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How an organization operates
Organizations are involved in some forms of transformation process. Like input such as labor , capital and land and make them into outputs like goods and services. In mostly cases the output of an organization or business is a mixture of both physical goods and intangible services. i.e. in restaurant you are not only buying a meal but also the services and the environment. The basic aim of the organization is to put value i.e. to make outputs that value more than the inputs. In most of the cases the value is measured in financial terms in which the organizations makes profit. A company earns profit when the revenue is high than the cost of product. But in non-profitable businesses like hospitals and schools, other factors are used to measure the value. Like school performances, for example measuring the result of exams and student grades when they joined the school, to measure the progress. And in hospital it will see the good doctors, good technology and good treatment.

The transformation process differs a lot from business to business. Like it may take manufacturing or giving services, it can be labor or capital or based on a single or multi site. However the business nature is managers are continuously searching for different and new ways of adding value either by giving benefits and goods that people are agreed to pay more for that product or services or by arranging resources more accurately to reduce cost. We can add value in any stage of transformation process like in supply of raw material, in manufacturing or in supplying the product. Organizations normally adds value in their product at manufacturing stage, by giving the product a unique feature and look which their competitor don’t have. Or also adds value in the supplying part through good marketing, like advertisements, banners, brochures etc. Now a days marketing is taking higher part in every organization to compete with their competitors. So managers should deal with

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