WEEK #2 ASSIGNMENT 9: DEFINITIONS

 TASK 1:  DEFINITIONS

Administration

Provide a definition of administration:  It refers to managing an organization's time, people and resources efficiently so that we can direct the activities toward achieving common goals and objectives.

Concepts of Administration: It's the process of running an organization, office or bussines. It's formulating objectives, plans and policies.

 

Universal functions in Administration:

·         Planning: it's deciding in advance what to do, how to do it, when to do it and who should do it. It maps the path from where the organization is at to where it wants to be.

·         Organizing: Involves coordinating and allocating the resources so we can carry out the plans. It's developing a structure for people implementing positions, departments, divisions and activities delegating authority and responsibilities.

·         Directing: Is guiding and leading people in a manner that achieves the goals of the organization.   It's determining the orders and instructions while encouraging and motivating people to do their work.

·         Controlling: Is the function that evaluates quality in all areas and detects potential or actual deviations from the organization's plan, understanding the causes behind them and correcting the performance. Control helps increase productivity, decrease costs and ensure high quality performance and satisfactory results.

 

Business

Define Business: An organization or enterprising entity engaged on commercial, industrial or professional activities, exchanging good or services for mutual benefit of profit.

Concepts of Business. (Define them in detail)

·         Infrastructure concept: it's a business idea that involves the creating and developm of a structure, facility or building.

·         Business to business concept: Creating an idea that provides services and products to other businesses instead of customers. For example, an automobile manufacturer may buy robotic machines from a a robotics manufacturer so it helps increase productivity.

·         Consumer-goods concept:  an idea of a new product to present to the customer market , identifying what buyers may want and defining how that product is better than the competition's.

·         Small business concept: involves an idea for creating a small business, often to provide a central product or service to consumers. These business concepts have to determine who the product or service is for and whether it's desirable enough that consumers would actually want to buy it. If it's a concept that shows potential, then funding and financing are in order.

·         Consumer-to-consumer concept: In this concept, the consumer usually acts as the sole provider of the good and may correspond directly with the buying consumer. Online auction shops serve as an example of this concept.

·         E-commerce concept: is an idea that involves selling a product or service online. Many e-commerce concepts develop into online stores that sell a specialized product, selection of products or offer a unique service. 

·         Mobile concept: is an idea revolving around services or products provided through mobile devices like phones and tablets. This idea usually comes as some kind of downloadable application, which may or may not have additional in-app purchases for consumers.

·         Consumer service concept: It refers to an  idea that brings a new and innovative service to the consumer market. This service identifies issues and looks to solve them.

 

Objectives of Business.

1. Getting and staying profitable

2. Productivity of people and resources

3. Excellent customer service

4. Employee attraction and retention

5. Mission-driven core values

6. Sustainable growth

7. Maintaining a healthy cash flow

8. Dealing with change 

9. Reaching the right customers

10. Staying ahead of the competition

 

Types or classification of business. (Define each in detail)

 

1. Service Business

A service type of business provides intangible products (products with no physical form). Service type firms offer professional skills, expertise, advice, and other similar products.

Examples of service businesses are:

• Business services, such as accounting, advisory, taxation, advertising, engineering, legal, research agencies, computer programming, etc.
• Personal services, such as laundry, beauty salon, photography
• Automotive repairs, car rental, car wash, parking spaces
• Fitness facilities, amusement parks, bowling centers, golf courses, theatres
• Hospitals and clinics, schools, museums, Banks

 

2. Merchandising Business

This type of business buys products at wholesale price and sells the same at retail price. They are known as "buy and sell" businesses. They make profit by selling the products at prices higher than their purchase costs.

Examples include all distribution and retail stores such as: department store, grocery, hardware, clothes and accessories shop, consumer electronics, home furniture, appliance stores, drug stores, etc.

 

3. Manufacturing Business

A manufacturing business buys products with the intention of using them as raw materials to make a new product. Thus, there is transformation of the products purchased.

A manufacturing business combines raw materials, labor, and overhead costs in its production process. The goods produced will then be sold to customers. Examples include:

• Food processing, such as producing canned meat, frozen goods, dairy products, bottled drinks, also bakeries and oil mills
• Fabric mills and textile production from cotton, wool, polyester; and also clothing factories that use textile as raw material
• Wood and metal works, such as in building cabinets, tables, chairs
• Oil refineries, chemical labs, plastic and rubber production

 

What does “form of business ownership” refer to? Provide definitions

It’s important to choose an ownership structure that can support your business goals. The main considerations when choosing a structure for your business are simplicity, liability, control, financing, and taxes.

 

·         Sole Proprietorship

A sole proprietorship is an unincorporated company that is owned by one individual only. Unlike partnerships or corporations, sole proprietorships do not create a separate legal identity for the business. Essentially, the owner of the business shares the same identity as the company. Therefore, the owner is fully liable for any and all liabilities incurred by the company.

·         Partnership

Is a business owned by two or more people, known as partners. Owners in partnerships are responsible for the liabilities of the firm. There are different types of partnerships: general partnerships, limited partnerships, and limited liability partnerships.

·         Limited Liability Company (LLC)

Limited liability companies are one of the most flexible types of businesses. LLCs combine aspects of both partnerships and corporations. They retain the tax benefits of sole proprietorships and the limited liability of corporations. LLCs are able to choose between different tax treatments. 

·         Corporation

Corporations are a separate legal entity created by shareholders. Incorporating a business protects owners from being personally liable for the company’s debts or legal disputes. A corporation is more complicated to create, as compared to the other three types of businesses.

In sole proprietorships and partnerships, if one of the owners passes away or declares bankruptcy, the company is dissolved. Corporations exist as a legally separate entity. Therefore, they are protected from this situation and will continue to exist even if the owner of the business passes away.

There are three main types of corporations: C Corporation, S Corporation and Non-Profit Corporation

Management

Define management: is the coordination and administration of tasks to achieve a goal. 

According to F.W. Taylor, ‘ Management is the art of knowing what to do when to do and see that it is done in the best and cheapest way ‘.

 

Functions of management. (Describe them in detail)

• 1.    Planning
• It is the basic function of management. It deals with chalking out a future course of action & deciding in advance the most appropriate course of actions for achievement of pre-determined goals. Planning is necessary to ensure proper utilization of human & non-human resources.
• 2.    Organizing
• It is the process of bringing together physical, financial and human resources and developing productive relationship amongst them for achievement of organizational goals.
• 3.    Staffing
• It is the function of manning the organization structure and keeping it manned. The main purpose of staffing is to put right man on right job.
• 4.    Directing
• It is that part of managerial function which actuates the organizational methods to work efficiently for achievement of organizational purposes.
• 5.    Controlling
• It implies measurement of accomplishment against the standards and correction of deviation if any to ensure achievement of organizational goals. The purpose of controlling is to ensure that everything occurs in conformities with the standards. 

Important areas of knowledge for a business manager. Mentions as many as you know or find.

• ·         Interpersonal skills
• ·         Communication and motivation
• ·         Organisation and delegation
• ·         Forward planning and strategic thinking
• ·         Problem solving and decision-making
• ·         Commercial awareness
• ·         Mentoring
• ·         Leadership
• ·         Ability to Deal with Changes Effectively
• ·         Team Building
• ·         Empathy
• ·         Responsability

 

Organization

Provide a definition of organization. Be extensive.

Organization is simply people working together for a common goal. It is a group of people assembling or congregating at one place and contributes their efforts to achieve a common goal.

 

Organisation is the process of identifying and grouping work to be performed, defining and delegating responsibility and authority and establishing relationships for the purpose of enabling people to work most effectively together in accomplishing objectives.

 

 

References

·         https://www.managementstudyhq.com/what-is-management.html

·         https://www.managementstudyguide.com/management_functions.htm

·         https://www.prv.se/en/knowledge-and-support/glossary/business-concept/

·         https://www.accountingverse.com/accounting-basics/types-of-businesses.html

·         https://www.fool.com/the-blueprint/types-of-business-ownership/

·         https://corporatefinanceinstitute.com/resources/knowledge/strategy/types-of-businesses/

·         https://smallbusiness.chron.com/key-elements-make-company-successful-22315.html

·         https://www.newworldencyclopedia.org/entry/Administration_(business)

·         https://managementhelp.org/organizations/definition.htm

·         https://www.tinypulse.com/blog/leadership-qualities-when-hiring-a-manager

·         http://devguis.com/5-basic-functions-of-administration-planning-organizing-directing-and-controlling-educational-administration-and-management.html

·         http://ecoursesonline.iasri.res.in/mod/page/view.php?id=15498

·         https://www.indeed.com/career-advice/career-development/business-concept