The orphanage is where Annie (character) lives before she lives with Oliver Warbucks. This also where The Orphans live and Miss Hannigan. The orphanage has child labor because everyone except Miss Hannigan has to work from when they get up till when they're asleep. When Grace Farrell visits one day. Miss Hannigan didn't want Annie to stay with Oliver for a week. As his relationship grows with Annie. He decides to adopt her and Annie now lives with him. In the musical he adopts all orphans.
In the book. Oliver adopts Annie, despite this, Annie still gets hurt by Mrs. Warbucks. Who dosen't like her. She got another kid named Selby, from another orphanage and continues to hurt Annie and Sandy. While Mrs Warbucks cheers for Selby. Her husband on the other hand hoped Annie's ok. However once she had to clean up Sandy. In the end she and Selby got along.
In the 2014 film. There's this guy named Will Stacks and he's based on Oliver Warbucks. He once saved Annie's life on the street and as Annie stays with him. There relationship grow. He also found his soft side. If Annie wasn't with he wouldn't find his soft side.