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    Business Organization & Environment of FORD


    • Unit No: 1
    • Level: Undergraduate/College
    • Pages: 15 / Words 3865
    • Paper Type: Assignment
    • Course Code: BM461
    • Downloads: 454
    Question :

    This assessment will provide certain questions which are like - 

    1. Provide the effective purpose, types and functions of FORD and also their legal structures.
    2. Analyse the scope, size and other range of organisational areas.
    3. What are the relationship and functions for the organisational objectives.
    Answer :


    Business is define as the entities which is involved into commercial, professional as well as industrial practices. It can be profitability or non profitability entities that is performing to accomplish the requirements of societal and individuals. Likewise, the business environment is considered as the integration of external and internal factors which influences enterprise (Abdullahi and Zainol, 2016). As per the scenario, the undertaken organisation for this report is FORD which is an American leading auto-mobile entities. It is established in year 1903 having headquarters is in Dearborn, Michigan, U.S. It is specialises in selling luxury and electric vehicles. This report covers various kinds of organisation, its size, scope, structures, product and services and many others, several functions in business and its interrelationships are also discussed in this report. 


    P1 Explain different types and purposes of organisations; public, private and voluntary sectors and legal structures

    Mainly, there are three types of organisation that are private, public and voluntary which is named as Crown Prosecution Service, FORD and British Heart Foundation. The explanation of its background, product & services, vision, mission, objectives, legal structure and their stakeholders are discussed below:

    Private Organisation

    It is regarded as agency, person, partnership, corporation and others that are not governed by public bodies. This involves enterprises that are for profitability but do not owned or run through government (Aithal and Aithal, 2016). For operating the private company, one or above that individuals are needed for its establishment.

    • Company Backgrounds: The chosen private entity is FORD, It is a large Multinational auto-mobile firm which is established in year 1903 through Henry Ford and having headquarters is in Dearborn, Michigan, U.S. They concentrate upon selling auto-mobile  and commercial vehicle into their own brand name as well as luxury cars in Lincoln Brand. They have joint venture with Taiwan, China, Turkey, Thailand, Russia and many others.
    • Vision: The FORD vision statement is to be a international leading customers firm for facilitating standards auto-mobile product or services. 
    • Mission:  The FORD mission statement is to be global family with heritage which is passionately involved towards facilitating auto-mobile to person across foreign marketplace.
    • Objectives: The vital objectives of respective organisation are development of matched pairs system, sharing common objectives of cost & developing base of supply that interface as well as boost suppliers profit.
    • Purpose: The main purpose of FORD is to bring individuals together as well as facilitating them standard quality of goods and services.
    • Product and services: FORD sells variety of products as well as render unique services. Its products involves automotive parts, commercial vehicles, auto-mobiles, luxury cars, SUV's and others. Moreover, its services involves vehicle services, leasing and auto -motive finance.
    • Structure: The organisational structure of FORD is depends upon the requirement to control operations as per regional market condition. Its structure have some main characteristics that are corporate hierarchy, regional geographic divisions and Global functional group. It have Matrix organisational structure. Moreover, it comply joint structure which is managed through its Chief executives, Board of Directors, managers and many more. This possess limited liability as well as higher risk.
    • Types: This organisation is divided into various types which are:
    1. Sole proprietorship: This is define as entities that is run, performed and operated through individuals who is accountable for overall profitability and loss (Alsaad, Mohamad and Ismail, 2015). Moreover, it is considered as the easiest types in which person is owner, risk taker and manager.
    2. Partnership:  This is regarded as an agreement among tow or above that individuals who share equal profitability, risk, losses and management. Moreover, they are accountable in managing the practice as well as operations of enterprises in equality manner. 
    3. Joint stock company: This is regarded as an entities that have both private and public company for operating the operations as well as practices of business. Moreover, it is also managed and controlled by Board of Directors and Chief executives. They have to bear higher risk and limited liability.
    • Stakeholders: The FORD stakeholders are addressed by social accountability as well as programs. This involves investors, staff, communities, clients,, and many more. Among all these consumers are considered as at priority basis as well as community at low.

    Public Organisation

    It is regarded as the entities which is governed as well as owned through country's government. They are developed basically to facilitate products or services for the beneficial of community as well as society (Amran and et. al, 2015). Herein, an ownership is distributed within public shareholders with the assistance of free share trading at stock exchange. In this, above 50% shares are owned through public bodies.

    • Company Background: The chosen public organisation is Crown Prosecution Service(CPS) which is established in year 1986 having headquarters is in Petty France, London. The Respective entities is principal agency for conducting the criminal prosecution at England and Wales. It is headed by the Direction of Public Prosecution (DPP). They are liable for several accountabilities like facilitating legal advice for research agency, deciding charges for criminal and others.
    • Vision: The Crown Prosecution Service(CPS) vision is to bring equality among communities as well as society for punishing criminals so that country's individuals may live independently, happily as well as securely.
    • Mission: The Crown Prosecution Service(CPS) mission is to deliver justice with assistance of efficacious and independent prosecution to foster excellence culture as well as crime for inspiring and supporting one another in most effective way.
    • Objectives: The objective of Crown Prosecution Service(CPS) is to punish the right person who are involved in crime for facilitating justice to offenders.
    • Purpose: The main purpose of Crown Prosecution Service(CPS) is to perform to promote awareness among communities as well as societies for making them feel secure and safe at places.
    • Product and services: As Crown Prosecution Service(CPS) is a legal agency entities which facilitates advice in context of legal aspects for investigation agencies for example, police so that they may decided the criminal charges for suspects.
    • Structure: The Crown Prosecution Service(CPS) follows departmental undertaking legal structure as this is a part of government in which legal criminal practices are handled as well as managed through organisation.
    • Types: There are various kinds of public organisation that are discussed below:
    1. Departmental Undertakings: This is considered as the oldest types of public organisation and is a part of government department (Belás, Sipko and Bilan, 2015). They do not have any separate existence from government in which there is a control of one ministry or department. Such as Telephone, railways and others.
    2. Government Company: This is considered as the entities where paid capital of 51% is held through central or state government. These entities performed, ruled as well as regulated through the act of companies that is used into existent country.
    3. Public Corporation/ Statutory corporation: This is considered as the corporate bodies which is developed through special parliament act or by state or central legislation. Moreover, it is financed through countries government in which powers, limitations as well as objects are decided by legislation act. Such as corporation, life insurance, oil & natural gas corporation and others.
    • Stakeholders: The Crown Prosecution Service(CPS) stakeholders categorised into three part  like internal which is directly impacted as well as indirectly effected that involves trade unions, employees, offenders, partnerships, suppliers, probation board, central government, local authority and many others.

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    Voluntary Organisation

    This is also considered as the common interest association, union that is a group of individuals who enters into an agreement like volunteers for developing body for attaining the targeted business objectives (Chekh and Vinnyk, 2017). The Voluntary organisation examples involves professional association, environmental groups and trade unions.

    • Company Backgrounds: The chosen voluntary organisation is British Heart Foundation (BHF) is a Charity entities which is developed in year 1961 at UK. British heart foundation (bhf) chief executives named as Simon Gillespie as well as chairman Doug Gurr. It was established through medical professionals group who are concentrated upon enhancing death rate from the disease of cardiovascular. It needs funds to do investigation regarding treatment, cause as well as prevention of heart disease and circulatory.
    • Vision: The British Heart Foundation (BHF) vision statement is to develop world where person must not die because of heart disease.
    • Mission: The British Heart Foundation (BHF) mission statement is to plays role into fighting against heart disease as well circulation so that no one will die prematurely because of heart disease.
    • Objectives: The objectives of British Heart Foundation (BHF) is to minimise death rate which is occurs due to heart problems.
    • Purpose: British Heart Foundation (BHF) performs upon a purpose to decline death rate of premature person caused because of cardiovascular disease as well as developing internationally for protecting person themselves form heart diseases.
    • Product and services: The product or services provided through British Heart Foundation (BHF) are health services in respect of recovering people from heart diseases. This was developed to aids individuals whoa re suffering from heart disease as well as minimise death rate.
    • Structure: The British Heart Foundation (BHF)follows legal structure such as unincorporated association as this performs with an aim to facilitate help to individuals who suffer from the heart diseases. Moreover, they  performs for an intent of services instead of gaining profitability.
    • Types: The several kinds of voluntary organisation performing at market areas are discussed below:
    1. Trust: It is regarded as entities which includes trustees as well as beneficiaries who are totally liable to manage and control overall business practices in most effective way. It is owned by the banks, independents partnership and many more (Civelek and et. al, 2016).
    2. Unincorporated Association: This is regarded as an entities where individuals comes collaboratively with an aim of offering and developing societal conditions. The main intent of it is to facilitates services instead of gaining profitability. Moreover, volunteers are accountable for carrying practices as well as operations as per the signed agreement.
    • Stakeholders: The British Heart Foundation (BHF) stakeholders involves government parties, volunteers, public, patients and many others.

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    P2 Explain the size and scope of a range of different types of organisations.

    As there are various types of organisation such as private, public and voluntary which have different size as well as scope (Hart, Sharma and Halme, 2016). So, it size and scope are discussed underneath:


    Private Organisation

    Public Organisation

    Voluntary Organisation


    Within FORD around 199, 000 are performing. Moreover, it has certain division such as Motor Crafts, Ford and Linclon and serving its services into above 200 countries in all over the world as well as operates about 77 offices as well as plant locations.

    The public company such as Crown prosecution service performs in all over Wales and England along with their regional teams of about 14 who are prosecuting the cases regionally. In addition to this, their services employees around 6000 persons who are working within this particular entities.

    The voluntary organisation such as  British Heart Foundation have about 3000 employees who perform within this entities. They has approx 730 shops in across UK. In addition to this, they have more than 185 Electric as well as furniture stores into United Kingdom and sells pre loved beds, dining sets and others at marvellous cost.


    It is extending their practices as well as operations within others emerging marketplace so it has the scope top expand its enterprises within India and China. Moreover, they produce Hybrid as well as electric cars so they also have the scope to enter in any nation their government will support them as it is offering fuel free vehicles.

    The vital scope for Crown prosecution service  is developing country free from the unethical practices as well as  charges penalty, fine, and punishment who are engaged into some illegal task. It is basically perform to facilitates equal as well as justice to person in most effective way.

    The effective scope of  British Heart Foundation is performing funding for  the research of cardiovascular, it  spent  about £ 100 million annually.  At present scenario, this is funded above  1000  projects of research. Moreover, it are planning to start funding into another countries for performing the investigation of cardiovascular for maximisation of services in appropriate as well as  efficacious way.


    TASK 2

    P3 Explain the relationship between different organisational functions and how they link to organisational objectives and structure.

    This is essential for entities to maintain relation with various organisational function in order to attain objectives. Every one have to perform collaboratively for optimal utilisation of resources. It aids to perform overall functions for gainful outcomes. In addition to this, there are several kinds of department like marketing, human resource management, research & development and others. In case if they perform collectively then issues will not raise within enterprises (Lewandowski, 2016). In respect of FORD, This is a renowned multinational auto-mobile enterprise have several departments as well as performing for accomplishment of goals. As these interrelate have both benefits and drawbacks within organisational function and affecting business structure. Few  interrelationship within several organisational functions are described underneath:

    • Finance with production department: Both finance and production department are considered as the part of entities in which production section assure that firm do not run out of stock as well as finance department assures regarding resources needs and funds for producing goods. In respect of ford, its production function have to perform effective approximation related to inventory so that customers can obtain goods whenever there is need as well as app[roach to finance so that they may facilitate budget for performing the operation of the business. By interrelation among production and finance section, FORD have a benefits like it can perform based on the provide budget through finance department. It will aids to reduce resource wastage as well as funds. Likewise, these interrelation have pessimistic affects to respective organisation, if they fail to formulate effective budget as well as coordinate with one another for attainment of objectives. As per its structure, production function have to be performed in for accomplishing organisational goals.
    • Marketing and Research & Development: Both marketing as well as Research & Development organisational function are very essential for entities as it aids them to accomplish the objectives of business for understanding about its needs, utilisation of technology through another rivals as well as facilitates information to marketing so that it utilises new and creative technology, promotion for selling goods or services (Prendeville and Bocken, 2017). There are various competitors of respective organisation that needs active, efficacious as well as great investigation and  research & development team to perform as well as examine marketplace. With efficacious interrelation among marketing department that concentrate upon grabbing attention of huge number of clients. If inefficient relation among one another develop issues for optimistic outcomes. The organisational structure of FORD is large geographical division which needs relationship of marketing and research & development to accomplish firm's goals efficaciously.
    • Human resource department and operations: Human resource function perform to identify, screen, hire as well as train job applicants and managing staff developing programmes that are formed through organisation. On another side, operational function perform task collectively to maintain standard quality of work so that its firm may accomplish their targeted objectives in effectual and efficacious way (Salleh, Yang and Wang, 2015). In context of FORD, through maintaining as well as improving interrelation among both division it obtain benefits such as when operational function need to recruit candidates, it directly contact to human resource division that assists them to hire proficient candidates at appropriate position. On another side, if they can not bale to recruit skilled candidates so this will have affects upon operational task. Therefore, this is vital for FORD to manage its entities structure as this will drives towards accomplishment of objectives efficaciously. 

    Organizational Structure

    This is regarded as the system which is utilised to describe a hierarchy into entities. This structure is formed for establishing how a firm performs as well as aids company to obtain their objectives to permit for futuristics development. The FORD organisational structure is depends upon the requirement to control operations based on regional market situation. The company FORD utilises the Matrix organisational structure is accumulation of two or more different structures. Moreover, this allows them to simply coordinate as well as operational their vast practices (Tchamyou, 2017). The respective firm have a vertical management structure from President, Chairperson, executive vice presidents then obeyed through horizontal model that includes departmental heads which is called vice presidents. Also, their organisational structure is categorised into three regional geographical divisions which covers whole their marketplace across world. The main regional geographical divisions are Europe, Middle East and Africa, Americas as well as Aisa Pacific Ocean. In addition to this, FORD organisational structure have functional groups all of them shows a particular functions of business (Ford Motors Company: Organizational Structure Report, 2019).

    The private company organisational structure is different from another two entities as it formed their structure through their own which an intent to gain more profitability. Where as another two serves service for the welfare of society so they developed its organisational structure as per that. As they do not concern for earning the profit.


    As per the above report it have been concluded that all entities have to perform its practices as well as performing through considering the environment of the business so that it may achieve their goals effectively and efficiently. Moreover, it will drives to develop effective plans as well as strategies for optimistic results. Also, there are three kinds of organisation lie private, public and voluntary. All of these have its own objectives, size, scope, structure, products, services and many others. As per this, it has to perform as well as attain outcomes. Whole organisational function have to perform collectively so they has to maintain efficacious interrelation among one another in order to perform profitably.

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    • Abdullahi, A. I. and Zainol, F.A., 2016. The impact of socio-cultural business environment on entrepreneurial intention: A conceptual approach. International Journal of Academic Research in Business and Social Sciences. 6(2). pp.80-94.
    • Amran, A. and et. al., 2015. The impact of business strategies on online sustainability disclosures. Business Strategy and the Environment, 24(6), pp.551-564.
    • Belás, J., Sipko, J. and Bilan, Y., 2015. Regional aspects of business environment creation in the SME segment in Slovakia. Mediterranean Journal of Social Sciences.
    • Chekh, N. and Vinnyk, I., 2017. Regulatory environment of business activities in Ukraine. Innovative Technologies and Scientific Solutions for Industries. (1 (1)). pp.124-129.
    • Hart, S., Sharma, S. and Halme, M., 2016. Poverty, business strategy, and sustainable development.
    • Lewandowski, M., 2016. Designing the business models for circular economy—Towards the conceptual framework. Sustainability. 8(1). p.43.
    • Prendeville, S. and Bocken, N., 2017. Sustainable business models through service design. Procedia Manufacturing. 8. pp.292-299.
    • Salleh, N. H. M., Yang, R. R. Z. and Wang, J., 2015. Business environment-based risk model for the container liner shipping industry. European Journal of Business and Management. 7. p.27.
    • Tchamyou, V. S., 2017. The role of knowledge economy in African business. Journal of the Knowledge Economy. 8(4). pp.1189-1228. 

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