Business Section 2

Question 1

Functional areas:

1. Definition?

Answer 1

1. Functional area is the division of work into separate areas of expertise.

Question 2

Finance

Finance control and record keeping.

It is also known as accounting, accounts, accounting and finance.

1. What are the key activities involved in finance?

Answer 2

1. The main activities involved in finance are:
   Financial control
   Record keeping

Examples for financial control include financial performance.
Examples for record keeping include producing financial statements.

Question 3

Marketing

1. What does this function area do?

Answer 3

1. Marketing involves promoting the business using different and relevant forms of media including social media.

Question 4

Sales

1. What does this function area do?

Answer 4

1. Sales is selling the business products / services.

Question 5

Human Resources (HR)

1. What does this function area do?

Answer 5

1. Human Resources (HR) is the planning recruitment, redundancies, remuneration and reward systems (pay and benefits).

Question 6

Operations management

1. What does this function area do?

Answer 6

1. Operations management converts inputs to outputs.

Question 7

Customer services

1. What does this function area do?

Answer 7

1. Customer services involves cooperating with customers managing expectations and resolving queries.

Question 8

Business support service

1. What does this function area do?

Answer 8

1. Business support service involves managing resources, maintaining equipment, providing IT support and providing administrative support.

Question 9

Research and development

1. What does this function area do?

Answer 9

1. Research and development involves developing new products and services in response to research findings.

Question 10

Purchasing/procurement

1. What does this function area do?

Answer 10

1. Purchasing involves sourcing and providing materials or services.

Question 11

Division of work

What is division of work?

Answer 11

Division of work is the task that a business needs to do are shared out across the workforce. In most businesses the division of work is based on functional area.

Question 12

Span of control

1. What is span of control?

Answer 12

1. Span of control is the number of employees an employee or manager is responsible for.