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 EXAM FOCUS POINT 
There is an article on the ACCA website entitled “Corporate governance: the board of directors and 
standing committees” that is relevant to material in this section.
PER performance objective PO3 requires you to demonstrate contribution to strategy and innovation. 
Knowledge of organisational culture, and working effectively with internal committees on business 
issues and challenges, may help in this context.
BPP Tutor Toolkit Copy

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CHAPTER 6
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ORGANISATIONAL CULTURE AND COMMITTEES 
 
173 
 

 
Research may be 
pure
, 
applied
or 
development
. It may be intended to improve 
products
or 
processes
. 

 
R&D should support the organisation's strategy and be closely co-ordinated with marketing. 

 
Purchasing
makes a major contribution to cost and quality management in any business and in retail is 
a vital element of strategy. The purchasing mix is: 

Quantity 

Quality 

Price 

Delivery 

 
The production function
plans, organises, directs and controls the necessary activities to provide 
products and services, creating outputs which have added value over the value of inputs. 

 
Services
are intangible, cannot be stored, are inherently variable in quality and nature and their 
purchase results in no transfer of property. The people and processes involved in providing them are 
therefore of paramount importance. 

 
The 
marketing function
manages an organisation's relationships with its customers. 
