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The business operation includes various activities regarding the business functions, which are regulated for maximising the business profits.  Three prime mandates that business operations circumscribe are achieving persisting income, maximising the business’s budget, and guarding the business budget and income.  All three are interrelated, and in this assignment, the types of organisation and the business activities they are adopting are discussed.  This assignment also focuses on the impacts of the local, national and global economic environment on the business.  The importance of accounting and accounting workshops, teamwork, and convenient customer services are also evaluated as business operations.


Task 1
LO1:  AC 1.1 Describing the types of organisations found in public and private sectors in the UK. 

The public and private sectors cover many types of organisations.  Limited companies are there under both private and public sectors.  Besides sole traders, partnership and limited partnership and not for profit or voluntary organisations are other categories of public and private sectors.  These different types of organisations are working to achieve different objectives, including sales of their products, maximising their profits, growth and diversification of production, and strengthening the business base.

 (Refer to PPT)

AC 1.2 Explaining the different structures within the businesses in the UK and suggesting reasons for the variation. 

According to the businesses’ culture, types and size, the organisations follow hierarchical, flat, and matrix structures.  Small and medium business organisations do not pursue a hierarchical structure but a flat design (Collis and Hussey, 2013).  In these cases, the administration department also manages the management and human resource department.  Large business organisations adopt a hierarchical structure.  Matrix organisational structure is solely for describing the management of cross working business groups.

(Refer to PPT)

AC 1.3 Describing how the local, national and global economic environment impacts Brakes Group.

Brakes Group is the leading food wholesaler company in the food sector in the UK.  The impacts of the economic environment and external influences affect the business operations; therefore, after setting any new strategy for the company’s betterment, the organisation needs to analyse those factors.

Local and National Tax System

The unexpected growth of tax can decrease the profit margin of Brakes Group.  However, the company gains a handsome profit, so they need to surcharge the concerned government significantly.

Physical and Human Resources

The prime elements for the productions of any company are the raw materials and the employees.  According to Wilden et al. (2010), the availability of physical and human resources continues the company’s production and sales, which leads to the final goals.

Government Fiscal and Monetary Policies and National Wealth (GDP)

Fiscal policies reflect the decisions of the government respecting the allocation and the tax.  If the government increases the spending on the product automatically, the demands for the product will increase simultaneously.  Monetary policies are about the money and the rates of the interests.  The lower rate for tax boosts the profits for any company.  The Gross Domestic Product (GDP) is the fundamental indicator used to measure the national economy’s condition for any country that influences the business (Baumgarth et al., 2013).

Consumer Behaviour 

Consumer satisfaction and the behaviour towards them control the sales of the products as customers are the first preferences for the Brakes Group.


  • Tax policies
  • Government changing
  • Fiscal policy
  • Trade tariff


  • Inflation rate
  • Foreign exchange rate
  • Interest rate
  • Economic growth


  • Cultural trends
  • Employee expectation and satisfaction
  • Demographics
  • Seasonal behaviour


  • Automation
  • Technical awareness
  • Research
  • New media impacts


  • Consumer laws
  • Labours legislations
  • Health and safety of employees
  • Trade barriers


  • Geographical location
  • Emissions legislation
  • Climate change
  • Environmental offsets

Table 1: PESTLE analysis

Task 2
LO2:  AC 2.1 Explaining the importance of accounting for business success.

Accounting is an essential aspect of any profit-making organisation.  To regulate the profit and loss of the company, one should maintain proper account books.  Accounting helps to determine the cash flow of the company.  Accounting manages the capital of the company. It takes care of the monetary flow of the company.  Proper records are kept of transactions for predicting and controlling future investment.  Income and expenditure are recorded with the help of accounting which is the primary criteria for profit-making (Baldvinsdottir et al. 2010).  Budgets are essential in any kind of business. By ascertaining the budget, the investment can be made. 

In accounting, ratios help statistically to keep track of the record and assist in comparing.  The acid test helps in comparing the total cash, temporary marketable securities, and accounts receivable to several current liabilities. Return on investment expresses the income statements that engage an asset as a percentage of the asset’s cost on the balance sheet; gross margin, net profit margin, break-even, stock turnover are used in accounting to ascertain the organisation’s profit.

Task 3
LO3:  AC 3.1 Interpreting the information on the profit and loss account

Profit and loss account helps a company to show the financial performance during an accounting period. It helps us to determine the net profit or net loss of a company during the accounting period. Profit and loss account 





To purchases  119000  

   (-) returns      10000 

To gross profit c/d      


To salaries         

To rent  

To depreciation      

To sales promotion  

To loss by fire  

To discount allowed                                                                      











By sales       125000

(-) returns       15000 

 By gross profit b/d   

By discount received 

By net loss transferred to bal. 















Share capital 500000

(-) Net loss    22625                      

(-) Drawings  11000 

Long terms liabilities  

Loan from bank                                                         





Fixed assets



Bank fixed deposits

Current assets













Task 4
LO4:  AC 4.1 Carrying out an analysis to determine own and others’ roles within a team

A team can be defined as a habit of contributing and involving peers in a definite direction.   Strength and weakness can be sorted out by following Belbin reports.

Resource Investigator:

A curious approach is used to find ideas back to the team

Team worker:

Helps in bonding with the team and complete the work on behalf of the entire team


Identifies the work that has to be done and assigns among the workers correctly


Creatively solves the problem in unconventional ways

Monitor Evaluator:

Biased free judgments and weighing up the team’s option


Specialist in a specific area


To ensure the smooth working of the team without losing focus


To carry out the strategy and implement them, a critical need to be done efficiently.

Complete Finisher:

At the end of the work, it is checked and polished subject to the highest quality control standards. 

AC 4.2 Describing the stages of team development.

Team development comprises four stages, namely Forming, Storming, Norming and Performing.


In this phase, team members are inactive as they don’t know about the work that is supposed to be done. According to Bebbington and Fraser (2014), the leader plays a principal role because the work is still not clear to fellow teammates.


In this stage, members have to work beyond their capabilities.  Here, many conflicts arise among the peer members as everyone has a different working style.  Members can have a different approach, but they are easily frustrated due to a different working pattern.  


In this state, the group gradually moves into the normal state. Colleagues start to deal with their fellow member’s strength and begin to socialise together. They develop a more substantial commitment towards the team goals.


With sheer hard work and working without any conflicts, the team slowly starts progressing towards achieving the team’s goals.  A leader should emphasise the development of their team members. 

AC 4.3 Assessing three motivation theories.


Abraham Maslow’s idea of motivation is that psychological forces push human behaviour. Employees can be motivated by satisfying five basic needs: self-actualisation, esteem, love/belonging, safety, and physiology.  Management should adopt the idea of Maslow.


Taylor theory of motivation is that the workers get motivated through the salary they receive. The more the salary is, the more the employee will be encouraged to accomplish the job. The company should decide the correct pay package for their employee.  By implementing this idea, the company will get better results.


Elton Mayo had stressed the social needs of the employee.  Apart from salary, the employees should be cared for and treated fairly (Power, 2010).  The company should take care of the social needs of the employees.  They should be treated well to gain their trust in the company. The managers can do it.  Managers can ask for feedback from employees for the better working of the company.

AC 4.4 Describing different types of leadership style

Leadership style means the pattern that a leader follows to supervise a group of people to obtain specific goals.  There are various kinds of leadership patterns that are followed all over.

Laissez – Faire

In this style, employees are given the freedom to make their own decisions.  The leaders who follow this pattern sit back and let the employees do their job independently.  It helps the company with employees’ creativity as they are given the liberty to work independently.  Employees who prefer to work on their terms are benefitted. 


The authoritarian or autocratic approach allows managers to make decisions all alone.  No one is allowed to question his/her decision making.  It is not a suitable approach as it decreases the efficiency of employees.  This approach is only helpful to the employees who need close supervision.


Democratic leadership is often called participative leadership.  Employees are directly concerned in the decision-making process, but the injunction relies totally upon the leader.  Employees help the company by adopting the company’s change as the employees play a role.


In this format, managers and their team members set predestined goals.  On achieving, the employees are rewarded and punished if the same is not acquired (Brown, 2011).  The managers have the authority to develop or rectify the employees when the predetermined goal is not achieved. 


Here management plays a role with employees.  Managers motivate the employees to upgrade productivity by communication. Leaders concentrate on the major work by assigning the workload to the employees.

Task 5
LO5:  AC 5.1 Describing the different functions carried out by the HR department in a business.

The human resource department focuses on the recruitment processes of proper employees regarding the jobs of the organisation.  The department is always aware of the benefits and satisfaction of the employees and solely works for that.  In order to engage the employees with their work more, there are some strategies.  The dedication and the involvement increase by the appreciation of works, reward system and promotions.  This influences the employees to give more effort to their services which finally boost the benefits of the concerned organisation.  The human resource department follows the employees and employment legislations properly.  For the new employee, the training helps the employee to understand the responsibilities and work which he or she has to complete.  

The healthy and positive relationship between the employees and the company drives them to share their views and innovative ideas that lead the company to the final goals. The human resource department maintains this relationship, observes (Bamber and McMeeking, 2016).  The department’s perfect workplace disciplines and grievances are preserved, which is the fundamental requirement to keep the workplace positive and energetic.  Constant reviewing of the employee performance, behaviour, and involvement by the human resource department is helpful for the employees as it gets career appraisal for them and simultaneously for the betterment of the company.

AC 5.2 Outlining key features of employment legislation

Employment legislation supports employee protection and job security in the workplace.  This includes the hours of work, holidays, rest periods and shift work for the employees.  No company can insist their employees work beyond the duration of the working hours, which is illegal.  Every organisation has to give the employees paid leave for the holidays and the best times within the working hours.  According to the workload and responsibilities, the companies have to provide appropriate compensation to the employees. In the case of a health emergency, the employees can take sick leave.  The employees have the right to leave the job if it is not needed, but the company has to give the proper reason (Barth, 2015).  The employees can take membership at a trade union that works regarding the benefits of the employees.


This assignment deals with the different aspects which influence the success of the business.  In the introduction section, the various types of organisations and their structures are described, and the impacts of the economic environment on a private sector named Brakes Group are discussed.  In the later section, the importance of accounting, HR departments and the employee and employment legislation are identified and analysed.  The effectiveness of teamwork and customer services is also evaluated.







Reference List

Baldvinsdottir, G., Mitchell, F. and Nørreklit, H., (2010). Issues in the relationship between theory and practice in management accounting. Management Accounting Research21(2), pp.79-82.

Bamber, M. and McMeeking, K., (2016). An examination of international accounting standard-setting due process and the implications for legitimacy. The British Accounting Review48(1), pp.59-73.

Barth, M.E., (2015). Financial Accounting Research, Practice, and Financial Accountability.  Abacus51(4), pp.499-510.

Baumgarth, C., Merrilees, B. and Urde, M., (2013). Brand orientation: Past, present, and future. Journal of Marketing Management29(10), pp.973-980.

Bebbington, J. and Fraser, M., (2014). Organisational change and sustainability accounting.  Sustainability Accounting and Accountability, pp.189-204.

Brown, P., (2011). International Financial Reporting Standards: What are the benefits?. Accounting and business research41(3), pp.269-285.

Coles, J.L., Lemmon, M.L. and Meschke, J.F., (2012). Structural models and endogeneity in corporate finance: The link between managerial ownership and corporate performance. Journal of Financial Economics103(1), pp.149-168.

Collis, J. and Hussey, R., (2013). Business research: A practical guide for undergraduate and postgraduate students. London: Palgrave Macmillan.

Power, M., (2010). Fair value accounting, financial economics and the transformation of reliability. Accounting and Business Research40(3), pp.197-210.

Wilden, R., Gudergan, S. and Lings, I., (2010). Employer branding: strategic implications for staff recruitment. Journal of Marketing Management26(2), pp.56-73.



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