Business is operating by performing all the activities which are necessary to perform to run smoothly. This report will discuss importance of accounting for success of the business. It will also study several functions which are performed by the Human resource department. There will be discussion of the features of the employment legislation. It will more explain about profit and loss account. This report will illustrate the role of leadership and its impact on business unit. in this Marks and Spencer is chosen.
Different types of the organisation which comes under the public as well as private sector
Types of the organisation structure in the businesses
Impact of the business on local, national and regional level of economic environment
Importance of accounting in the business
significance of the accounting in the business are :
- Report profit - in business importance of accounting to determine profit of the year. This is one of the motives of entity to earn profit. Accounting will tell about the financial position of the company. For finding out the financial position statements which are needed to prepare are income statement, balance sheet etc. from all these documents turnover of the company is determined. It will help in knowing the total spending are done in financial year and profits generate (Castrogiovanni and et.al.,2016).
- Recording of the transactions systematically- through accounting only organisation is able to record its transactions in system. If transactions are recorded in that case whenever people need information about past it will automatically find out by the entity.
- Finding performance of the business - it supports in finding out the actual position of business. This is one of the way through which owner, investors, shareholders review it positions. It is one of the important information which shows that company is running its business in effective way. in marks and spencer is doing its business with the usage of proper accounting.
Several functions carried out by the HR department
Human resource department has main work of appointing the new talent in entity. this department is responsible for many functions which are :
- Hiring of people - in this section people is appointing new employees but this is thing is taken care of that people are hired according to that job profile. For recruiting employees they have to pass many rounds so that their skills are analysed (Németh and Németh ., 2017). After that workers are given knowledge about the policies and procedures which are set by the organisation.
- Training and development- after worker get selected firstly training is given to employees so that they can work according to the prescribed manner which is prevailing in the entity. In training session they are taught about the reduction of the waste material while working. So that all the employees learnt about the working.
- Solving the problems of the employee- in this HR. department has a duty to listen to the problems of the employees and try to solve them. This will make more satisfied employees in the organisation. Resultant will be retention and loyalty of worker will increase. in this Marks and spencer of HR department is doing its business by following all the fuctions.
Features of the employment legislation
Employment legislation are made to protect the rights of the employee. There are many more features of this legislation which are :
- Minimum wages - in this no discrimination in the entity on basis of gender. This will cover that employees are given wages on their performance (Miklian ., 2016). This act is preventing from the inequality which are prevailing earlier. This will help them from the employment. For this government has introduced this Minimum Wages Act in this.
- Fixed labour hours - government has set certain hours for labours for working. Eight hours are set for this and no company can perform more work from the workers. It can become more tired to workers. This is one of the way to protect employees because by doing more work chances of accidents are increased.
- Facility of canteen - in organisation where people are working in maximum number it is necessary to have canteen in the organisation so that people cannot remain hungry. For doing work energy requirement is there which is fulfilled by this. This act passed by the government which is helping the entity to maximise potential of employees.
Heallth and safety - in this fot employees government has introduced this law to take care of the employees whio are working in the organisation.
Interpretation of the profit and loss account
Net sale revenue
Total Gross profit
Salaries and wages to staff
Total Operating Expenses
Total Operating Income
Less: Interest on loan @5%
Less: Corporate tax 30%
Total Net profit
In this profit and loss account gross profit is 22000. In this operating expenses is 1300. in this business has earned the net profit of 13455. total operating income of the business is 20700.
Role of the leader in the business
Leader is a person who guides and shows the path to employees. In enterprise leader is much needed. He is one who does all his activities to influence employees. He is always motivated workers. In organisation employees feel that he is one who resolves issues which are face by him. He is medium from which senior authority and workers. He always tries to solve problems of the employees and show them the correct path. If any of employee feel that working environment is not good in that case leader is one who build the morale of labour (Castrogiovanni and et.al.,2016). He is available for solving any type of issue which supports in achieving the objectives of company. He is one who motivates them and make their personal goal link with company objectives. He is one who try to encourage employees and his impact is good for sake of the organisation. He is one who cheers in stressful situation which help them in making relief from tension for a while and helps in making the employees full of hopes for the job. If labour has any type of difficulty in doing work in that case leader who take them out of that situation. This is helpful in order to achieve the goals of the organisation.
Stages of team development
Team is that part of the organisation which helps in obtaining the goals. This is one of the way through people can learn many things. For making of team is very difficult task. People are from different backgrounds and culture so handling them is bit complex. There are five stages of team development :
- Forming stage - this is first stage in these people are welcomed in the team. In this observe of the members like their skills, roles in the entity, project goals and many more. In this focus on the people not on the work.
- Storming stage - in this stage work load of people are more which creates the chances of conflicts between them. Senior members of the team concentrate on the resolving the issues which helps in growth of organisation.
- Norming stage- in this stage team members start noticing about the team and encourages them on their good work.
- Performing stage- in this stage members of ream are trained enough and don't need supervision all knew their roles about the job and helps in achieving the goals of the objectives (Bennett ., 2017).
- Adjourning stage- in this stage now the project is over and team members has gone to their place and other members of the team are missing them.
Three motivation theories
in this there are three motivation theories which are :
Mes low- in this theory people first want to fulfil their basic needs and after that self esteem, self actualisation, safety and belongingness. This was developed by the Abraham Maslow in (1943) in the 1940 and 1950. In these persons basic needs must be fulfilled and then any other.
Alderfer- in this only three needs are discussed:existence, relatedness and growth. This author has agreed to mas low that people needs whose requirements are not satisfied can work in far better way than other. This focus on the needs not on the hierarchy.
Herzberg's- in this some factors are there due to which employees satisfied with job. In this focus on the salary, working conditions, work environment and security.
Different types of leadership styles
There are several types of the leadership styles which are :
Autocratic- in this type of leadership rules are very strict. In these people are doing business without taking suggestions of any. Employees who are working under them only has to follow the orders given by them.
Democratic- in this all the decision are taken with consulting employees and after that decision are taken. In these people has to do work in flexible environment (Barefoot and et.al., 2018).
Transformational - in this style focus on the encouraging change in the entity, groups, oneself and others.
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From this report it is concluded that topics cover under this different types of leadership styles in the business. It has also discussed the developing of team in enterprise. This has also discussed three motivation theories which can be implemented on entity. In this report role of leader is discussed.
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