Wednesday, 14 May 2014

Data Flow Diagrams- M1

Data Flow diagram
Data flow diagrams are used to show the flow of information between different functional groups and how this information is used to complete a process. The processes are in a Box and the number located in the top left of the box detonates the process number, the different functional areas are in the circular outlines, the arrows represent the flow of data.

I have completed a high and low level diagram based on the process of ordering new stock. 

Below of a list of some of the different functional areas both internal and external and what they do within a business. 

Functional areas 
Sales-
Sales deal with things like the sales targets of specific items, lists of the stock that they have in each store and customer questioners to see what the customers like and what they don’t like, this information can then be used to gain an advantage over the market hence boosting profits. Sales is often combined with customer services although a company might not have a customer services department but will have sales department or they could have a separate customer services department it depends on the specific business
Purchasing-
The purchasing department deals with buying the goods needed to sell on behalf of the whole organisation, they negotiate contracts and deals from the suppliers to try and get the lowest outgoing cost possible this way they will be gaining advantage as they could be buying the goods cheaper and therefore can sell them at a cheaper price than the competitors brining in new customers and driving profits up
Distribution-
This department is how you get your good to the shops to sell them, they are responsible for getting the goods from the warehouses where they are stored into the shops so that they can be sold, it is imperative that the Purchasing department communicate with them effectively as if there are items that mean you have to change the way you deliver them if the distribution department don’t know this the items could be damaged or put people in danger, such as a heavy object coming into the warehouse and no one was informed someone could put there back out trying to move it incorrectly.
Marketing-
This department is made out of more than one department, these are marketing and advertising in simple terms the marketing department deal with the planning and research around advertising your items and advertising put the marketing’s plan into action. This is when the research that sales do on the prices and competitor prices come into effect as marketing can then decide a good way to market their items to get the biggest sales.  
As you can see communication between the functional areas is necessary for the success of a business, however only communicating and using areas within your own business would be counter-productive as there is information that can help that comes from external sources.
Research-
Research is being constantly carried out by lots of different sources; this information can sometimes be invaluable to companies, such as the example given above so the people who carry out the research will sell their information on to companies so that they can be in the know before other company’s allowing them to gain the advantage.
Government-



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