£)
Co-Managing Directors (2)
Add: Bonuses (30% of £120,000)
£240,000 £144,000 £384,000
Directors (2)
Add: Bonuses (30% of £80,000)
£160,000 £48000 £208,000
Managers (4)
Base salary: £40,000
£160,000 £160,000 £160,000
Supervisors (4)
Base level: £30,000
£120,000 £120,000 £120,000
Operatives (45)
Base level: £7.70 per hour (for a 40-hour week)
£55440 £55440 £55440
Total
(salary+bonus)
£927440
10% reduction by shareholders £92,744
Contribution of 10% of base salary to pension scheme
(10% of £735,440)
£73,544
Total
(reducing the pension scheme and shareholders’ share)
£761,152
6

Conclusion
The above study states the present market position in UK. The company follows all the business
strategies and ideas to meet their goal. The demand of the food delivered by the Home Food, UK
has grown rapidly. The quality of food never disappoints the customers. One of the major factors
that the organization follows is to maintain the hygiene of the food and the traditional methods of
cooking. The other competitors of the chosen organization have failed to fulfill the requirements
of the people of the UK. Though the company has made a rapid growth there is also some
drawbacks of the company such as the company needs to follow the promotional strategies and
the food delivery process needs to be improved.
7

References
Chak Leung Lam, M. and Adams, J., 2017. Association between home food preparation skills
and behaviour, and consumption of ultra-processed foods: Cross-sectional analysis of the UK
National Diet and nutrition survey (2008-2009). International Journal of Behavioral Nutrition &
Physical Activity, 14.
Feng, H., Morgan, N.A. and Rego, L.L., 2017. Firm capabilities and growth: the moderating role
of market conditions. Journal of the Academy of Marketing Science, 45(1), pp.76-92.
Bortolini, M., Faccio, M., Ferrari, E., Gamberi, M. and Pilati, F., 2016. Fresh food sustainable
distribution: cost, delivery time and carbon footprint three-objective optimization. Journal of
Food Engineering, 174, pp.56-67.
Clapp, J. and Scrinis, G., 2017. Big food, nutritionism, and corporate power. Globalizations,
14(4), pp.578-595.
Cohen, N. and Ilieva, R.T., 2015. Transitioning the food system: A strategic practice
management approach for cities. Environmental Innovation and Societal Transitions, 17, pp.199-
217.
Giampietri, E., Finco, A. and Del Giudice, T., 2016. Exploring consumers’ behaviour towards
short food supply chains. British Food Journal, 118(3), pp.618-631.
Imbert, C. and Papp, J., 2015. Labor market effects of social programs: Evidence from india's
employment guarantee. American Economic Journal: Applied Economics, 7(2), pp.233-63.
Jackson, S.B., Lipe, M.G. and Waddoups, N., 2016. Are Discretionary Accounting and Finance
Choices Made to Address Management Control Concerns by Influencing Organizational
Actions?. Available at SSRN 2745199.
Warren Jr, J.D., Moffitt, K.C. and Byrnes, P., 2015. How Big Data will change
accounting. Accounting Horizons, 29(2), pp.397-407.
Ivert, L.K., Dukovska-Popovska, I., Kaipia, R., Fredriksson, A., Dreyer, H.C., Johansson, M.I.,
Chabada, L., Damgaard, C.M. and Tuomikangas, N., 2015. Sales and operations planning:
responding to the needs of industrial food producers. Production Planning & Control, 26(4),
pp.280-295.
8