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Understand the Organisational Purposes of Businesses - Essay Example

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From a generalised point of view, organisations can be classified into three categories on the basis of purposes which are public, private and charitable. There are certain business and operational aspects which make these organisations different from each other. …
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Understand the Organisational Purposes of Businesses
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In order to be successful, for every kind of organisation irrespective of their categorisation as public, private or charitable, the purposes must be identified, i.e. what the organisations desire to accomplish in its future performances and in what ways they intend to achieve their anticipated purposes. Thus, several organisations intend to develop a mission statement which concisely ascertains the key purpose of the entity specifying the reason for its existence in the market (Cuedirectory, 2010).

The public organisations are budgeted and operated by the government and are often termed as state controlled business entities. The key purpose of this kind of organisations is to serve the public offering quality services at minimum costs. In public organisations, funds are at times provided liberally for the improvement of the society. In other words, the public organisations encompass social well-being. Organisations of public sector majorly comprise educational establishments, heath services, national defence & safety sectors and finance segments among others. There are several public organisations which deliver essential services free of cost or below the usual rate. However, certain public organisations also aim toward increasing the revenue along with concentrating on providing quality services to the people (Cuedirectory, 2010). ...
Charitable organisations: The third common type of organisation is the charitable establishments. It is also termed as ‘non-profit’ or ‘voluntary organisations’ which concentrates largely on providing services. The main purpose of the charitable sector is to raise finance from several sources which can be used for supporting a particular social concern such as education for poor or food for needy people among other services. Charitable organisations aim at making surplus from the businesses in order to reinvest for certain generous purposes. Unlike private organisations where customers are provided with high priorities, charity or social organisations provide priorities to the unprivileged group of people. Charity organisations basically demonstrate the portion of money which is used for donation purposes through financial statements (Pearson Education Limited, 2012). It can also be observed that the public and private organisations provide several monetary supports to the charitable organisations through or without strategic alliances in order to accomplish their individual social welfare objectives. Each kind of organisation has certain contribution to the society and economy as a whole. Contextually, it is worth mentioning that all kind of organisations need to carry out certain functions in order to ensure that the business runs efficiently performing its operations in relation to administration, marketing, production, customer service and research & development. These functions develop a linkage between the aims of the business with the strategies implemented to accomplish those purposes (Pearson Education Limited, 2012). Article 1.2 Northumbria Police Authority (NPA) is an independent organisation in the UK which provides persuasive quality and ...Download file to see next pagesRead More
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