Analysis of Sainsbury's Business Environment and Functions Report

This report provides an in-depth analysis of Sainsbury's business operations, focusing on the impact of internal and external factors. It explores collaborative working practices, highlighting strategic alliances and partnerships, and examines the roles of HR, marketing, and finance functions within the organization. The report details the importance of teamwork and the influence of financial and marketing resources on business performance. It also delves into financial management and reporting, including financial planning, resource allocation, and the significance of financial statements like the balance sheet and profit and loss account. Furthermore, the report considers external factors such as customers, competition, and technology, and their effect on Sainsbury's business strategies. This comprehensive overview offers insights into the company's structure, functions, and its adaptation to the business environment.

Introduction To Business Studies
INTRODUCTION
Business sector is wider and broader which involves wide range of functions and operations. Business
environment refers to combination of internal & external factors that impact on overall organisational structure
(Al Breiki, 2019). Sainsbury, a largest supermarket firm headquartered in U.K. Company has wide number of
store & large product portfolio. Main aim of this report is to examine & understand the impact of external &
internal factors on business. This presentation comprises of role of HR role of HR, marketing, & finance
functions, collaborative working practices, factors of both internal & external and role of financial management
& reporting.
Collaborative working practices
In business field, it is crucial to focus on this concept of collaborative
working practice so that goals are accomplished appropriately (Druxes, 2019). In this
concept, company is able to expand their business activities & functions at larger
scale. In viewpoint of selected firm, they also adapt this process of collaborative
working practice so that it is easy for them to work with new ideas & people.
Moreover, this process involves working with more than one or two enterprise with
mutual agreement. There are various types of techniques which are used for
collaboration that are discussed below-
Strategic alliance- This is most effective technique which is used by
Sainsbury when adapting collaborative working practices (Friesen, 2019). This
technique is defined as process of merging up with more than two organisations with
aim for achieving common desired goals.
Partnership- In this, it is also another form of collaboration in which main
mutual agreement is agreed by both parties to share their profit & loss. In relevance of
selected firm, there also uses this technique when wish to aim for collaboration.
Teamwork and its importance within the organization
Teamwork is important in an enterprise as because when employee work
with each other and with mutual collaboration it is easy for them to achieve and
objectives with in period of time. Moreover, it is also seen that when employees work
as a team in entity better productivity is achieved.
Internal & external factors impacting business
Internal factors are those that impact upon enterprise overall structure
internal or within organisation. Whereas, external factors are those that affects the
business externally & are non-controllable (Kaartemo, 2017).
Values and functions of company are aligned with social responsibility
Recruitment & training- It is important role of HR in Sainsbury as in this hiring & selecting & training
is being carried out. It includes hiring of right people in entity & providing them with proper training to
employees
Performance appraisal- This is another crucial role in which main aim is to motivate people &
encourage them towards their work & practices. It also assists subordinates to personnel that how they can make
improve their progress & performance.
Marketing Department
Marketing functions also play crucial role in enterprise. As in context of Sainsbury, their marketing
department has many roles which are discussed below-
Monitoring & managing social media- In this role of marketing function, monitoring & managing of
social media platform & activities are handled by marketing department. In reference of chosen entity, marketing
department ensures that online promotion & advertising is done in proper manner (Doern, 2019).

Financial and marketing resources-
This is main internal factor that effect on business as
because in enterprise both financial as well as marketing resources
play important role in achieving of objectives properly. In relevance
of Sainsbury, they also get affected by these because both are
required at priority level & absences of these have deep impact on
entity overall structure.
Human resource-
These are also important factors that impact on company’s
structure as human resource are mainly responsible for hiring &
section of deserving employees. In relation of chosen entity, the HR
of firm is liable for increasing productivity by hiring of right
candidates.
External factors
Customers-
These are those factors which have a deep influence on
profitability & sales of firm. As, business is dependent upon
customers. In reference of selected firm, they have large customer
base & changing demands as well as needs of customers directly
affects the working function of business.
Competition-
This is another external factor which affects the enterprise
working function. Due to rise of competition in market, it has
become crucial to implement strategies to gain competitive advantage
Technology factors-
With changing period of time, every business is connected
with & use technology at larger scale. Further, in context of selected
firm, they are impacted by this factor because they technology is
flexible & change at rapid scale.
Financial management and its importance within the
organization
Role of Finance functions-
Financial planning- It is essential role in which marketing
functions are responsible for carrying out effective planning. In this
they mostly use data which are available in entity & use it for further
planning process. In context of chosen firm, they finance
department are responsible for carrying out this function.
Allocation & utilization of resources- This other role in
which finance function role is to allocate & utilize the resources in
most efficient manner. In reference of selected company, finance
department make assures that resources are used with considering
budget allotted by finance functions.
Role of financial management and reporting
Financial management has important role in organisation
because they are responsible for managing & handling all functions
as well as operations related to finance. So, various types of roles
are mentioned below-
Reporting- In business, reports are prepared by financial
management to analyse & examine the statements such as profit &
loss account, balance sheet etc. This is crucial role which is carried
out by financial management (Shah, 2020).
Receivables & payable- In this, financial management is
responsible for managing of all the payments made to vendors or
made by vendors, firm, are handled. Through properly becoming
aware about receivables & payable it is easy to make decisions.
Reporting and its importance within the organization
Reporting in an organisation is important as
because it provides essential detailed information that
can be used to implement statistics, forecast, market
plans etc. It is important for enterprises to use this
reporting on the basis of which it is easier to achieve
proper information required by business.
Financial reporting-
These financial reports are also needed to be considered
and has different roles-
Providing relatable information- It is
essential role in which financial reporting & reports are
responsible for delivering of appropriate information to
management to prepare & make decisions regarding
benchmarking, analysis etc.
Financial statements
Balance Sheet
It is a type of a statement which is used by
company it includes assets and liabilities on two
different sites. Main purpose of this financial statement
is to provide a picture of assets and liabilities.
It is and other financial statement which is being carried
out by organisation in which revenue post expenses that
occurred within a business are listed and specified of a
particular period.