Functional Areas

Data - Info Systems in Organisations
Overview | Accounting | Production | Marketing | Personnel | Research & development

Overview

Note:

Not all organisations call their functional areas by the same names.

• Accounting: This department keeps track of all financial activities. Paying the bills , recording payments, issuing paychecks, compiling periodic reports.
• Production: This department makes the product, taking raw materials and puts people to work to turn out the finished goods. The department may be manufacturing or operational (eg retail).
• Marketing: Advertising, promotion and sales are handled by the marketing department. Tasks include planning, promoting, selling, distribution of goods and services to customers.
• Personnel: This department hires and fires people, and handles such matters as sick leave, retirement benefits, evaluation, compensation and professional development.
• Research & Development: The R&D department has two tasks. It does product research and basic research into new products.

Within each of the departments there will be several management levels:

Ref [8]O'Leary et al, '95

Accounting

This department keeps track of all financial activities.

May also be called

Finance, management

or grouped with:

Resources, Information technology

For example

• Paying the bills
• recording payments
• issuing paychecks
• compiling periodic reports.

IT activities

• Spreadsheets
• Accounting packages
• Debtors -accounts receivable
• Creditors - Accounts payable
• General Ledger

Example: Debtor statement

Production

This department makes the product, taking raw materials and puts people to work to turn out the finished goods.

The department may be;

• manufacturing or
• operational (eg retail).

May also be called

Materials management

For example

• Manufacturing clothing (material purchase, cutting, sewing)
• Hardware retail (stocking shelves, pricing goods)

IT activities

• Materials management
• Project management
• Stock control
• Common IT activities
  Photocopying, facsimile, telephone, notice boards, filing
  Word processing, spreadsheets, diary/scheduling, eMail

Marketing

Advertising, promotion and sales are handled by the marketing department.

Tasks include

• planning
• promoting
• selling
• distribution

of goods and services to customers.

May also be grouped with:

Sales

For example

• Newspaper and flyer advertising
• Organisation product demonstrations

IT activities

• Sales analysis
• Desk top publishing
• Spreadsheets
• Databases (eg. Client lists)
• Personal information managers - PIM (sales staff)
• Common IT activities
  Photocopying, facsimile, telephone, notice boards, filing
  Word processing, spreadsheets, diary/scheduling, eMail

Personnel (Human resources)

IT activities

• Payroll
• Human resource management (or Personnel Management)
• Common IT activities
  Photocopying, facsimile, telephone, notice boards, filing
  Word processing, spreadsheets, diary/scheduling, eMail

Research & development

IT activities

• Spreadsheets
• Simulation and modelling
• Computer aided design (CAD)
• Statistical packages
• Common IT activities
  Photocopying, facsimile, telephone, notice boards, filing
  Word processing, spreadsheets, diary/scheduling, eMail

[Rev: 14/1/98] Jun-97 © 1997-98 V/2-Com (Verhaart), P O Box 8415, Havelock North, New Zealand.