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COMMON DEPARTMENTS IN AN
ORGANIZATION
The Test of English for International Communication (TOEIC) is an
international standardized test of English proficiency of non-native speakers.
Moreover, this test also examines English skills and knowledge of people
working in an international business environment. Therefore, if you would
like to ace this test, you should have general knowledge of business and how
an organization works. This paper will introduce some common departments
of a company and their purposes.

Human Resources Department (HR)


Main purposes: Recruiting, Arranging other departments’ works,
Measuring the workflow and Providing solutions to issues,
Predicting and Avoiding risk.



Human Resources Department plays a vital role in most
company because it keeps employees safe, healthy, and
satisfied. With proper HR management, there will be a fair and
belonging workplace which excels each individual ability and
performance.

Sales Department


Main purposes: Finding potential customers, Selling the products
or Providing the services to customers in order to earn revenue
(and profit) for company.

Revenue

Profit

All amount of money that a

The amount of money that a

company can earn when the

company earn after

products are sold or the

subtracting expenses from the


services are performed

revenue
Profit= Revenue - Expense

Marketing Department


Main purposes: Determining micro and macro environment of a
company, Finding the demands of customers, Developing a
product (or a product line, product mix) based on STDP
(Segmentation, Targeting, Differentiation, and Positioning) and
4P’s (Product, Price, Place, and Promotion)



In short, marketing department will execute a strategy for
specific product to attract customers.



Marketing and sales department should cooperate with each
other to have the maximum efficiency. The main purpose of this
combination is to control the flow of money and develop an
effective strategy to reach customers demands.
Want

Need

Demand

Not really essential

Essential and

Need+ The power

things. Wants are

irreplaceable things

of Buying.

not permanent and

It means that your

it regularly

demands are what

changes.

you need and you
are able to buy it.


Company
Product
Line 2
Product
Sub Line 2
Product 1

Product
Line 1

Product
Sub Line 1
Product 1

Product Mix

Product 1
Product 2


Accounting Department


Main purposes: Recording and Reporting a company’s financial
transactions, financial performance, and cash flows.



This department usually works with numbers, calculations, and
financial reports.



Accounting equation:
Asset = Liability + Equity
Asset = Liability + Capital - Drawings + Revenue – Expenses



Accounting cycle: