TAYABAS WESTERN ACADEMY

Founded 1928
Recognized by the Government
Candelaria, Quezon

AE-CP 2
ASSIGNMENT NO.3 – PART 1

SUBMITTED BY:

Sinag, Karylle Lindsay D.

BSA – II

SUBMITTED TO:

Mr. Enrico Limjuico

INSTRUCTOR

Date Submitted: 22 March 2022

 1. What does the Organization Structure represent?

The structure of an organization reflects the distribution of

responsibility, authority, and accountability throughout the
organization. The organizational structure depicts the individuals in
the organization, as well as their roles and interactions. This includes
both the managerial hierarchy and other transitory working
connections, such as involvement on committees, task groups, and
project teams. In my conceptualization and comprehension, the
organizational structure also governs how information flows within
the company. In a centralized structure, for example, decisions are
made from the top down, whereas in a decentralized structure,
decision-making power is distributed across multiple levels of the
organization.

2. Name the three most common ways to segment an organization.

1. Geographic Location. Many organizations have branches all

throughout the country and perhaps the world.
2. Product Line. Companies that manufacture a wide range of
items sometimes structure around product lines, forming different
divisions for each.
3. Business Function. Marketing, production, finance, and
accounting are examples of business function segments.
 3. What are the primary reasons for segmenting organizations?

Business organizations consist of functional units or segments.

Firms organize into segments to promote internal efficiencies through
the specialization of labor and cost-effective resource allocations.
Managers within a segment can focus their attention on narrow areas
of responsibility to achieve higher levels of operating efficiency. And
based on my understanding, a market study that drills down to a range
of various market segmentation methodologies will result in a better
grasp of market dynamics and client wants.

4. Give 3 companies that are segmented by GEOGRAPHIC LOCATION.

1. McDonald’s - For example, with McDonald’s, the

company takes into consideration cultural differences. In India,
McDonald’s doesn’t serve any beef or pork in any form, in any of
their outlets. Instead of ground beef and pork patties, the McDonald’s
menu in India features Indian burgers that are 100% vegetarian.
2. Nike - in the US is likely to focus on American football and
baseball , while you’re unlikely to see American football or baseball
commercials in Europe – you’ll see product ads for Soccer (Football in
Europe) instead.
3. Vodafone - For example – In a diverse and multi lingual
country like India, global companies like Vodafone have to come up
4. Givewith
3 companies that are segmented
different marketing bydifferent
strategy for GEOGRAPHIC LOCATION.
regions within the same
country.
 5. Give 3 companies that are segmented by PRODUCT LINE.

1. Audi - A product line consists of variants of the same type of

product. So, if Audi has a Q series of vehicle, it will have multiple
products within the Q series but this is just one product line. Audi will
have multiple such series and therefore multiple product lines.
2. Samsung - Take a look at Samsung Smartphones. Where
Samsung has premium smartphones like the Edge series, it also has the
A series of cheaper smartphones so that it does not lose the massive
consumption which happens in cheap smartphones. Does, Samsung
does a lot of down-market product line stretching.
3. P&G - for example, is present in soaps, detergents, bathing
soaps, and numerous other product lines wherein the target market is
huge. And these brands keep observing new opportunities opening up.
As the same product cannot target the complete market, the product
line is extended which is known as product line length extension.

6. Name 4 Common Functional Segmentation dividing an organization.

1. materials – includes inventory management, production, marketing,

and distribution
2. labor – includes personnel
3. financial capital – includes finance
4. information – includes accounting and Information technology
 7. Name 2 Companies that uses all methods of segmentation.

1. Victoria's Secret deals are creating and marketing women

lingerie and beauty products. They concentrated on women and
"women" is the main market segment in their marketing campaign.
Applying demographics segmentation, this company is also classifying
their target market with product differentiation as PINK for adolescent
girls.
2. Apple has divided the overall electronics market into mainly
early adapters and wealthy market groupings.

8. What is the purpose of materials Management?

The objective of materials management is to plan and control

the materials inventory of the company. A manufacturing company
must have enough inventory on hand to satisfy its production demands
while avoiding excessive inventory levels. Every dollar spent on
inventory is a dollar that does not generate a return. Furthermore, idle
inventory has the potential to become outmoded, misplaced, or stolen.
In an ideal world, a company's inventory deliveries from suppliers
would be coordinated such that they moved straight into the
manufacturing process. In practice, however, most firms keep safety
stockpiles to get them through the interval between placing an order
for goods and receiving it.
 9. material management sub-functions.

Materials management has three sub-functions:

1. Purchasing is responsible for ordering inventory from vendors when
inventory levels fall to their reorder points. The nature of this task varies among
organizations. In some cases, purchasing is no more than sending a purchase order
to a designated vendor. In other cases, this task involves soliciting bids from a
number of competing vendors. The nature of the business and the type of inventory
determine the extent of the purchasing function.
2. Receiving is the task of accepting the inventory previously ordered by
purchasing. Receiving activities include counting and checking the physical
condition of these items. This is an organization’s first, and perhaps only,
opportunity to detect incomplete deliveries and damaged merchandise before they
move into the production process.
3. Stores takes physical custody of the inventory received and releases
these resources into the production process as needed.

10. Define Production.

Production activities occur in the conversion cycle in which

raw materials, labor, and plant assets are used to create finished
products. Production is the act of generating an output, such as an
item or service, that has value and contributes to people's usefulness.
The type of the items being created determines the precise operations.
 11. What are 2 classes of production activities?

In general, they fall into two broad classes: (1) primary

manufacturing activities and (2) production support activities.
Primary manufacturing operations shape and assemble raw
materials to produce final goods. Production support activities
guarantee that main manufacturing operations run smoothly and
efficiently.

12. Give the production support activities.

These include, but are not limited to, the following types of
activities: Production planning involves scheduling the flow of
materials, labor, and machinery to efficiently meet production needs.
This necessitates knowledge of the status of sales orders, raw materials
inventories, completed goods inventory, as well as machine and
personnel availability. Quality control monitors the manufacturing
process at various points to ensure that the finished products meet the
firm’s quality standards. Effective quality control identifies problems
early on, allowing for faster remedial action. Failure to do so may
result in significant material and labor waste. Maintenance keeps the
firm’s machinery and other manufacturing facilities in running order.
The manufacturing process relies on its plant and equipment and
cannot tolerate breakdowns during peak production periods. As a
result, prevention is the key to maintenance—the regular withdrawal
of equipment from service for cleaning, servicing, and repairs.
Preventive maintenance strategies have been developed by several
manufacturers. Maintenance engineers require significant information
about the history of equipment usage and future projected production
to plan and organize these actions.
 13. Give 3 activities in Marketing.

The marketing function deals with the strategic problems

of: product promotion, means disseminating the information about
the product, product line, brand and company to the prospective
buyers with the intent to generate sales and develop a brand loyalty.
advertising, the activity or profession of producing advertisements
for commercial products or services.
and market research, research into the means of promoting,
selling, and distributing a product or service

14. What is Distribution?

Distribution is the activity of getting the product to the

customer after the sale. This is a critical step. Much may go wrong
before the consumer receives the goods. Customer discontent and
lost revenue might occur from excessive gaps in taking and filling
orders, erroneous delivery, or broken items. Finally, success is
determined by successfully completing orders at the warehouse,
correctly packing items, and sending them to the consumer as soon
as possible. Furthermore, distribution entails disseminating the
goods across the marketplace so that a big number of individuals
may purchase it.
 15. Give 3 activities in Distribution.

1. Warehousing – is the process of holding items for eventual distribution.

2. Packaging goods – is the science, art, and technology of enclosing or
protecting products for distribution, storage, sale, and usage.
3. Shipping – the act or activity of delivering or conveying commodities.

16. Give 3 Personnel functions.

A well-developed personnel function includes (1) recruiting,

is the process of actively seeking out, finding and hiring candidates
for a specific position or job. (2) training, is the action of teaching
somebody a particular skill. It may also refer to the teaching of a type
of behavior. and (3) continuing education, education provided for
adults after they have left the formal education system, consisting
typically of short or part-time courses.
 17. Why the Finance function is very complicated?

The finance function manages the financial resources of the

firm through banking and treasury activities, portfolio management,
credit evaluation, cash disbursements, and cash receipts. Because of
the cyclical nature of business, many firms swing between positions
of excess funds and cash deficits. In response to these cash flow
patterns, financial planners seek lucrative investments in stocks and
other assets and low-cost lines of credit from banks. The finance
function also administers the daily flow of cash in and out of the
firm. As I comprehend this definition, finance is the study and
management of money, investments, and other financial instruments
in which it includes critical thinking in making decisions for the
business. Whereas, I think that it is the most primary and central of
the business for which it involves the purpose of business which is
to make profit therefore, finance function is very crucial and
sometimes difficult to analyze the circumstances.