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All individuals have wants. Some individuals require additional goods than others. The want for Commodities and services is connected to the stage of social development and the exchange capacity of people .The under-developed countries have more emphasis on necessities, whereas developed countries have more demand for luxuries. The business plays an important role in the social development. It provides means of livelihood by creating job opportunities too. People depend upon what the business is producing. The standard of living of the individuals is also linked to the progress of business. If there are qualities goods the individuals will be benefited by their use. A business has to coordinate a number of factors of production for achieving a given objective. All factors are evenly important for making the enterprise a success. Different departments should work in coordination with each other and organization and financial planning should be properly determined. Prerequisites of a successful business are meanwhile listed below:- Setting objectives: The setting up of business objective s is the first thing to be done by the management. One must know as to what to be done. Only after deciding the objectives, the ways and means will be determined to achieve objectives. If it is a producing business, the nature of the product to be produced, whether to produce the whole product or part of it, should be decided. It is not only the management which should be conversant with the business objectives but every person in the concern should know the aims and goals of the business. Proper planning: After determining the objectives, the work must be planned in all its perspectives. Planning includes forecasting and laying down the course of action. It involves planning for both present and future. What is to be achieved and how it is to be achieved is of primary significance for the present. The future is each time uncertain and the estimation of future happenings is not very easy. In planning for the future, an effort is made to estimate the future uncertainties and determine the possible course of action for the coming period. Thus, planning also helps the management to prepare itself for facing the uncertainties of tomorrow. Sound Organization: Organization is a composition by which tasks are assigned to employees so that their individual efforts contribute in actual fact to the achievement of clearly defined purposes. The duties and responsibilities of all persons are defined and they ought to know what they are to do because effective organization system is essential for the success of a business. Firstly a resolution should be made about the form of ownership. Then a suitable internal organization should be developed. No Job should be left unassigned and the supervisors and subordinates should recognize their role in the organization. Proper financial planning: The required finance and its possible source should be available at all times for starting the enterprise. The purpose of financial planning is to make sure that adequate funds are raised at the smallest possible cost. The obligatory capital ought to be made available all times or else, it will shackle the work. . Location and layout: One of the eminent decisions to be made by the management at the time of starting a concern is regarding the location of the plant. The plant should be located in a place where all factors of production are available at lowest cost. After location, a decision is made concerning the layout of the plant. The setting up of machinery and equipment should be systematic so that the flow of production should be smooth and uninterrupted .The office and warehouse should be located near the factory. http://www.ogolben.blogspot.COM
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