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ASSIGNMENT NO 1: REPORT

Contents:

Introduction 3

1. The decisions that must be taken

-What to produce or sell

- Where? 

- From where to supply?

- decide about the opening hours

- decide about the legal structure

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2. Asses of internal and external sources of

information

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3. Recommendations for improvement 5

4. The order of stakeholders to make contact with 5

5 Ways and methods to contact the stakeholders 6

6. Involving the stakeholders in the decision making

process

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7 recommendations and future plans 7

Conclusion 7

References 7

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Introduction:The present report brings into attention the mainnecessary steps required in opening a business. For abetter and more logical understanding on what needs to bedone I tried to reformulate the decisions into questionsand present the steps into a more succinct and logicalway as possible.

1.the decisions that must be taken for opening the business:

Before starting a new business we have to make someimportant decisions such as what to produce or sell thelocation of the business, the price of the products etc.My opinion is that in order to understand and to clarifythe decisions that must be taken it is easier toformulate them as questions. So the ranges of questions are: -What to produce or sell?

This is the most important decision that must be taken. Ideally we should find a gap between what customers needand what is currently offered. Another thing that we can take into account is findingproducts or services for which the demand is bigger thanwhat is currently offered.If we start a new business and if we can't come up with agreat way of selling or we don't have enough money to dosomething spectacular we should avoid entering a marketwhich has the offer bigger than the demand. I would like to open a coffee shop with a big properheating terrace design mainly for smokers. In my opinionthere aren't so many of them and it is a huge demand forthis kind of places. In my opinion smokers arediscriminate by not being able to have a proper nigh out.  - Where?  

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This is also one of the most important decisions thatmust be taken. A proper research must be done beforechoosing the right location. The location should be in abusy area and there should be many young people ideallymany students. So having information about the peoplethat live in that area is essential, also I should knowwhat competition is in that area. From my point of viewif there aren't restaurants or cafés in that area it ismore difficult and more risky to bring new customerbecause the clientele is not formed. Also if there aretoo many cafes compared to the number of customer thatare in that area and taking into account that I’m new inthis field I think I should avoid opening a café there.So I will need information about places that meet thatsort of criteria. I can apply to different agencies that deals with findinga commercial space and then undergo an Internet researchabout the area where the agency found the property, alsoI should view the property and see what kind of peopleare in that area (external source of information).I should also do a proper research on the internet aboutthe best locations that suits my interest and then Icould ask the agencies to find a location in that area orto go there in person to find any ads in shops windows.Another source of information can be my family andfriends. I can ask them about the places they know andrecommend me a good location. I could also appeal to a professional advisor to help me.- From where to supply?This will determine the final price, and also the qualityof my products. Basically the quality should be as higher as possible andthe price as lower as possible. The sources of information can be my advisor (internalsource of information) online research (an externalsource of information) also asking some good friends ofmine that works in local coffee shops could be of a bighelp.

I think this are the most important decision that must betakenOther decision and information that I need are:

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- To decide about the opening hoursMost of the restaurant and café close early so I thingthat staying late is a big advantage to the competition.Even if the licence cost more it will be a good start forme to make the café-bar more popular among the customer.I could also consult with my advisor about this. The information that I need are about what licence do Ineed, how much does it cost Source of information:

a) external: official site of the government, mybusiness advisor

b) internal: friends,

- decide about the legal structureShould I go for: Sole trader, Business partnership,Limited liability partnership (LLP) or Limited company?Any option has pros and cons. I can find plenty ofinformation on the internet:Structure       For Against

Sole trader

Low cost, easy to set up   

Full control retained   

Very little financialreporting

Full liability for debt

Pay more in tax

Lacks credibility in market

Partnership

 

The above, but with moreheads   

More potential to raisefinance      

The above, affecting all partners

Can be messy to wind up

Limitedcompany   

Less personal financialexposure

Favourable tax regime

Ability to work forcorporate clients   

Administrative and regulatory demands heavier

Annual accounts and financial reports must be placed in publicdomain

Limited liabilitypartnership (LLP)

Flexibility: can beincorporated in members'agreement

Advantages of limitedcompany and partnershipcombined   

Profit taxed as income

Partners must disclose income

LLP must start to trade within a year of registration – or bestruck off

 http://www.startups.co.uk/choosing-the-right-business-structure_1.htmland also on the official governmental site:https://www.gov.uk/business-legal-structures/overviewI can also discuss with my accountant or my businessadvisor about what to choose.

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2. Asses of internal and external sources of information:

1. My family and friends want to help and sustain me butthey aren’t very reliable because of wrong knowledge orlack of information and experience in the field.2. Business advisor It can be very reliable and it is very important for thesuccess of my business. Before choosing him I must do aproper research from many sources about his reliability.3. EmployeesThey get into direct contact with the customer so theyare essential for understanding customer needs and wants.They can be very reliable and sustainable if the rightmanagement style is used4. Internet It is huge source of information and it must be usedwisely. The official sites (like governmental site:https://www.gov.uk/business-legal-structures/overview)are reliable and trustable but if it isn’t a primarysource of information it must double checked.5. Customer In order to succeed in my business I must find out whatare their needs and wants. If the right methods are usedthen they could be a reliable source of information. Suchmethods involve: the right survey, the right questions,the right time, a qualified person to interpret theresults etc.3. My recommendations for improvement are: -I’ll do a marketing course (Regent College) because Idon’t have experience in this field-language could be a barrier in gathering informationI’ll start an English class-I’ll go for a democratic management in order to gatheruseful information and knowledge from my employees -to spend more of my free time collecting data andinformation-a proper survey about what people from that area maything about opening a café.4. The order of stakeholders to make contact with is the following:

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5 Ways and methods to contact the stakeholders

1. HMRC to know if I can meet the necessary requirements

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4. Suppliers

3. Bank to know if I can make a loan

2. Family and friends for help and advice

At this point I could have a rough idea about how muchare going to be my expenses and how big should be my income in ordering to cover the monthly expenses and to make some profit. I can avoid making any spending

5. Space renting properties

6. Business advisor

7. Local people: for some marketing surveys research

9. Employees

10. Customers

8. Web designers

6. involving the stakeholders in the decision making process

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EmployeesBy using a democratic management I will involve them inthe decision making process by having them share theirknowledge and experience about the needs and wants ofthe customers. Regular meetings will be held and thosewith best ideas will be rewarded. It is important tomake them fill appreciated; making them committed totheir jobs and make them share my objective and ideas.

Family and friendsI could organise regular family meetings to involve myfamily in the decision making process

SuppliersBecause there are lots of suppliers on the market Icould negotiate the price because I’ll have more powerthan them. I could also obtain discounts if I’m goingto buy a larger quantity.To involve my suppliers I could ask them for a lowerand better quality products because if I sale cheaperand better products I’ll sale more so I’ll be able tobuy more from my suppliers making the relation moreprofitable for both of us

7 recommendations and future plansIn London there is a lack of good quality restaurants andcafes. I thing people will go more and more for goodquality places where they can enjoy there free time. Forexample Nando’s started as fast food business but itdidn’t have any profit so it develop mainly to a goodquality restaurant witch assure them a top position. As a future plan I intend to develop more to high qualitystandards that include the services, the quality of myproducts, etc.

I also intend to do charity campaigns for promoting mybusiness.

Conclusion:For formulating this report I used several brief studieson how to open a business, the personal experience ofsome friends of mine that runs successful business and mypersonal experience.

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I realise though that it still have huge gaps regardingthe needed information for opening and running abusiness.

REFERENCES:

1. http://www.startups.co.uk/choosing-the-right-business- structure_1.html

2. https://www.gov.uk/business-legal-structures

3. HDN BTEC Business Course Book, Core Unit & Business

Strategy

4. http://www.myownbusiness.org

ASSIGNEMENT NO 2: CASE STUDYContents:

Introduction9

1. Various process of communication and the existing process of communication

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2. An illustration of the two systems of communication

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3. Methods to improve the communication process in the given organisation

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4. Integration of the communication system12

5. The present approach to the informational system and recommendations for improvement

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6. Methods to improve the access to the information and knowledge system

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7. What is knowledge management system?15

8. Recommendations and methods to improve the knowledge management system

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9. Personal plan to improve the communication skills of the supervisor of the volunteer organisation

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Conclusion17

References 17

Introduction:This analyse of the given case study tries to unfold themain problems witch the given organisation is facing. Iwill analyse all the involved departments in the attemptof trying to find solutions for uncovering the mainissues of the organisation.

1. Various process of communication and the existingprocess of communication The communication processes in an organisation – wherenoise should have no influence or very little influence:

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(2013, Course work, Regent College) The communication process

Organisational communication includes various process ofcommunication internal and external.

Sender – individual who want to communicate information to other person

Message – what information to communicate

Encoding – sender translates the message into symbols or language

Noise – refers to anything that hampers any stage of the communication process

Receiver – person or group for which the message is intended

Medium – pathway through which an encoded message is transmitted to a receiver

Decoding - critical point where the receiver interprets and tries to make sense of the message

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The communication in an organisation usually runs in fourdirections:

Diagram 2 – Communication in organisation (http://www.web-

books.com/eLibrary/NC/B0/B58/076MB58.html)

In the given case study there were several factors witchmade the process of communication very inoperative.The main problems in the organisation were:

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- The volunteer supervisor was involved in too manyprojects so she didn’t have time to communicate thespecific tasks. - She wasn’t able to encode the message in a propermanner that would have save her time (mails, memos,delegating etc.)- The volunteer needn’t one to one session training sothe time and effort to communicate the project task wouldhave been little- If the supervisors goal would have been to create somequality work instead of impressing her manager than shemight have dare to make time to implement a proper systemof communication – that system would have allowed her toactually do more projects- She didn’t valued the volunteer work, she didn’t giveany feedbacks that lead to volunteer feelingunappreciated and lose interest

2. An illustration of the two systems of communication

The system of communication in the given case study isthe following where the process of communication isobstructed by noise at every level:

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In other functional organisation the level of noise iskept to a minimum so there is a good communication with:superiors, co-workers, subordinates and diagonally todifferent departments.

3. Methods to improve the communication process in thegiven organisation:

1. Even if the values of the volunteer and supervisorwere not mutual the volunteer should produce clearmessages for various managers for underlying thecommunication disadvantages2. The volunteer must select an audience properly bycommunicating to the supervisor that there is an issue ofcommunication and therefore the supervisor must chooseaudience from managers department and from volunteers

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3. She must explain to the managers the current situationand underline the future productive advantages of takingsome time to set a proper system of communication.4. The managers should pay more attention and realisewhat is happening in the supervisors department

The organisation should try to improve all types ofinternal communication:

Diagonal or by-pass communication is important in crisissituations in this situation the organisation shouldfacilitate this type of communication.Upward communication is almost inexistent in this givenorganisation. The organisation should find ways to hearand debate the volunteer opinions. The feedback should begiven in meetings, face to face manner or in a writtenform (like places to make complains or recommendations).This will help the volunteers feel important andappreciated.Downward communication is inefficient. The managers, thesupervisor and the supervisors subordinates should striveto find a way to resolve this problem.Lateral communication should be encouraged more. 4. Integration of the communication system My idea is after the organisation identifies theproblems and discusses the problems with the involvedparts, they should come up with a standard way of doingthings. If anything goes wrong it should always be readya backup plan to get the things done. Also everybody

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should be open to communication if anybody arouses aproblem or has better way of doing the job. The managers with the advice and help of theirsubordinates on every department will implement a systemof communication that use a range of communicationchannels like: meetings, intranet, e-mails, memos,training session etc. This will create a decentralisednetwork of communication:

Diagram 4 – Types of communication network (2013, Course work, RegentCollege)

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5. The present approach to the informational system andrecommendations for improvementTo ensure productive relationships and in order for anorganisation to run profitably every employee mustunderstand how they fit in the whole system which theyare part of. This is the base of any functional system including thesystem of information which is one of the most importantsystems nowadays. It is clear in this case study that the volunteers don’tknow their places in the organisation and also the systemof information is not working properly because theinformation is not passed to the necessary departments. In order to improve a default system of information of anorganisation a Systems Development Lifecycle (or SDLC)could be an appropriate methodThe SDLC involves 5 to 8 steps of development that couldvary from an organization to another but the principlesremain the same.The steps usually are:

Project definition:Involves an investigation andanalysis of the organization’s information

Supervisors

Managers of other departments

Manager Managers of other departments

Volunteers

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requirements to decide if a new or modifiedinformation system is required.

Feasibility study:This involves a review of theexisting system and the identification of a range ofpossible alternative solutions.

Design:The logical and physical designspecifications are produced in a detailedspecification of the new system.

Programming or software selection:analysts work withprogrammers to prepare program specifications andthen the programs

Installation:Steps are taken to put the system intooperation. Testing, file conversion and usertraining are carried out. A formal conversion planis developed.

Post-implementation:The system is used andevaluated. A formal post-implementation auditdetermines how well the system has met itsobjectives and whether any modifications arerequired.

2013, Course work, Regent College

The implementation would be a good method to ensure theflow of information in the organisation.

Information must be managed just like any other organizational resource.Information management entails the following tasks.(a) Identifying current and future information needs.(b) Identifying information sources(c) Collecting the information.(d) Storing the information.(e) Facilitating existing methods of using informationand identifying new ways of using it.(f) Ensuring that information is communicated to thosewho need it, and is not communicated to those who are notentitled to see it2013, Course work, Regent College

In this organisation there are just some poor methods ofusing the information also the information is not pass tothose who need it.

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6. Methods to improve the access to information andknowledge:

7. What is knowledge management system?Knowledge management is the process of capturing,distributing, and effectively using knowledge(Davenport, 1994). People inside the organisation need informationabout where to find the knowledge and how tocommunicate efficient that knowledge.Knowledge management have to important tasks:1. to stimulate the creation of knowledge 2. to ensure that people share and apply it

8. Recommendations and methods to improve theknowledge management system 1. In this particularly organisation the firstimportant step will be to create an appropriateenvironment that use and stimulate the knowledge ofthe volunteers. Although the volunteers have the knowledge to doimportant tasks the supervisors doesn’t use theirknowledge and certainly doesn’t facilitate the

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creation of knowledge. The writer’s volunteer worksconsist in doing special projects that definitelyimplied important and distinctive knowledge to beknown. The organisation failed to use thatknowledge. The organisation should find out the level of knowledgeand skills of the volunteers by using different tests,trials, expertise and other methods. Then the supervisors must give the volunteers moreappropriate assignments that fit theirs skills and thelevel of their knowledge.

The previous steps will facilitate the development ofinformal networks of knowledge.There will be a lateral communication between thevolunteers in order to solve their task and some of themhave or will develop a certain level of knowledge thatwill help the other volunteer. The next step once the measure to use and stimulateknowledge have been imposed is to indentify the informalnetworks The information network will be easy to trace becauseal the process will be kept under observation. Once the information network is identified a map ofknowledge is possible to be done. This will help thevolunteers and the people from other departments knowwhere knowledge resides. This will also encourage adiagonal communication through departments. This willease considerable the work of the supervisor. It is very important to know who knows what becausethis will transform tacit knowledge into explicitknowledge by socialisation and externalisation. If we combine the externalized knowledge the outcomewill be knew knowledge, this new gained knowledge willenrich the involved person.

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2013, Course work, Regent College

Good examples are the meetings and the brainstorming. Bysharing and combining their knowledge the employees arecapable to resolve new given problems which theorganisation is facing. The new gained knowledge will bethan internalized and will enrich them depending of theirpersona background and the level of knowledge. The wholeprocess will repeat again leading to knew gainedknowledge.

9. Personal plan to improve the communication skills ofthe supervisor of the volunteer organisation:

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Conclusion:Although it is easy to blame just the supervisor for allthe problems that the organisation is facing the fact isthat in this kind of problems the main responsibilityfalls to the management. The management should try toimplement a new system of information and a newcommunication system in the all the departments and theyshould also review the way they menageries theorganisation.

Reference:1. Davenport 1994 Knowledge management

2. 2013, Course work, Regent College3. http://www.web-books.com/eLibrary/

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4. Organizational Communication, by Kathryn A. Baker,20025. HND BTEC Business Courses Book, Core Unit &

Business Strategy

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