INTRODUCTION TO BUSINESS OPERATIONS

Introduction to Business Operations

Introduction to Business Operations

Final Report

Introduction to the Organisation

Bank of England is the bank of the UK government. It ensures the implementation of monetary policy and advises on methods of policy with the responsibility for its implementation. It also implements the issuance of notes. In addition, it implements foreign exchange operations and supervise the credit institutions. The Bank of England is also the member of the European Monetary Institute.

Functions of Bank of England

The Bank of England maintains accounts of the commercial banks. All the commercial banks in UK need to have a certain amount in the account, and have no right to exceed it. This provision reserves and provides the main source of income of the Bank of England. In addition, other central banks have accounts and keep the gold in the Bank of England. Those banks can conduct business in London through the Bank of England. The government keeps the accounts in the Bank of England. As a result, the payments and taxes in the budget and payments from the budget for social needs pass through the accounts of the Bank of England (Papers 2010, pp. 105-180).

There are a number of functions, which the Bank of England performs. The key functions of the Bank of England are as below:

Commercial banks: All the clearing banks have accounts at the Bank of England. In the operations of the clearing account of clearing banks used the Bank of England. Banks are required to have a certain amount in the account, and have no right to exceed it. (All banks operating in the UK, containing 0.35% of the amount of their deposits in the account (deposit) of the Bank of England). This provision reserves and provides the main source of income of the Bank of England.

Other central banks have an account and keep the gold in the Bank of England and can conduct business in London through the Bank of England.

The government keeps the accounts in the Bank of England. Therefore, the payments and taxes in the budget and payments from the budget for social needs pass through the accounts of the Bank of England.

Needs of the Customers

The customers of the bank can range from the state itself, to industries and businesses. In addition, there are indirect customers, as well. These customers are common man. The needs to the customers can vary from loan for business projects to the state's needs to inject money in the market.

Input-Process-Output Diagram

Identification of the Service or Manufacturing Process Type Used

The Bank of England relies mainly on tradition, not law. A variety of rules and procedures governing the operation of credit and banking institutions established in the order of "gentlemen's agreement" between these institutions and the Bank of England.

The relation between the government and its central bank and private banks enables us to characterize the Bank of England as the "right hand in the City and the City as a representative of the government" (Mishkin 2007, ...