Three Different Types of Organisations
It has been seen that companies should focus on implementing proper strategies so that it can be easy to attain large market share in the competitive market. In this paper, the focus will be given on the size, structure, business resources and activities which are required at the time of managing the overall activities of the company. The report will also highlight the challenges and problems which can be concerned with the size and need of the business. It can be evaluated that owner of the business focuses on the overall analysis of the business challenges and types at the time of starting the business. The main aim of the report is to analyze the objectives behind incorporating the specific type of business. Also, the report will discuss about the different size and objective between the need of the employee and company.
There are many types of companies like public, private, non-profit organization and sole proprietorship companies which can be established by analyzing the need of the entrepreneur. In the first phase of the report, the focus will be given on different types of organizations, size and also on the scope. Then functions and department of the company will be explained. The last phase emphasize on the overall challenges, issues, recommendations and conclusion in context to incorporating the specific sort of the company.
In the present scenario, it can be analyzed that there are various companies which are incorporated by the businessmen. The companies can be public, private and also nonprofit organizations. In the private companies, it has been seen that they are set up so that it can be easy to earn more profits. For example: Sainsbury can be considered as one of the largest private company. The private companies can also be divided into various categories. The first category is related with sole traders, partnerships, cooperatives and limited companies (Thompson, 2017).
The next is nonprofit organizations in which the focus is not given on profits but they are considered as the charitable bodies. These companies can also be termed as the NGO’s which focuses on offering proper services to the people living in the society. These organizations are different from private companies as the main aim of the private companies is to earn profits but these companies aim to provide proper services to the public. Also, it has been seen that these types of companies invest in corporate social responsibilities so that society can be uplifted. It has been investigated that JB Hi-FI focuses on managing the overall CSR activities which helps to attain positive outcome. Also on the contrary there are small scale sector in which the entrepreneur are having small ideas and also one person is indulged in the activities. In this the liability of the owner is limited. It can be stated that it is difficult for the private companies to raise the capital from the market just because of the legal and corporate governance program. The sole proprietorship companies are small in nature and it is important for them to convert them into private and public companies (Rodney Turner and Lecoeuvre, 2017).
Growth in the International Business Environment
Public companies are the companies which are publicly listed company and also it is a corporation whose ownership is related with the general public in various shares if stock which can be traded on the stock exchange. There are many companies like Citigroup, General electric and bank of America. The legal structure of the company is related with the distinct legal entity which is separate from the shareholders and its officers (Ashkenas et al., 2015).
It can be analyzed that there are many companies who are focusing on expansion in the international market but for this it is important to focus on the concept of Increasing GDP. Nestle company also enhanced its market share on the international platform. The international alliance and strategies of Nestle Company is effective which helps to attain the core competencies. Also, the companies which are public and nonprofit organizations focus on the national guidance in financial framework so that it can be easy to achieve growth in the competitive market (Ertas, 2014).
It is important for the business to customize the products and services according to the demand of the customers. It is necessary to consider the right strategies so that growth can be attained in the market. There are many factors which can impact the growth of the company like human resources, competition level and also the change in law and regulations.
Example: Burger King has to focus on maintaining the quality and also they focus on considering the activities of the government, legislations and regulations. According to the country in which the company wants to start the business, the legal rules and regulations has to be considered. There are also various factors which is important for the company to sustain in the market. One of the factor is related with human (internal and external customers), the financial and physical resources which are necessary for the business to survive in the competitive market. Example: Nestle produces the products related to baby foods, chocolate and confectionary, drinks, ice cream and healthcare nutrition.
Nestle is a Swiss transactional food and drink company with headquarter in Vevey Vaud, Switzerland. It is considered as one of the biggest food company on the global platform. There are more than 447 factories of the company which operates in 189 countries. There are more than 339000 employees who are managing the overall activities of the company. Nestle was established in 1905 with the merger of Anglo Swiss Milk company (Nestle, 2018).
The company focuses on offering range of products in the market. The products which are offered by the company are baby food, medical food, breakfast cereals, coffee and tea, dairy products and frozen food. There are approximately 29 Nestle brands which include Nescafe, Kit Kat, Nesquik and Maggi (Nestle, 2018).
Nestle is one of the largest company on the global platform. The size of the company can be stated as one of the biggest company in the market. The scope of the company is wide as it can be easy to for the company to enhance the market share and also the market share of the company can be enhanced through online and offline ventures. Nestle emphasizes on enhancing the market share by considering the core competencies in relation with product differentiation strategy (Wilson, 2018).
Legal Structure and Purposes of Different Companies
Also, this strategy emphasizes on providing standardized product food quality which can help in boosting the overall sales in the competitive market. By maintaining the quality of food it can be easy for the company to boost the overall profits and it can also lead to overall customer satisfaction in relation with the products and services offered in the market. The company can easily attain the profits, if focus is given on marketing and also on product quality. With these two factors the scope of the company can be enhanced and boosted which can lead enhancement in the overall market share of the company (Bolman and Deal, 2017).
The vision of Nestle is to be one of the leading, competitive, nutrition, health and wellness company. The company focuses on delivering the improved shareholder value by offering good quality products and services in the market.
Nestle is one of the largest leading nutrition, health and wellness company. The mission of the company is related with “Good Food, Good life”. The company offers customers with the bests tasting and nutritious choice. There are wide range of food and beverages which are offered to the customers in the market. The mission of the company is to achieve large market share in the competitive market as it offers an opportunity to attain profits.
The main objective of the company is to be one of the biggest companies in the food sector and also it focuses on maintaining the overall quality of the products in the market. The objectives of the company are related to attain the compatibility with the voluntary standards on the environmental management systems. Also, the objective is to build mutual trust with the customers, governmental authorities and also business partners. Also, it focuses on employing the new technologies and processing so that it can be easy to achieve the positive outcome in the competitive market. The company also focuses on conservation of the natural resources and also in minimizing the waste (Roness, 2017).
By emphasizing on the overall reports of the organization it can be stated that the size, scope and also the organizational structure is related with the overall goals and objectives. Nestle is one of the largest private company which have the main objective to earn profits from the overall operations of the business.
There are various functions which are taken into consideration by the company in the competitive market. The functions of the company are considered in a proper manner so that it can be easy to achieve growth in the market. Without proper functions it is not possible for the company to manage its activities and also it can negatively impact the overall image of the company. There are various functions which can be analyzed in the workplace and these functions are interrelated with the overall organizational structure of the company (De Deyne, Verheyen and Storms, 2016).
One of the functions is related with marketing. In this it can be seen that it is related with the overall sales of the company and also it is the direction which is given by the chairman of board who is Pual Bulkcke and then the information is transferred to the chief executive who is Mark Schneider. The function of marketing is performed by the sales team. So, it can be seen that in the function of marketing, the message is sent by the directors to the sales executives so that it can be easy to complete with dedication and efficiency.
Chosen Organization – Nestle
The next function related to recruitment and talent management is considered by the company in which the flow of message takes place from assistant manager to senior manager and then to junior manager. The flow of information takes place in this flow that first focus is given by the assistant manager, then decisions are taken by the senior manager and then at last junior manager takes place decisions. The head of human resource is Chris Johnson who is the first person who takes the entire decision of the specific sector (Li, 2015).
The next function related with the company is HR activities in which there is an assistant manager and then there are senior executives. The assistant manager can contact to the senior executives or also with the executives directly. This is considered as one of the important function of the company and without this it is not impossible to complete the activities with efficiency and dedication in the workplace. So, the flow of communication can take place from the top management to the subordinates (Scott, 2015).
Training and development is one of the functions of the company. In this the flow of communication or the flow of authority can take place from assistant manager to junior manager. It is one of the important functions as without this it is not possible to enhance the skills and knowledge of the employees towards the overall activities of the company. So, proper training and development is given by the company as it can help in attaining the large market share. Therefore, the chief executive officer manages all the activities related to training and development and sees that every employee takes proper training as it can help in attaining positive outcome (Verbeke, Kano and Yuan, 2016).
Operations can also be considered as the function of the company and without this it is not easy for the company to manage all the activities of the company. So, this is also one of the important function in which the flow takes from the top management to the managers of different departments and also the managers of the different departments convey the information to the employees. This overall process helps to enhance the overall activities and also bring clarity in the overall pattern of the company. The head of the company is Magdi batato and this person is only responsible for the overall activities of the department. This can be considered as one of the major function as it can help the company to achieve success and growth in the competitive market and also through this it can be easy to attain the large market share (Nowak, Schwarz, and Suedekum, 2016).
These are considered as the functions of the private function in reference to the entire organizational structure.
After evaluating the overall data of the company it can be seen that size, scope and organizational structure is related with the overall objective of the company. If the company is able to earn profits and there is proper turnover then they also have to face the problem related to high complexity in the overall functions and it will have to be incorporated by the public limited company (Young and Ghoshal, 2016). Also, the businessmen who have the aim of the focus on the benefits of the company and they are least interested in the activities then they have to focus on nonprofit organization. In non-profit organization the functions are different as the flow of communication can take place by the one top manager and it has to be executed by the people who are working under the non-profit organization. The non-profit organization can be Red British Company which is engaged in offering the benefits to the society (Harper, 2015).
Products and Services They Supply
So, in this type of the structure there is less interest of the top management to earn more profits. The society welfare is the main objective which is considered by the company before starting the business. The overall structure of the company is related with the functions and difficulty which are faced at the time of completing the overall operations. The scope of such companies is not wide as it is according to the set targets and functions of the organization. It can be analyzed that Nestle has the decentralized business functions in which the overall decisions of the company are taken by the various line managers and also they have different strategies to manage the entire team in the workplace (Sinuany-Stern and Sherman, 2014).
Benefits related to interrelationships between the organizational functions and its impact on the organizational structure
It can be seen that there are various advantages that focuses on the overall interest of the workers in the workplace development. It also boosts the overall channel of communication which can assist to enhance the overall competency of the company in the competitive market. Also it helps the employees to be linked with the overall project managers of the managers which directly impact the working structure of the company. Through proper link with the functions it can be easy for the HRM department of the company to engage in the activities related to hiring and recruitment of the employees. There are also the companies who are considering the benefits of having the skilled employees which it boost the overall process of the business and also it will motivate the employees to give their best towards the overall activities of the company in the competitive market. Strong alliance can also be one of the basic reasons that can help the company to grow in the market and it will help to consider the competitive advantage (Kanten, Kanten and Gurlek, 2015).
Drawbacks related to interrelationships between the organizational functions and its impact on the organizational structure
The drawback can be related to legal requirement which is important for the companies to follow and if it is not followed then it can impact the overall process of the company in the competitive market (Vanstraelen and Schelleman, 2017).
Conclusion
So, it has been concluded that it is important to focus on various types of organization as different companies have different legal framework. It is important for the company to focus on enhancing the overall output so that it can be easy to achieve growth and profits in the competitive market. Also, the Nestle should focus on managing the activities by considering the overall organizational structure. The benefits and drawbacks should also be considered which will motivate the employees to give their best towards the activities.
References
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