The Office Procedures and Technology

Transcription

1 The Office Procedures and Technology Chapter 1 The Office in a Changing Business World Copyright by South-Western, a division of Thomson Learning

2 The Office Place where business affairs are handled for A company A professional person An organization The main purpose of an office is to support its occupants in performing their job At minimum cost To maximum satisfaction

3 Offices are Information Driven Information Facts or data summarized or organized into meaningful form It is the core of all office activities Examples of handling information Writing a policy for sales returns Accessing the Internet for stock prices Answering inquiries by telephone

4 Key Office Activities Creating/analyzing information Searching Composing for memos, information letters, and reports Organizing and interpreting data Processing Accessing information databases, an intranet, or the Making Internet decisions based on information studied Communicating Keyboarding, editing, information and proofreading Inquiring of persons within and outside the Managing Preparing communications, databases, and company Answering information telephone calls and greeting callers spreadsheets Using Responding Maintaining reference calendars to inquiries manuals and books Photocopying and reviewing communications Delivering Maintaining presentations databases and or giving files instructions Maintaining financial records

5 Technology in Offices Technology is used by all office workers Intranets aid in sharing and communicating information within organizations The Internet creates a global business community Many workers telecommute from alternative offices Key Term Telecommute: the practice of working and communicating from a remote location

6 Alternative Offices Virtual office The capability to perform work activities away from a traditional office setting Remote Satellite or Projector Rooms Mobile office An office located at a temporary site that can move from place to place Home office Space within a home organized for performing office tasks

7 International Virtual Assistants Association Starting a Virtual Assistant Business article:

8 Predictions We are currently living through one of the most rapid changes in how we work In order for a company to stay competitive they must: Hire dedicated workers Keep up with the newest technology Being willing to change

9 Understanding the Organization Will help you make sound decisions when completing your work Learning from your work Correspondence Reports Learning from resources available Annual reports Which means you have to play an active part in this process!! Company s mission statement and goals

10 IRS Definition of a Business A business is where goods and services are exchanged for money

11 Business Structures

12 Business Structure Importance Choosing the proper legal organizational structure for a business is very important It can impact the owner(s) on a daily basis Income taxes When they want to borrow money or attract investors If and when a business is taken to court

13 Basic Forms The following are the basic forms of business ownership in the United States: Sole Proprietorship General Partnership Corporation ("C Corporation") Corporation ( S Corporation ) Limited Liability Company (LLC) Non-Profit Corporation Governmental units seek to provide services

14 Sole Proprietorship Advantages Means that the business owner operates as an extension of themself The profits and losses of the business are taxed to the owner No separate business filing The owner is personally responsible for any liabilities of the business The major advantage is that it is the simplest and least expensive structure Very little government regulation!!

15 Sole Proprietorship Disadvantages If someone sues the business: For breach of contract Personal injury Collect a debt Courts can directly levy the personal bank account and other property of the owner

16 General Partnership Means the business is owned by 2 or more people Profits are taxed as income and is based on their ownership percentage in partnership agreement Each partner is responsible for the full amount of all liabilities of the business The partnership itself is not subject to any income or franchise tax Control of the business is done jointly each having an equal vote Advantages there are no state filings are required to create the business entity, nor are there any ongoing reporting requirements Very little government regulation!!

17 Limited Partnership The basic structure and tax implications are the same as for a general partnership with one major exception: Allows for one or more limited partner to own a portion of the business These limited partners do not participate in the management of the business The partnership must have a General Partner who has personal liability for all liabilities of the partnership This structure allows a partnership to have outside investors without subjecting them to the liabilities of the business

18 Corporation ("C Corporation") Is a legal entity created under state law This entity has its own rights, privileges and liabilities A corporation is: Owned by one or more stockholders Managed by a board of directors, who are elected by the stockholders Officers appointed by the board of directors, conducts the day-to-day operations A single individual can be the sole stockholder, director and officer of the company

19 C Corporation The stockholders, directors and officers of the company are protected from the liabilities The profits and losses of the corporation are not passed through to the tax returns of the owners The corporation files its own tax return and pays its own taxes It may also be subject to state franchise taxes or other annual fees Advantages to choosing a C Corp is the business structures are based on saving money on personal taxes Have a great deal of government regulations!

20 S Corporation After the corporation has been formed stockholders elect "S Corporation" status with the IRS This IRS code permits it to be taxed at the rate of an individual The profits and losses flow through to the federal tax returns of the owners Have the protection of limited personal liability without having to pay corporate taxes This structure is generally preferred over a standard corporation when most of the shareholders are manage the daily activities Self-employment tax and FICA tax are less. Makes it easier to raise capital as a corporation than as a sole proprietorship or partnership Have a great deal of government regulations!

21 Limited Liability Company (LLC) An LLC is a hybrid of a corporation and a partnership The ownership percentages, profit and loss distributions, and voting powers of each member are determined by its Articles of Organization An LLC can choose to be taxed like: A partnership or S Corporation with profits and losses flowing through to the owners tax returns OR like a C Corporation, filing its own return The owners/officers/directors are protected from the liabilities of the company, as in a corporation Advantages are its low cost to create and maintain while still offering the protection of a corporation

22 Non-Profit Corporation A non-profit corporations may be an industry association, a social organization, a research firm, or even a consulting group It does not have to be a "charity", per se It can sell products or services It can also have employees, and those employees can be paid fair market value for their services The difference is that there are no owners, and any "profits" are simply retained by the corporation to be reinvested Advantages are see their vision come to life

23 Governmental Units These types of units can be local, state, and national levels Are responsible for services such as fire/police Different names: Agency Commission Bureau Department Boards Examples Environmental Protection Agency Marriage License Bureau Board of Education

24 Let s check out the Secretary of State for California for it s regulations at:

25 Organizational Goals Differ greatly but knowing them will influence the work you perform

26 Measuring Organizational Goals Businesses ~ Seek Profits Nonprofits ~ How good they are at providing their services Governmental ~ How well they serve the citizens

27 An income statement shows a company s profit or loss for a period of time

28 Balance Sheet Tracks Accumulated Net Wealth: Assets Current Assets Checking 12, Accounts Receivable 1,380 Total Current Assets 13, Equipment 12, Total Assets 26, Liabilities & Equity Liabilities Current Liabilities Credit Cards 2, Sales Tax Payable Total Current Liabilities 2, Bank Loans 10, Total Liabilities 13, Equity 12, Total Liabilities & Equity 26,326.16

29 Structure of Organizations Board of directors Establishes policies to guide company operations Senior management Provides direction in carrying out policies Middle management Directs day-to-day activities Department employees Perform tasks to meet the organization s goals

30 An organization chart shows the structure of a company

31 Focus On Employee Empowerment Enables employees to make decisions without review by managers Allows fewer levels of middle managers Requires that the worker understand the company Facilitates working in teams Increases job satisfaction