What we knew about business management in the past is different from how we approach it today. Innovation and the introduction of automation resulted in global shake-ups on how businesses and companies do business.
Despite these changes, we still follow the same principles, but we have incorporated an evolving discipline allowing us better platforms when managing a business. Here are the timeless principles of great business management.
Five Functions of Business Management
No matter what service or product you provide, there is only one set of business management functions. It also does not matter what industry you are in. The five functions of business management accordingly are Planning, Organizing, Leading, Staffing, and Controlling.
You must be able to follow through in every function to make sure the solidification of your business and that it has capacity, sustainability and continuity. Right from that start of coming up with a business plan, you need to look forward to how you will evaluate your progress.
Following these functions will allow you to determine what is working and what is not. That is where you capitalize for growth.
Be a Specialist
Most business owners, managers or CEOs these days are generalist meaning they are flexible when it comes to different factors and sectors under the business they manage. But, if you really want to know your business and we mean fully understand it through its core, then become a specialist.
Focus on your business and the growth of it. Some businesses provide services and products to different industries. For example, you provide IT solutions. You then have a wide target audience but your audience is specific when it comes to acquiring your services.
Focus on what you can provide fully and efficiently instead of trying to expand your business to cover more platforms. Expand by improving your core function.
Identify Management Roles
When your business starts to take off, one or two minds can’t handle what is coming. Growth results in more profit but it will also generate more demand from existing and new customers.
To keep up with growing demand, you need to make sure that your management is well-organized and that personnel are well aware of their role.
Never mix management and this is where we stay away from the method of multi-tasking. Make sure to establish a focus among all managerial staff. Them being able to efficiently handle their main responsibilities will benefit the business or company as a whole.
Make sure to avoid unnecessary roles as much as possible and to avoid work redundancy that may result to profit loss and weak ROI.
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