Unit 5 Business Environment Regent College

Task 1

P1 Relationship between different functions of organisation and their link to objectives & structure

There are different functions performed in an organisation and all are interrelated with each other. They all are linked with objectives as well as structure of company. Nestle is multinational firm in which various department perform their duties and functions. This administers an opportunity to company for improving their internal strengths as well as satisfying needs of customers (Al-Debei and Avison, 2010). Collective working of all these departments ensures timely completion of work and attainment of firm's objectives. Different functional departments of Nestle and their link with objectives are defined below:

Human resource department: It is the department that performs various activities such as managing workforce, recruitment and selection, work force planning, training and development, performance appraisal, employee benefits and compensations and many others. All these helps in increasing motivation level of employees and a healthy and positive workplace environment is remain maintain within firm (Bill Pasmore PhD and CMC, 2010). In Nestle, managers provide training to their employees for increasing their working efficiency and skills. It helps in increasing productivity of company which in turn results in attainment of goals and objectives of company.

Finance department: It is an essential function on which growth and success of an organisation rely. It is necessary for every business enterprise to have adequate amount of funds so that day to day operations can run smoothly. Finance manager have responsibility to allocate appropriate amount of funds to each department so that their activities are carrying out effectively. In Nestle, managers maintain adequate amount of funds so that activities are completed on time and all predetermined goals and objectives of company are achieved in an effective and efficient manner (Brannon, 2010).

Production and operations department: Activities associated with this department includes manufacturing of goods and services, cost control, optimum utilization of resources etc. managers have responsibility to manage and control all the processes and operations of department related to goods production. Main function of this department is to transform raw materials into final products. In Nestle, operations managers ensure optimum utilization of all available resources so that cost of production can be controlled. They have the responsibility to ensure production of high quality goods that best satisfy needs of customers. This helps in attaining objectives and targets of company.

Marketing department: This is one of the department that contributes highly in success and growth of company. Various activities are associated with this department that assists in increasing profitability and productivity of firm. Marketing managers of Nestle use various promotional to market their product. All these helps them in communicating value and benefits of their products to customers and attracting them more towards the products. This will ultimately increase sales of company as well as helps in attaining objectives successfully (Cantwell, Dunning and Lundan, 2010).

Organisational structure:

It refers to the system that underlines how activities are directed to attain goals of company. It defines that how activities like coordination, supervision and task allocation are directed towards attainment of organisational aims.

Types of organisational structure:

Functional structure:

This structure is based on firm that is being divided in small groups with some specific roles and tasks. The company is divided into various functions like sales, production, finance, human resource management, research and development etc. Each function is performed through an expert (Cassell and Blake, 2012).

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