All four functional areas within a business are required to work together in order for the business to achieve its aims and objectives. Each department relies on the others to enable them to complete their specific functional activities.
Some examples of how functional areas are are as follows:
- It is the responsibility of the human resources department to recruit and select appropriate staff to work within the marketing, finance and operations departments.
- It is the responsibility of the marketing department to carry out market research to find out the needs and wants of customers. The operations department will then make the products to meet those requirements.
- It is the responsibility of the finance department to set budgets for the marketing department so they know how much they have to spend on advertising and promotion.
- It is the responsibility of the human resources department to organise training for staff so they are able operate the machinery required to produce the product for the operations department.