Identify the Purpose of Different Types of Organisation

In: Business and Management

Submitted By stanilux
Words 2322
Pages 10
An organisation is a formal structure of relationships,

responsibilities and authorities through which specific

objectives are achieved.

'A work organisation is a social arrangement for the controlled

performance of collective goals' (Buchanan and Huczynski, 2004).
Purposes of different types of Organisation:

Business organisations: To make a profit in a socially standard


For example: Airlines, Fast food.

Non-profit service organisations: They want to help to all of

people without any profit.

For example: NHS, Universities.

Mutual-benefit organisations: Individuals join together to

pursue their own self-interest.

For example: Clubs, Trade Union.

Commonweal organisations: They provide service to all members of

a given population.

For example: Fire Service, Police.
Organisations by their intended purpose:


Primary beneficiary


Manufacturers, Fast-food, Restaurants

Non profit services
Universities, Hospitals

Unions, Clubs

Public at large
Police, Public schools
Classifying Organizations:
Sector classification:

Private enterprise organisations: A "private sector"

organisation is one that is owned and controlled by private

individuals, not the government and usually exists to make a

profit for its shareholders.

Public sector organisations: A "public sector" organisation is

one that is controlled by the government. It is called "public"

because the government is responsible to the entire public.
Commercial interest classification:

Profit oriented: Profit-oriented means pricing strategies rely

on setting a product or service's price to attain a specific,

programmed net profit percentage.

Non-profit oriented: In the broadest sense, an organisation in

which no part of…...

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