Analysis of Business Organizations: Structure, Functions, and Culture

This report provides a detailed analysis of business organizations, encompassing various types such as sole proprietorships, partnerships, and limited companies, along with their respective advantages and disadvantages. It compares and contrasts tall and flat organizational structures, using examples from the hospitality and tourism industry. The report also explores different business functions, including Human Resource Management, Production, and Operations, and their impact on organizations and employees. Furthermore, it defines organizational culture and explains how a positive culture contributes to the overall success of a business. The report concludes by summarizing the key findings and referencing relevant sources to support the analysis. This comprehensive report provides a thorough understanding of business organization principles.

UNDERSTANDING
BUSINESS
ORGANIZATION

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
The definition and outline of three advantages and disadvantages of the different types of
business for example: sole trader, partnership, limited company, etc.............................................3
Compare and contrast tall and flat structure of an organization. Make sure you include
hospitality and tourism Industry examples in your discussion....................................................5
Discuss different business functions such as Human Resource Management, Production,
Operations, etc. and the impact of their functional management activities on organizations and
the people within the organizations.............................................................................................5
Define organizational culture and explain how positive culture impacts on the success of
organization.................................................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................7

INTRODUCTION
Business organization is a structure of business which focuses on buying or selling the
commercial enterprise. It is a management term which is helps to analysis the culture of an
industry. Business organization is a tool which help to organize or manage the business activities
in a form. In other words, it is a process of planning of buying and selling the products and
services for earn profit. This report will cover the business types like sole trader-ship,
partnership, limited company etc. and function's advantages & disadvantages. This report also
covers the tall and flat structure of organization with hospitality and tourism industry examples
(Collinson, Narula, Qamar, and Rugman, 2020). It will analysis the business functions which
includes human resources management, production, operation and also define the impact of
person in the department. This report also defines the organizational culture and positive impact
on success. Business organization is term of functions which help the organization to achieve the
goals, success and also improve the performance of an organization.
MAIN BODY
The definition and outline of three advantages and disadvantages of the different types of
business for example: sole trader, partnership, limited company, etc.
Business Organization is a term of business entity which purpose of buying a selling the
commercial activity, which aims to earn profit and improve the performance for future growth.
It is also defined as management function which focuses on analysis the business structure and
how its produce the goods and services to their customers. It is help in to earn profit by pre-
planning and aims to provide better services to customers. Likewise, it is helping the business to
determine the problems and issues and solve it with better solutions. Business organization help
to collect the information about market which is help to run the business according to market.
Business organization help to organize the business structure which is help in fulfilled
customers’ needs and wants and satisfy them (Fehrer, Woratschek, and Brodie, 2018). There are
many kinds of business organization types but some of are important which are given below
with some advantages and disadvantages.
Sole Proprietorships: It is referred to the enterprise which is owned or run by
individual. This type of enterprise has no restrictions of legal status between business entity and

owner. It is also known as sole trader ship or individual entrepreneurship. In this business there
is no partnership or another person the only owner is responsible for all the success or failure.
 Advantages:
1. This business is based on separated business where it has no taxes or legal status are
included. Any profit which is earn in business is an income for the owner. Business
organization is not required any taxes from sole proprietors
2. Another advantage of sole trader ship is, it is easy to maintain and control by person
because there is no another cost required.
3. Helps in decision making and owner has a control power. It is easy to take decision for
business there is no other bound or restriction from others.
 Disadvantages
1. The only owner is able to pay the all over cost of business there is no another partner.
Any assets or liability has to pay by owner as individual.
2. The owner is responsible for all the risk in a business because it is an individual
ownership there is no one to control the risks.
3. There is no support in the business. All the risk, stress and pressure are handled by the
owner as individual.
Partnership: it is referring to that business which is run by two or more peoples. In
partnership the both partners are responsible for all the success and risk (Irwin, 2020).
 Advantages:
1. Partnership helps in collect more capital for business.
2. It is easy to start the business with partner.
3. There is a support of partner to handle the all risks or other expenses.
 Disadvantages:
1. There is a difficulty to take the decision for businesses.
2. There is some restrictions and bond from the partner.
3. There is no independent cost or income.
Limited Company LC: It is referring to those companies which has limited members
and responsibilities, and liability. Decisions are taken by the shareholder of the company. It is
provided opportunity on tax planning.
 Advantages:

1. There is lack number of expenses.
2. It is given opportunities for tax planning.
3. It is helps to earn profit without give double taxes.
 Disadvantages:
1. In Limited Company, there is high cost on legal status and fees.
2. There is limited ownership.
3. It is difficult to take decisions for company.
Compare and contrast tall and flat structure of an organization. Make sure you include
hospitality and tourism Industry examples in your discussion.
The comparison of tall and flat structure is easy to understand because there are hierarchy
levels of management where the number of levels in tall structure is unlimited and in short
structure there is limited levels. For better understanding the both organizations defined which
are given below with examples-
Tall Organization Structure: This structure of organization defines as the long scale,
because it has many leaders and there are unlimited levels of hierarchy. It is also called as long-
term structure. Tall organizational structure has so many levels of management.
Flat Organizational Structure: This structure of organizations defines as the term of
small scale, where it has limited number levels of hierarchy. Flat organizational structure has
short chain of command comparison to tall structure. It has lack numbers of level of
management (Khan, and Mir, 2019).
For example, hospitality and tourism industry has many levels of hierarchy because it has
a long scale structure, it has many opportunities of promotions, the control of structure is seen
and the cost of industry is high. The reason of high cost there are many staff within an industry.
Discuss different business functions such as Human Resource Management, Production,
Operations, etc. and the impact of their functional management activities on organizations and
the people within the organizations.
Business function is referring to the activities which is support the business with the help
of its departments, which is also known as the function of business. These functions play a vital

role in every business because it is necessary to have the department to support the business.
Any kind of business or industry has many departments and every department has different-
different work. The overall business is running by every department which help to support the
organization to achieve their goals. Business functions allow people to work effectively and also
improve the performance which helps to organization to achieve the goals with success. There
are some types of business function which are given below-
Human Resource Management: HRM is define as the function of management which
helps in hiring, controlling, motivating, and maintaining the employee engage for the
organization. HRM help the employee for better understanding the organization and perform
well for success (Nielsen, and et.al., 2018). It is improving the employee performance by
motivating them. The role of HRM in any sector field to select the best candidate for the
organization. It is also help to support the employees in training and development which is help
in increase the performance of an employee. It is the important function of business
organization. HRM is the process of planning, controlling, motivating, hiring the employee and
selecting the best candidate for the position. This department helps the employee for effective
working which is the advantages for an organization. It is also improving the culture and
environment of the organization.
Production: This is the department which is the term of marketing process. Production
department involves high investment in working capital and liabilities. This function done when
the all the activities of sales done. In other words, production refers to the creation of values and
services. This is the function of business which is need by every organization.
Operation: The operation department refers to the process of planning, controlling,
organising of goods and services of all resources. This department helps to analysis the
opportunities and current trends of the market within the organization.
Define organizational culture and explain how positive culture impacts on the success of
organization.
Organizational culture is referring to the collection of values, practices and expectations
which helps the organization to collect the activities of employee. The culture of organization is
the term of vision, mission, and objective of the company to guide the employees (Shanks, and
et.al., 2018). There is positive culture that impacts the success of the organizations which are as
follow-

1. A healthy organization helps employees with job satisfaction, understand the employee
term and conditions which is helps in increase the productivity of an organization.
2. By making a strong organization culture helps in leading the brand and improve the
brand performance.
3. A healthy culture makes a healthy team which is helps the organization to achieve the
goals effectively (Verma, Bhattacharyya, and Kumar, 2018).
CONCLUSION
From the above report, it has been analysis that business organization plays a vital role in
the industry, which is the part of commercial enterprise. It has been concluded that it is helps in
business organization is the important part for commercial enterprise, it is the process of buying
and selling the product and services to customers and satisfied them by fulfilled their needs and
wants. It has been analysis that there are many kinds of types of business organization which
includes sole proprietors, partnership, Limited company etc. which has many advantages and
disadvantages. In the above mention study, it has been analysis that there are two types of
structure of organization tall and flat structure which has large levels and limited levels of
hierarchy.
REFERENCES
Books and Journals
Collinson, S., Narula, R., Qamar, A. and Rugman, A.M., 2020. International business. Pearson
UK.
Fehrer, J.A., Woratschek, H. and Brodie, R.J., 2018. A systemic logic for platform business
models. Journal of Service Management.
Irwin, H., 2020. Communicating with Asia: Understanding people and customs. Routledge.
Khan, S.J. and Mir, A.A., 2019. Ambidextrous culture, contextual ambidexterity and new
product innovations: The role of organizational slack and environmental
factors. Business Strategy and the Environment, 28(4), pp.652-663.
Nielsen, C., Lund, M., Montemari, M., Paolone, F., Massaro, M. and Dumay, J., 2018. Business
models: A research overview. Routledge.

Shanks, G., Gloet, M., Someh, I.A., Frampton, K. and Tamm, T., 2018. Achieving benefits with
enterprise architecture. The Journal of Strategic Information Systems, 27(2), pp.139-
156.
Verma, S., Bhattacharyya, S.S. and Kumar, S., 2018. An extension of the technology acceptance
model in the big data analytics system implementation environment. Information
Processing & Management, 54(5), pp.791-806.