ORGANIZATION CHART OF A COMMERCIAL COMPANY: POSITIONS AND FUNCTIONS - DUDAS - 2024

The organization chart of a commercial company shows in detail the internal structure of a corporation through a diagram, which summarizes the presence of the different governing bodies, the various departments or areas, in addition to the hierarchical relationship between them. You can easily see how the company is organized and where each job or area is located.

It is important to take into account that this kind of structure distinguishes only the formal organization established by the management and not the informal one, in which the relationship between the employees is found, which is also of great importance for the good operation of the company.

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When we generally talk about the type of organization chart for a commercial company, we must especially look at the size of this company. Many organizations have business activities, but it is up to your environment to determine whether a simple or more complex organization chart is required.

It should be taken into account that commercial work often concerns only one department of the company, and not a company as a whole.

Functions and titles of the position

The functions and titles of the position are very different things. A job title is essentially the name of a position within an organization held by an employee.

The function of the position is the set of routine tasks or activities performed by a person in that position. An employee's title and duties are often closely related, although not all job duties are clear based on the title alone.

Organizational chart elements

The elements are made up of the management positions, the different departments or areas and the corresponding hierarchical relationships between them. With regard to departments or areas, the most common are:

commercial department

Its function is directly related to the marketing, sales, purchases and storage of the company's products.

Industrial department

It is responsible for manufacturing the product, in addition to the development, innovation and research of new products and to improve those that are already in existence.

Finance department

He is responsible for controlling the flow of capital, economic resources and investments that produce profits for the company.

HR department

Its function is to hire and select personnel, apart from processing payroll payments and promotions.

Organization chart structure

The organizational chart by functions is the most appropriate and the simplest for small and medium-sized commercial companies.

In this type of organization chart, each different activity of the company has its corresponding department.

For example, at the top is the general management, immediately below the administration, commercial and production departments. In the same way, within the commercial department could be the sales, purchasing, marketing and warehouse areas.

Each of these levels will have the capacity to respond to the responsibilities and needs of the commercial department. However, on certain occasions they can be altered by the lack of the necessary resources or personnel to guarantee the proper functioning of the company.

Senior management

It is assumed by the management figure, that is, the director, who is going to be in charge of making the important decisions. He is the one who must face the clients, other institutions and the media that are most important to the company.

Middle line

In this line are the managers of the different departments or areas. Its main function is to supervise and train the other employees. Therefore, it must be placed between management and workers.

Operating core

In this space is grouped what the employees of the departments develop, who are going to depend hierarchically on the middle lines.

Job functions

One difference between job title and job duties is that a title is often used to provide the public with a label for an employee. In business cards the title helps to identify the role of a person within an organization.

The functions of the position provide more benefits internally. A job description generally describes the various functions of a particular position that an employee is expected to perform.

General management

It implements the objectives and strategic goals of the company, to give direction and leadership towards the achievement of the mission, philosophy and strategy of the organization, in addition to its annual goals and objectives.

He manages the company to meet the objectives, while ensuring that the policies and direction of the organization are implemented in accordance with the requirements of the country's legislation and regulations.

Industrial management

It ensures production is kept on time, manages workers, and fixes any production problems as well.

Develops and implements production budgets, prepares reports for senior management, and ensures that the department complies with company policies.

Financial management

Responsible for working with the general management of the company to help them make high-level management decisions.

Helps management use financial information to inform business strategy. Transmits information from the accounting department to the management team.

Human resources management

He is responsible for developing and implementing policies related to the effective use of personnel within the company.

It ensures that the company has a proper balance of personnel in terms of experience and skills, and that development and training opportunities are available for employees to improve their performance in order to achieve the organization's objectives.

Functions of the commercial management

The commercial director is an indispensable asset in ensuring that the sales and marketing aspect of a consumer goods company is executed effectively.

He serves as the leader of the company, oversees day-to-day operations, and focuses on the long-term interests of the business.

Seeks new business opportunities and manages functions such as company partnerships, employee reviews and activities, and other matters related to running a business. It plays an important role in marketing or corporate management.

Therefore, you have high levels of organizational skills and the ability to make decisions quickly.

Try

The commercial director in a trading company is in charge of procurement management. This involves engaging with manufacturers and vendors to ensure that the products to be sold are purchased for distribution.

With this ability, the manager negotiates the best possible prices with suppliers, manufacturers, and vendors. It also ensures that the company has access to quality consumer products.

In addition to managing procurement, the business manager also ensures departmental managers adhere to the policies and procedures for procurement.

Warehouse management

Warehouse management in a trading company involves managing storage, packaging, distribution, as well as selling the products.

In large companies, the commercial director uses warehouse management software to track the movement of products from the time they leave the supplier, to their storage and subsequent packaging for sale to the consumer at the point of sale.

Warehouse management also involves managing receipts and ensuring that products are stored in accordance with the company's purchasing policies and guidelines.

Inventory management

Inventory management involves checking the level of stock available to the company. In this function, the commercial manager ensures that the company does not have a shortage of stock or excessive stocks of consumer products.

By monitoring inventory, the business manager also ensures that the finance department accurately prepares budgets. Review these estimates to make sure they clearly explain costs such as logistics, inventory, and freight.

Sales and Marketing

The business manager often works in conjunction with the marketing team. You play a crucial role in the development and implementation of sales and marketing campaigns, especially if you work for a mass market retail store.

Work with the sales team to ensure that this team meets the established sales distribution goals.

A business manager working for a specific brand of consumer goods is also heavily involved in maximizing the product potential of this brand.

In sales, active sales processes are normally carried out, including questions to customers and also product recommendations.

Sales Representative Duties

- Generates income developing the market potential through forecasts, generation of opportunities, qualification and closing of sales, recommendation of new products and services.

- Identify the market potential by analyzing and working with qualified clients.

- Start the sales process by scheduling appointments. Through an initial presentation, understand the client's requirements.

- Close sales by creating a good relationship with the potential customer. Explain the capabilities of the products and services, complete the objections made and prepare the sales contracts.

- Expand sales to existing customers by introducing new products and services, as well as developing new applications.

- Contributes information to the marketing strategy, by monitoring competitor products and customer reactions.

- Recommends new products and services by evaluating current product results. Identify the needs to be met.

- Update your job knowledge by participating in training opportunities.

- Accomplish the marketing and organization mission by completing the required results, as needed.

References

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2. Management (2019). Organization chart of a commercial company. Taken from: gestion.org.
3. Matias Riquelme (2019). Organization chart of a commercial company. Web and Companies. Taken from: webyempresas.com.
4. Diana Wicks (2019). What Are the Responsibilities of a Commercial Manager's Job in a Durable Consumer Company? Small Business-Chron. Taken from: smallbusiness.chron.com.
5. Monster (2019). Job Description Samples. Taken from: monster.co.uk.
6. AZ Govbiz (2019). Job Functions. Taken from: azgovbiz.com.au.