The structure of the business Essay Example for Free

The structure of the line of credit EssayAs you washbasin see from the organisational chart above, Venetian Ices LTD is a respectful size. As from the diagram above it is obvious that in that location is a thumping span of control and a reason sufficient chain of command, this means that communication is very accurate as there is less levels for messages to pass by dint of before the message finally r individuallyes the desired person. Managers atomic number 18 as well as at an advantage as they are less remote from the lower level of hierarchy, these managers as a result are much in touch with subordinates as there are less managers. excessively as there is a small chain of command and a large span of control, managers pay more than responsibilities, this may at first seem as a disadvantage but after consideration, it is obvious that under the circumstances more delegation will occur meaning subordinates will construct more to do. As a result of this employees wi ll come more motivated as there is more of a responsibility handed to them. However a fore near disadvantage is that as managers corroborate a wider range of control, wherefore they may lose control of what their numerous subordinates are doing.In most railway linees there are 4 principal(prenominal) functions- selling, Production, Finance and Personnel. The production function which I am come to with throughout this course work, is in consign of ordering the raw materials in which the business produces its product, this is vital as with-out the raw materials and so the business would not be able to process the product or in other words, without the raw material Venetian Ices LTD would not be able to produce their ice plane and therefore will be unable to make a profit. The department is also in centering of designing the product along side the marketing section, the two sections try to work together to propose the best product available.This section of production als o works together with the finance department in case of damaged machinery of any forward-looking material the business has to purchase, if there are any problems hence the production manager would provide listings of new investments needed. The production department also experience to work at bottom laws of production, in order to make sure that when they produce their product they are abiding different laws which outsmart the business. This is an aspect of my course work which I have to research into, as I have to conk out to the Venetian Ices LTD directors which laws they have to abide by to produce ice cream.There are three main manners of production, job production, batch production and flow production. Job production is where products are made specifically to order, for grammatical case a tailor would make a new suit to match the drink downr needs. In this method distributively order is different, and may or may not be repeated in the same way. opposite examples spec ialist machinery manufacturers who would manufacture a machine for another business to meet particular specification.In this method the costumer is allowed to choose the exact requirements they wish to acquire, which is a distinct advantage. similarly workers will proceed to generate more motivated, as they get more job satisfaction because employees are not repeating there job over and over again, but instead are doing new requirements every time a new order occurs. However skilled labour is often needed, as employees have to be able to meet incalculable costumer requirements. This is not a method used by Venetian Ices LTD as they make many ice cream products for different supermarkets. One product for each market would not recoup enough profit nor meet supply and demand.Another production method is batch production, this is where mistakable products are made in blocks or batches. A current number of another product is made, then another product is made and so on. Examples in clude when a baker makes wizard type of plunder and then when that order is completed another design of bread is commences. Another example is that when a post design is made acceptable in a certain development area, that design is used several(prenominal) times and after that design is refined with, a new batch of houses is designed. This design is particularly helpful as design transformations are easy to complete and progress.Furthermore motivation towards employees is also taken into note as they are not constantly completing the same procedure, but however there is more a variety in job production. For small businesses, this method would bring them to a disadvantage as raw material stock would need to be stored and warehouse space can often consume profits. This method may be used by Venetian Ices LTD in order to see if a new flavour or design fits in well with costumer needs and wants. By just producing a few amounts of their new products they will be able to test their product on the market without take chancesing in high spirits values of cash.The last production method is the most continuous, the method is called Flow production. This method is often referred as mass production due to the heavy quantity of products being produced. The basic ingredients of the product are put together at separate levels as the pass different sectors of a production line. I.e. as each component moves along the production belt, another piece is added to the overall product. Large product quantities are made within this method and as a result of purchasing economies the business may pervert materials below the average price of that certain material.By taking advantage of purchasing economies, the business can buy in bulk fore a much lower price, by buying each unit at a cheaper price it gives the business a greater benefit against smaller companies who may not buy in the same bulk amounts, as a result it enables the business to make out its product at a much les s price, making their product more favourable in the eyes of the public. However research suggest that workers are hard to motivate under these circumstances, for the work is often boring and then same day in and day out. Another essential disadvantage is that high amounts of capital is needed to set up flow production machinery, which may discourage the directors of a business to venture in to this production method.The production function has to also choose the location of manufacturing for it is vital that the accountability selection of location is chosen. Shown below is a diagram of factors affecting the choice of locationProbably one of the most complicated sections is the finance department that is managed by John Hardy. This function has to be in charge of controlling financial transactions within all the business. It controls the transaction by budgeting and analysing a series of accounts, the analysation occurs is through many different accounts such as cash flow forecas t, profit and loss accounts etc This function is definitive in the sale of a new product as without tracing the sales of a new product then there would be no record of increases or decreases, resulting in a risk of a business losing profit. Probably an extremely important aspect of this function is through the finance department making budgets in which the company has to cope with. It is vital that the company deals within a budget as without a budget, the company may over spend and come drowned in dept. This may leave the future day of the company in doubt.The final section is the personnel department, this department deals with the employees, meaning it controls interviews with new employees, selecting cater for promotion, shed light on within the company and who will receive bonuses for working well. As well as these responsibilities the function has the more important job of making sure the company workers are well motivated. They do this in many ways, a few of which are giv ing job perks company car, holidays, special bonuses and personnel problems in which the employees have to deal with.If however a vacancy occurs within a business, then it is the personnel departments responsibility to rend and recruit the most suitable and most qualified staff. If the recruitment process is not completed to the highest degree, then the company could be face with fractions of staff who are in capable of doing the job that they were employed to do. Also the personnel department is faced with the difficult job of the dismissal and redundancy making of staff. The reason why some members of staff may be faced with dismissal maybe because the company feel that that certain member of staff is not performing to the complete standards that they wished that member would work at. Or a member may be of a certain old age, where the company feel that that staff member is coming to an end of their career.Management responsibilities in different departmentsHuman resources depar tment*Forecasting staff needs for the business* Preparing job descriptions and job specifications* Planning staff training courses* Interviewing and selecting staff* Keeping staff records* Disciplining staff* Recruiting staff* Preparing job descriptions and job specifications* Planning staff training courses* Interviewing and selecting staff* Keeping staff records*Disciplining staffMarketing department* Market research* Planning new products* Keeping and extracting sales records* Deciding upon the best marketing mix strategyFinance department* Recording all financial transactions* Collecting and presenting financial data* Analysing the profitability of new investment projects* Keeping cashflow control* Preparing budgets for the businessProduction department* fiat stock and materials* Developing and designing new products* Locating buildings in the most cost effective areas* shrewd on production methods* Controlling production to ensure high levels of efficiency* Maintaining machin ery* Making sure quality of products is of standard