The wages have to be fair for the employees otherwise Cadbury’s will have problems with finding new workers and keeping existing employees. Finance are also responsible for producing the accounts such as annual reports. Cadbury’s reports must be made public so shareholders and people whom have an interest is the business (e.g. stakeholders, potential share holders) can see how the business in doing.
This can be a positive or a negative affect on the business, if the business is doing well it will attracted new shareholders, but if the business is not on target (e.g. loss in profits) this will cause shareholders to withdraw there shares, and drive away potential shareholders. They do this to monitor the business and they may also be able to calculate what is going to happen in the future. It is also a legal requirement to keep records(all PLC’s and Ltd’s must do this including Cadbury’s).
Other accounts produce include profit and loss accounts and a balance sheet, this shows assets and liabilitiesthis includes what the business owns and owes. To summarise: The objectives of Cadbury that the finance department helps to achieve: Make a profit – they calculate the finance of the business and advise the business whether they can afford to design a new product or buy a new business. They then provide the money for the product. The also calculate the finance so the business can be assured they will not go into debt half way through the year, this is done with cash flow forecast. This helps the business decide if they need a source of finance to survive. These can lead to a business failure or success if this aim is achieved a business can grow and become successful
Good employer – they do this by paying good wages that are fair to everybody who works within Cadbury’s. They should follow the discrimination acts and not pay someone more for the same job because of there sex, colour or disability Expand – this aim can be achieved by achieving the profit aim. The business can not expand if there is no source of finance. Cadbury’s finance department will be the department that puts forward the money to expand by creating new products (e.g. fuse) or buying a business out (e.g. Adams) to do this they may have to get a loan from a bank or a financier. Cadbury’s gain there source of finance from within the business maybe shares sold or selling apart of the business.
Charitable – they provide money to charities and to schools. Cadbury’s is a go example with there get active scheme for children. This encourages people to buy Cadbury products because the people see they are doing good. This can give the business a competitive advantage. Human Resources Human resources has a number of aims these include good employer, good customer service, community, expand and competitive. The human resources department of the business manages labour needs and staff welfare. The human resources department is usually responsible for recruiting new staff and for training them to do their job.
When the vacancies arise, it draws up documents for specific purposes, organises and runs interviews. The dept has to follow certain procedures before a job can be filled. 1. Vacancy occurs – reasons for this maybe retirement, promotion or fired/quit 2. The job description is then drawn up by the human resources – the job description including job title, position in the organisation chart and a list of duties. 3. Person specification drawn up – the qualities of the person including qualifications, experience and personality. These factors are key to selecting the person for the job role.
4. The job is advertised – the dept need to consider: what details need to go on the advert and where should be the advert be placed? 5. Candidates apply for the job role – the advert will usually say what the candidate needs to send in as part of their application. This will probably include a application form and a C.V. 6. The candidates are then short listed and interviews are arranged 7. Appoint the best candidate to the job The recruitment process helps the dept meet some of there aims, like expand and competitive. Human Resources are reasonable for the training of staff, they do this to improved the skills of staff and make them more efficient (e.g. better quality or faster at there job).
Training staff includes Induction training, On the job training, and Off the job training. Induction training is when the employee is just starting the job, this includes the business safety procedures, what is involved with the job, what is expected to be done by the employee. This can be done by an experienced employee demonstrating. On the job training this is training that is done at your work place, within working hours. The training is done by an experienced member of staff; this can be a supervisor or an employee that has been trained to train new staff. And finally off the job training is training that is done away from the workplace, this can sometimes be after work or even a weekend course that will all be paid for by the company. The training can be done at a college.
Cadbury have the investor in people sign on there website, letters and products, this means Cadbury’s are dedicated to there staff wellbeing including the training of the staff. Employment Laws must be followed by Cadbury and Cadbury Sweppes. There are a number of laws all businesses must follow. But Cadbury being the muti-national and popular business, if any discrimination within Cadbury is found it will be made public all around the world and Cadbury Sweppes reputation will be damage. The laws that must be followed are: Equality; this includes laws such as the discrimination act and the health and safety law. Trade unions are representation for the employer and the employees when there is something wrong. If the laws are not be followed properly the trade unions will step in. If this happens the business will suffer, with strikes.
Human Resources must provide good working conditions, for the employees the workers will want to have a clean, safe, happy working environment to work in. This will hopefully boost the businesses productivity. They would also be responsible for benefits to its staff such as good pay, pension schemes, freebies and selling the shares for the business to the employees. 80% of the employees at Cadbury’s own shares in the business.
To summarise: The human resources department will help Cadbury achieve the following objectives: Competitive and Expansion – The dept help Cadbury’s achieve there aim in expanding by employing new and able staff. This will also provide the business with a competitive advantage if the staff are working at there full potential. This can be achieved by the HR dept providing a good working environment. Cadbury Schweppes employs over 40,000 people worldwide
Customer service -this also involves the training and employment of able staff. The customers want quality goods and service. So the employees of Cadbury’s need to be well trained for every situation, the HR are reasonable for this. The employees need to help the customers as well as possible and as much as possible. Good employer – this will be achieved by safe working conditions. The Cadbury HR need to look out for there staff welfare. Community – offering jobs for the local community where the business is based. (e.g. Cadbury UK – Bournville). Providing the local community with jobs or being environmentally friendly to the local community.
Market Department The market dept is reasonable for market research and the promotion of the product. Market research is a process designed to link businesses to consumers through information. It is used to identify opportunities and make better informed decisions about products which have future market potential. Cadbury marketing department needs to know about economic trends as well as consumers’ views. Based on information they can put together a market plan, which will meet there their own needs as well as those of their consumers.
There are two types of market research, primary and secondary. Primary involves obtaining new data for a specific. Secondary involves using existing data. There are two key elements which guide the modern day marketing department, these are: 1. Demographic behaviour – that is the way how people behave at different stages in their live, this could mean that people buy more chocolate when they are younger or have young children etc.
2. Usage behaviour – that is the purpose different products fulfil in people lives. The research process The marketing department needs to have information so they can get there marketing mix right. E.g. they will want to know if competitors have a similar product and how much it costs. They will also want to know would will buy it (the audience) and how much they will sell the product for. The process involves identifying the problem, setting objectives, gather data, analysing data. In order for the business to succeed the marketing department must apply there knowledge to create a successful product.
To summarise: The objectives of Cadbury that the marketing department helps to achieve are: Quality – the marketing department will aim the product at an audience. Cadbury is known for its purple coloured wrappers and advertisements. Purple is associated with royalty and quality. They image the product will have is important to businesses. Cadbury go for a quality image with dairy milk being one.
Make a profit – Market research will play a important part in achieving this aim. Because the dept must research what products are in demand and the products that are sold in that season (e.g. selection boxes at Christmas). Also advertising has to be done accurately, the advertising needs to be aimed at the right audience. For example if the new product is aimed at teens the advert will not show an old women eating the bar, it may show a young role model (e.g. famous artist). The audience will instantly go and buy the product if this is achieved therefore profit will be made.
Customer service – selling the product at a price that will be value for money and not over priced. Competitive – Market research can be done to see if the product will be worth while and make profit. If there competitors have a similar product it is the marketing dept to promote the product well. The customers must take an interest in Cadbury’s product rather than Mars, this can be done by quality promotions.
Examples of when departments work together. When the finance dept works with other departments Cadbury wants to designed a new product e.g. Wispa, they need finance to complete market research and marketing of the product. The finance will include cash for questionnaires, group discussions costs etc. The consumer target set for Wispa was decided as young men and women 16-24 years. The finance dept would work with the production dept to provide the money for prototypes.
When Wispa was decided to be released to the public other costs to be covered would include new machinery (Wispa needed its own unique machinery), mass production of packaging and the bar it self, land for factory, advertising and new employee costs (wages, salaries). There are a number of departments they will have to work with to complete the launch of the product. The finance dept would have to find a source of finance for all these costs because they would not be earning profits from the bar until consumers were buying the product. The finance dept would have to put enough money into the product if they want the product to have a big impact on consumers. This was so Cadbury had a profit return from the product.