What is business management?
It is not a child’s play to run a business successfully. You may be aware of several popular businesses that started well but failed to survive the tough competition, and gradually disappeared from the scene. For this reason, business management is an important tool for all forms of businesses. Managing a business can be relatively easy if you know the basics of business management.
Business management - The basics
What is the goal of business management?
Basically, it aims at creating wealth for business owners by satisfying the needs of the consumers. Business management is a process that involves the following steps:
1. Market research to find profitable business opportunities.
2. Strategy development to manage marketing, operations, finance, and human resources.
3. Strategy implementation using planning, organising, motivating and control.
It is important that owners manage their businesses in a responsible and ethical fashion. This can be achieved by “going green” and addressing the requirements of the employees.
Different aspects of business management
Employee management
Business managers have the responsibility to recruit, hire, train and even terminate employees. Therefore, their job incorporates creating work schedules, allotting projects, and managing intra-office conflicts. Managers should be a role model for the employees, and they should set an example for organisational growth.
Decision making
A business can succeed or fail based on the ability of its managers to take right decisions at the right time. Effective decision-making skills can improve the efficiency of the organisation. This entails choosing the right people, assigning work to the best fit, and completing tasks based on priority.
Business marketing
Without marketing, a business cannot build its clientèle. Pricing strategies, advertising costs and related aspects are developed only after conducting a thorough market research. Marketing helps in brand building and getting more and more clients.
Financial management
Handling company’s finance is not a simple task; it involves mathematical skills, vision, and understanding of local tax laws.
Business Process Management (BPM)
A holistic approach is essential to align various aspects of an organisation with the requirements of its clients. Thanks to technological advancements, today businesses have the freedom to use Business Process Management (BPM) software not only to address the requirements of their clients, but also to foresee market fluctuations.
