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ISBN-10: 0751763616

ISBN-13: 9780751763614

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Additional info for ACCA - F1 Accountant in Business: Study Text

Sample text

Part A Business organisational structure, governance and management ~ 1a: Business organisation and structure – structure and strategy 21 Levels of strategy CORPORATE STRATEGY What businesses are we (or want to be) in? How do we enter or exit? BUSINESS STRATEGY BUSINESS STRATEGY BUSINESS STRATEGY Strategies relevant to a particular area Strategic Business Unit (SBU) SBU SBU FUNCTIONAL STRATEGIES R&D Products Processes Design Development Testing OPERATIONS Capacity Process technology Work flows Quality Outsourcing MARKETING Orientation Marketing mix Product planning Marketing information Segmentation Services HRM Recruitment Selection HRD Appraisal Reward IT/IS Systems Technology Management FINANCE Sources Uses STRATEGIES INVOLVING MANY FUNCTIONS (EG CHANGE MANAGEMENT, TOTAL QUALITY, RE-ENGINEERING) Defining aspects of corporate strategy Characteristic Comment Scope of activities Strategy and strategic management impact upon the whole organisation: all parts of the business operation should support and further the strategic plan.

It 'denotes the most general level of strategy in an organisation' (Johnson and Scholes). Part A Business organisational structure, governance and management ~ 1a: Business organisation and structure – structure and strategy 21 Levels of strategy CORPORATE STRATEGY What businesses are we (or want to be) in? How do we enter or exit? BUSINESS STRATEGY BUSINESS STRATEGY BUSINESS STRATEGY Strategies relevant to a particular area Strategic Business Unit (SBU) SBU SBU FUNCTIONAL STRATEGIES R&D Products Processes Design Development Testing OPERATIONS Capacity Process technology Work flows Quality Outsourcing MARKETING Orientation Marketing mix Product planning Marketing information Segmentation Services HRM Recruitment Selection HRD Appraisal Reward IT/IS Systems Technology Management FINANCE Sources Uses STRATEGIES INVOLVING MANY FUNCTIONS (EG CHANGE MANAGEMENT, TOTAL QUALITY, RE-ENGINEERING) Defining aspects of corporate strategy Characteristic Comment Scope of activities Strategy and strategic management impact upon the whole organisation: all parts of the business operation should support and further the strategic plan.

The R&D department might identify possible changes to product specifications so that a variety of marketing mixes can be tried out and screened. Case Study An example of the relationship of R&D to marketing was described in an article in the Financial Times about the firm Nestlé, which invested £46m a year in research and approximately £190m on development. Nestlé had a central R&D function, but also regional development centres. The central R&D function was involved in basic research. 'Much of the lab's work was only tenuously connected with the company's business...

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ACCA - F1 Accountant in Business: Study Text by BPP Publishing


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