Centre for Teaching and Learning

Business reports
Reports describe, analyses, and investigate a situation for a particular audience.
They have a formal structure and common sub-sections.

Business reports are a type of assignment in which you analyses a situation or problem
(either a real situation or a case study) and apply business theories to produce a range of
suggestions for improvement.

Business reports are typically assigned to enable you to:

• Examine available and potential solutions to a problem, situation, or issue.
• Apply business and management theory to a practical situation.
• Demonstrate your analytical, reasoning, and evaluation skills in identifying and
weighing-up possible solutions and outcomes.
• Reach conclusions about a problem or issue.
• Provide recommendations for future action.
• Show concise and clear communication skills.

Remember that with business reports, typically, there is no single correct answer but several
solutions, each with their own costs and benefits to an organization. It is these costs and
benefits which you need to identify and weigh up in your report.

Further, when writing the report, you need to consider the audience you are writing for:
is it the CEO or will the report be available to all staff concerned? It is vital that you ensure
an appropriate level of formality, sensitivity, fairness, and objectivity. Also, be mindful of
the audience when writing recommendations. For example, your manager may not be
able to influence company policies.

General format of a business report

Check your assignment instructions regarding which sections you need in your report.
Also determine whether you are writing an inductive or deductive report (see page 3).
 1. Letter or memo to the client
2. Title Page
3. Executive Summary
4. Table of Contents (if required by your lecturer)
5. Introduction
6. Discussion
7. Conclusions
8. Recommendations
9. References
10. Appendices (if required)

There are conventions relating to what goes into each section. The purpose of these
conventions is to save the reader’s time. If the reader just wants to know what your key
findings are, they can turn immediately to the Executive Summary or the Conclusions section.

Business report – middle sections

Business reports typically adopt the sections listed below. The order of these sections
varies depending on the subject and whether it is an inductive or deductive report.
Business reports will also need a reference list, and sometimes a covering letter,
covering memo, and / or Executive Summary section.

Introduction

 State the purpose or aim of the report, which may include who has commissioned it.
 Provide background details relevant to the situation, such as a brief overview of
historical developments, as well as definitions of any terms that are unlikely to be
recognized by the audience.
 Summaries the problems and recommended solutions.
 Clarify any limitations, restrictions, and/or assumptions made in undertaking your
investigation of the situation, such as restrictions on time, lack of money, limited
access to information and people, and/or assumptions made about the
organization because of the lack of information available.

Discussion
This section is traditionally allocated the most marks. It is generally the only section
where you are able to support your analysis and reasoning with theoretical ideas,
concepts, and models available within the course. Secondly, it is the only place where
you can actually provide evidence to back up your conclusions and recommendations.
Therefore, ensure that you draw on evidence from the literature, course materials, as
well as your own observations from the actual case or organization, where applicable.
A key task of the discussion is for you to be able to identify the problem(s) and then
consider a range of possible solutions.

Conclusions

 This is arranged as a numbered or bulleted-list.

 Match each point in sequence with the list of recommendations.
 Each point provides a brief summary of one of the problems outlined in detail in the
report.
 Ensure each point links with the report's objectives.
 Write each conclusion in the present tense.
 Each point needs to be specific and clear.

Recommendations

 This is also arranged as a numbered, bulleted-list.

 Each recommendation should appear in sequence with the order of points in the list of
conclusions.
 Each recommendation should provide a response to each problem
identified in the list of conclusions.
 Each recommendation should be action-oriented, concise, and clear.
 Each recommendation should also be realistic and feasible within the social,
economic, and political climate.
 Write each recommendation in the future tense, as appropriate.

Inductive vs. deductive reports

The order of the report sections will depend on whether you are required to write an
inductive or deductive report. Most assignments at Massey are inductive. Check your
assignment instructions.
 Inductive report

Introduction Discussion Conclusions Recommendations

Deductive report
Introduction Conclusion Recommendations Discussion

Inductive report

Such reports go from the specific to the general and are ideal for an audience who has
the time to read the report from cover to cover. They are also used in instances where
the findings may be somewhat controversial, hence, the need to demonstrate your
reasoning and evidence (as laid out in the discussion) for the rec-commendations
decided upon.

Deductive report

In contrast, in a deductive report you move from the general to the specific. This type
of order is effective when faced with an audience who does not have time to read the
whole document, but can access the conclusions and recommendations. Consequently,
such an order is also appropriate for reports which are not contentious or unexpected
in their decision outcomes and recommendations.

Executive Summary

Executive summaries are being used increasingly in reports. A useful summary

condenses the essence of the report so that the reader can quickly grasp the report’s
aims, objectives and main findings (with key recommendations if the report is an
action plan).

Example Executive Summary

Agri bus Consultants were commissioned by Mr. and Mrs. Stuart to prepare a financial man-
agreement plan for the 1994/95 season for situations where the existing horticultural opera-
ton was maintained and where a neighboring 10 ha property with 3-5 year old apple trees
was purchased
The forecast cashflow budget for the existing and expanded orchard businesses were based
on current levels of production and MAF Policy forecasted prices (May 1993) for various apple
varieties and grades. Total production of apples would increase by 30,000 tray carton
equivalents (100%) if the neighboring orchard was acquired. These would be produced
between March and May. The net cash surplus would increase by 120% to $60,000 with the
expanded operation. Economics of scale for labor and machinery, and a better varietal mix
(20% more Braeburn) would contribute to the proportionately greater returns.

It is recommended that arrangements to purchase the property proceed forthwith. It will be

necessary to arrange a 10-year loan of $100,00 to purchase the land and buildings.

Appendices

Material that is complex and/or detailed (sometimes raw data, or a copy of a

questionnaire) is collected at the end of the report in the Appendices section (to not
distract readers from the main theme). Appendices should always be given a number or
letter, and title (e.g., Appendix A: Map of the Manawatu region).
 Example of a Memo

MEMORANDUM
TO: J R Farron, Director Agriseeds
FROM: J M Clarke, Marketing Manager
DATE: 16 July 2011
SUBJECT: MARKETING PLAN 2011/12

Please find enclosed the report requested by you

14 July 2011. The purpose of the report was to quantify the physical and financial benefits of the new grass variety
you plan to release next year.

The enclosed reports show that the new ryegrass cultivar should increase winter and early spring pasture dry
matter production by 5 and 10% respectively. This could increase the gross margin for a bull beef policy by
$2.00/su, providing 75-80% of the extra pasture grown is utilised.

I would like to thank the members of my division for the time and energy they put into this analysis.

Please contact me if you need further information.

Example of a Covering Letter

AgriBus Consultants
P O Box 994
Palmerston North

16 July 2011

Mr and Mrs Stuart

“Takitaki” R D 3
Hawkes Bay

Dear Mr and Mrs Stuart

Please find enclosed the report you authorised on

14 July 2011. The purpose of the report was to present a financial plan for your estate for the 2012/13
period.
The main finding of the forecast budget was that a cash surplus of $25000 should be generated after tax, debt
servicing and capital improvements have been paid. The analyses suggest that vehicle costs and accountancy
fees are about 50% higher than for comparable farms in your district.

I would like to thank you and your staff for the help they have given me in providing information on which
to base my analysis.

If you need any further information, please feel free to contact me. I would be happy to investigate
whether the potential expenditure savings identified earlier can be realised.

Yours sincerely

[signature required]

J M Clarke
AgriBus Consultant

ASSIGNMENT TYPES
Further information is accessible from the Online Writing and Learning Link (OWLL): http://owll.massey.ac.nz/
You can also make an appointment with a consultant at the Centre for Teaching and Learning to talk
about academic writing or learning skills: http://learning.massey.ac.nz/