QUESTION: What
do you understand by cooperate aims and objectives, how does these relate to
what is often referred to as the “business credo”
ANSWERS ARE WRITTEN BELOW
The purpose of any business
organization be it (profit oriented or non profit oriented) is to satisfy the
needs of both the organization and the people (society, customers, government
etc). Hence, for any organization to satisfy these needs of the above mentioned
parties, the organization must put up a
very good, comprehensive and viable plan of action, sales forecast of the
product and
the society (viability and acceptability of the product if
produced), the mode of operation towards achieving the production objective and
organizational goals.
CORPORATE AIMS AND OBJECTIVES
In the classical period of management and business
operations, organization’s had only one objectives (which is profit making)
this statement was proved by reflecting on the assumption of Fredrick winslow
tailor (the father of scientific management) during his time at Midvale steel
company. Although, his principles were more
on efficiency (making the best use of the available but scarce resources
through a group of well trained employees and best scientific methods with less
emphasis on workers welfare and motivation.
In the modern/human relations era,
the reverse is almost the case, because apart from the first objective of
organizations (which is profit making), there are other obligations, aims,
objectives and responsibilities of any form of organization.
If any/an organization (especially
profit oriented) must operate in a healthy society, that organization must
respond favourably to the ever-changing business environmental demand and they
must justify their existence by offering a desirable goods and services and
satisfaction to all the so called stake-holders in the society, viz
(1)
share-holders
(2)
employees
(3)
customers
(4)
suppliers
(5)
government
(6)
community the six
small public (Imaga 2000)
HOW DO THESE RELATE TO WHAT IS OFTEN
REFEREED TO AS BUSINESS CREDO
Business credo is nothing more or
less than the organizational mission statement.
This mission (credo) is what the organization believe,
it can give or do to the society, the organization itself and the market.
Business credo is simply, the responsibilities of the organization to the
following parties.
1.
Their customers
2.
Their employees
3.
The executives
offices
4.
The community
where the organization is situated
5.
The
stake-holders
These people are at the centre of any formal
organization, so should not be underrated.