Looking at All Aspects of a Business

Looking at All Aspects of a Business
Campden and Chorleywood Food Research Association (ccfra) is the largest independent membership based organisation. This company carries out research and development into everything on the market, which caters for food and drink, which also includes the chain of pet foods on the market. It was established in 1919 after the First World War to research the food on the market produced by farming. In this unit, we will be looking at all the aspect of the business. What their objectives are and how they meet these objectives. The control systems and quality assurance used in the company to add value to its products. Their organisation, structure, culture and communication channels that operate within the business. The History behind ccfra. In 1919 the government wanted to set up a factory which would be able to carry out research and development in food.
The ideal location for this factory was the Cotswolds as the ever-increasing farming industry happening around the area. This factory was set up after the war so that farming produce could be tested before consumers could by the product. This was because science had increased and the knowledge of bacteria and contamination was increasing in the public. So the government fully funded this organisation. By 1921 the fruit and vegetable industry in the Cotswolds had increased and there was an ever-growing need for research into this area. The University of Bristol also wanted the factory to research fruit and vegetable so that all the produce was up to satisfactory for the market. The factory then turned into ?University of Bristol Fruit and Vegetable Preservation Research Station (Campden Research Station). 1952 the factory was funded by the government and industry as it later turned into the ?Fruit and Vegetable Canning and Quick Freezing Research Association?. This meant that not only did it research Fruit and Vegetables, it also researched anything you could eat. In 1966 the factory then changed its name again to ?Fruit and Vegetable Preservation Research Association?. This company then ran for 6years then in 1972 it came of the fruit and vegetable market and started to do research for preservation foods and was later named the ?Campden Food Preservation Research Association?. This name was carried for another 16years but in 1988, the company was asked to research into drinks as well and later called ?Campden Food and Drink Research Association?. Now we come to the current name, which originated from many aspects around the country. ?Campden Food and Drink Research Association? was in partnership with ?Chorleywood Food Research Association?. The company in Chorleywood was not doing as well as expected, so they closed this company down in Chorleywood and moved the factory to Chipping Campden where the whole company is now called ?Campden and Chorleywood Food Research Association? (ccfra). What types of businesses are around? There are four main types of business; ? Sole Trader ? Partnership ? Public Limited Company ? Private Limited Company Sole Trader: This is the most common business type, it is the simplest form of business and has a low contribution to Gross Domestic Product (gdp). It is a very flexible business and is independent. Also it is fully dependent on owners effort for success. One person runs this type of business. They have full ownership and control of the business although they may employ others to work for them. Their access to finance would be fairly limited as they would have to start the business using their own personal savings or use a bank loan of personal, business overdraft. There would be a main problem of raising finances ? lack of collateral. It has an unlimited liability, this is to the disadvantage of the business as the owner is personally liable. There are no legal requirements to run this business, as it is an unincorporated business. Although once established it needs to comply with the business legislation. The profits made within the company are retained by the owner, they do not have to share them, although are fully responsible for all losses. Partnership: This Type of business can have up to 20 owners and can specialise in what market they?re going into. They all jointly own and share responsibility and control within the company although it can also have silent partners that contribute with the finance but not the responsible in controlling the business. As they can have up to 20 owners, they can all contribute to finance. This gives them a bigger base for raising finance. Partnership is an unlimited liability same as sole trader in which all partners (including silent partners) are liable for debts. Partnership, same as sole trader, is also unincorporated so no legal formalities are forced upon when establishing the business, however once established may draw up a deco of partnership or be subject to the partnership act. Profits are shared by the deed of partnership, and all partners are liable for losses even if not directly responsible. Private Limited Liability: This type of business is often relatively small and often family businesses. Shareholders are owners and have a degree of control within the company. As it is private, the business can not be lost to outsiders while as Public can. Finance is easily made within the company and there is no limit on the number of shareholders the company can have. It is a limited liability which means shareholders are prepared to risk investing more money. They only loose what they?ve invested into the company, while sole traders and partnerships loose their properties if business collapses. There are many legal requirements they have to stand by for example the ?memoranda of association?, ?article of association? they also need to issue a prospectus. Profits are shared amongst all shareholders according to their share holding. Public Limited Liability: Public Limited Liability is the biggest firm, they dominate the market. Shareholders are also owners, they each appoint directors to control management. However often get divorces of ownership. Control of the management and company can differ on matters. Huge amounts of finance can be raised within this company, as shares can be made on the stock market. It can also retain some of the undistributed profits or obtain a corporate loan. This company is limited liability so shareholders are only liable for the extent of their investment, it also has a separate legal identity. Legal requirements are the same private limited liability so they are subject to certain memoranda of association, and the article of association. They also need a prospectus. Profits are shared according to the number of shares they own. They are paid a dividend some. Undistributed profits are reinvested in the firm. They make a large contribution to G.D.P, often to public security. What type of business is ccfra? ccfra is in between Partnership and Private Limited Liability Company. The business does not issue shares but does issue membership, so members are therefore shareholders. Each member has to pay an annual subscription fee to ccfra for the work done by the association. Small companies have to pay a relatively small subscription fee compared to larger companies. £400-£500 for smaller companies while £30-£40,000 for larger companies. Within the two companies there are about 1690 members, from 60 different countries. Membership within the company means that they can have any amount of research and analysis done on their own products. Members can be to a disadvantage to paying an annual fee, as if they do not wish to want up to £40,000 of research done on their products then the ccfra will have a surplus. ccfra do not make a profit only a surplus, the surplus is then reinvested back into the association to make the quality of services they provide much better. On the other hand it can be to a disadvantage to ccfra if the company uses their entire fee up on research and analysis then ccfra wont have as much surplus. If a company want their product tested and analysed who are not a member then they would have to pay 30% more than members do. There are many famous businesses that use ccfra to analyse their products, for example Marks and Spencer?s, tescos, the ration packs for the national army. Benefits of being a partnership and a private limited liability company. ? ccfra is a partnership, which therefore means that the pressure of running the business isn?t down to just one person. Responsibilities can be shared equally through out the business. ? Although ccfra has no shareholders, their members are incorporated into the business like shareholders. Each member pays an annual subscription, and the company can have as many members as it can handle. ? ccfra tends to run like a limited liability company, in which, if the company were to go bust, members would only loose what they paid in as an annual subscription. The same as a limited liability company where shareholders would only lose what they invested into the company. ? More finance can be raised if the company has more members to it. Constraints on the business. ? As ccfra fully rely on their members for their income, if membership subscription should start to fall then their income would decrease causing their surplus also to decrease. ? ccfra do not get any income from the government, only from their members. ? From seeing the decrease of income and work due to ?foot and mouth? and the weather last year, we can see that the company is effected from external factors as well as internal. Structure of the business ccfra is three companies in one. For example there are different businesses within this one company. ccfra has ? ccfra Group Services Ltd- this company employs all the staff and monitors their working standards. ? ccfra Technology Ltd and European Food Safety Inspection Service (efsis)- this company is also split into two. ccfra Technology Ltd owns buildings and equipment and undertakes all non-research activities, while efsis is the joint venture with Meat and Livestock Commission. ? Campden and Chorleywood Elemiszeripari Fejlesztesi Interzet Magyarorszag Kht- this company is situated in Hungary which is a smaller company doing the same research but in smaller quantities over in Hungry for the Hungarian government. In this diagram on page 4 you can see that at the top is Lord Plumb. He is the figurehead of the company. Next is the council, where there are 30 representatives, who deal with most of executive material within the company. The Executive committee and the Scientific and Technical Committee come next, within the executive committee, there are 8 executives. The Director General deals with the main business of hiring and firing, this join has a 3 year turn around, so a person has the chance to become the ?Director General? for 3 years then a vote is taken place to decide who next will be. From the Director General two branches come off with ?Finance and Administration? on one side and ?Scientific and Technical Functions? on the other. Within the S&T functions there are 4 science directors. On the Science and Technical Committee a branch comes off that into the ?Technical Advisory Panels? and the ?Working Parties? all are industrial people from member parties. From looking at this diagram I have noticed that there seems to be a long chain of command and a narrow span of control. This means that one manager one manager is helped by a few assistants managers each responsible for supervisors. These supervisors are responsible for skilled workers, who are in charge of semi-skilled workers. All this means close supervision is needed. What is CCFRA?s culture? -??????????- ccfra have a very friendly environment, this is because of the culture of the business and how it is run. The next few titles are what CCFRAs? culture is. ? Together Everyone Achieves More This is an abbreviation that all employees know and follow by. ? Collaboration and communication - Team work- Planning and Communication - Communication?????? Common Action ? ?Treat others as you wish to be treated yourself? Their culture and values are: ========= ? Friendly ? Helpful ? Enthusiastic ? Knowledgeable ? Professional ? Business-like Importance of clients ? Clients need something from us to do their job, which keeps ccfra Group running and us employed. ? Clients must not be considered an interruption of our work. ? Clients are not merely a statistic, but human beings with feelings, emotions, and intelligence like you and I. ? Clients remain clients only if they are satisfied each and every time. Clients? First Culture ? Quality ? Relevance ? Responsibilities ? Communication All these notes are put around the association making sure they are looked at, taken in and put into practise within the company. If not then the company would not be running as well as it does. -????????????????????????????????- ccfra believes that the more input they put into the staff using time and money, the more output the staff produces. Their culture is also based on teamwork, using the abbreviation team (Together Everyone Achieves More) to show their style of culture, this helps also keeps the employees moral high, ?a happy worker, mean happy work?. The culture of the business doesn?t just circle its self-just around the employees, but also their clients. If they keep their clients happy then they will still have their clients business. They do not think of their clients as interruptions, but as human beings who also have a job to do. Mission Statements -???????- Mission statements are the overall aims of the business. They are aimed at the stakeholders, however they can often be focussed on meeting the needs of customers, identifying the specific service to be provided. ============== CCFRA?s Mission Statements ====== ?Independent research and development expertise with the ability to advise, train and serve our members world-wide in the food, drink, ingredient, catering and associated industries so as to ensure product safety, improved product quality and processing efficiency and stimulate product, package and process innovation." Quoted form ccfra web site (www.campden.co.uk) ccfra achieves this mission by: ?Developing the knowledge, skills and abilities necessary to help industry resolve current and future issues. Demonstrating how new science can be converted to technology, which can be transferred to its members to give a competitive edge." Quoted from the ccfra web site (www.campden.co.uk) Business Objectives. ==== All businesses have objectives. These are targets set by the business for what it wants to achieve. Various stakeholders will shape the objectives of a business. Those within the business who have the most power will tend to set the objectives. For example if the owners are most in power then their objectives would be to make a profit, while if those in most power would be the employees, their objectives would be for job security and good working conditions. There are many different objectives businesses wish to concern. ? Mission statements ? Survival ? Profit maximisation ? Growth ? Managerial objectives ? Sales revenue maximisation. By looking at whether a business has achieved its objectives we can assess the performance of a business. smart is one way of analysing companies? objectives. Specific Measurable Achievable Realistic Timed What are CCFRA?s objectives? ccfra has some general objectives wish they are constantly trying to meet and keep up to standard. 1. Developing the knowledge, skills and abilities necessary to help industry resolve current and future issues. This is to make the company more efficient while doing research into new developments in the food industry and also for all members to have a satisfactory job done on their product. 2. To expand membership across the whole of the food chain and internationally. This will draw different companies to join their membership and increase the efficiency of the work for all members. 3. Demonstrate how new science can be converted to technology to give a competitive edge. This will also draw new companies to join the member scheme, as they will have the latest technology and science in analysing food and drink merchandises. 4. Provide forum for discussion of scientific, technical and market research matters. This is to increase the appeal of ccfra, as they will have the latest technology and science in researching into the food and drink merchandises. Not only does ccfra have general objectives but it also has financial objectives. Financial Objectives. ? To achieve financial performance that enables investment for planned future growth. - Increase income annually by 3 to 5% per annum - Control expenditure to generate surplus of between 4 to 6% of income. ccfra has met their financial objective as this year it has a 5% surplus, but to do this they have had to decrease their staff by 14. Has ccfra met their objectives? ? Last year ccfra had 1960 members in 60 countries. This is an ever-increasing number because of the competitive market. New food and drink products are being manufactured and all have to be analysed before they can be put into market. ? This year its self has made a £11.5million turnover. ccfra are increasing their knowledge on food and drink every day as new discoveries are being made. ? The business is always improving their technology to stay competitive and ensure that it scientific research are among some of the best. ? ccfra have an annual ?open day? in June so that company?s can come and see what they do and hope that they will join ccfra. ? There were many set backs in the business and their income last year as ?foot and mouth? was around and no livestock or food could be moved about the country, this caused many problems for the company as they could not transport produce around the country for the company to analyse. Also there was very ferocious weather which also stopped the transport of produce to the factory. All these factors caused the company to only have a 3-5% increase in income. They had made a significant loss. So looking at the companies performance, and how well they?ve tried to meet al their objectives and financial objectives, I can evaluate that they have performed to their utter best due to weather and the national crisis of foot and mouth, to reach there annual objectives. What is the culture of a business? -???????????????- The culture of the business is a set of values and beliefs that are shared by people and groups in an organisation. The culture of a business can influence decision-making. Business leaders are able to create a corporate culture to obtain their objectives. It is important that all the people who work in the organisation understand the culture of the business. Functional Areas within ccfra Finance Finance is a major section of ccfra. They deal with the income and surplus. Whether the business is making a profit and find out why if it isn?t. They do everything about finance and the administration from employee?s wages and bonus?s to the income and surplus of the company. Employees have to be highly trained in these areas as if they are not done properly then the company may collapse. This year the annual income was £11.5 million, which had to slip up into each section of the business. [image] The diagram below shows they annual income and where it came from. ict Within ccfra, the company has a very strong ict team, dealing with the day to day time sheets that all employees have to fill out, to the calculations of finance and income that the company has to deal with. This section has organised the whole computer system that is set up within the company. Human Resources In this section of the business, they deal with the employees them selves. The hiring and the firing, and whether they are happy or having difficulties working. Marketing and sales: In this part of the business, they deal with property area, whether it is selling things or buying things. Productions: This is where most employees are based. This is the output of the business and where most time is spent. It?s the making of anything of the business. There are many different areas within the sections which all help to achieve the companies? objectives. - Market and Consumer Research - Product intelligence - Sensory science - Safety and quality management - Factory auditing (efsis) - Laboratory auditing - Process engineering and evaluation - Product and packaging technology - New technologies - Hygiene - Hygienic design - Cleaning and sanitation - Microbiology - Method development and evaluation - Food pathogens - Food spoilage - Analytical method development - Food composition - Detection of GMO?s - Chemical and physical contamination?s - Food quality - Cereals and milling - Baking and cereal processing - Safety quality and functionality of raw materials and ingredients - Information - Food environment legislation - Labelling - Publications - Software - Training courses - Conferences - Seminars - Workshops - Crisis management All these areas have to keep to strict regulations so that the company does achieve its objectives. They do this by filling out forms and time sheets that are then monitored on a day to day basis. The Use of I.C.T for Internal and External Communications. A major part of the ccfra is their use of I.T and helps the business in its day to day routines. There are many ways ccfra use I.T, Internally and externally helping making the employees lives easier, as there is no paper work. Internally. ccfra use many different methods of I.C.T within the company. For example because of the number of clients and employees that the company has, then it would be extremely different to find details of each of these when they are written down in files or on paper. To prevent this problem, ccfra has now written all their profiles and details on the computer, so a search or a sort can easily find them out. This means that there is no unnecessary paper work lingering around the offices, which causes clutter and it is now quicker to find out files and profiles. Every project and research the company has done has got a number and a name. All these have been put on the companies system, so that if the company who has had the research done on their product what to see happened during the research or analysis they can easily be brought up, rather than looking through paper work. Timesheets have been made to charge the time of projects and analyse staff utilisation. These time sheets have are done everybody?s workstation in which all they have to write is how long they spent on a project and what project they were doing. This lets the supervisors know just how much they have to charge the companies who they have been doing work for. There are many drawbacks to these time sheets, as employees do not seem to have enough time to fill them in and are sometimes reluctant to doing them. Every employee has their own workstation, where they can get up all the necessary information they need to finish the job.

Looking at All Aspects of a Business 9.5 of 10 on the basis of 4405 Review.