Assignment 7
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The document discusses several key functional areas within businesses including marketing, sales, product development, finance, administration, human resources, and IT support. It provides details on the roles and responsibilities of each functional area as well as comparing the organizational structures of Thorpe Park and Oxfam. The functional areas must work together cooperatively for a business to achieve its goals and objectives.
Assignment 7
- 1. 8286753276600<br />Assignment 7 – Functional Areas within Businesses<br />By Anisa Khan<br />Introduction:<br />In this assignment I am going to look at Functional areas within businesses. There are many functional areas in businesses. Business split each job for individuals. In small businesses, work will be done by individuals. In medium/ large businesses, work will be done by individuals working in functional areas or departments.<br />This is a mind map of some main functional areas within a business: <br />All Functional Areas within businesses must link together to achieve the overall aims and objectives. This means co-operation and good communication. All functional areas in a business are like a big jigsaw. A jigsaw will be incomplete without a piece, therefore, a business won’t be a business unless it has all the functional areas.<br />Marketing & Sales<br />Marketing is the ‘management process’ responsible for identifying, anticipating, and satisfying consumers’ requirements profitably. Marketing is looking at the business through the customers eyes’. It is concerned with identifying what the customer needs and promising it. A business truly focused on marketing and sales, always tries to be ‘one step ahead’ of the customers (and the competition). <br />The marketing department also:<br />Ensure that the consumers’ are aware of the business’ product/service.<br />Involves selling and promoting products.<br />Have aims to achieve:<br />Identify what customers’ want and need.<br />Anticipating customer requirements.<br />Satisfy customers’.<br />Will do these things by undertaking the following activities:<br />Market research.<br />Promotion.<br />Sales.<br />Marketing research:<br />Marketing research is a collection of research and data. The research is usually about the customers, statistics and other information. The research allows the business to find out about customers’ wants and needs, and their opinions. <br />P >> ProductThe four P’s:<br />P >> Promotion<br />P >> Place<br />P >> Price<br />Marketing at Thorpe Park:<br />Product – The product is what Thorpe Park actually sells, which is; ‘a day out’. They sell many things which is related to your ‘day out’, such as; Food, Drinks, Rides (entertainment), etc.<br />The 3 levels of product:<br />Customer Service<br />WarrantyBrand Name<br />After Sales Support<br />CapabilityFeature<br />Core Benefit or Feature<br />Delivery & CreditQuality / Durability <br />Packaging<br />Design / Styling<br />Installation<br />Personal<br />Promotion – Thorpe Park has many ways to advertise/sell their product. They promote their business through the radio, T.V, their website and many more.<br />Website – Thorpe Park’s website is very helpful for them and their customers. It is helpful for them as it is one of their promotion techniques. Therefore, it does the advertising for them. It is helpful for the customers as it has details about the park, such as, the Park opening times.<br />Home Page:<br />The website also has many other information. On the tool bar there are a few options for you to click on.<br />57150255270<br />This is one of their promotions for their new ride.This helps the customers by giving them the information for staying at a hotel whilst visiting the Park.<br />This lets their customers know that Thorpe Park does special activities for stag nights.<br />The website has other subjected areas for the customers to visit and find what they are looking for.<br />69532594615<br />TV Adverts:<br />Thorpe Park spends thousands on advertising their business/the rides on TV. These are two of Thorpe Park’s TV adverts. The first one made in April, 2007 and the second one made April, 2009.<br />3048009525<br />Radio:<br />Thorpe Park also use the radio to advertise their rides. This is a good way to advertise because approximately 1.5 billion people listen to the radio worldwide. It is another way of giving people ‘word of mouth.’<br />Leaflets: <br />Thorpe Park also make leaflets to advertise various things. Such as, their rides, their BOGOF offers. There is a leaflet in the back of my assignment which shows they have advertised their offer of a ‘free entry’. <br />Place – Thorpe Park has an advantage from where they are located. They are located just 20 miles from the centre of London, which is in Chertsey, Surrey. It is situated between junctions 11 and 13 of the M25. This makes it easier for Thorpe Park’s customers to get there as it is near the M25.<br />-95258255<br />This is a map on how to get to Thorpe Park. I got this image from Thorpe Park’s website. (http://www.thorpepark.com/getting-here.php) <br />Price – Thorpe Park has a very clever way that gets them to fix their prices in just the right expense. Compared to their competitors Thorpe Park has a competitive pricing. Their price is higher than Drayton Manors pricing, but lower than Alton Towers. I am going to compare Thorpe Parks pricing to Drayton Manors and Alton Towers.<br />Drayton Manors Pricing:<br />-9525412750This is Drayton Manor’s ticket price structure.<br />Thorpe Park’s pricing:<br />Thorpe Park has a strategy of pricing their product. They are much more organised and focused on their pricing. They have sections that show that they are well organised.<br />Main Season Pricing: Groups Pricing: <br />2990850415290-76200205740<br />The Annual Pass pricing: Fast Track:<br />2876550292100-76200292100<br />Open Date Tickets:<br />1381125103505<br />Alton Towers<br />-76200291465This is the price strategy that Alton Towers use for their business.<br />Comparing the three businesses by pricing, you would find that Thorpe Park is a little more expensive than Drayton Manor but it is cheaper that Alton Towers. So why do people and to go to Thorpe Park rather than Drayton Manor? This is because Thorpe Park makes their customers interested in their product as they have advertisements of their new ride everywhere, whereas, Drayton Manor don’t do that. <br />Administration & IT Support<br />828675178435<br />There are many roles in the Administration department of Thorpe Park. The admin department basically takes a work load of other staff to make it easier for the main staff to keep their focus on their job and make the best of it. <br />The Admin department covers the responsibilities of:<br />Ensuring that the daily actions of the business work effectively.
- 2. This means that people in the admin department of the business make sure that everything is working properly.
- 3. Ensure that all of the other departments of the business meet their set aims and objectives
- 4. People making sure that all aims and objectives are met from each department.
- 6. This is when the admin department have people working to do jobs like; typing, filing, phone answering, inputting data on computer, etc.
- 7. Collection and Distribution of Mail.
- 8. Someone from the department collects all the mails and sorts it out.
- 10. Keeping record of general things, like; staff shifts, revenue, ect.
- 11. Dealing with the Enquires.
- 12. Having people to answer to enquires from customers.
- 14. Making sure the place is clean.
- 16. Organising meetings with people, maybe to invest in the business?
- 17. Security.
- 18. Making sure no one comes in the premises that shouldn’t be there.
- 20. To make sure the working atmosphere is safe for both, staff and customers.
- 21. IT Support.
- 22. Making sure the technical equipment is working to the standard.Human Resources <br />The human resource function shows concern for the employees of the business. It is essential for the business to employ right people for the right roles. The human resource department of a business involves with motivation and ensuring that the staff work within a safe working environment. The tasks of this function include: <br /> Recruitment, Retention, and Dismissal.
- 23. Training, Development and Promotion.
- 24. Working Conditions and Health and Safety.Recruitment, Retention and Dismissal:<br /> All businesses hope to ensure the right people for the right jobs. Once the business has employed the right people for the job, they retain the staff. Loss of employees or staff turnovers (staff turnover means that the business has to pay recruitment costs, they have to provide training for replacements employees), becomes a big problem for some businesses, as it is expensive and causes discontinuity. To ensure the retention, the department should keep the staff motivated. It is also held responsible for the dismissal of staff. <br /> <br /> <br />Stages of Recruitment:<br />542925135255<br />Training, Development and Promotion:<br />Training and development is essential for a business as it makes sure that the staff are working effectively. It also motivates the employees to be loyal to the business. Training is carried out before the employee actually starts work and throughout his/her working career. Training is usually classified in three ways:<br />Induction
- 25. On the Job
- 26. Off the JobThe promotion looks at where the employee can move up a level in the career ladder. The promotion is also a way of motivating the staff. The provision of effective training and the development gives opportunities for promotion. <br />Working conditions and Health and Safety:<br />The HR department have to make sure that the employees have a safe working environment. It is necessary for staff motivation and also it is a requirement of law. It ensures that employers take responsibility for the health and safety of their employees and take action to prevent accidents occurring.<br />Finance:<br />Finance is an important function in a business. Without finance or financial planning a business would not be able to operate properly. It is important for the business to look at the money going in and out of the business. There are three main areas in the financial function: <br />Paying wages and Salary.
- 27. Obtaining Capital and Resources.
- 28. Preparing Accounts.Paying Wages and Salary:<br />All businesses should make sure that the employees are paid the right amount of money. A company either pays their staff wages or salaries. Wages are usually hourly rate that are paid weekly and a salary is when an employee is paid a yearly figure. It also ensures that the necessary reductions are taken out like; Income Tax and National Insurance.<br />Obtaining Capital and Resources:<br />The finance function is The Finance department is responsible for ensuring money is available for daily activities and also to purchase all the necessary resources such as equipment, machinery and raw materials.<br />Financial Planning is an important thing in a business. Many businesses often look at the financial circumstances in the short or long-term; short term is when the business just plans to improve or expand the business within 0-12 months. Long term is when the business looks into the future and has everything already planned, the long term period in between 1-10 years, but this only depends on the size of the business. For example, Thorpe Park would usually expand their business within the long term; they would probably take about 1-5 years to make a new ride, the money and financial documents are given to the financial department of the business to sort out. <br />Break – Even:<br />The finance department is responsible for ‘Break- Even’. ‘Break Even’ is when the level of production at which revenue from sales equals the costs of the business. Therefore, in this case a business will not make a profit or a loss.<br />To calculate ‘Break Even,’ you would need information like:<br />Fixed costs- this is when the cost does not change even if you are producing more goods. For example, the cost of rent will stay the same no matter if you used the building or not.
- 29. Variable costs- this is when the costs can change depending on the level of production, for example, if a business increase production, then the wages and the costs of raw materials will change.
- 30. 123825273685For Example:RevenueTotal CostsFixed CostsVariable CostsBreak - EvenComparing the Structure of Two Businesses:<br />Thorpe Park and Oxfam are two business, that have completely different management structures, in which they control the business and its employees. The management structure include of; levels of hierarchy, span of control, and if the business organisation is tall or flat.<br />Oxfam:<br />Oxfam’s level of heirachy s not that tall as it does not have many levels. It has a flat organisation. Therefore, the communication within the business is minor, however it is really fast and decisions are made faster as there are less people to go through to access or request something. There is only one chain of command, who controls everyone in the business and all the conclusion go through her before they are actually continued. For example, the director of Oxfam; Barbara Stocking has a span of control of all the seven sectors, because of this the organisaiton is a flat organisation where comunication witin the business is faster and more effective. The business has an open office where they can communicate more openly and can involve teamwork with the members. <br />Thorpe Park:<br />Unlike Oxfam, Thorpe park have a tall organisation with many levels of hierarchy; about seven levels of hierarchy. Therefore, because of this the business has a slow rate of communication is very slow and less effective however it is more efficient. The chain of command in Thorpe Parks structure is one person that contorls others who then have the responsibilty to control the rest of the management team., for example, Peter Ronchetti (general manager) control two other sectors; the PA to general management team and Jacqui Dixon (Park experience manager), who then control the rest of the sector and the members within the sectors. Futhermore, peter Ronchetti has a span of control of two people who he is directly incharge of.<br />