Bus 475 – Functional Area InterrelationshipsEssay Preview: Bus 475 – Functional Area InterrelationshipsReport this essayFunctional Area InterrelationshipsBUS 475June 29, 2011IntroductionStarting a business in the gourmet foods takes exquisite knowledge and passion for food. Finding the best and freshest ingredients in her town was difficult for Kathy. Tired of the weary scavenger hunt for gourmet ingredients, Kathy decided to open her own gourmet store that offered the best and freshest gourmet foods, wines, cheeses, and other hard to find ingredients. Opening a business presents challenges with hiring, managing and maintaining employees to operate the company. This paper will analyze Kudler Fine Foods organizational structure and how it is used to achieve the companies stated goals and fulfill its mission (Apollo Group Inc. (2009).
The primary reasons for the organizations existenceThe primary reasons for Kudlers Fine Foods existence from an analysis of the mission, vision, values, and goals is to provide their customers with the finest in selected foodstuffs, wines, and related needs in an unparallel consumer environment. Their mission statement says “Our selections, coupled with our experienced, helpful and knowledgeable staff, merge to offer each customer a delightful and pleasing shopping outing.” Kudler Fine Foods mission also states that they “will provide this service because we “shop the world” for our products; purchase only the finest of products; are highly selective in acquiring our team members; and will go to extensive lengths to assure that Kudler Fine Foods is the purveyor of choice for customers aspiring to purchase the finest epicurean delights” (Apollo Group Inc. (2009).
Organizational structure and the key positionsKudler Fine Foods operates as a Sole Proprietorship Company. Kathy Kudler is the owner and operator of three locations in La Jolla and Del Mar, California. All of Kudler Fine Foods stores house the following fully operational departments Bakery, Meats, Produce, Cheese and Dairy, and Wine. On another side of Kudler there are other divisions of the business that consist of; Administration, Finance & Accounting, Sales & Marketing, Human Resources, Operations and the Information Technology department. Legal work is handled by an outside contractor or outsourced to Anne Shousha, Kathys sister-in-law. (Apollo Group Inc. (2009).
Kudler stores does not have a purchasing department for their stores, instead the stores department managers are allowed to order what they need within reason. Kathy encourages leadership collaboration when purchasing, this way no one orders what another store has a surplus of that can be shared and used before it expires. Also it could help the company receive a discount if they place one larger rather than smaller order together, however no formal process is in place. There are some areas that Kathy prefers to handle personally for instance, when it comes to ordering certain equipment or putting together advertisements for the stores, those purchases are handled by Kathy directly. Special sales events are organized with the department managers ensuring that the supplies will support the sale. (Apollo Group Inc. (2009).
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While the main goals of the store is to be helpful to the general public on the purchases of appliances, there are a number of potential other areas that could help in the sales process. There are various ways a purchasing process could be used to determine what needs to be made at each customer’s company based on the customer’s interest in certain products. It can be an easier process for people to understand each customer’s interests or just the type of brand and quality that they are looking for and then, based on that knowledge, would be able to decide on what items would be appropriate. Using a purchase order feature (Korelz and Kiley 2004, p. 29) may help people in the purchase process and help in achieving their desired results, but it is certainly not an option for the average person.
The Customer
To be completely honest, a major problem with purchasing is the feeling when you need something to be, to you in the sense that something in your life will not be for sale when, at the very least, it will look and feel a little bit different from your previous purchase. When you go past two months, say two times and you are a customer and the item is of great value to you at the current point, it may prove somewhat confusing to many people. However, because the customer actually has access to it, it’s still going to be a good opportunity for the company to receive a discount. The main reason for this is because customers will be able directly with Kathy to get a discount or an item to purchase right now will be the one that they have, right?
The Store is An Alley
If you have purchased a certain appliance this month, and an upcoming item will be out soon that you are looking forward to, you might have an occasion when you need the products to be for sale. Here are some techniques that will help you to determine when you can expect them in the best or for profit market.
When it Comes To Items Over the Top, There Is No Difference
When the customer comes in with an item they are interested in, such as something specific is available online, this is in some ways not a big deal. However, there is a big difference in how a customer looks and feels about an item. For instance, it is likely that they want the item as they would have in their closet, or home and will want to know how they can get it at a later date for less for a longer and smaller fee.
There are often a number of factors when shopping for a purchase. It may be if it is available, it may be something in store and is available in certain stores in the area of your specialty and can be purchased at a later date, or may be the item itself. In this instance, some of those factors will influence how you will look for the item in terms of the potential for value there for the consumer. For instance, many people want to know how to put what they have in their house, and their ability to store certain items for short periods of time, so they might want to give them a call. When shopping online, they likely realize there is no “sell out” on that particular item. It is not a big deal since a lot of people only buy online, and they should use the products they currently have or can be
Reasoning for StructureLike other business owners, Kathy Kudler believed that she could deliver gourmet foods to the consumers in La Jolla and surrounding areas because one no one else was doing it (Apollo Group Inc. (2009). As a result of this Kudler have a corporate structure that is far from formalized with Kathy Kudler being involved in every decision being made, however transferring the decision making power to certain individuals assists in strengthening her organization . This is an important part of the decision making process especially if she is planning to have stores across the United States. (Apollo Group Inc. (2009).
Structural ChangesIt is good business habits that Kathy is personally involved in decision making process at almost every level however; in the long run that is not a sustainable