Business & Business Environment

Alvin Putra Winata

October 2018

Kelapa Gading
 CONTENT

1. COMPANY PROFILE

1.1. Nestle
1.2.Pt Bionusa
1.3.Arcadia

2. TYPE OF ORGANISATIONS

2.1.Type of Organisations by Sector

2.1.1. Nestle
2.1.2. PT Bionusa
2.1.3. Arcadia

2.2.Type of Organisations by Size

2.2.1. Nestle
2.2.2. PT Bionusa
2.2.3. Arcadia

2.3.Type of Organisation by Scope

2.3.1. Nestle
2.3.2. PT Bionusa
2.3.3. Arcadia

2.4. Type of Organisation Based by Legal Structure

2.4.1. Nestle
2.4.2. PT Bionusa
2.4.3. Arcadia

3. BUSINESS ORGANISATIONS

3.1.Vision and Mission

3.1.1. Nestle
3.1.2. PT Bionusa
3.1.3. Arcadia

3.2.Products and services offered

3.2.1. Nestle
3.2.2. PT Bionusa
3.2.3. Arcadia

3.3.Organisational Structure

3.3.1. Nestle
3.3.2. PT Bionusa
3.3.3. Arcadia

3.4.Business function

3.4.1. Nestle
3.4.2. PT Bionusa
3.4.3. Arcadia

4. ANALYSIS

4.1.Organisational Elements ( Link sector, size, and scope to business objectives and
products and services)
4.1.1. Nestle
4.1.2. PT Bionusa
4.1.3. Arcadia

4.2.Organisational Structure

5. Conclusion
6. References
1. COMPANY PROFILE

1.1.Nestle

Nestle is an international company that provides foods and beverages across the world
internationally. Nestle was first founded by Henri Nestle in 1867 through a developing
process soon in 1905 the company merge with Anglo-Swiss to form that known
currently as nestle group (Nestle, 2019). . In running the business, Nestlé always strives
to be a responsible influence in society and create value for all. In 2011 Nestlé Health
Science and the Nestlé Institute of Health Sciences are established, to research science-
based nutritional products aimed at preventing and treating chronic medical conditions.
Nestlé becomes the first food company to work with the Fair Labor Association (FLA),
to help tackle child labour in the cocoa supply chain. In 2012 Nestlé acquires Wyeth
Nutrition, formerly Pfizer Nutrition, for USD 11.9 billion, to strengthen its position in
infant nutrition. Their company currently are public limited company (plc). Public
Limited Company is This means Nestle stocks could also be found in the stock market.

1.2. PT Bionusa
PT Bionusa or usually names as PT Bio Industri Nusantara is a part of consorcium of
PT. Perkebunan Nusantara (PTPN) III, V, VII, and VIII established at 10 November
1999 (PT Bionusa, 2018). PT Bionusa is part of the public company that been approved
and founded at 10 November 1999 established by 4 part of PTPN agreed to carry out
the establishment of this company. The company purpose on established this business
by the government is to earn profit by good business governance and maintain
customers satisfaction, partners, and stakeholders.

1.3.Arcadia
Arcadia was established at 2010. It is a type of services organisation and offers donation
to bring healthier life to people surround. Arcadia area of business is near around the
are of Washington D.C.
2. TYPE OF ORGANISATIONS

2.1. Sector

2.1.1. Nestle
Nestle is a private own company. They are built without any governmental support
and the government does not own their shares (Nestle, 2018). A private company
is company built by individuals without constitution (Needham & Dransfield,
1996).

Nestle have more than 2000 brand across the world and available in 190 countries.
Nestle have a board of directors lead by the former CEO of nestle which is Paul
Bulcke. Most of the board members of nestle have an experience of CEO in a public
company and managing it (Nestle, 2019). Their value for their shareholders is to
increase cash returns by improving their value as a company. Nestle are composed
and registered as shares only. (Nestle, 2018)

2.1.2. PT Bionusa
Pt bionusa or called PT Bio Industri Nusantara is a part of government owned
company established by 4 part of PTPN and approved by BUMN which is a
state-owned enterprises belongs to Indonesian government (PT Bionusa, 2018).
This shows that this public company everything goes by the government. It is build
as an income for state revenue budget. According to (Dransfield & Needham,
2005)public company is a company that is government owned and run by the
government as it offer public services.

2.1.3. Arcadia
Arcadia is one of the organisations type of voluntary organisations as it business is
not aiming for profit. Arcadia activities regarding to farms are more of engaging
people and community of how important plant is. Their revenue are based of
donation as voluntary as people want via paypal to join their mission (Arcadia,
2019). Voluntary organisation or businesses are type of business that not measure
 profit for a success. It is based on social activity to help people surround or to
improve social in this case is agriculture of how important plants are to life.

2.2. Size

2.2.1. Nestle

Nestle is a large type company size. They have about 308.000 employees as of
2018 and a balance sheets total of 57 million in CFH or about €51 millions (Nestle,
2018). According to (Eurostat Statistics Explained, 2016), Large company are
measures through a minimum of 250 employees and Balance sheets of their
financial report must at least minimum of €44 millions . The data shows that Nestle
is a company that have a large size.

2.2.2. PT Bionusa
PT Bionusa is a medium size company. They have about 40 employee that are
working for them. According to (Birds, 2010) A medium size company have no
more than 250 employee. This shows that PT Bionusa is a medium company.

2.2.3. Arcadia
Arcadia is a small type of companies according to their size. Arcadia is one of the
small company as it is operated with only about 32 employee as farmers and they
have a total of $1.7 million Us dollar or converted about €1.5 million (Arcadia,
2017). Based on (Brussels Economy and Employment, 2016), a small company is
a company that have below 50 employee and the total of the balance sheet ≤€10
millions. This shows that Arcadia fulfilled the criteria of small company based on
European Standards.

2.3.Scope
2.3.1. Nestle
Nestle is an international organisations based on their operating locations. An
international business is the business objective to expand their market to global to
earn profit and ensure the company growth (Gupta, 2015). Nestle is one of the
 international company as it’s business is growing by expanding their market
globally and to achieve more profit to create value for stakeholders (Nestle, 2019).

2.3.2. PT Bionusa
PT Bio Industri Nusantara is one of the national company that is exist as they are
operate through out national wide in Indonesia. Their company based is on
Bandung is west java (PT Bionusa, 2018). This shows that PT Bionusa is a national
company as they are only operating in a single country. According to (BBVA,
2019), national companies are operate throughout national territory even if they’re
headquarters in a specific place.

2.3.3. Arcadia
Arcadia is of the local companies as it’s operated around the Washington D.C area.
It operates locally in the D.C states. According to (BBVA, 2019) Local companies
are type of organisation that measures a company as it is operated in nearby of an
area not larger than a country

2.4. Legal Structure

A company must have a legal structure if they want to start a business. There are 5
different type of legal structures. There are Sole proprietorship, partnership,
Limited liability company, Corporation, and Cooperative. In limited liability
company than are divided into 2 which is Private limited liability and Public limited
liability company.
(Caramela, 2018)

2.4.1. Nestle
Nestle is a company that are registered as a public limited company. Nestle are
registered in the SIX Swish exchange (Nestle, 2019). A private limited liability
company is usually a company that are registered to the market stocks exchange
and could be purchase or sell to the market. ( Consejo General del Notariado,
2010).
2.4.2. PT Bionusa
PT Bionusa is a private limited liability company that are built by the government
and runs by the government (PT Bionusa, 2018). Private limited company could be
private owned company or government company and their shares are not available
in the stocks exchange ( Consejo General del Notariado, 2010). PT Bionusa
company are not registered in the Indonesia Stocks Exchange.

2.4.3. Arcadia
Arcadia is a non profit organisation and included as a cooperative organisation.
Arcadia could be a cooperative organisation because it is run by the founder it
self and for social purposes. Not for profit organizations are build to help the
community by presenting services without aiming for profit (Australian Taxation
Office, 2019). Not for profit organisations also could be conduct as a charity
depends on it’s activities (Neely, 2003). It could be said that Arcadia is a not for
profit organisations.
3. BUSINESS FUNCTION
3.1. Vision and Mission
Each company must have their vision mission. A company must have goals what they
want to achieve in the future as part of their goals. Companies goals are set in their
vision mission as what they want to be in the future and what could they do to achieve
that.

3.1.1. Nestle
Nestle companies vision and mission are to nurture a healthier life for people,
through tastier and healthier products. also continue to focus on providing
information and education to nestle consumers, among others, as noted on each of
our product’s packaging (Nestle, 2019).

3.1.2. PT Bionusa
It’s vision is to become a strong company in the field of providers of production
facilities and services to increase the productivity of agriculture and plantations
based on sustainability (PT Bionusa, 2018). It has 4 Mission which is producing
non-chemical fertilizers, bioactivators and environmentally friendly biopesticides;
Providing facilities to support agricultural and plantation businesses; providing
consulting services to improve the efficiency of the business of Agriculture and
Plantation based on environmental sustainability; and cooperating with mutually
beneficial business partners (PT Bionusa, 2018).

3.1.3. Arcadia
Arcadia vision is to address issues of food access and justice, raise awareness of
healthy life and conduct innovative connections in local area (Arcadia, 2017). their
mission is to improve health to the community, support the viability of local farmers
, and preserve the environment for future generations (Arcadia, 2019).

3.2. Products And Services Offered

Different companies usually have different services and products they offered. Products
and services made this company a business organisation.

3.2.1. Nestle
 Their Products that nestle offers to consumer is a lot they have baby food, bottled
water, cereals, chocolate & confectionary, coffee, culinary, dairy, drinks, food
service, healthcare nutrition, ice cream, and Petcare. They have a view noticeable
brands under their company from the products they offered which is Maggi, Kit
Kat, Gerber, Nestle toll house, Milo, Pure Life, Nescafe, coffee mate, Nespresso,
Friskies, Purina, Buitoni, Dolce Gusto, herta, stouffer’s, Ice cream nestle, Nestle
Nido, Dreyer’s, lean cuisine, Carnation, and S.Pellegrino (Nestle, 2019)

3.2.2. PT Bionusa
The company’s main activity are marketing of different type of product they offered
which is most of them are agriculture products like plants and farms, Business
development especially on fertilizer and medicinal trade industry, trade in plant
materials and agricultural / plantation equipment, and consultancy services. There
5 type of product that they have which is Pupuk Hayati Emas (PHE), Biobus,
Kompota+, KOMPOTA, and MARFU-P. These products are all related to
agriculture product, PHE products are for plantation, food, and horticulture plants
containing active N-free anchovies, phosphate solvents (P), and aggregates, Biobus
products are for soybean plants containing active N-free symbiotic microbial
fastening agents, phosphate solvents (P), fitohormone producers, and
antipathogens; Kompota+ products are for Organic fertilizers from livestock dung
and plant residues fortified with N-free anchors, phosphate solvents (P), and
aggregates;KOMPOTA are Organic fertilizers from livestock manure and plant
residues without microbial enrichment; and MARFU-P are Biofungicides
containing Trichoderma Mushroom controlling stem stem rot in oil palm and white
root mushrooms in rubber (PT Bionusa, 2018).

3.2.3. Arcadia
Arcadia delivers programs that could work to address issues of food access and food
justice, raise awareness about healthy food, and Establish innovative connections
between local, sustainable farms and consumers. They offered services by donation
and membership of individual or family becoming arcadian. Arcadia is located on
the Woodlawn Estate in Alexandria, Virginia (Arcadia, 2019)

3.3.Organisational Structure
 Company business must have an organisational structure. Organisational structure
could be defined as a system of hierarchy in an organisation , each function have each
jobs (Point Park University Online, 2018). Each of the company that is discussed each
have an organisational structure of their owned. There are 4 types of organisational
structure which is Functional, Divisional, Matrix, and Flatarchy.
(Point Park University Online, 2018)

3.3.1. Nestle

(Nestle, 2018)
This is the organisational function of Nestle global. Nestle company have a
functional type of organisational structure mix with product based structure. The
organisation is divided into small groups with a specific task of duty (Point Park
University Online, 2018), The organisation structure above shows that nestle
operating flows all are taken care by the CEO of the company. The CEO than have
to report to the chairman of the board of directors how is the company flow and
how it is operating. CEO have the control of the nestle health and skin department
with the same structure. By using this structure the products and services that nestle
 offer could be control and the supervise well as the CEO are controlling
international into divided by region. Advantage of this structure to the company is
that everything will go noticed by the CEO and every report could be well organized
but at the same time the disadvantages also could jeopardize the company as the
CEO are taken too much responsibilities to the company it could affect the quality
of the products and services that are produce .

3.3.2. PT Bionusa

This are the organisational structure of PT Bio Industri Nusantara (PT Bionusa). As
it could be seen that the organisation structure of PT Bionusa is a functional
structure. RUPS is at the top of the structure, they control everything and receive
report from the board commissionaire how well is the company operated and is it
operate according to the company purpose. RUPS is a general meeting of
stakeholders owners of the company. The board commissionaire duty in the
structure is supervising and control the company flow through the main director and
production director. The main director is responsible for the finance and accounting
department, head of human resource and general, head of marketing, and
procurement department. The director of production is responsible for head of
commercial and head of planning and development. This structure is a traditional
structure as each of department have their main focus on a specific skills set that
 could produce a good amount of fertilizer and a good quality. The advantages of
this structure is that each group of department could focus and their specific task of
skills set in each of the department. The disadvantages is that each department could
make issues in a project mix of for example marketing department and the finance
and accounting department. The marketing need budget to advertise the product as
much as it could cost while the finance and accounting department would want it to
be less cosy.

3.3.3. Arcadia
Board of Directors
 Michael Babin, Chairman
Founder and Managing Member
The Neighborhood Restaurant Group
 Elizabeth Bennett-Parker
Founder
FruitCycle and Together We Bake
Vice Mayor
City of Alexandria, VA
 Lisa Dezzutti
Chief Executive Officer
Market Connections, Inc.
 Alix Burns
President
Bay Bridge Strategies
 Shayna Englin
Principal
Englin Consulting LLC
 Patricia Griffin
Partner
Nueva Vista Group, LLC
 Max Holtzman
Vice Chairman
Capitol Peak Asset Management
  Scott Mulhauser
Visiting Fellow
Georgetown University
 Ian Northrop
Chief Financial Officer
John H. Northrop & Associates
 Sandra Paik
Associate General Counsel
Freddie Mac
(Arcadia, 2019)

Staff
 Erin Close - Mobile Market Director
 Katherine Collins - Production Farm Manager
 Erik Cullen - Mobile Market Operations Manager
 Juan Pablo Echeverria - Outreach and Education Coordinator
 Pamela Hess - Executive Director
 Kenneth Meyers - Farm Operations Manager
 Ivy Mitchell - Farm Education Director
 Matt Mulder - Director of Operations
 Terri Siggins - Project Manager: Live, Eat, Grow, Route 1
 Leah Turner - Membership & Administrative Coordinator

Arcadia organisational structure is a flatter type of organisational structure. The board

of directors and the staff are more of the same only differentiate with their jobs. The
board of directors are more open to the staff. This type of structure advantages is that
they will have easy communication between employee as they all almost have the same
position. The disadvantages is that there is no clear leadership of who is taking charges
of the company to make sure that the company is heading to the right direction as the
company goals. A flatter organisational structure is more simple and do not have a
really complex structure.

3.4.Business Function
 Each organisation have different kind of function. Business function could be defined
as a group behaviour based on a criteria of skill set. Business function also could be
said a group behaviour perform based on business role (The Open Group, 2012).

3.4.1. Nestle
There different function in the organisational structure that nestle have. There are
Chief Executive Officer – Their job is to make sure to make sure that the businesses
are on the right direction and they make big decision that have major impact on the
business, measure the company performance, and the usage of business resource.
CEO job is to measure business resources, selective of resources that are used,
critical thinking of facing an issues, and measure performance on individuals and
key manager (Johnson, 1946)
Organizational Efficiency – Their role is to make sure that the organisation is fully
productive in the way they operates and maintain efficiency on the way to achieve
company goals.
Human resource & Business Services – HR job is to make strategic planning about
the possibility could happened in somewhere in the future regarding to services of
the business. Strategic plan is connected purely to HR Planning that involves in
labour market of human resource and external of products and services (Banfield &
Kay, 2012).
Operations - Operations are responsibilities of the company flow of work and what
are the standard operating procedure that need to be complied. Operations role is to
required products and services to have good quality to be delivered to the customer
based on market desires (Chary, 2009),

3.4.2. PT Bionusa
Head of procurement department – Receive and review products permission on all
sector could be daily or monthly, Shop based on demand, price offer, equipment
supply administration to control of buying accuracy, and do admin registration task
regarding on Administration issues. (PT Bionusa, 2018)

Head of marketing- They are responsible for the marketing to deliver product to the
market to create awareness to the consumer and make relationship to bring loyalty
 from the customer. Marketing job is to make sure to promote the products the
company have (JobStreet, 2019)

Head of Human resource and general – Human resource job is to make strategic
planning about possibilities in the future that could happened to company regard to
resources of labour forces. Strategic plan is connected purely to HR Planning that
involves in labour market of human resource and external of products and services
(Banfield & Kay, 2012).

Head of Finance and Accounting – Finance of accounting of the company could be

divide or could be mix. Their work is to make sure the company cash flow is stable
and reduce the cost to earn more profit. Accounting and finance plays a huge role
in the company as their job is counting on the business profit while reducing the
output cost (Regan, 2016)

3.4.3. Arcadia
Arcadia only have a board of directors and staff.
Board of Directors – Board of director are filled with directors of the company
which conclude the founder, CEO, president, and vice president. Board of directors
responsibilities and jobs are to make sure that the company is on the road to achieve
the company goals and targets that are set. (Cagan, 2017)

Staff- Staff are filled with the workers that are employee of the company. Staff job
are the operators of the company and they work to achieve the target of the company
regards to their vision and mission. (Cagan, 2017)
4. ANALYSIS
4.1.Organisational Function
4.1.1. Nestle
Nestle have a business function that is operating under their chief executive officer.
By having their structure under the CEO their work could be easily control and
produce a good quality of healthy food and each roles of function could work
properly. Each of function have their own roles and responsibilities and supervise
directly all reporting to the CEO that means the company is operating supervised
by the CEO makes their vision and mission could be achieve more easily. Each role
have their job like in the case of there are products that are having problem in the
markets. The CEO as the top of the chain will take the complain and have the
corporate governance to look for what is the complain of the organisation than the
human resource and business services check for the employee process of production
does it have the quality that is measure by the standard operating procedure of the
company then the operates division check on each role of function does the
company operates efficiently based on expectation than each of function report
straight to the CEO.

4.1.2. PT Bionusa
PT Bionusa organisational function each have their speciality of skills set and roles.
Each groups have their chief or head of operating to report and the head of the group
are reporting to each director. This means that their objectives to provide healthier
environment to the surrounding could be easily produce. Each of division also need
to work together as they each know what is the speciality of their skills set could
make the objectives more achievable. If there is toxicated product each of division
have their roles as first it come through the marketing as they have some report on
the post production than the marketing have to talked to the human resource and
financial and accounting to talk about the problem than they work together to solve
the problem than report to the main director as their structure is main director is
middle of the chain.

4.1.3. Arcadia
Arcadia company are filled with 40 employee and staff and board of directors. Their
organisation is flat makes communication more easier between each structure. Their
mission to bring healthier food to the environment is supported by the flat structure,
the communication more easier as their position is almost the same each have the
same goal. Each of function working together to achieve their objectives. Arcadia
work is that in the case of social services that they having problems with the supply
of healthy food than the board of directors have to checked on the problem discuss
with the staff as the staff is below the board of directors than after a discussion a
decision is made than they told the employee to fix the problem and make the supply
more than report it to the staff and board of directors.
5. CONCLUSION
Different companies have different type of organisation based on their sector, size, and
scope. For a company to work they must know what type of organisation they are and
what is their target market by their scope and what type of organisation they are is it
backed up by the government or is it a public sector and lastly what type of size is the
company with the criteria. Different region have different criteria to fulfilled and
different methods. A company always have a legal structure and In the company
environment each have division that work together to achieve the company objectives
and have structure of how the company operate and position of each function in the
structures to make the company operates efficiently.
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