ASSIGNMENT 1 FRONT SHEET

Qualification BTEC Level 4 HND Diploma in Business

Unit number and title Unit 1: Business and business Environment

Submission date 14th April 2021 Date Received 1st submission 14th April 2021

Re-submission Date Date Received 2nd submission

Student Name VU NGOC TU Student ID BSBF200003

Class PBBA16101 Assessor name Ms. TRAN THANH BICH TRA

Student declaration

I certify that the assignment submission is entirely my own work and I fully understand the consequences of plagiarism. I understand that
making a false declaration is a form of malpractice.

Student’s signature VU NGOC TU

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TABLE OF CONTENT

Catalog
INTRODUCTION................................................................................................................................................................................. 4
Understand to organization:............................................................................................................................................................. 4
(Source:“TCB”)...................................................................................................................................................................................5
1. Explain different types and purposes of organizations........................................................................................................5
1.1 Sole traders:................................................................................................................................................................................ 5
1.2 Partnership:................................................................................................................................................................................. 6
1.3 Limited company:........................................................................................................................................................................6
1.3.1 Private Limited Companies:.............................................................................................................................................6
1.3.2 Public Limited Companies:.............................................................................................................................................. 6
2. The size and scope of different types of organizations........................................................................................................9
2.1 Size of Techcombank company................................................................................................................................. 9
3. The relationship between different organizational functions and how they link to organizational objectives and
structure................................................................................................................................................................................. 12
3.1 Various functions of an organization.......................................................................................................................12
3.2 Organisational structure..........................................................................................................................................13
3.3 Application in Techcombank company....................................................................................................................13
CONCLUSION.......................................................................................................................................................................... 15
REFERENCE............................................................................................................................................................................. 16

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INTRODUCTION

Organization is a group of people who gather together to perform a certain, predefined task.
Directly related to the growth of the business. This assignment studies the understanding types,
purposes, size and scope of a range of business organizations and the interrelationship of various
functions within an organization. Especially, specific example is “VIETNAM TECHNOLOGICAL AND
COMMERCIAL JOINT STOCK”.

Understand to organization:

According to “business jargons”, organization is a goal oriented process, which aims at achieving
them, through proper planning and coordination between activities. It relies on the principle of division
of work and set up authority-responsibility relationships among the members of the organization.

Likewise, “VIETNAM TECHNOLOGICAL AND COMMERCIAL JOINT STOCK ((commonly called TCB)” is a
leading company specializing in banking products and service in Vietnam. It has achieved successes and
reputation after years of efforts with a clear direction and great potential in the marketplace.

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 (Source:“TCB”)

1. Explain different types and purposes of organizations.

There are generally types such as: sole trader, partnership, limited company, and voluntary sector.

1.1 Sole traders:

Sole trader are people who operate businesses on their own. They may or may not have employees. Sole
traders control and manage the business and treat its income as their own. Income tax is assessed on the
owner’s total income. The owner is porsonally responsible for all debts incurred. Ability to borrow money
is limited by the owner’s ability to provide security. Advantages of a sole trader is that they keep any

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profit, it’s relatively easy to establish; sole traders are their own boss, it provides a sense of personal
satisfaction and they work the hours we want to. Disadvantages of a sole trader, it has unlimited liability.
There is limited access to finance to “grow” the business, sole traders pay higher income tax rather than
company tax and it’s difficult to take time off due to lot of responsibility

1.2 Partnership:

The partnership is a type of business in which at least 2 members are joint owners of the company,
doing business together under a common name called general partners, in addition to the general
partners who may have capital contributors. (According to the Law on Enterprises 2014).

1.3 Limited company:

Limited company is a business that is owned by shareholders and is run by directors (or shareholders). It
is divided into: private limited company and public limited company.

1.3.1 Private Limited Companies:

Private limited companies are joint stock companies whose shares are held by articles of
association(AoA) it; limited the transferability of shares means that the members can not transfer their
shares. Limits the numbers of members to 200 other than one person company meaning that except for
one person company the maximum number of members in a private limited company can be two
hundred only. Prohibit the entity to invite the public for subscribing the securities offered, that is the
entity can not invite the public to subscribe for its shares or debentures.

1.3.2 Public Limited Companies:

1.3.2.1 Public limited companies (PLC): A public company is a joint stock company which is listed on a
recognised stock exchange and its securities are traded publicly. It is free to invite public for subscribing
shares and there is no restriction on the transfer of shares.

1.3.2.2 Non-profit organization(NPO): A non-profit organization is an organization that does not work for
profit but is dedicated to a specific goal. Non-profit organizations are often trusts, cooperatives, charities,
the environment or religious groups. It is often used to do social work (whatls.2015). Five common signs
of non-profit organizations: private organizations separate from the government, organized, voluntary,
self-governing, don't distribute profit to anything else other than the advancement of the organization.

1.3.2.3 Non-governmental organization(NGO): is an organization independent of the government whose

primary mission is not commercial and that focuses on social, cultural, environmental, educational, and
other issues.

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Through “TCB”, it is a state company. According to the 2019 financial statement,

(Source:“TCB”)

In addition, TCB is also a profit company. On March 29, 2021 on the Ho Chi Minh City Stock

Exchange (HOSE)

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(Source:“Cafef”)

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 (Source:“TCB”)

Objectives of TCB: In 2019, TCB will still focus on individual customers and SMEs, especially TCB is
currently implementing an information technology investment plan to bring digital experiences to
customers, at the same time. The firm's operating cost optimization targets overall growth of about
31.5%. In which, revenue increase is 29% and profit is 19%. Currently, TCB has about 311 branches
nationwide. With more than 7 million customers and continuing to expand the market in 2020. In
Corporate Banking (BB), TCB's goal is to become a solution provider, one-stop banking for corporate and
their value chain. In the following years, TCB will continue to build a "customer-first-minded" direction
and is proud to bring greater values to customers to realize its aspirations to become the number 1 bank
in Vietnam. In addition, charity activities are still deeply interested in TCB with a total amount of 1.2
billion VND in the international marathon in Ho Chi Minh City and charity blood donation activities, at
the same time receiving a lot of money. participation of staff. In short, the value of TCB is not only in the
numbers and business results or profits, but also in the minds and human values of the people in TCB.

Micro company Small company Medium Large

company company

Number 1-9 10-49 50-249 over 250

employee

Capital <3 billions VND <50 Billions <100 billions >100 billions
VND VND VND

Revenual <10 billions <100 billions <300 billions >300 billions

VND/year VND/year VND/year VND/year

Purpose

2. The size and scope of different types of organizations

2.1 Size of Techcombank company

Revenue Total assets Owner’s equity The total Number of

liabilities employees

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 21.068 billion 383.699 billion 12.838 billion 105.247billion 11.156
employees

The above is a table of statistics on revenue, total assets, owner’s equity, total liabilities and the
number of employees of Techcombank in 2019. Proud to be the number 1 bank in Vietnam. Through
these figures have shown achievements stand out in the company's field of business. At the same
time, the company is also a stepping stone to help Vietnam's economy grow.

Some pictures about Vingroup company

(Source:“TCB”)

According to data in 2019, the total number of employees of Techcombank Company is 11.156
employees. This also shows the growth and development of the company.

(Source:“TCB”)

2.2 Scopes of Techcombank company

The geographic locations: the head office of Techcombank is floors 10 and 21, Techcombank Tower, 191
Ba Trieu Street, Le Dai Hanh Ward, Hai Ba Trung District, Hanoi and brands of company stretches across
45 provinces and cities nationwide.

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 (Source:“TCB”)

With its two core business lines, Corporate Advisory and Wealth Management, Techcom Securities (TCBS)
has become the market’s largest securities company in terms of profit. A very successful Wealthtech,
TCBS boasts a large, highly-skilled tech development workforce and the driving ambition to be a leading
global player in the high tech space.

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 (Source:“TCB”)

At the end of 2019 was a volatile and challenging year for fund management. Despite this, TCC
maintained its investment objective, especially business. TCC had profit before tax of VND 185 billion, 3.7
times higher than 2018. In Q4 2019, profit before tax grew by 204% to VND 63 billion. In 2019, ROE
soared from 45% to 80%. From 2017-2019, profit after tax grew at an average of 174%.

(Source:“TCB”)

3. The relationship between different organizational functions and how they link to organizational
objectives and structure

3.1 Various functions of an organization

Research & development looks at developing and organization internal processes and at the
improvement of products and services.

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Human resources management is how well a company recruits, hires, trains , motivates, rewards and
retains its workers, people are a significant source of value, so business can create a clear advantage with
good Human resource practices.

Marketing is responsible for product pricing distribution and promotion. Marketing is a process you use
to persuade clients to purchase from you, instead of your competitors this can be done through product
orientation which is producing goods of very high quality in the hope that this is what customers want.

Sales orientation which is the use of aggressive sales techniques used to persuade customers to buy or
market orientation products, this is where an organization aims to satisfy the need of customers thus
encouraging sales.

-> Marketing functions are closely linked with other functional units of the business organization. It can
be explained with an example of the finance department's connection with the marketing department.
The marketing functions require economic resources to execute, plan, research, and evaluate marketing
strategies and plans among business organizations, which are provided by the company's finance
department. Marketing functions cannot function without proper communication and alignment with
the financial team in the company. Similarly, in business organizations, the marketing functions are
closely linked with other parts of the company. Marketing functions require exact descriptions from the
production department relevant to the organization's products and services in order to come up with the
marketing plan. Second, they require human resources from HR, economic support from finance,
logistics from the distribution networks, etc. Marketing activities need to be communicated and
supported by departments. other companies. For example, the HR policies must match the marketing
department to increase sales, and the production team must communicate product and service-related
information to develop the correct marketing plan. For the company, the sales department must also be
flexible in terms of customers to prepare new products. If the marketing functions are not known related
to the inventory of raw materials or the production capacity of the company, the marketing plan will lead
to mistakes and losses. Therefore, the marketing functions are interrelated with all other functional units
of the business organization (Pike, 2015).

3.2 Organisational structure

3.3 Application in Techcombank company

Organizational chart of Vingroup company

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 (Source:“TCB”)

According to the map of TCB’s structure, it’s obviously a divisional structure. It is divided into many
blocks with their own function.

The Supervisory Board supervises the Board of Directors, Director / General Director in the management
and administration of the company. The supervisory board appraises the completeness, legality and
honesty of the company's business situation, annual and 6-month financial statements, management
evaluation report of the Board of Directors and submission of a review report at the annual meeting of
the General Meeting of Shareholders. The General manager is the one who has the decisive influence on
the success or failure of the business. Another important role of the general manager is to organize the
administration apparatus in sufficient quantity, strong In quality, rationally arranged, balancing the
administrator force to ensure sustainable relations in organization and operation, and good completion
of the set objectives. Under the management of the Board of Directors and General Manager are other
divisions such as: Marketing Division, Human Resource Division, Strategy Division, Jewelry Factory,
Finance and Accounting Division and Frances. The business functions that are closely interrelationship
can satisfy business objectives more effectively than any other business strategy. Besides, organizational
functions cumulative efforts can create enhanced values along and competitive ground for the company.
On the other hand, company culture can be enhanced through ensuring better interrelation among the
business function. The advantages of this interrelation can positively affect the business structure and
enhance its effectiveness

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CONCLUSION

In this assignment, we will be able to understand the basic theories about the types and goals of
organizations, distinguishing governmental and non-governmental organizations, for-profit companies
and public non-profit companies... In addition, students also have lessons learned and skills in searching
information in the learning and working process in the future.

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REFERENCE

Companybug. (2021), The advantages and disadvantages of a limited company, [online] Available from:
<https://www.companybug.com/limited-company-advantages-and-disadvantages/>[March 31st 2021]

CRO. (n.d), Micro Company, <https://www.cro.ie/en-ie/Annual-Return/Financial-Statements-

Requirements/Micro-Company > [March 31st 2021]

Dragon1. (n.d), Mission Definition, [online] Available from: <https://www.dragon1.com/terms/mission-

definition> [April 2nd 2021]

Business jargons. (n.d), Licensing, [online] Available from: <https://businessjargons.com/licensing.html>

[April 2nd 2021]

Echa. (n.d), How to determine the company size category, [online] Available from:
<https://echa.europa.eu/support/small-and-medium-sized-enterprises-smes/how-to-determine-the-
company-size-category/step-5> [April 3rd 2021]

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[April 5th 2021]

Available at: <https://timviec365.vn/blog/hanh-chinh-van-phong-la-gi-new8641.html> [Accessed 9

January 2021].

Data Analysis for Marketing. 2021. Báo cáo trải nghiệm khách hàng trên Thương mại điện tử Việt Nam
2020 - Data Analysis for Marketing. [online] Available at: <https://damglobal.org/bao-cao-trai-nghiem-
khach-hang-tren-thuong-mai-dien-tu-viet-nam-2020/> [Accessed 8 January 2021].

Ptckt.iuh.edu.vn. 2021. Chức năng nhiệm vụ - Phòng tài chính kế toán - Đại học Công nghiệp TP.HCM.
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January 2021].

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