Avon is a company selling beauty and related products. The service provides customers with products of the highest quality

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Vicky Canavan                Business Coursework

Introduction

In this project I will undertake extensive research into a large sized business. I have previously chosen the company Avon. My research will involve the collection of both primary and secondary data. I will compete the report, which will include:

  • Brief background information about the business and what it does
  • A description of the aims and objectives of the business
  • An assessment of how successful the business is in meeting its objectives
  • An explanation of the legal structure of the business and consider how appropriate is it
  • An explanation of how each functional area contributes towards the aims and objectives of the organization
  • A detailed explanation and diagram of the organizational structure and communication channels of business
  • An analysis of the management style and organizational culture, that considers how they affect the performance of the business and helps meet objectives
  • A description of the ICT methods used for both internal and external communication
  • A detailed analysis of the impact of ICT upon internal and external communications of the business and consider how this affects performance of the business
  • An examination of how structure, management style and culture interrelate to determine the success of the business
  • Descriptions of the quality assurance and control systems used in the business and analyse how effective these are in adding value
  • A consideration of alternative methods of quality control including their potential benefits and drawbacks, and the effects it could have on functions and objectives of the business.

Task A

Name of business – Avon

Location – Corby

Brief history of the business

  • The Avon Company began in 1886, originally called California Perfume Company (CPC). It was founded by David H. McConnell.
  • The first text only catalogue was issued in 1896.
  • As CPC was expanding adverts appeared in magazines and a colour catalogue was produced.
  • The name is changed from CPC to Avon Products inc. in 1939.
  • By 1980, Avon had opened in 50 different countries and its sales had topped $1 billion.
  • In 1989, Avon became the first major cosmetics manufacturer to announce a permanent end to animal testing of its products and later launched its women’s health care program in the U.S.
  • Today, Avon is known for it’s leadership in beauty and continues to raise awareness of breast cancer and has awarded multi-million grants for breast caner research and clinical care.    


About the business

Avon is a company selling beauty and related products. The service provides customers with products of the highest quality. It provides a service to customers that is outstanding in its helpfulness and courtesy.

Why I have chosen this business

I have chosen this organisation for my coursework because it is large enough to research into all areas of the business. There are several different departments and there is a management structure to it. This will help in my coursework as I can include details of this. My contact within the organisation is my dad who works at Avon as an electrician.

 


Task B

Avon’s aims and objectives

All businesses have aims they want to achieve. Objectives are what help them plan what they have to do to achieve their aims. Aims are the overall goals that the business was set up to achieve. Objectives are specific targets that must be achieved to ensure the business achieves its aims.

Typical aims that a company may have include:

        Making a profit

        Providing goods or a service

        Surviving as a business

        Expanding

        Maximising sales

        Improving quality of a product or service

        Being environmentally friendly

        Providing charitable or voluntary services

        Providing a highly competitive service

Avon’s five values, and our principles as expressed by the company’s founder, David H. McConnell has served as a progressing source of strength throughout Avon’s history.

The five values of Avon – Trust, Respect, Belief, Humility and Integrity. 

A mission statement is the objective that supports all others. The importance of the mission statement is it:

        Communicates the objectives and values of the organisation

        Influences employee behaviour and attitudes

        Helps in achieving correspondence  

Avon’s mission statement

‘To be the company that best understands and satisfies the product, service and self-fulfilment needs of women – globally.’

The importance of having objectives are:

        They act as management targets

        They are a standard against which performance can be measured

        They help to bring staff together

        When linked to pay or rewards they can encourage staff

Objectives must be SMART to be effective. This means they must be

SPECIFIC – e.g. for a particular area

MEASURABLE – e.g. percentage sales or profits

ACHIEVABLE with extra effort

REALISTIC

TIME CONSTRAINED –must be completed within a certain time period.

Task C

Avon’s objectives

  • To be the global beauty leader

We will build a unique portfolio of beauty and related brands, striving to surpass our competitors in quality, innovation and value, and elevating our image to become the Beauty Company most women turn to worldwide.

This objective is achievable, as by looking at Avon’s sales in the graph on the right, Avon is becoming more popular and the increase in sales shows more customers are choosing Avon. If this pattern continues, Avon may become the company most women turn to. The objective does not have a time restraint, but I think this objective can be ongoing forever.

Join now!

   

  • To be the Women’s choice for buying

We will become the destination store for women, offering the convenience of multiple brands and channels, and providing a personal high touch shopping experience that helps create lifelong customer relationships.

This objective is specific as it is aimed for the research area of Avon, which regularly creates new brands and channels. It is achievable with extra effort, and again, does not have a time restraint as new brands can be created most of the time, which will help create lifelong customer relationships.

  • To be the Premier direct seller
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