Functional Area Interrelationships Essay

Functional Area Interrelationships: LaFleur Trading Company

In the business world today identifying how a company coexists can define the longevity and long-term success. Team A’s company choice is Lafluer Trading Company. We will review and comment on their interrelationships. Lafleur Trading is a company that provides high quality food and wine to and from multiple countries. Team A will define their purpose, organizational structure, and how their key stakeholders will provide the company with success. Mission, Vision, Values, and Goals

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LaFleur Trading exists to provide high fine quality foods with reasonable pricing. Their visions are very clear. They identify responsibilities to their fellow citizens, customers, employees, the community, and the world. Their values to accomplish this are to act fairly and justly. They identify in their mission statement that, “profits are not as important as customer satisfaction and enjoyment of their products,” (Lafluer Trading Company, 2013). LaFleur Trading prides their company values on the employees’ interaction with their customers. Along with the superior customer interaction they have implemented state of the art technology to accomplish their goals. Lafleur Trading’s direct buyers obtain only reputable partnerships around the world which will allow their customers to have access to a supply of the finest highest quality foods and wines (Lafluer Trading Company, 2013). They maintain low overhead costs that provide their customers with a better bottom line price while still remaining competitive.

Organizational Structure
LaFleur Trading utilizes the functional organizational structure of their business. A business that is smaller and specializes in the relationships between buyers and employees. The strengths of using this structure enables the department to make decisions within their specialized unit without the main boss. The main key position that everyone reports to will be have time away from the day-to-day operations, and allow them to focus on more of the organizational interest, (Pearce, J,A. II., & Robinson, R., 2009)The key positions at Lafluer Trading executive level are the CEO (Chief Executive Officer), CIO (Chief Information Officer), CFO (Chief Financial Officer), and the COO (Chief Operational Officer). The next functional level is the office of the CEO, his receptionist, and the secretary for all three executive levels CIO, CFO, and the COO. The office of the CIO include the network administrator, and two IT technicians. The office of the CFO include a director of accounting who has a contracting officer, a CPA, and two accounting technicians. This office also includes a general counsel with a paralegal. The office where the magic happens is the COO this office includes the below graph according to “Lafluer Trading Company” (2013):

Collaboration Processes and Action Plans

The collaboration process among the functional areas for the Lafleur Trading Company includes human resources and information technology. Human resources starts with the executive officers, the next step is adding the CEO branch which includes the receptionist and secretary, next is the CIO, this branch includes the networking administrator and information technician, the next branch is the CFO, this includes the financial department, and we come to the last branch the COO, this includes all personnel in the operating system (Lafluer Trading Company, 2013). Lafleur Trading Company has a variety of networking capabilities from their 1000base T, CAT5 computers to their top-of-the-line printers, and iPhones in the executive offices, to their 15” laptop and iPhones in the remote office networks. This will all coordinate through the w Cisco Aironet 3500 wireless Access Point system (Lafluer Trading Company, 2013). It is important for each of these systems to coordinate with one another so the information needed is continually pass between each computer, printer, and iPhone, so the correct individuals will have access to this information in a timely matter, this will enable the transactions to be completed accurately and on time. Lafleur follows these lines when making a sale and completing a transaction: the first step is the supplier providing the products needed and delivering them to the warehouse.

The next step is the sales office, a sales representative will contact a customer and an order is placed, the order is than paid for and an invoice is made, this invoice’s information will be sent to the warehouse where the order will be filled and shipped to the customer. The order is finalized after everything is completed. Lafleur should follow these steps include finalizing the transaction, this will give them input into any type of errors in within their system and correct any communication delays. It is important for everything to coordinate for these orders, or it will not be finalized. The customer wants fast and easy service, it is important to provide them with this service and keep them happy otherwise you will start to lose current, and new customers will not be interested in purchasing products from your business because of the lack of coordination and communication.

Lateral and Vertical Collaboration
Lateral and vertical collaboration are both important aspects of a Lafleur’s strategic plan, competitiveness, and individual job responsibilities. Collaboration is a form of communication that significantly improves a company’s ability to reach its objectives and goals, while maintaining focus on its competitive advantage. If Lafleur uses collaboration effectively, the company will minimize risk and reduce the amount of errors that could be made. Lateral collaboration exits between employees who are at similar levels in hierarchy work together to reach goals and objectives. Vertical collaboration exists when employees of different hierarchy levels work together to reach goals and objectives. Lafleur uses lateral and vertical collaboration to communicate within and between human resources department and information technology. Lateral Collaboration within the human resources department: Example 1: When the CEO works with the CIO, CFO, and COO

Example 2: When the Director of Warehouse Operations works with the Director of Purchasing. Example 3: When the receptionist and the secretary work together Vertical Collaboration within the human resources department: Example 1: When the CFO works with the Director of Accounting

Example 2: When the Director of Sales and Marketing works with the salespersons Example 3: When the Director of Human Resources works with the Staffing Specialist The networking capabilities of Lafleur allow the opportunity for both lateral and vertical collaboration to occur more efficiently. This enables communication to be more accurate and happen in a timely manner. The CIO uses vertical collaboration to work with the Network Administrator and the IT technicians to ensure that all systems are operating smoothly and correctly. The information these systems provide are essential to the communication within the human resource department. An action plan appropriate for using lateral and vertical collaboration should start at the top level of hierarchy with the CEO. The CEO will observe and communicate with the entire company by collaborating with the appropriate levels of hierarchy. This will jump start communication down the line. If the CEO is communicating the appropriate information and concerns, the chain of command will be better able to assist all employees with remaining focused on objectives and goals.

Clear and constant communication should be occurring at all times so that each department manager can properly advise, instruct, and lead their departments. An important part of department manager’s jobs is to ensure that networking equipment is operating appropriately and if there are any problems, department managers should advise the IT department immediately. The equipment used to conduct business is necessary for Lafleur to function properly and stay competitive because it is the company’s main source of communication and necessary to conduct business.

Stakeholders
Lafleur Trading Company is a supplier of fine foods and wines. Lafleur’s organizational goals are to supply quality products in a timely manner. The key stakeholders in the company are owners, management, employees, suppliers, investors and customers. In order to facilitate organizational success, communication has to start with the owners and management. Goals and a strategic plan need to be established to ensure the success of the company and they need to be communicated clearly. Management then needs to take the goals and communicate with employees.

The employees are the main contact for suppliers and customers. Identification and knowledge of what the goals of the company are the employees may not perform correctly. Since the company is selling a product to the public, establishing and maintaining excellent customer service and good relationship with suppliers is important. Having a good relationship with suppliers can reduce the cost of goods. Developing relationships and good rapport can give Lafleur a competitive advantage and rights to goods and discounts that their competition may not have. When it comes to customer service, even the most cost effective company can lose business without it. Maintaining the relationship with customers and developing an excellent customer service program can gain Lafleur Trading Company a greater market share. The final stakeholders are the investors in the company. Lafleur needs to generate enough income to keep investors happy as well as maintaining good financial accountability by paying bills on time, etc. to be able to obtain loans if needed at the best possible interest rate. Lafluer Trading Company will prosper via their employees and fixed internal controls. Team A has identified that thru Lafluer Trading’s current functional organizational structure and their lateral and vertical communications will only enhance as their strategic planning becomes more active with the executive key stakeholders. Lafluer’s technology and training of employees should be enhanced by state of the art equipment and swift process implementations. Lafluer’s is here to stay and will continue their success via prompt actions plans to deliver the highest quality foods and wines.

References
LaFluer Trading Company. (2013). Retrieved from https://ecampus.phoenix.edu/secure/aapd/CIST/VOP/Business/Lafleur/intranet/index.asp
LaFluer Trading Company. (2013). Retrieved from https://ecampus.phoenix.edu/secure/aapd/CIST/VOP/Business/Lafleur/intranet/information-technology/entity-relationship-diagram.asp

Lafluer Trading Company. (2013). Retrieved from https://ecampus.phoenix.edu/secure/aapd/CIST/VOP/Business/Lafleur/intranet/human-resources/executive-officers.asp