responsibility and task of this business function is to turn inputs into
finished outputs. Operations is the activity that manages the resources that
create and deliver products and services (management Brandon-Jones, Johnston
and Slack 2013). Every business has an operation function, whether its final
product is a tangible object or a service. Improving this function can turn a
business more efficient.
The inputs can be considered the materials or
customers. The transforming resources is represented by the facilities and
employees/staff. The output is the service or product provided.The staff is an
important piece, as they’re the ones who operate and manage everything. They
must be experienced and friendly to clients. It is essential for Monica to be
able to maintain the quality of her services for her clients (improving the
operations function). She can do so by making sure that her equipment and
technology is up to date. An upgrade could improve productivity. Another
important aspect is the communication coordination. Improving communication
within an organization can increase productivity. When information travels from
one department to another accurately and fast, it can speed up the pace at which
the company can operate, insuring that all necessary parties receive the
information they require in order to be productive (Chron 2018).
Businesses make profit by selling goods or
services. Profit is key and so money is the lifeblood of any business, bringing
finance and accounting and its center. One important role of business finance
is to identify the ways in which the company can save on expenses and enhance
profitability by performing financial analyses. Business finance departments also
create budgets as part of their financial planning strategies (Bizfluent,
A current problem for Monica is the new
Entertainment License just introduced by the government. This affects
organisations offering the use of sun beds. They must each pay a fee of £700.
It is also essential that they offer showering facilities to their
clients. Monica does not have the space
to install showers in her current premises. Because Monica has decided to lease
larger premises nearby that have just been vacated by a bank, allowing space
for the showering facilities.
Due to the requirement of a huge capital
outlay/ money for the alterations such as installation of showers and other
facilities, Monica could contribute money out of her own capital up to a
certain extent and the rest she could acquire from issuing debentures to the
public or she could borrow from a bank, whichever has a lower rate of return.
Another option would be entering into partnership with someone in order to
boost up the capital. Regarding the fee for the sunbeds, Monica should pay this
fee only if she decides to keep her sunbed facility, the reason being if it is
popular among the clients, the profit thus exceeding the paid fee.
business, there are certain risks and you must always take precautions in order
for you to minimize them. You must make sure you are informed and up to date
about what is happening and what is new in that particular business. Also, in order
for a business to flourish, every key function should be analyzed and any issue
should be addressed and fixed.
Such is the case for Monica’s beauty therapy
business, as she is currently facing a number of problems in the different
functions. The main points have been discussed in each section. Shortly
summarizing, she must attend to her customer’s needs, improve marketing, hire
experienced staff, maintain the industrial relations and make a decision
regarding the finance function (either by issuing debentures or borrowing from
a bank). By fixing these issues, Monica’s business is sure to continue
flourishing and expanding.