Commerce FROM 4 art
CHAPTER 2 : THE ENTERPRISE
The Organisational structure of an enterpriseThe organizational set up of an enterprise shows how it’s activities are broken down according to it nature of work. The main reason of such division of work is to achieve the objectives of the enterprise.
BOARDS OF DIRECTORS |
COMPANY Secretary |
Production Departement |
Accounting Departement |
Stores departement |
Purchasing Department |
BOARD CHAIRMAN |
- BOARDS OF DIRECTORS
They are appointed by shareholders of the company. The board of directors is headed by a chair person who is the ultimate head of company.
FUNCTIONS OF THE BOARD OF DIRECTORS
- The board of directors adopt the agendes of meetings
- The board initiate and appouve policy strategy of the company
- The board hires and fires chief executive and others employees
- The board approuve promotion of manages and salries scale
- They determine the distribution of net profit taking the interest of shareholders into consideration.
- THE BOARD CHAIRMAN
FUNCTIONS
- The board chair acts as the patron of the company and over sees all departements to ensure proper functioning.
- The board chair presides over general assembly meetings and presi conferences
- They supervices the managing directors and ensures that he/she does a become a dictator.
- In case of crisis the board chair takes final decision to ensure the life of the company.
- The board chair co-ordinates the board of directories during board meetings.
- THE MANAGING DIRECTOR( The CEO)(chief excutive Officer)
The chief executive officers has powers from the board to ensure the success of the enterprise. The CEO performs the following duties.
- The CEO implement the policies strategies laid down by the board.
- Coordinates all activities of the company
- Motivates workers to increase efficiency
- Ensures sound financial management of the company.
- THE COMPANY SECRETORY
This is the administrative officer of the enterprise/ Most often, the company secretory is a lawyer. The company secretory performs the following functions.
- He organize all meetings of directors and shareholders
- He/she is always present in all meetings and take down minutes
- He prepares company document and keep official record like list of share holders, contract forms registers of members, details of share that have been transferred.
- Advices the bo rd on legal matter which affect as the company.
- THE PURCHASING DEPARTEMENT
The purchasing department is headed by the purchasing manager and performs the following functions.
- He purchase raw materials, stationaries and equipments need by the firms
- This department look for possible suppliers for items needed
- Ensures prompt delivery of goods ordered
- Receive and transfer goods to the stores for checking.
- Keep suppliers and product indexes to facilate the purchasing tax.
- THE PRODUCTION DEPARTEMENT
This department is headed by the production manager and performs the following functions.
- Transformation of raw materials into finish and semi-finish goods
- They decide the various quality and quantity of the items to be produced
- They ensures that labor and materials needed for production are available/
- Decide on the most effective way of carrying out each production are available.
- Decide on the most effective way of carrying out each manufacturing process
- Determines the exact time to produce a unit of product
- The production department prepares purchase and stores requisition.
- STORE DEPARTEMENT
The store department is headed by a store keeper. Its main functions are;
- Informing the purchasing department of the inventory to be replenished
- The store keeper ensure the tidness of the store
- The store keeper prevent un authorized persons from entering the store
- Arrenging inventory according to type or nature of the good
- The ensure inventory to other department
- MARKETING DEPARTMENT
The marketing department is also called the sales department headed by a marketing manager. Who is expected to sell the image of the enterprise.