The role and function of the Management Accounts Department

0 Introduction (Define and briefly explain what an organisation is by stating its characteristics/features) An organization is defined as a selected group of people, who are grouped together to serve a particular purpose either in government, private set up or in business. There are other several types of organizations. These include; society, non-profit organizations, charitable organizations, trade associations, professional associations among others. 1 Types of organisations There are numerous types of organizations in the business sector and I am going to state them. The different types of groups in organizations are Public sectors, Private sector, Non-governmental and also Non- Profit Organizations a) Public Sectors Organisations (Define and clearly explain what public organisations are. An example of this is police is all controlled by the government.

Anything that goes on with the police the community has the right to know. The rules and regulations are put down by the authority. Public Accountability: Accountability is when the public is accountable to know what goes on inside the organisation. This is any update or anything they have the right to know what goes on. reference. com/government-politics/main-objectives-public-sector-3e5a0c87dd9bb1fc The goal for this is to provide and good service for the community. This is whether it is for the rich or the poor. This is all in place to help society, the government is there to help and benefit everyone Legal forms of Public Organisation: Legal forms of public organisations is formally responsible for dealing with all public organisations.

For example schools, hospitals and police. Partnerships – general and LLPs 3. Companies – (private and public) 4. Joint ventures 5. Franchising 6. Licensing Private sectors is a piece of the legal encomy that isn’t under direct state control which means it isn’t owed by the government. DISADVANTAGES: It might be difficult for sole traders to meet the finical requirements as it is all on them and have no help from the government. The taxes rates could very. This mean it could be more deer than companies. PARTNERSHIPS: Partnership is where two or more people come together to form a business. Every individual involved in the organization must take a responsible act in the organizations administration. Going in to partnership with family and friends could effect the business for example if you fall out.

The business could go down the negative road. The life of the partnership can be constrained by misunderstanding or by the life accomplices. LLP: Limited liability partnership is proposed for accusations that ordinarily function as an ordinary affrication. This tends to be accounting firms, solicitors, dentist and veterinary practise. They will have to assign an public record with an residential address on it , also protected Information at companies homes. ADVANTAGES: Lager funds Limited liability Transformational shares Democratic management Scope of expansions Public confidence Growth of capital market DISADVANTAGES: Difficulty information to set up a public company Delay in decisions Lack of secrecy Legal forms Legal formations Lack of motivation Unhealthy speculation Unhehttp://www. preservearticles. com/2012022823826/what-are-the-disadvantages-of-a-public-company. Private Company: Private companies are not the same as public companies.

ADVANTAGES: Better access to more prominent, excellent staff and technology. Share risk and cost between partners. More knowledge with the equipment and technology that will be required. You will be able to build networks and relationships. There is a better chance of the company progressing. Diversifying is a type of business by which the proprietor (franchisor) of an item, administration and technique gets circulation through portend merchants c) Voluntary sector organisations (Define and briefly explain what voluntary sectors organisations are. Clearly state the goals and objectives of voluntary organisations” Types of voluntary organisations Distinguish the differences between: NGOs In full, NGO stands for a non-governmental organization. This is an organization free from government’s insight and therefore it’s an entirely independent from government entity nor is it run under a government program.

The main objectives of NGOs is to work for the betterment and wellbeing of the society at large especially assisting marginalized group of people such as women and children. NGO’s may create awareness to both human rights and animal rights among others NPOs A Non-Profit Organization is an organization which is entirely set up to provide goods and services to the public without the objective of making a profit. Organizations within governments are often very big because of their nature and the purpose they serve. The extent of the market determines whether an organization will be large or not. Large markets often have large organizations and small markets have smaller organizations. 2 Small and medium sized enterprises (Clearly define SMEs) The European commission defines an SME as Small to Medium Enterprise which has an employee head count of not more than 250 staff and an annual turnover of less than 50 million euros.

These are the ceilings to any organization that identifies itself as an SME. National companies often have franchises or branches within different parts of the nation to facilitate their services to all parts of the nation. A multinational company is a corporate business which serves several countries within a region or a continent. These companies also have branches and franchises within the nations they serve. A global company is the largest scope of a company and describes a company whose offerings-goods or services-are consumed all over the different parts of the world. 4 Explanation and an analysis of how structure, size and scope of different organisations affect business objectives and the products and services offered. 5 Organisational functions (Define and briefly explain what organisational functions are?) Organizational functions are the set of activities carried out within different departments in an organizations.

These activities may be in departments such as finance, human resource, operations, marketing, IT, warehousing and customer service. They can also be further divided into front office and back office functions depending on whether they are direct services to clients or not. 5(a) Importance of organisational functions (State the importance of organisational functions) Organization functions are important in the different delegation of duties and responsibilities within a company. It is therefore easy to fill vacant positions, identify undermanned departments, redistribute resources within departments and overall supervise the performance of all departments in relation to the objectives of a company. “Explanation and analysis how the relationship between different organisational functions of GlaxoSmithKline plc (GSK) link to its objectives, the advantages and disadvantages of interrelationships and the impact that can have upon organisational structure” GlaxoSmithKline plc is a global pharmaceutical company.

Its organizational structure is based on its services and how it wishes to serve its clients. The company has over 900,000 global employees and implements a hierarchical organizational structure where employees report directly to the managers above them. Employees in GSK are given different responsibilities according to their qualification and skillset. The advantages of this structure is the fact that each and every employee knows their duties and responsibilities and orders are transferred directly from the managers to the staff. al, pg. Let us analyze them to detail. Political factors affecting a business are not within its control. Political factors consist of government policies, the political climate, and taxation, provision of infrastructure and health and safety policies among other regulations. The government is has a duty to its citizens to provide and conducive environment for businesses to thrive in.

Business ethics play a great role in ensuring a business maintains its social integrity within its operating market. On the macro level, even within a market niche, a business can only influence its social environment only when it’s supported by a life changing service or products that basically turns into a necessity which is meant to makes life easier and more comfortable. In the 21st century, nothing changing faster than the technology. Within a few decades, science has been able to take its technological advancements to a whole new spectrum. For instance, shopping malls have risen and fallen within three to four decades due to ecommerce retail. Environmental degradation has mainly been caused by air, water, soil and noise pollution.

Any business, regardless of its offering-goods or services- produces waste materials. These waste materials produced should be released to the environment in their least harmful state and in the most conservative state. Businesses in the present have to abide by legal environmental standards and policies set up by the responsible bodies governing environmental conservation. It’s also the ethical duty of a business to conserve the natural environment to also ensure its existence in the future. Profitable and sustainable growth has been influenced by the ability of a company to adapt and capitalize on new revolutionary technologies. Business which ignore their technological environment have a very slim chance to survive and compete with their counterparts. All businesses operate under rules and regulations set up by authorities within which the business operates.

These legal factors determine the parameters to which a business may operate, its responsibility to its stakeholders and the society at large. A business must therefore abide to the laws and regulations set within the region it operates and is answerable to the governing bodies responsible with enforcing the different laws, policies and regulations. It’s also a high grossing company which has all the resources required in marketing and expansion. Its strengths can be summarized as follows; strong and global distribution and sales network and a dominant global presence. Weaknesses- GSK has been accused and sued several times by either competition, physicians or patients due to the negative side effects caused by the consumption of some of their drugs. Opportunities- due to the rising awareness on healthy lifestyles, GSK has the opportunity to create and market nutritious supplements among other healthy lifestyle improvement programs.

GSK has previously acquired or collaborated with competing brands to maintain their market share and to be in the frontline of innovation in the pharmaceutical industry; this is also an opportunity they should continue focusing on to ensure they work and acquire the best and most innovative young companies in the world. In the discussions above, there is a clear difference between the macro and micro environment within a business. The microenvironment has an immediate and close impact to a business and is within the control of the specific business it affects. Unlike the macro environment, the micro environment is specific to different businesses. Macro environment factors on the other hand affect different businesses within a given location (Worthington, et. al, 2009).