The organizational structure of the proposed business holds significance in

achieving its objectives and ensuring efficient operations. Froothies Delight and

Froothies Study Hub is a service provider by type and a partnership by form of

business. Formally, the management of the proposed business will follow the strategic

plan of the business proponents and strictly adhere to the guidelines outlined in the

articles of partnership. The business partners will appoint a general manager to

represent the partners and supervise the whole operation of the business. The manager

will be chosen by the business partners based on the articles of the partnership.

Typically, the basic functions of management consist of planning, organizing, motivating,

staffing, and controlling. Planning is essential for the strategy formulation stage;

organizing, motivating, and staffing are integral to the strategy implementation stage;

and controlling is necessary for the strategy evaluation stage.

Froothies Production will use a simple organizational structure. There are a few

levels of hierarchy within this structure. Significant strategic decisions are made by the

manager, while operational decisions can potentially be decentralized to lower-level

subordinates. Further, this structure is appropriate for the business because the nature

of their business is not complex and will be managed by the general manager. Aside

from the general manager, the proposed business will hire personnel for the kitchen,

store, and study hub. The kitchen requires a pastry chef, kitchen staff, and dishwashers,

while the store will hire a cashier, crews, and cleaning staff, and the study hub will

employ an additional cashier and crews. The general manager will supervise all of these

employees during business operations.

Financing

Financial resources are the lifeblood of the business to operate towards attaining its

goals. The proposed business will use both equity and debt financing to sustain the

needs of the whole operation. The form of the proposed business will be partnership.

Therefore, the initial capital of the business will be coming from the equal capital

contributions of each partner in the business. Regarding the profit and loss sharing, it

will be distributed based on the capital ratio as based on the articles of partnership.

Bonuses will be given depends on the performance of the partners. Additionally, the

business will also raise capital through equity financing. The business proponents will

find a banking institution to borrow additional capital to sustain the needs of the day-to-

day operations.

Management and Organization

The organizational structure of the proposed business holds significance in achieving its

objectives and ensuring efficient operations. Froothies Delight and Froothies Study Hub

have the following structure:

Type of Business: Service provider

Form of Business: Partnership

Organizational Structure: Simple Organizational Structure

The business partners will appoint a general manager to represent the partners and

supervise the whole operation of the business. Aside from the general manager, the

proposed business will hire the following:

Kitchen Personnel:

 pastry chef

 kitchen staff

 dishwashers

Store Personnel:

 cashier

 crews

 cleaning staff

Study Hub Personnel:

 cashier

 crews

Security Guard

Financing

Financial resources are the lifeblood of the business to operate towards attaining its

goals. The proposed business raise capital using:

a. equity financing; and

 equal capital contributions of each partner in the business

 b. debt financing

 borrowing from financial instutions.

The functions of management consist of five basic activities: planning, organizing,

motivating, staffing, and controlling. Planning which is important for the strategy
formulation; organizing, motivating, and staffing for the strategy implementation stage,
and controlling for the strategy evaluation stage.