GCSE Applied Business
The Finance department in McDonalds constructs and builds a spreadsheet to present their accounts. Spreadsheets makes McDonalds job easier, this is because by using the formulas you can calculate any sums required. Also spreadsheets can easily be saved on the computer and even changed if needed. The reason McDonalds use spreadsheets is for financial statements. Statements are formed so McDonalds can see how much profit or loss the company is making. It is also produced as it easier to see how much capital they owe (balance sheet) Administration & ICT
Administration: Making sure the right business resources are in the right place at the right time ICT: Information and Communication Technology The use of computer and communication technology to support the running of a business The administration department relies heavily on ICT to function efficiently. Administration is making sure that the right resources are in the right place at the right time. This part of the company makes sure the premise is safe and clean. They also have to check if there paper in the toilets, printers, photocopies etc.
Making sure customers are sent the right documents and that telephone messages don’t get lost. Keeping records: They keep records on the computer because they can’t get lost and can be saved. Responding to enquiries: They respond to enquiries in different ways Email is one of the ways they can respond to enquiries. Also McDonalds have a call centre which is another way you can contact the company on any enquiries. This area also does the following o Dealing with the post: Reading it and passing it on. o Making sure all the computers work o Photocopying : Sheets, leaflets, application forms
Printing forms: Leaflets o Clerical work o Support service All of these jobs are important in McDonalds. This area supplies the company with information. Administration helps everyone in the areas because they have computers and print out sheets that everyone will need. E. g. forms, leaflets, health & safety policy etc. IT has helped McDonalds in the recent years because of the internet. This is because internet has become popular worldwide and is good for McDonalds so they can research. How Functional Areas work with each other to achieve aims and objectives
Human Resources and its impact on other functional areas The most important link would be the recruitment of staff which the Human Resources do. In many areas departments notify human resources when they have a vacancy and it is put up to the HR staff to make sure that this is then advertised or placed with the most appropriate sources for recruitment and that paperwork is completed and the interviews scheduled according to company policy. There is also links between different functional areas and HR staff over training events and staff development activities.
Normally the HR department organises regular inductions programmes which all new staff attend together regardless of which department they will work in. There are obvious links between health and safety and areas of McDonalds. Safety representatives will work in other functional areas and particular in more dangerous environments such as Production. Finance and its impact on functional areas All managers are concerned with the finance of their own areas. Because financial staff are responsible for controlling the money they will advice the managers when the company is over spending.
This can mean cutting down on expenditure. This could mean Marketing and sales have to cut advertising, Production may have to deduct overtime, HR may be told they can no longer hire or replace people for a time; Administration may have to defer the purchase of a new printer. Finance is also responsible for paying employers wages or salaries. So and enquiries about those payments will be made to the finance area. Different functions need finance to pay for goods they have bought. Production and impact on functional areas
Finance has a critical link with Production because the cost of making a product or delivering the service has to be calculated very carefully. This information is required before the selling price can be calculated and this must take account the prices charged by competitors. The costs of Production will be calculated using current figures for raw materials, standard times or working and average wage rates. If raw materials cost more and there is excessive downtime or slow working resulting in high overtime payments then these will increase the cost of production budget to ensure targets are met as soon as possible.
It has links with HR for its staffing needs. Additional staff may be required to help process a large order or to meet a high seasonal demand for goods or service. HR will organise training for new staff and new skills. They will give advice if there are any labour disputes and will be involved in any union negotiations Also Marketing as they can consult to see exactly what the customer wants and produce it through market research. Marketing and impact on functional areas Marketing has links with finance as to the sales budget given that the level of sales is the starting point for setting the budget.
Marketing and Sales will forecast annual sales of different products and this result in income forecast for McDonalds. Marketing also forecasts the cost of promotion and advertising. They also expect Finance to tell them about the credit worthiness of new customers or warn them if an existing customer is a bad payer. Marketing may need to consult with a member of Finance if they wanted to offer special terms for a product. No Marketing and Sales department can survive without the assistance from Administration in any company. Marketing is often the function that needs administration support for all.