Employees
Employees are also a big influence of an Organisation, because without Employees there is no one to run the Organisation smoothly meaning they have a big influence and if the Employees act poorly then this will have a negative effect on the Business which could potentially drive Customers away. An example of this is if someone working for the Toyota Customer Service Team gives “bad” Customer service, The Customer who received the bad Customer Service is likely to tell their Friends and Family. Toyota could avoid this by giving their employees the right type of training so it wouldn’t happen again. Toyota’s Employee base is essential as Toyota have employed 300,000 workers worldwide to support their massive Business compared to Sainsbury’s who have employed 141,000 employees. The difference between the amounts of employees for these two Organisations is the simple fact that Tesco only operates in the UK making it a National Organisation and Toyota operates as a multi-national Organisation. The Viewpoint of an Employee is to work in a clean, quality Environment. It is important that Employees are kept in a quality environment because Employees are unlikely to work to their full potential if they are unhappy with the Environment they work in. Employees also need a reasonably salary because it will keep them motivated, Often if Organisations don’t meet the needs of their employees then the Company will face more serious issues such as the Employees going on strike which would stop your Organisation completely as there would be no one to run the Organisation which would result in no sales of Cars or Grocery’s resulting in loss of Sales Revenue for that month or however amount of time the Employees strike for.
Owners
The owners of an Organisation are one of the most important Influences on an Organisation and are an example of a primary stakeholder. The viewpoints and aims of an Owner is to have a big say on how the goals of an Organisation are decided and make crucial decision like whether the Business should focus on making higher sales or try and increase profits by charging a higher price for the products the Organisations sell. As Sainsbury’s is a PLC Company, Sainsbury’s Owners are its Shareholders. If Sainsbury’s which tries to promote well priced products increased the prices of its products to increase Product this would affect the Organisation negatively as other Supermarket Chains would do grocery’s cheaper so Customers would go to rival Supermarkets instead of Sainsbury’s. The Owners could also choose to decrease their Workers Salary which could give mean that the Owner has more money to spend on other parts of the Business like expanding a Supermarket but on the negative side the Employees are not going to be very happy they are getting reduced wages which could therefor mean the Employees may not work to their full potential. The owners also would like to see a Big Profit for the Products they sell and be happy that the Organisation is running smoothly.
Government
The Government as a Stake Holder also has a massive influence on Organisations like Toyota and Sainsbury as the Government can and has introduced Policy’s, Laws and Regulations which can stop Organisations from making more Profit. For example there is a Law which means that Workers cannot earn anything less in salary then the Minimum Wage. The Minimum wage for people over the age of 21 is £6.08 per hour. This influences an Organisation because depending on how many hours an employee work they still have to be given a set amount of pay which could reduce revenue for the Company. The Government also have Policy’s that state Employees cannot work in cramp, poor, unsafe Conditions. Employees also have the right to gain their jobs back in circumstances or receive compensation if they have been sacked or abused at their Workplace. For Example if Sainsbury’s fired one of its Employees for supposedly drinking Alcohol within the premises of Sainsbury’s. The Employee who was fired could protest against being fired and take Sainsbury’s to an industrial tribunal which is a Legal Court where Organisations can sort confrontations in front of a Judge. If there wasn’t any evidence that the Employee was drinking on the Premises of the Organisation, the Employee could gain their job back or receive Compensation which would Influence Sainsbury’s as they would have to give out money to that Person. The Government can also raise Income Tax’s meaning that Organisations will have to give a higher percentage of their sales to the Government meaning that Organisations loose out in Revenue because the money is going to the Government instead. The Government can also have many positive influences on Businesses as Toyota is a Public Limited Company this means Toyota has Limited Liability meaning if Toyota ever gets in debt, the Government will bail the Company out of a fixed amount of money.
Pressure Groups
Finally Pressure Groups influence Organisations by persuading people to buy from different suppliers and Manufacturers of Products by giving the Customer data which could help them to choose the cheapest best deal for them. Examples of Pressure groups are “My SuperMarket.com” and “MoneySupermarket.com” these are websites which compare’s the prices of different Supermarkets products and gives the Customer the best Prices for certain Products. Customers are likely to go for the “best value for money “products and therefor get their groceries and other things such as Car Insurance and Mobile Phones at a different Supermarket from the one they went before. This would influence a Supermarket like Sainsbury’s because if internet Customers start seeing that Tesco’s Car Insurance offers are Cheaper Customers are likely to go for Tesco’s for Car Insurance instead of Sainsbury’s. The Viewpoints and aims of Pressure Groups are to gain Money as various Companies pay to advertise on websites like My Supermarket.com. Another viewpoint is to simply give Customers the cheapest and best deals on where to shop.
Stake Holders Aims and which Stake Holders work well together
Stakeholders all have a variety of different influence within an Organisation and it is rare that Organisations can meet the need of all their shareholders. Most influences from Stakeholders will end up a “win-lose” situation where the organisation will support the influence of one stake Holder but another different shareholder will miss or lose out. This means some Share Holders can find it hard to work together with other shareholders for example if The Owners of an Organisation are looking to expand their Product Activity this would be a “win” for them but for the Local Community who are near the Product Activity might experience high levels of noise which is a “Loss” for them. Suppliers and Owners share a common interest because they both have the same goal and are both trying to make Profit which gives them a common interest because the Supplier is trying to sell their Product to large Organisation for Profit and the Owners are also trying to sell the Suppliers products for Profit. These two Stake Holders often try to work together. Sainsbury’s has put on its website “We work with over 3,000 British farmers through our . These help the farmers who supply our business to become more efficient and make their operations more sustainable in the long term, while ensuring the products they produce are of the best quality for Sainsbury's customers” Sainsbury’s and its Suppliers deliberately share a close interest because as said in the quote, if Sainsbury’s try and help their Suppliers be more efficient and Sustainable, The Suppliers will produce better quality Products which means Sainsbury’s make more Money as customers are much more likely to buy from somewhere which produces high-quality products also the Suppliers have more chance of making more money as they have been recognized better by dealing with big brands such as Sainsbury’s. Pressure Groups and Customers also share the same views to a certain extent as Pressure Groups are trying to find the best deal for Customers and Customers are trying to find the best deals for themselves. One difference between the Customers and Pressure Groups are that Pressure Groups are trying to look for Profit on advertisement on their Website whilst Customers aren’t looking for any Profit. Owners and Employees can also share the same interests an aims because some Employees are paid on remission meaning they are given a salary based on the amount of Sales they make. Owners also obviously would like to make sales as well as they require sales to be able to keep their Organization running.
In conclusion to this I article I have successfully shown how different Stakeholders such as Customers, Employees, Suppliers, Owners, the Government and Pressure Groups have an influence over two Organisations such as Toyota and Sainsbury’s Ltd and have also stated each State Holders Aims and Viewpoints and how they similar to other Stakeholders.
by
sc_thoooooommms (student)
