CHAPTER ONE

 Organisation – A formal or structured arrangement where two or more people work together to accomplish some specific purpose or set of goals.  All have: ◦ A distinct purpose ◦ Have a deliberate form of structure ◦ Comprise of two or more people

 Serve to manage complex social and technological change.  Ensure that there can be continuity of knowledge between past and future generations.  Provide an important source of employment.

 The ABS defines a large scale organisation as one which has 200 or more employees or $200 million or more in assets.  Other characteristics include: ◦ Total revenue – substantial ◦ Profits – substantial ◦ Market share – substantial ◦ Number of business locations – multiple

Ownership Private Sector Public Company Private Company Public Sector GBE’s 1.Ownership

Private CompanyPublic Company ‘Proprietary Limited’ (Pty Ltd) ‘Limited’ (Ltd) 2 – 50 shareholders50 – Unlimited shareholders Shares bought and sold privately Shares listed on the ASX and can be bought or sold by any person or company Government Business Enterprises (GBE’s) – Businesses which are government owner and operated.

ProfitNot-for-Profit Desire profit attainment, market share and growth. Aim to provide a specific service to the community. 2. Focus 3. Business Activity  496 individual categories  17 industry categories  3 sectors  Primary  Secondary  Tertiary

 Objectives – Targets or outcomes that an organisation aims to achieve. ◦ S – specific ◦ M – measureable ◦ A – achievable ◦ R – relevant ◦ T – time bound Goals must be...

Mission Statement Corporate Objectives (Strategic) Departmental Objectives (Tactical) Operational Objectives Individual Employee Objectives

OperationalTacticalStrategic Short-term: daily, weekly, half-yearly Mid-term: one – two years Long-term: two – five years Front line managers / Supervisors Middle/ Departmental managers Senior managers EXAMPLES

 Financial – profits, market share  Service – needs of customers  Ethical and Socially Responsible – promote equity  Environmental – reduce wastes  Key Performance Indicator (KPI) – A measure that helps an organisation determine if it’s reaching its objectives. ◦ Examples:  Number of sales  Rate of staff turnover

Senior (Executive) Managers Middle Managers Front-Line Managers (Supervisors)

 P – planning ◦ Setting strategic goals  O – organising ◦ Coordinating resources  L- leading ◦ Directing, influencing and motivating  C – controlling ◦ Monitoring and evaluating

 Organisation  Large scale organisation  Takeover  Merger  Joint venture  Dual listed company  Government business enterprises  Corporatisation  Privatisation

 Profit  Objectives  Mission statement  Vision statement  Key performance indicator