Business Management Assignment: Functional Areas Of IOM Electronics

Question

Task:
Business Management Assignment brief:
John is 21 years old and has very little work experience; he has just won £10 million on the lottery. John has decided to buy a local company (IOM Electronics Ltd) with a view to also running the company himself. The company is a well-known regional organization with 200 employees based over two sites in Manchester and Liverpool. John is well aware of the fact that he has no understanding of many of the practical requirements and responsibilities involved in running a business. He has hired you in the role of consultant to produce a report advising him in the following areas:

Describe the various functional areas in business organizations.

Describe the types of skills needed by employees to be able to work effectively in these functional areas.

Answer

1.0 Introduction
As per the case scenario examined in this business management assignment, IOM Electronics Ltd. is one of the leading startup companies with almost 200 employees working in Manchester and Liverpool locations. The company has been established by CEO John although he did not possess proper experience in the management of the company. It has been found that there should be effective and proper co-ordination between the team members so that it becomes easier to carry out the business. Moreover, the employees employed in the business organization must also have adequate skills and knowledge to operate the business successfully. This report will highlight the role of business, the functional areas of the business with definition and description, the analysis of the skills required by the employees employed in the business organization.

2.0 What is a business?
A business is defined as the entrepreneurial entity or the organization that is linked with industrial, commercial, or professional activities. This includes the commercial activity involving the goods and services in exchange for profit (Rainer et al. 2020). In this case study, IOM Electronics Ltd. is the business providing sales and services of the essential electronic goods in Liverpool and Manchester.

3.0 What are Functional areas of business - Definition?
The functional areas of business include the group or team of employees who possess similar skills and expertise in the smooth and effective operation of the business. An example can be cited of the sales department of the company as the common functional area and the staffs involved in this sales domain (Rainer et al. 2020).

4.0 What are those?
The key functional areas of the business include the following:

1. Sales
2. Marketing
3. Human Resources
4. Equipment and technology
5. Operations
6. Finance
7. Research and Development

5.0 Description of the various functional areas in business organizations
5.1 Marketing:
The marketing function includes identification and the fulfillment of the needs of the customers. The employees involved in the marketing aspect must be trained to pay more attention to the customers and thus provide them high-quality service to respond to the customer inquiry. To manage the marketing function effectively, it is vital to carry out market research and thus obtain feedback on the existing and the potential customers or services (Pearlson et al. 2019). There should also be systematic attempts made for the promotion of products and services through the improved level of advertisement and promotional method. In the case of IOM Electronics Ltd., it is found that the marketing officials must try their best to design, promote and update the website of the company. This will also assist in carrying out a proper analysis of the market research responses and to advise the senior managers to analyze the implications and results.

5.2 Human Resource Management:
The Human Resource Department is responsible for the recruitment of the new employees in IOM Electronics Ltd. and thus ensuring that the vacancies are filled by the best individual in the job. This process is important because the recruitment process is time-consuming as well as expensive. Moreover, the HR department is also involved in the provision of appropriate training as well as assisting in the continuous professional development of the employees (Olson et al., 2018). It is also the responsibility of HR to carry out the planning, controlling, and organizing function effectively by interacting with the customers, suppliers, and employees in the organization.

5.3 Customer Service:
The businesses must also look after the clients or the customers who have a concern or complaint. As the expectations of the customers are high, the employees must also contact those businesses that expect a prompt, polite as well as knowledgeable response accordingly. The business organization that sells and manufactures the industrial product employs engineers or the technical specialists

5.4 Finance:
The finance department of IOM Electronics Ltd. is involved in the production of invoices, checking whether the payments are received on time as well as chasing up the overdue payments accordingly. It is also the responsibility of the employees involved in the finance department to check whether the payment of the invoices is received. There should also be successful attempts made for the preparation of payroll and payment of the staff salaries on time. On the other hand, the finance manager must also advise the senior managers on finding out the appropriate sources of capital expenditure for each year and thus producing the statutory report every year (Kimmel et al. 2018).

5.5 Research and Development:
The research and developmental functional area can be considered as the lifeblood of the manufacturing business. This R&D contains the thought-leaders, the subject matter experts, the scientists, and the industry analyst with core knowledge who tries their best to keep the head high in the organization. The R&D of IOM Electronics Ltd. is led by the Chief Technology Manager who is in charge of managing the products, the software, and the other associated aspects. The Information Technology area is responsible for the provision of internal technology tools to the company employees engaged in the R&D section (Rainer et al. 2020).

5.6 Sales:
As sales can be considered to be crucial for all types of business, it is necessary to check that all the business organizations have a specific sales target as an important part of their aims and objectives. In IOM Electronics Ltd, it is found that the customers generally want quality products and they approach the sales personnel to receive an idea of the functions of the product. Moreover, the sales personnel also demonstrate the products to the customers according to their budget, needs, and requirement (Rainer et al. 2020).

6.0 Description of the types of skills needed by employees to be able to work effectively in these functional areas
6.1 Skills needed by marketing employees:
The skills that are required by the marketing employees of IOM Electronics Ltd. include the flexible and adaptive management style, the vision and the strategic planning, technical competency, data interpretation and analysis, the customer and the user experience. Moreover, the marketing employees must also possess the skills of content management and innovative thinking to work effectively in the organization.

6.2 Skills needed by Human Resource Management employees:
The skills required by the human resource management employees include communication, organization, and tech-savvy. On the other hand, the human resource management employees must also possess the flexibility, patience as well as negotiation to carry out the task effectively (Bolander et al. 2015). Further, the human resource management must also possess the ethical actions, commitment, and compassion to carry out proper planning and thus remain committed towards the employees.

6.3 Skills needed by Customer Service employees:
The employees who are in charge of providing customer service must possess persuasive speaking skills, adaptability, empathy, and the ability to use improved and positive language. It is also necessary to check that the employees possess improved communication skills, self-control as well as patience to carry out the entire task accordingly. The employees must also possess sufficient knowledge of the company as well as charisma to keep the customers attracted and motivated to purchase the goods and avail the services of the company.

6.4 Skills needed by Finance employees:
The employees who are in charge of finance must also possess adequate training and education to grow and establish the company. Further, the employees of the finance department must also possess the ability to communicate with the other employees and thus carry out financial reporting accordingly (Aithal, 2017). It is also necessary to check that all the employees possess adequate problem-solving skills as well as knowledge of the IT software to carry out the financial task. There should also be proper management of experiences and the analytical know-how of the employees to keep them updated with the requirement of the organization.

6.5 Skills needed by Research and Development employees:
The employees who are involved in the research and the development department must possess proper verbal communication, thinking as well as reasoning skills to keep themselves attracted to the organization as well as help the company to grow and prosper in the new areas of research (Abdallah et al. 2016). It is also necessary to check that the employees also possess thorough analytical skills and the ability to utilize the initiative in the best way.

6.6 Skills needed by Sales employees:
The skills that are necessary for the sales employees include communication, listening, and collaboration. All these aspects are necessary to be possessed by the employees of IOM Electronics Ltd. to assist the company to grow and develop within a short period. Moreover, as the company is likely to face steep competition from the other electronics company that is operating in this industry, it is necessary to check that all the employees possess resilience, adaptability to grow successfully. The sales personal must also possess public speaking and objection handling skills to carry out the purchase decision. It is necessary to be aware of the criticism and the feedback that is provided by the customers of the company.

Conclusion
Thus, it can be said that IOM Electronics Ltd. can grow and prosper only if there is proper coordination among the employees and the senior members of the organization. This is possible only if the possible are provided with proper feedbacks and thus they can grow and develop within the stipulated period. On the other hand, it can be said that the employees of the HR department must carry out mutual co-ordination and co-operation among the team members. It is the responsibility of the HR department to maintain the follow-ups with the employees of the other departments. The research and the development team must also be involved in carrying out continuous innovation and thus this is likely to assist in the growth and the development of the company. Therefore, the organization can grow through mutual and effective co-ordination among the employees and the higher authority.

References
Abdallah, A.B., Phan, A.C. and Matsui, Y., 2016. Investigating the effects of managerial and technological innovations on operational performance and customer satisfaction of manufacturing companies. International Journal of Business Innovation and Research, 10(2-3), pp.153-183.

Aithal, P.S., 2017. Industry Analysis–The First Step in Business Management Scholarly Research. International Journal of Case Studies in Business, IT and Education (IJCSBE), 1(1), pp.1-13.

Bolander, W., Satornino, C.B., Hughes, D.E. and Ferris, G.R., 2015. Social networks within sales organizations: Their development and importance for salesperson performance. Journal of Marketing, 79(6), pp.1-16.

Kimmel, P.D., Weygandt, J.J. and Kieso, D.E., 2018. Financial accounting: Tools for business decision making. John Wiley & Sons.

Olson, E.M., Slater, S.F., Hult, G.T.M. and Olson, K.M., 2018. The application of human resource management policies within the marketing organization: The impact on business and marketing strategy implementation. Industrial Marketing Management, 69, pp.62-73.

Pearlson, K.E., Saunders, C.S. and Galletta, D.F., 2019. Managing and using information systems: A strategic approach. John Wiley & Sons.

Rainer, R.K., Prince, B., Splettstoesser-Hogeterp, I., Sanchez-Rodriguez, C. and Ebrahimi, S., 2020. Introduction to information systems. John Wiley & Sons.