Business management is a discipline that is devoted to analyzing, organizing, and strategizing various business operations. It includes plenty of things like money, machines, production, innovation, and marketing, etc. In a corporate environment, business management includes directing or leading the people and controlling or managing the organization.
There are a lot of branches of business management that serve different purposes. They are divided based on their core characteristics. However, some of their functions can overlap.
Types of business management
There are eight types of business management in total. These are:
- Financial management
- Human resource management
- Production management
- Marketing management
- Strategic management
- Service management
- IT management
- Operations management
Let us discuss them in detail.
- Financial Management: Financial management is one of the most important types of business management. It deals with finding the balance between profit and loss to understand the growth of the business. It involves coordination between accounting, banking, investing, etc. A business management course in financial management leads to jobs like finance officer, financial analyst, financial advisor, etc.
- Human Resource Management: Human resource management focuses on recruitment, management, and direction of people working in an organization. The main duties of human resource management are compensation, benefits, safety, and wellness implementation in the organization. Earlier human resource management was focused only on personnel administration. However, these days it also includes strategic utilization of employees and implementation of employee benefit programs to add value.
- Production Management: Production management involves decision-making about the manufacturing of products and services. Methods, Machines, Materials, and Money are the four M’s that production management revolves around. A business management course in production management ensures good scope in this field. To ensure that production is at the optimal level, production management focuses on inventory control and employee training. Research and development processes for the growth of the organization also come under production management.
- Marketing Management: Marketing management deals with the managing of marketing resources and activities of the organization. Strategy, brand management, pricing, etc. are all part of this branch of business management. Effective marketing management ensures maximum ROI for the business. The major areas of marketing management are competitor analysis, company analysis, collaborator analysis, and customer analysis. The scope of marketing management depends on the size of the business.
- Strategic Management: Strategic management involves the execution of strategic thinking in major activities of the organization. Many other branches of business management such as finance, operations, and marketing use strategic management for their optimal performance. It helps to see the ‘bigger picture’ of the organization.
- Service Management: Service management roles differ from organization to organization. Generally, it involves automated systems and skilled laborers for the effective execution of a task. It helps the business understand its products and services from the consumers’ perspective. A business management course in this branch leads to job roles like mechanical maintenance manager, service manager, Project leader - service management, etc.
- IT Management: IT management is the management of the technological resources of an organization. IT management modify the technology of business to align it with the strategies and goals of the business. Service, IT configuration, and financial management are the key elements of IT management. They implement and administer the information and communication technologies of the business.
- Operations Management: Operations management’s role is to ensure that all the operations in every department of the organization are running smoothly. It involves dealing with different processes, strategies, and departments. It makes sure that the development and utilization of resources are happening properly within the organization. The functions of operation management can vary depending on the business and industry.