PURPOSE OF A REPORT

Report is primarily a source of information to the management or an individual to help in decision making. It can be used also for offering a solution to a business problem. Its purpose can be-

To give information about companys activities, progress, plans and problems. To record events for future reference in decision making. To recommend specific action.

KINDS OF REPORTS
The following are some of the categories under which the business reports are classified1. On the basis of legal requirements: Statutory Reports The reports which are required to be prepared in accordance with the provision of any law are known as statutory reports. Non-Statutory Reports Formal reports which are not required under any law, but are prepared to help the management in framing policies or taking other important decisions are known as non statutory reports.

2. On the basis of formality: Formal reports Formal reports are the reports prepared in a prescribed or recognized form and presented according to the established procedure and through a proper channel. Informal reports Informal reports do not have any uniform structure. They are prepared according to the convenience and requirements of an organization. 3. On the basis of functions: Informational Reports It contains only the data collected or the facts observed in an organized form. It presents the situation as it is and does not contain any recommendation or conclusion. Interpretive Reports It is a report containing facts, evaluation, interpretation or analysis of data and the reporters conclusion. It may also have recommendations for action.

4. On the Basis of Frequency: Routine reports These are reports sent regularly to the management from different branches of the organization in order to feed the management with the facts relating to the functioning of an undertaking. Special Reports These reports are related to a single occasion or situation. A report on desirability of opening a new branch or on unrest among the staff is a special report. 5. On the Basis of the subject: Problem-determining Report In this report we try to determine the cause underlying a problem or to ascertain whether or not the problem actually exists. Technical Report In a technical report, we present data on specialized subject, with or without comments.

6. On the Basis of the Number of Persons: Reports by Individuals These are reports which are naturally related the work in their own departments. It may be a report submitted by the branch manager, personnel manager, personal secretary, auditor etc. Report by a Committee Some reports are needed on subjects that concerns more than one department and associates more than one person with them. 7. On the Basis of Subject Matter: Market Report Report that analyzes and gathers information about the market. Accounting Report Periodic statements which shows financial position of business over a stated period, resulting from business transactions and operation. Production Report Report on production activities of a firm.

OBJECTIVES OF A REPORT

Measuring Executive Performance Reports aim at measuring executive performance and improve the existing performance. Helps in Combating Changes Since business condition go on changing, they pose a serious challenge to the existence, prosperity and growth of a firm. Reports aim at analyzing the impact of business dynamics and how best changes can be used for the benefit of the firm. Information Report gives information about a companys activities, progress, plans and problems. Reports are prepared to help the process of planning in an organization. Controlling In order to exercise control, information is collected about the performance and is sent upwards.

Help in Coordinating The act of coordinating is best performed with the help of reports. Contact Another objective of report is the desire and necessity of being in touch with the customers, shareholders, creditors and the Government. Record Keeping Report records events for future reference in decision making. Recommends Action Report recommends specific action. It justifies and persuades reader about the need for action controversial situation.