Functional Areas of a Company
Companies can achieve their corporative objectives only when the
various functions of the company work together. There are four major
functional areas in a company namely the MARKETING, FINANCE, HUMAN
RESOURCES & PRODUCTION, but there are other businesses like Lewisham
College that have other functional areas such as LEARNERS SERVICES &
GENERAL STUDIES. All the functions set up their own objectives that
want to achieve in accordance with the company’s objectives within a
specific period of time.
The Finance Department basically oversees and manages the financial
aspect of the college. The college needs the Finance Department to
keep updated and essential records of all the incoming money that they
make and expenditure the college incurred within an accounting
season. They also prepare a full and accurate account for the
Education Ministry and the Council that provide them with funds.
They carry out many activities in the college that help them achieve
their corporate objectives such as set budget for the college, pay
their utility bills and suppliers that supply the college with
equipments and stationeries such as pens, markers, textbooks,
projectors, whiteboards, e.t.c.
They provide money and financial support to other departments in the
college such as the Marketing, H.R.M., and Learners Service
departments when they need money to carry out a project. For Example,
during the beginning of another academic year, the Marketing
Department takes money from the Finance Department to make posters,
billboards, and prospectus to make adverts to help attract more
students into the college.
They also help distribute students support funds issued by the
government. For Example, students can apply for Hardship Fund to the
government through the college and have it processed by the college
and sent to the council. After all the processes are done and the
student has been granted the fund, the council sends the cheque to the
students through the Finance Department.
They pay the employees that work for the college and provide money
that the Human Resources Department use to provide basic amenities
such as staff rooms and toilets that they need in their work place.
Typical examples of the sort of records that the Finance Department
i. From the Annual reports of the college for 2003/04, it was
written that additional staff cost was created because of the
increase in the contributions by the local Government pension
ii. They also generated sufficient cash surplus of £880,000 that was
invested in capital assets. They also invested £500,000 in
building improvement and £300,000 in updating the college’s IT
This funding and financial information are...