Business management is the management of an organization, be it a private company, a public non-profit agency, or a government entity. It involves the process of planning, organizing, leading, and controlling the business. The term also encompasses aspects such as financing, production, sales, marketing, and financing of the enterprise. The management style may be top down, bottom up, or an inclusive mix of all three. A manager is usually a highly specialized individual with managerial skills and expertise who has been trained to handle various aspects of business affairs.
The basic function of a business management manager is to set the goals and the plans for achieving them. He prepares the annual plan and financial forecasts and makes sure that the objectives are fully defined and the resources are in place to achieve them. The manager must also be able to plan and perform budgeting and financial activities. Financial management involves setting financial goals, determining what will be done to achieve them, and monitoring and analyzing how they are being achieved.
There are many areas of business management that require different degrees and special training. For example, there are human resources, which include hiring and training employees, and managing payrolls; marketing, which entails advertising and promoting products; accounting, which entails keeping track of financial transactions and activities; project management, which involve coordinating and accomplishing multiple tasks related to projects; and technology management, which entails designing and implementing new systems. Business managers can obtain additional education by enrolling in graduate business management programs offered by many accredited colleges or universities.
Business managers need to accumulate a large set of basic resources. These resources include information about the organization that he or she is managing, his staff, and the external environment. One basic resource that business managers should always have on hand is time. Time is essential for conducting business. Business managers should also have access to written and oral communications from other experts in the field and from other business managers.
At the graduate level, business management areas that require a lot of time to learn are accounting, marketing, and operational management. These managerial subjects require students to conduct research, interact with decision makers, evaluate and communicate about organizational policies and procedures, and develop and implement plans. At the master’s level, these business management areas require specialized knowledge acquired through internships or experience in functional areas. To further enhance one’s knowledge, one can participate in either formal or informal management experiences in various functional areas.
Business managers who wish to specialize in accounting can either get a bachelor’s degree in accounting or go to graduate school and earn an MBA. An MBA is usually chosen over a bachelor’s degree because it enables business managers to perform more complex tasks that a bachelor’s degree could not accomplish. Graduates of business management programs who want to become auditors must also take a series of standardized tests prior to being certified. After becoming certified as an accountant, business managers can work as an auditor in a variety of organizational settings, including government agencies, hospitals, financial institutions, insurance companies, and insurance brokers.