HR Management essay writing help analysis on: Organization and its individual – Tesco & Omic
Introduction
‘Organization’ refers to group of individuals, who uses different assets and resources and work for the purpose of achieving a common goal and objectives. There are a number of different types of organizations, which can be categorized on the basis of size, infrastructure, structure, nature, number of employees, and so on (Hodge and Greve 2005). In direction to this, there are three different types of organizations which are primary seen in surrounding business environment. These organizations are private sector, public sector, and charitable organization.
The paper aims to shed some intensive lights over these three types of organizations and different organizations undertaken by these business organizations. The paper also elaborates practical aspects of organization with the help of examples of Tesco. In addition to this, different organizational functions undertaken by management of Tesco.
Types of organizations and their operations
There are three different types of organizations which are generally found in the existing business environment. Operations of such business organizations are quite different from each other. A brief description of such three different types of organizations is presented as below:
(1) Private sector business organization:
Private sector business organizations are the organizations which work under the ownership of private owners and groups. Usually, the prime motto of such business organizations is to earn profits. The government of the country or state does not have any stake and interference in the internal management of business organization. In direction to this, the span of such business organization is so limited that an individual owners or groups can easily handle this. Tesco plc Ltd. and Exxon Mobile Corporation are two prime examples of private sector organizations (Toms and Toms 2005).
(2) Public sector business organization
Public sector business organizations are the organization, which are owned and run by state government. The prime objective of this type of business organizations is the social service. Along with this public sector business organizations are the organizations which release their shares to investors and general public. The span of business activities is quite broad in the case of public sector business organization. Some prominent organizations such as NHS (National Health Services) and British Petroleum (BP) are the example of public sector organizations (Hodge and Greve 2005).
(3) Charitable business organization
Charitable business organizations are the organizations which work for the welfare of society. These types of organizations do not commence business for the purpose of earning profits. All the management and operational activities are handled by any trust, committee or an individual for social purpose. Charity, and government aids are the major source of funding for such organizations. For instance, there are two prime business organizations such as Oxfam and Red Cross Society that prominently work in this sector (Hopkins 2009).
There are some intensive differences in the operational framework adopted by these business organizations. Different operational functions are accomplished in the different manner in these three types of business organizations. These differentiations are presented as below:
| Operational activity | Private sector organizations | Public sector organizations | Charitable sector organization |
| Funding | The major funding sources of private sector business organizations are the private equity or retain earnings of the private owners of the organization (Christy 2004). | Government funds allotted to such organizations and issuance of equality shares are the sources of funding of such organizations (Christy 2004). | Government aids and charity provided by individual and organizations are the prime source of funding (Toms and Toms 2005). |
| Share of profits and losses | For all the profits shares and losses, owner himself remains responsible. He enjoys profits and bears losses. | In this case, all the profits and losses are equally shared by all the shareholders and government. | There is no concepts like profits and losses in such business organizations |
| Ownership and control | All the ownership and control remains in the hand of private owners or groups (Toms and Toms 2005). | In this sector the ownership and controlling rights are distributed among equity shareholders and government of the country (Christy 2004). | The ownership and control is handled by the foundation or trust under which, the organization is working (Toms and Toms 2005). |
| Decision making | The decision taken by private owner is considered as a final decision (Toms and Toms 2005). | In such organizations the decision is taken by the board of director on mutual consents of all the equity stakeholders of the company | Decision making power remains in the hand of trustees of the organization, who take decisions for the welfare of the society (Hopkins 2009). |
Purpose and activities of different functions of Tesco
Tesco is one of the major multinational business organizations operating in retailing and other business sectors. There are different operating activities undertaken by Tesco for the purpose of commencing its business in existing market place. Some of the crucial and prominent operational functions of Tesco and their purpose are presented as below:
Marketing/Sales:
This is the prominent operating function of the organization. The major purpose of this function is to understand the core needs and demands of customers and fulfill such demands in the most effective manner. In order to accomplish this function, the company is having a separate and competent marketing department. Under this function, different activities such as markets research before entering into new market, advertisements, sales promotions, and distribution of the products, which are taken for increasing sales and revenues are included quite prominently (Sutherland and Canwell 2008).
Purchasing
Purchasing department is the department that has the objective of fulfilling the requirement of raw materials. The main purpose of this department is to purchase all the necessary and required resources efficiently so that cost can be reduced without affecting quality. In direction to this, as major business of company is multi-brand retailing, different brands and organizations are the primary suppliers for the organization. In this context, purchasing departments holds responsibility of maintaining good relationship with suppliers, having negotiations with them for setting prices, managing inventory, placing orders and receiving deliveries.
Customer services
Customer service department of the organization is having aim of serving customers in the manner so that their problems can be resolved easily and satisfaction level can also be enhanced up to a significant level. In this direction different activities such as handling grievances of customers, providing solution of their problems are core function handled by the Customer service department of the company (Woods 2012).
Human resource
Human resource department of the company aims to manage the supply of human resource to the organization so that all the operational activities can be managed. The prime objective of this department is to provide some efficient and competent workforce to the organization so that the organization can be able to fulfill it’s all the objectives and attain a competitive position within the market place. There are different activities related with management of human resource of employee such as recruitment, selection, training, promotions, performance appraisal, conflict and grievance handling and succession planning, which are undertaken by the Human resource department of the organization (Needham and Dransfield 1994).
ICT:
ICT (Information and Communication Technology) department is the department that is responsible for providing some effective and competent information regarding external and internal business environment of the organization. In direction to this, the main objective of this department is to ensure the availability of competent information on the basis of which, the management can be able to undertake some crucial strategic decisions (Williams and Curtis 2012).
Tesco’s organizational chart
The organization structure shows the organization hierarchy attained by the organization. In context to this, the organizational hierarchy of Tesco is quite functional organizational structure. In this structure the hierarchy is decided on the basis of functions and activities undertaken by employee. The chart of this structure is presented as below
Organizational chart of Tesco
(Source: Newman and Cullen 2002).
Organizational chart of Omic organization:
Another organization undertaken for the purpose of comparison is Omic organization. The organizational structure undertaken by the company is departmental organizational structure. In this type of organizational structure, the organizational hierarchy is set on the basis of different functional departments of the organization. All the departments work under the top level management. The presentation of chart can be reflected as below:
Organizational Chart of Omic Organization
(Source: Omic Organization 2012).
Comparison between organizational chart of Tesco and Omic Organization
On the basis of the review of organizational charts of both the organizations, some contrasting factors can be revealed. For instance, in the functional organizational structure of Tesco, division of authorities and responsibilities is done on the basis of functions undertaken by the individual. In contrast to this, Omic’s organizational structure is more structured as it divides authorities and responsibilities on the basis of different departments of the organization. In Tesco’s structure, more priority is given to the individual and his skills as they are placed at the top of the hierarchy. In comparison to this, Omic’s organization structure considers departmental framework before individual’s skills and competencies. In direction to this, the company considers that individual’s skills and competencies must be aligned within particular department. Owing to this reason, the company places departments over individuals (Newman and Cullen 2002).
In the functional organizational structure of Tesco, people at the top of level within the hierarchy are responsible for daily operations. They perform more functions than that performed by lower level employees. In comparison to this, in departmental functional approach undertaken by Omic Organizations people at the top level are only responsible for the long term strategic planning of the organization (Omic Organization 2012).
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