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Importance of Different Organisation Function and Its Interrelationship With Each Other

3282Downloads1 I Published: 25 Nov ,2019


There are various functions operate in a company that helps in running business successfully. It includes marketing, finance, production, human resource management and more. This report is going to make a discussion on importance of these functions in an organisation (Larivière and et. al., 2017). For this purpose, IBM (International Business Machines Corporation) is taken which deals in information technology sector in UK. It operates business in more than 170 countries and offer IBM products. For managing operations, interrelations of different functions are also described in this essay.

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Importance of different Organisation function and its interrelationship with each other

In order to gain sustainability in business and run it smoothly, every function of organisation plays a major role. It includes human resource management which helps in bringing and managing high talent at workplace (Nankervis and et. al., 2016). While marketing department focuses on identifying demand of customers and offering them products accordingly, that helps in promote business more rapidly. In context with IBM, it manufactures and sells computer software and hardware products as well as also provides consulting and hosting services, that are range from mainframe to nanotechnology.

Therefore, to manage its large and diverse portfolio of services and products (cloud computing, IT infrastructure, Internet of Things etc.), every department give its best performance. For example- Marketing, which is quite an important function for IBM. The sole reason for the same is that it would allow the firm to present its services and products in the public in ways which aids in enhancement of its customer base. It is also important as would help IBM to connect with people better, thus, engaging them for long (Mudambi and Navarra, 2015). Moreover, marketing would help the firm in receiving a competitive advantage over its competitors in market. Hence, marketing function is quite useful and utmost necessary for a firm like IBM.

Similarly, human resource management also considered as one of the important function of IBM. It helps other departments in providing best talented workforce, who give their best to operate functions in desired manner (Srinivasan and Venkatraman, 2018). HR managers of IBM with the help of marketing division, use various sources to reach eligible employees and retain them for longer period. Along with this, finance department of IBM mainly focuses on managing transaction and funds of business, by proper planning, organising, accounting, auditing and controlling all financial activities. This department helps HRM, marketing, production and other, in getting adequate amount of funds to carry out functions in defined way. While production department of IBM helps in offering best innovative services as per demand of customers (Markusen, 2017). For this purpose, HR, marketing and finance departments helps production division in identifying current trends of marketplace, analyse demand curve and offer products accordingly.

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Through this mentioned essay, it has concluded that behind success of every organisation, every department performs major role. It involves human resource management, production, finance and more, that works in collaboration for attaining set objectives of business, in predetermined period of time.


  • Markusen, A., 2017. Sticky places in slippery space: a typology of industrial districts. In Economy (pp. 177-197). Routledge.
  • Mudambi, R. and Navarra, P., 2015. Is knowledge power? Knowledge flows, subsidiary power and rent-seeking within MNCs. In The Eclectic Paradigm (pp. 157-191). Palgrave Macmillan, London.
  • Nankervis, A. R. and et. al., 2016. Human resource management: strategy and practice. Cengage AU.
  • Larivière, B. and et. al., 2017. “Service Encounter 2.0”: An investigation into the roles of technology, employees and customers. Journal of Business Research.
  • Srinivasan, A. and Venkatraman, N., 2018. Entrepreneurship in digital platforms: A network‐centric view. Strategic Entrepreneurship Journal.
  • Do, B. R., Yeh, P. W. and Madsen, J., 2016. Exploring the relationship among human resource flexibility, organizational innovation and adaptability culture. Chinese Management Studies.
  • Ardito, L. and Petruzzelli, A. M., 2017. Breadth of external knowledge sourcing and product innovation: the moderating role of strategic human resource practices. European Management Journal.
  • Prange, C. and Pinho, J. C., 2017. How personal and organizational drivers impact on SME international performance: The mediating role of organizational innovation. International
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