John lewis partnership – profit company
John lewis partnership is a private National business (a private limited company) , that operates through John lewis and Waitrose stores.
The service they produce provides ”Clothing, watches & jewellery, gift wares, cosmetics, housewares, furniture, beds & bedding, audio-visual, computing, photography, food, direct services, financial services”. The difference between this company and The British red cross is that the services that the British red cross provide to the public are free, whereas customers have to pay for the products provided by the john lewis partners stores.
”The Partnership’s ultimate purpose is the happiness of all its members, through their worthwhile and satisfying employment in a successful business. Because the Partnership is owned in trust for its members, they share the responsibilities of ownership as well as its rewards profit, knowledge and power.”
Their target audience is everyone but its target audience hasn’t always been this. recently the company decided to expand their target audience, this has helped the company’s ales because they sell to more people which increases their sales and increases their popularity and boosts their recognition.
Because it is a partnership it is owned by its employees, every employee is a partner to the John lewis partnership. The company has a employee ownership. There are sets of committees and councils in which all partners have a say in how the business operates, this helps the business run smoother, and where problems can be sorted out. The business is in the ‘Limited company’, and operates in the retail market; department and home stores. This company has limited liabilities. the business operates under the tertiary sector as they provide a service to the public.
The company is a large company because they exceed the amount of employees needed to be a small or medium business at a total of over 88900 employees, and also have a turnover of over £409.6 million. There are over 40 john lewis stores all over Britain
The goals that the partnership have as their aims of achievement by 2028 are : ‘financial stability; better jobs, better performing partners, better pay; and stronger brands and new growth’. With better pay and better jobs the company will become more successful and create more turnover. This is because partners will be more willing to work, and will do better in their performances if they are getting better pay. They will also enjoy their jobs more cause them to be more loyal to the company and creating a positive image to customers. The happier the partners are the more productivity coming from the business generating more sales.
The aims can be based on the past or current performance of the businesses, this means the business can create aims and objectives that out shine their strengths and conquer their weaknesses. It is helpful to have aims because it helps with the planning of the business , this process also helps save time.
In the organisational structure of the John lewis partnership there is a wide span of control, this makes sense as the company is a large company, the structure is functional as there are separate departments for different areas. Four directors(Johnny Aisher, Anne Buckley, David Anderson, Baroness Hogg) with the Chairman of the board (Charlie Mayfield) and the Deputy Chairman of the board(David Barclay) are on the top of the short hierarchical organisational structure of the John lewis partnership.
Because they are a partnership there are more people, so things are done so much more quicker, and problems are spread out so there risks are less threat as they are able to be dealt with quickly. For example if someone fails to make a payment someone else can do it for them, this is good and helps the business because there are less chances of the business getting into debt and making losses. on the other hand ones debt may be so bad that it has an impact on the business. there are committees and councils where many helpful decisions are made, because each partner has a ‘voice’. Also another contributing factor to being a partnership is that the private affairs of partners are kept private.
even though every person is their self, partners are responsible for echoer, so other partners actions reflect on the business as a whole. Some partners might not agree with each other and this can cause conflict within the business and look bad from the outside, badly reflecting on the business.
The John Lewis Partnership has many stakeholders, the business itself is a stakeholder; the owners of the business. Their main priority is ensuring they make a profit from their services. The owners make sure the business is run to the highest standard and does everything and anything they can that will ensure the success and growth of their business.
One of its biggest external stakeholders are its suppliers. The suppliers are the ones that provide products or resources that can be made into products for the business to sell and carry out its service and make a profit. If it wasn’t for the suppliers then the business wouldn’t have anything to sell and the service wouldn’t be relevant to any industries because the business then wouldn’t be able to make any profit, and would possible start making losses and become bankrupt. So the business needs to make regular purchases from the suppliers meaning the are always in contact and communication with each other. If it wasn’t for the company then the suppliers wouldn’t be able to make a profit, so the suppliers need the company to by things from them. Selling things in bulk for a lower price make the suppliers products look more appealing to the company so theres more chance of the suppliers making profit and benefiting from being a stakeholder of the company.
Another stakeholder of the business is the local community, members of the local community can be other types of stakeholders also; customers, local farmers, shareholders, employees. The impact that the local community has on the business can both be negative and positive. In a negative case a store could have a huge parking lot near houses causing conflicts with nose pollution, with this information the business can use this as an aim to relocated their stores in areas that don’t disturb settlement areas, which would meet the community’s needs. This helps the business successful because they are listening to their customers’ views and opinions and putting them into consideration.
The reason why the local community is a stakeholder of the business and is interested in the business is because the business provides a service that helps the community by meeting the needs and demands of individuals in the local communities. The stores supply ‘everyday’ things that people rely on day to day, purchasing these items from the John Lewis partnership stores means they are become frequent customers of the business.
Because the customers are going to be visiting stores frequently there are going to be expecting the best service and treatment from the business and its employees. One of the way the customers can communicate with the business is through customer services. This is where the employees interact with the customers and customers can ask about any queries or problems they may have about the business or suggestions that may help with the production of the company. Customers expect many things from the company, these may include: fair prices, making sure they are getting their money’s worth; to be treated with respect; efficient services from the business. They also want a huge variety of things to choose from, the company having a wide variety of products to meet the customers’ demands helps increase profit and customer loyalty. When a customer is loyal they are less likely to seek service from any other competition in the areas e.g. Tesco.
One of the most popular demanded needs are jobs, when stores are opened in areas many job opening are available to the public, this is why people are interested in the business so they can become employees and help the business grow. The more employees that there are the faster the business will grow making the business more recognised meaning theres more promotions for employees ensuring a better life with higher wages.
British Red Cross – not for profit company
The British Red Cross is a national charity, it is a branch from a charity originated in the United states: the American red cross. The British red cross is a non- profit company that provides charity helping people. The charity is a humanitarian charity led by volunteers; there are 14 people on their board. Their aim is to help people in the world that are in need of help no matter who they are. these people would reach out to the red cross when there are problems like natural disasters, emergencies and conflicts such as war.
There are many things that the charity provides including: ”First aid and ambulance provision and training, Fire and emergency support, Medical Equipment Loan, Humanitarian education, Health and social care, Refugee support services, International family tracing, International disaster relief, Health and care abroad and HIV awareness”
The sector that this business operated under is the charity sector. This is the third sector as the British red cross is not owned by the government and operates as a ‘not-for-profit’ business. Because of this the charity doesn’t have liabilities. The charity is in the tertiary sector also like the John lewis partnership as they also provide a service to the public.
The British red cross operates under four territories: Northern England; Scotland, northern Ireland & isle of man; south east; and wales & western. Under these territories there are 21 operational areas, and the branches in total under these add up to 63 branches though out the British isles.
The British red cross have a few aims and objectives to help set targets to focus on so the charity can come more successful and help more people. Some of those aims are to help anyone and everyone in the world wen they are in need of it, raise huge amounts of money and awareness to help towards the endless amount of human suffering in the world. These aims and objective are quite simple which make them easier for volunteers and stakeholders to contribute towards. There is no limit to the amount of charity to give to those in need. The British red cross have a strategy for the company named “refusing to ignore people in crisis” from 2015 to 2019. When this time period is up the British red cross will work ‘smarter’, be ‘braver’ their people will be ‘proud and engaged’ with their work and together they will ‘build a world where everyone gets the help they need in a crisis’
The type of organisational structure that the Red cross have is geographical and this is because it operates all over the world and has branches from a the main charity going to different places globally. The British red cross have a functional structure with a tall hierarchy structure, with the
chief executive and the Director of operators at the top.The Chief Executive has a wider span of control because their span of control is 5, where as the span of control for the Director of operatives is only 3(a narrow span of control)
The British red cross is a branch from the charity Red cross which was first founded in the united states of America; The American red cross. They’re also other branches such as the Angola red cross, the Indian red cross and many more all over the world. the good thing about this is that each branch can focus on its own area making the service in each areas more efficient. there are many branches making the services evenly distributed. Within the British red cross there are functional areas with people in charge of them.
Since they were founded originally in 1870, the British red cross have done many things. Especially since 1945 when they received a lot more recognition, they have been helping millions of people around the globe for over 147 years. An example of their many successes is their refugee campaign; the aim of this was to help people that had been separated from their families find their families again.
Their target audience is everyone and anyone, this can be from a struggling family to a country hit by a hurricane. This could be hard for the company because any one in the world is a customer and this could be too much for the company but this manageable because of the huge amount of staff and volunteers available to carry out and provide the services to all areas of every community.
The company is not owned by the government, it is a society ran by staff and thousands of volunteers, the people who run the charity are called trustees as charities are run under a trust. They class as a large business because they have over 3500 staff and also 32500 volunteers.
The volunteers that work for the charity can be anybody one and there are a wide range of things that the volunteers are able to do, there are no specific skills needed for someone to become a volunteer at the British red cross. Also volunteers can be as young as 14, which gives the charity an advantage over the John Lewis partnership , this is because the John lewis partnership employees have to be 16 or over to work for the company. Because money isn’t being taken out as wages money is saved and can be used to provide a better service and buy more assets.
Another factor of being a charity is that charities benefit from some tax reliefs for example; relief from rate relief (business rates)
On the other hand, sometimes the amount of volunteers isn’t evenly distributed through out the areas. So there are some areas that struggle to carry out the tasks and service because there aren’t enough people able or willing to work for the charity, reasons could be that the area isn’t safe. Also in some areas there may be a lot of people in need of the service compared to the amount of staff and volunteers, the execution of service isn’t very efficient. People are less willing to become employees of a charity because wages aren’t distributed compared to the wages of employees at companies such as; the John lewis partnership.
The British Red Cross have many stakeholders, one of the biggest internal stakeholders are the volunteers that help run the charity, the influence that the volunteers have on the charity is their ability to run the charity and ensure the serve is efficiently being provided to the public. Volunteers are respected in their local community because they do a lot of work out of the good of their hearts without want of anything in return, they work many hours helping people without getting paid. Without the volunteers there wouldn’t be any workers the make the charity run properly. If the charity wasn’t run properly it would have a big impact on people in need for example , it would take longer for relief to get to people in emergency situations, and other services would have to attend the situations making it harder for other businesses like the police, and causing conflict. This would reflect badly on the charity and they wouldn’t get much recognition in the eyes of the public. Trustees are of a higher status of volunteers and have more responsibilities in the charities for they are in charge the management of the business. because they have higher authority in the business they are entitled to use the donations and grants from other stakeholders for the good of the charity, to help make the service provided much more efficient to the public. To do this they need to communicate with suppliers that are able to provide resources for the charity to use for their services. They can communicate by organising different types of events such as fundraising and campaigns.
Without the local community, an external stakeholder of the charity, there wouldn’t really be any need of the charity because the reason why the charity was made in the first place was to help people in local communities. The local communities are interested in the charity because the charity interacts with their local community, they want to make sure the charity is doing their best to help their communities so they get involved. A way the members of the local community communicate and become involved in the charity is by become volunteers themselves and helping the charity help their local communities themselves. Members of the local comment can become internal stakeholders of the charity. And the way the local community as a whole help the charities are by donating sums of money towards making to charity better, the money can be used for resources, equipment, more places to operate from and many other things. This helps towards improving the efficiency of the charity’s services towards the community.
Donors are helpful internal stakeholders of the charity because they provide the business with money to help run the charity. there are many reasons why someone would want to become a donor to a business. Reasons why someone may want to become a donor the the British red cross is because of the service that the charity provides; the service helps people in need all over the British isles, the charity has worldwide recognition for being a good service, and many of the donors have communities that are in need of the British red cross’ service. Without this money the charity would not be able to do much, and their service wouldn’t be very efficient.
The government helps as a stakeholder towards the business because they provide money to the business and the charity’s other stakeholders like its suppliers. The government is interested in the company because the service that the charity provides to the public is for the good of the people and this makes the government’s job easier as the charity are dealing with things instead of the government. The government are more than happy to help fund a charity that are helping make the society a better place. If it is known that the government is investing in a business that has a good public recognition it helps with the governments image.
Other businesses such as the ‘airwave solutions’ are in partnership with the British red cross, airwave provides national radio coverage for the British red cross’ command teams and tactical operatives when they are responding to incidents. This helps give clear communication to the response teams so emergencies are dealt with quicker.