Advantaes and Disadvantages of Small or Large Organizations
Topic: ADVANTAES AND DISADVANTAGES OF SMALL OR LARGE ORGANIZATIONS
1 . Size and economic Requirements
2 . Economies of Level
a few. Strategies for Growth
4. Management and Control
5. Deficiency of Record Keeping
6. Working Capital Deficiencies
7. Poor Management Abilities
almost eight. Regulations and Legislations
1 . Lack of Record Keeping
Businesses should keep track of their documents and documents for this reasons: 2. To ensure payments were made for the suppliers intended for materials. * To monitor and control movement of stocks.
2. To record payments via customers.
2. To note individuals who did not spend (debtors).
* To prepare monetary reports produce wise and accurate decisions. * Payment of tax to the govt.
2 . Seed money Deficiencies
Working capital is essential in a organization to ensure its daily functions. For example a strong should not include too much money tied up in its stocks and shares this would affect the liquidity. Some techniques to prevent deficiencies of working capital:
I actually. Use of a cash flow outlook on a monthly basis.
II. Price range enough start-up capital to last a couple of months to ensure that the company does not fail. 3. Monitor the credit to customers therefore they do not become large debtors. IV. Have a good romance with the financial institution so that you can get short term loans in emergencies.
several. Poor Managing Skills
A business head should have the following skills:
We. Leadership expertise
2. Cash controlling and cash management abilities
3. Planning and coordinating skills
4. Decision making abilities
Sixth is v. Communication abilities
NI. Marketing, campaign and providing skills
4. Regulations and Legislation
This involves regulations that must be followed by no matter the size of organization. These regulations include health insurance and safety at the office, minimum pay, and consumer protection.
5. Size and Financial Requirements