Functional areas of business pdf

It is also called operational management or functional areas of management. The functional areas of a business are the different domains that manage essential functions. Marketing, which is an essential department of an organization can affect on the business very deeply. For example, a companys sales department is a common functional area, and the staff in this area would all be. Name the main functional areas of operation used in business differentiate between a business process and a business function identify the kinds of data each main functional area produces identify the kinds of data each main functional area needs define integrated information systems, and explain why they are essential in. A new theory of the firm is proposed that attempts to specify the role of marketing and the other functional areas in the goal setting and strategic planning process. In that, all the major parts like trade, commerce, industry and allied services are being included. They are structured according to certain business requirements and these departments will vary depending on the type of business being practiced.

Functional units generally operate independently to produce outputs that become key. Some basic functional areas such as marketing and finance are. All businesses must carry out a number of finance and accounts functions to. Get an answer for what is the importance of an organizations functional areas to the strategic management process and why must the functional areas be integrated during the four phases of. Functional area of business refers to the academic discipline of accounting, finance, marketing, personnel study or human resource. Inter disciplinary approach of management widens the functional areas. But as your business grows, you will have so much to do that youd want to delegate different tasks to employees who belong to the various functional areas of business. Identify the three major functional areas of operations. The key functional areas of a business are the following. Generally, the six functional areas of business management involve strategy, marketing, finance, human resources, technology and equipment, and operations. What are the functional areas of management answers. For example, a companys sales department is a common functional area, and the. Tesco must operate by using their functional areas without these areas there wouldnt be much of a business.

Accordingly, the four main functional areas are integrated and interrelated. Knowing the different functional areas of business is a basic knowledge that every entrepreneur needs to have. For a smooth business operation, certain functional areas need to be deployed. As being management, a social and universal process, its area is very wider. Chapter one business functions and business processes. Functional areas of business introduction to business deprecated.

Strategic management for main functional areas in an. What is the importance of an organizations functional. One of the reasons for separating business operations into functional areas is to allow each to operate within its area of expertise, thus building efficiency and effectiveness across the business as a whole. Functional areas of business are fundimental to a successful company. Doc 4 functional areas of management sangeeta singh. The reason for identifying those was not to describe exhaustively all relevant types of management activity but rather to investigate their key requirements and to address those through generic standardised management infrastructure. Functional operations are usually set up as units that contain the expertise on a specific area of the business. In order to perform the tasks concerning of these major parts, there are different segments called the functional areas.

Part of a business growth is the deployment of separate departments which functions with specific focus and definitive path. They always work together and interact with each other. The main ones you are likely to meet in business are shown below. In a large organisation, it is usually easier to identify separate functional areas because people work together in departments. Functional areas of management 15 major functional areas of management. It would be more efficient to group people according to skills. Pdf since the early 1980s relationship marketing theorists have increasingly underlined the need to ensure harmonious interfunctional relationship. Each department carries out the tasks that relate to its particular area.