Overall Study Flashcards
Micro environment
Also referred to as internal environment- This is the immediate environment in which a business functions
Vision
The vision of a business is the dream that you want to achieve
Mission
The mission statement gives clear direction on how you intend to achieve your vision
Goals
Your goals are long term plans of what you want to achieve
Objectives
Objectives are short-term aims that you want to meet in order to achieve your Long-term goals
Organisational Culture
Its the way the company goes about doing business. Its the way management interacts with its staff and how staff interact with each other
Organisational resources
~Human Resources(people)
~Physical resources (raw materials, machinery and infrastructure)
~Financial resources(capital)
~Other resources(time)
Management and Leadership
The vision mission and goals are driven by management
The organisational culture is created by management
Business organisational structure
The organizational structure of the business is the hierarchy that determines the positions of management, the departments and the employees. The structure will determine who reports to whom and which departments fall under which manager’s. The structure also indicates the way decisions are taken and carried out. The structure can be illustrated by an organogram
Eight Business functions
General management Purchasing Production Marketing Finance Public relations Administration Human resources
Types of Finance
Start-up
Cash flow
Replacement
Expansion
Function of the finance department
Source the funding Plan for efficient use of finance Audit and control spending Allocate necessary funds to different departments Find best investments
Function of the finance department
Source the funding Plan for efficient use of finance Audit and control spending Allocate necessary funds to different departments Find best investments
General management
If this is the umbrella function of any business.If this is the umbrella function of any business. Management makes the decisions sets the goals and determines the vision of the business
Purchasing
Responsible for buying all the raw materials machinery equipment and services for the business. It has to insure the right quantity and quality of goods and services in order for the business to operate
Production
Responsible for the production of goods and services. Has to process the raw materials to ensure quality product and to ensure that enough production takes place to meet the demands of the customer
Marketing
Carries out market research to assist the demand from the customers. Marketing has to take note of trains in the market and changes in the taste of customers. The marketing function is to keep a close watch over The products and prices of competitors
Public relations
Responsible for keeping the customer’s supplies shareholders and anyone else involved in the business happy. It ensures that there is good communication and that these people all know about the success of the business
Human resources
It’s to look after the employees or workers in the company. Human resources staff are responsible for recruiting the right people for their jobs. They also have to make sure that employees are happy and looked off the while they are working for the business
Administration
Supports all the other business functions. Administration is responsible for collecting, processing and storing all data and information in the business
Finance
Handles all the money matters of the business. Finance guides management using predictions and helps to make the best financial decisions. Look for ways to expand, renovate and deal with debts
