Unit1: Business environment
P3: Describe how two businesses are organized
I have selected Selfridges and Oxfam to describe how their business is organized
Organizations like Oxfam and Selfridges need to be organized into structures that will enable them to meet their purpose – to provide famine relief, to bring exclusive products for shoppers. For example Oxfam will have a section concerned with media and public relations, another with managing its shops and other concerned with organizing famine relief in various parts of the world
Selfridges is a chain of high end department stores in the United Kingdom. It was founded by Harry Gordon Selfridge. The flagship store in London's Oxford Street is the second largest shop in the UK (after Harrods) and was opened on 15 March 1909.
Oxfam is an international confederation of 15 organizations working in 98 countries worldwide to find lasting solutions to poverty and related injustice around the world. In all Oxfam’s actions, the ultimate goal is to enable people to exercise their rights and manage their own lives. Oxfam works directly with communities and seeks to influence the powerful to ensure that poor people can improve their lives and livelihoods and have a say in decisions that affect them.
An organizational chart shows the main parts of the organization, and the relationship between the various parts. Below is Selfridge’s organizational structure. [pic]
Private sectors organizational chart: Flat structure
The functional area is the specialist areas of activity within an organization.
The aims of Selfridges finance department are to keep records of financial activities in order to provide managers with information and help create financial plans. The finance area is the most important function in the business. This is because businesses need a regular stream of income to pay the bills. Finance staff record all the money earned and spent so that the senior managers always know how much profit (or loss) is being made by each product or each part of the business and how much money is currently held by the business
Oxfam are the opposite as their aim is not to make profit, their aim is just to make money to help those in need by providing appropriate health care.
Marketing is a organizations responsibility to please its customers requirements profitably and also should be able to ensure that the satisfaction of the needs results in a healthy turnover for the organization. Within this exchange transaction customers will only exchange what they value (money) if they feel that their needs are being fully satisfied; clearly the greater the benefit provided the higher transactional value an organization can charge.
Selfridges marketing departments focal point is meeting customer’s needs and satisfaction. The marketing department carries out researches in order for them to be aware of customer’s interests. Selfridges website is a major way of communicating with prospective and actual customers and the style and content is usually the responsibility of marketing staff that ensure it is kept up to date.
Similarly Oxfam’s marketing department look into strategies for satisfying donators and keeping them as donators. Marketing departments work closely with the production department to ensure the wishes of the customers can be linked to the new product development. Oxfam’s marketing departments have aimed to promote competition among providers in the hope of replicating the benefits markets have been known to bring about in the private sector: decreases in cost, and increases in efficiency, quality, innovation, and provider responsiveness. This is done to obtain feedback on potential and existing products and/or services
Production department is the department which makes the goods and decides on when and how they are made. The manager of this department is responsible for the raw...
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