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Commerce · Ch 2 — Objectives of Business

Human (Organic) Objectives of Business

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Human (Organic) Objectives of Business

4. Human (Organic) Objectives of Business

Human objectives concern the people who work FOR the business — its employees — and the well-being a business owes to them in return for their labour. "Organic" is added to this heading because a business, like a living organism, must also look after its own internal health, growth and survival if it is to continue existing at all — and a business's people are central to that internal health.

Human objectives towards employees:

  1. Fair wages and timely payment — paying employees a wage that fairly reflects their work and skill, and paying it on time, is a basic human objective; delayed or unfairly low wages damage both morale and the trust employees place in the organisation.
  2. Good and safe working conditions — providing a physically safe workplace, reasonable working hours, and a healthy environment is both a legal requirement in most cases and a genuine objective in its own right.
  3. Job satisfaction — beyond wages, employees need to feel that their work is meaningful and that they are treated with respect and fairness; job satisfaction reduces staff turnover and improves the quality of work produced.
  4. Training and development — helping employees build their skills, both for their current role and for future advancement, benefits the employee directly and also improves the business's own efficiency over time.
  5. Employee participation in decision-making — involving workers in decisions that affect them (through suggestion schemes, worker committees, or similar arrangements) gives employees a genuine stake in the organisation's success.
  6. Social security — providing welfare measures such as provident fund contributions, insurance, and gratuity gives employees a measure of financial security beyond their monthly wage.

Organic objective — growth and survival of the enterprise itself. A business, once established, does not remain static — like a living organism it must continue to grow (in scale, in markets served, in the range of what it offers) simply to survive in a changing, competitive environment. An enterprise that stops growing altogether typically starts to decline relative to competitors who continue to expand and adapt; ensuring the organisation's own continued survival and healthy growth is therefore treated as an objective in its own right, closely tied to how well the human objectives above are being met — a business that treats its people well is also the business best placed to grow and survive.

Note

Human objectives and economic objectives reinforce each other …

Definition 1Job Satisfaction

The sense employees derive from meaningful work, fair and respectful treatment, and recognition — a human objective that reduces staff turnover …

Definition 2Employee Participation in Decision-Making

Involving workers in decisions that affect them, through suggestion schemes or worker committees, giving them a genuine stake in the …

Definition 3Organic Objective (Growth and Survival)

The objective of the enterprise's own continued growth and survival over time, treated like a living organism that must keep adapting to a changing en …