Objectives and Implications of the Organization - Essay Example

Organization- Objectives and Implications Every of action is initiated for a purpose. Business being an important process oriented system needs acute attention at every wake of its operations. Organization is an important system dealing with the society to ripe on mutual beneficial applications and systems. Organization comprises basically three main components to deal with: The Product, the people and the process. Utilizing these components in a right system will result in profitability of any organization. Objectives are the basic internal paths framed for a period of time in search of business excellence. Objectives are designed according to the nature of the organisation. The organisation ultimate aim is considered and the objectives try to elevate to the given point. A non-profit organisation objective maybe to try to expand their services to new regions, for a software solutions firm adding up a new software application can be an objective for the near future. The organization will depict their future course of process or application. This course of action can be for the enhancement of productivity or for the enhancement of process or it can be diversifying in new features and new targets altogether. By marking to a particular defined target elevates the business strategies to new encouraging spirits. The objectives reflect the future challenges. The future challenges are path lines for addressing the current concerns. The organization will have a chance to revive or enhance the current operational features. The objectives are classified according the systems it will look into like: Enhancing the business potential Sustainability of the organization Revival of Sales plans Look out at new market Expansion process of the business entity Reviving the strategic losses generating entities Recruiting plans for the future Business potential: Business entities always eye new markets where the potential has to be tapped to its fullest extent. The more is the profitability the more will be aggressive growth strategies. The business potential can be best utilized by the entering the market in no mean time, by activities like mergers and acquisitions with the local firms and trying to cash upon the brand popularity. The business potential can be in terms of increase in the turnover of the business, increasing the productivity, venturing into new fields by diversifying into new products, entry into foreign markets by mergers, acquisitions and joint venturing. Sustainability of the organisation: A new business organization initially has to strengthen it hold on the market by with standing the challenged faced. A small company or new company will have less of public recognisition, more expenses on enhancing the public visibility to make their products popular. So the objectives initially will be to enhance the sales turnover, to acquire the investment for aggressive growth strategies. Sustainability depends upon the competition, the type of products at offer and the distinctiveness of the products. As the seasons changes the products marketing strategies may place the product in a better position. Revival of sales plans: The sales of the products reflect the growth of the organisation. The more the sales the more will be the revenue generated. So, companies strive to keep up the sales margins high even in the competitive environment. A series of steps are initialed to reach the sales targets by ripping on the seasonal demands like in the festive seasons the electronics or garments industries comes out with discounted prices, more incentive programs to entice the consumers and peg up the sales. Aiming at new markets: Organizations at times develops strategies to enter new markets by market research on the new regions where there can considerable customer base ignored by the local competitors and has a chance to unleash. Market research explores the market value and the profitability of the products thus giving a clear idea for investments plans Expansion plans are carried according the situation of the market under consideration. Organisation with good financial resources will define clear strategies to capture new markets. Expansion plans are devised according to the capital investments. The investments plans like opening up of new outlets in one region and gradually expanding it to the other locations over a certain period of time. This expansion process may be carried by franchising or direct factory outlets or by Joint ventures. Reviving the loss making policies :Organisation at one particular point has to cross through the rough patches. At times organisation will be under extreme pressure towards meeting its financial deficits. To meet these financial deficits companies will reform their policies which are to be implemented in due course of time. These reforms include financial support from third parties to refuel the deficit entities. Recruitment plans: When an organisation is expanding it has to place the work force who can rightly delivery the performance needed to propel business proportions. This recruitment process is planned for a particular period of time. A software firm may paln to hire 25,000 more employees within the next one year to suit it growth plans. A small business entity will require few responsibilities to be performed on behalf. The case study explains a person who is well experienced in dealing with the agricultural markets which elevated his thoughts to venture in to business. His aim was to earn quicker than before as his employments will fetch him only fixed sum of earnings. He then initiated a fruit whole sale business with which he is more comfortable with. As the initial business volume is less he used to take the extra pain to perceive that jobs. Once he was known to the business circle people started to approach him. Karel Kupec being the owner has ill plan expansion process. He was crowded with work pressure. The business being encouraging hasn’t provided him with time constraint to work on the components he to work on before he launches a perfect expansion plan. Karel being having these concerns to be addressed has added three new locations to the business operations under his name. The acquisition has resulted in two main problems the positioning of human resources and the delegation of entire work flow to his subordinates. Karel being the key decision maker was unable to deliver the right out policy that best suites to the location. The decision making process was delayed and the organisation performances was hindered to a considerable extent. He then planned to delineate the decision making process thus easing pressure. Recommendations: Mr. Karel has to keep the key decision making process with him. He should give the operational responsibilities to his experienced subordinates thus making them responsible to the performance of their assigned region. The better responsibility and freedom will make them to dedicate to the organisation thus paving to overall organizational growth. The decision making process time will decrease and the performance index will rise to admirable extent. By smart delegation the process flow will be distinct as the workforce will have clear profile under them to work with. The stakeholders may induce new innovative ideas then the monopolistic thoughts thus imparting innovation throughout with more transparency. Reference: Business aims and objectives, 2006, Organisation, Tutors2u, available at http://www.tutor2u.net/business/gcse/organisation_aims_objectives.htm Read More