The scenario of this report is based on business environmental practices and impact of its factors upon business decision making. These kinds of factors have a direct impact over business operations and functional practices.
- Analyze different types of organisation as well as their size and scope.
- Identify the interrelationship between different functional divisions of Unilever and its link with organizational structure.
- Evaluate the positive and negative influence of macro environmental factors over business operational activities of Unilever Limited.
- Determine strength and weaknesses of Unilever as well as its interrelationship with macro factors.
Business environment is refers to various internal and external factors which have direct impact on the company's functions and operations. In this included several elements such as employees, customers, policies and policies, management, supply and demand, competitors, social, cultural, political, technological and many business regulations. Business environment consists various aspects including entities, individuals and some resources that can affects on the organisation. These forces generally beyond the control by the firms so that they have to make appropriate strategies and actions plans (Reed, 2013). It involves some important elements like political, social, economical, legal, environmental, and technological that can affects on the profitability and productivity as well. This report is based on Unilever Limited which is British-Dutch transnational consumer goods firm and its is situated in London, UK. They deals in various products such as food, beverages, personal care and cleaning agents items. It will define different types of organisations with size and scope. Interrelationship of various functions within organisation that link with structure also describe. Impact of macro-environment and internal strength and weaknesses of business will explain in this.
P1 Types and Purpose of private, public and voluntary organisation and their legal structure
Every firm generally starts or operates by considering their legal structure which is depends on nature of business. Entire organisations have their particular aims or objectives that must be achieved by them within limited time period. Managers as well as owners have to follow these legal structure while running business. It can be understood by classification of different organisation such as public, private and voluntary with their types and purpose as well. These are as following:
In this consider those companies that owned by private owner as well as held under the private ownership. Government authorities do not interfere in the private companies like in process of controlling and operating for running the business (Reinhardt and Stavins, 2010). Therefore, private owners generally operates, control and manage the entire organisational functions or activities for achieving set target or goals in more efficient manner. In this defined various restrictions regarding inviting public for subscriptions of company's shares. Unilever Limited is a British Dutch company that provide several products such as food, beverages, cleaning item and personal care goods as well. This firm is world's largest firm and they are serving products at the global level as approx 190 countries in the world.
Purpose of Unilever Limited:
- Provide best quality of products and services to the society people.
- To becomes world's most famous firm in providing transnational consumer goods in the market place.
- To achieve growth and competitive advantages in an appropriate manner.
Legal Structure of private company:
- Partnership: In this consider that there are two or more people who come for operating and running business with a formal agreements (Shigang, 2010). Every individuals have equal liability as well as sharing profits or losses during business operations.
- Sole proprietorship: These kinds of businesses are generally operates and controls by an individual as they are responsible to take risks or share profits or losses if occurs. There are no any separate legal structure or distinction in this type of business.
- Limited companies: In this included those business firms who have separate legal entities as well as limited regarding guarantees and shares. Therefore, businessman have their limited liabilities towards organisation.
In this consider several business entities that belongs to different fields such as military, police, public educations, transit, healthcare, and infrastructures etc. these businesses are operates or controlled bhy the government of the country as they have powers and rights to manage or maintain such kinds of organisations by providing appropriate funds and resources as well (Karagiorgos, 2011). The purpose of public firms is to satisfy social people by effective working and also provide accurate facilities or services in an efficient manner.
NHS is one the best example of public sector company as it provide healthcare services to improve health of people in the UK. They are serving best facilities and qualities in treatments by considering medical services to the patients. This firm is working for society and their well-beingness.
Purpose of NHS:
- To provide better treatments for improving people health.
- Deals in providing medical facilities.
- Focus on people well fare and well-beingness regarding health issues.
- Serve best quality of services to gain trusts and build relations among people.
Legal structure of public company
- Central government: These firms operates and controlled by the government department as states or central as well.
- State government: To ensure about the functions and activities of the firm and provide contribution for developing the business.
- Local government: provide several facilities and proper management of the activities to run effectively.
In this included those companies who works for society and their development rather than earning profits (Drogalas, 2011). They have required approval from government authorities regarding operating the particular organisation in well manner.
Oxfam firm can be consider in the voluntary as they focus on providing charity for reducing poverty within the country. This organisation also support in giving facilities in any critical situations such as natural disasters, advocacy, pro-migration and floods etc.
Purpose of Oxfam:
- To reduce the poverty rates in the country.
- Provide necessary support to people regarding foods, educations and others.
- To helps people rather than generating profits.
P2 Size and scope of different organisations
It is concern with different firms which have various sizes and scopes depends on business nature (Kolk, 2016). It included areas or locations where organisation operated and also involves different goods and services. it can be understood by various sizes or scope which are given below such as:
- Size: Unilever Limited is dealing in transnational consumer goods which is situated in London, UK. It provide various products or services such as foods, beverages, cleaning agents and personal care products in the market place. It has founded sin the year of 1930 and serving its goods at 190 countries in all over the world. In the recent year, this company has generated approx euro 53.715 billion revenues as per the data. There are around 169,000 employees working within Unilever Limited.
- Scope: It is defined as the number of diversification of a particular company such as Unilever Limited is dealing with several goods or services in the market including food, beverages, personal care products and many more to satisfy customers basic needs or desired expectations as well (Nishitani, 2012). It owns around 400 brands which have turnover around 50 billions euro. In this included Axe/ Lynx, Dove, Omo, Lux, Lipton, Knorr, Ice cream and Rexona and Sunsilk.
- Visions: Unilever's vision is to focus on making sustainable with living common place for the purpose of achieving long term growth for business. Therefore, the vision statement has considered the sustainability and building good relationship among customers.
- Mission statements: The mission of Unilever limited is to add some vitality in the life. They focus on providing best quality of services for attracting number of customers towards organisation and meet their desired expectations with better nutritions, personal care and hygiene for making feel good to consumers.
- Size: The size of NHS considered as the people's healthcare and safety by providing better treatments. There are number of facilities available that support in improving patients health and treat them effectively (Osterwalder, 2010). It established in the year of 1948. NHS organisation is giving various health facilities and services as free of costs to the people in the UK. There are approx 1.5 million people getting services from NHS so it is the world's largest firm and included in top five. They have many of experts and specialist as well as qualified doctors in the organisation.
- Scope: In this defined that they have diversified their services among several areas for providing better services and healthcare facilities to the societal people so that they can improve their health in well manner. Their main purpose is to provide several facilities and healthcare services in free of cost. They are giving various services such as optical, dental and medical facilities and many more.
- Visions: The vision of NHS is to give better treatments to the patients by considering experts and tools or techniques in the medical facilities (Pigneur, 2010). These will support in increasing healthy and safety environment within the firm.
- Mission: The mission of this firm is providing effective quality of healthcare services to every person.
- Size: Oxfam has around 20 charitable trusts which operates in number of places for the purpose of providing several services or products to those persons who are required to. Their main aim is to remove poverty and give better facilities to every individual for fulfilling their basic desires or needs as well. It serves its services at various countries.
- Scope: In this included several products or services such as advocacy, free educations, poverty eradication, policy research and pro-migration and protections from disasters or destroys.
- Visions: The vision of Oxfam is to make the country free from poverty and provide various services or facilities to needy people for meeting their desired expectations.
- Missions: to give best solutions and provide better quality of goods so that poverty can be reduced to satisfy their needs or wants.
P3 Interrelation between different organisational departments and their link to objectives
There are defined various organisational functions which works for achieving success and getting best possible outcomes by performing such functions in more appropriate manner. This is very necessary to analyse the business functions and their importance for accomplishing set targets ors goals in an efficient manner (Osterwalder, 2010). There are number of departments available in the organisation that performs number of tasks including human resource, marketing, finance and operational functions and many more. Unilever Limited has different departments and functions with interrelation which are given below:
- Human resource department: This function is most important for every organisation as it play vital role in increasing productivities and profitability of the firm. This department take responsibilities for recruiting and selecting candidates, performance appraisals of employees, remuneration and training and development to achieve tasks or objectives in well manner. HR manager of Unilever Limited provide motivations to their employees so that they will focus on work and work hard to get success.