Introduction to Business Management
From hotshot billion dollar companies to your vicinity’s ‘kirana’ shops, the skill of business management resonates in every aspect of business. And not just business, good management is reflected in every avenue in life. There is no denying that managers are the backbone of any system whatsoever. You can be a manager at the individual level as well. But do you have what it takes to be a great manager? Let’s find out!
The World has been witnessing enormous changes with the advent of technology. Now since the world has technically transformed into a global village all business in the world depends on internet and when we talk about the current advancements in technical world it is pertinent to mention that these advancements have led to a considerable competition among various business establishments. Therefore, it would take really efficient and smart business management skills for any company to find better prospects in the market, survive the competition and evolve successfully.
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The managing body should possess certain skills which would make them stand apart from the others. The business management skills should be such which help the company achieve it’s goals and reach newer heights while also keeping in mind the expectations of various organizations and audience to which the company serves. There are various business management skills including Technical, Human and Conceptual skills. One must master all these skills in order to attain a status of having great business management skills.
The term ‘management’ is indeed a wide concept comprising of a diverse array of thoughts and actions. You may be exceptionally gifted, a prodigy even, but that alone is no guarantee of success unless you learn to become a good manager. And the most unique dimension to this skill is that its presence might not be conspicuous, but its absence majorly echoes throughout. Effective managers practice the art of balance so that all ideas become substantial and all actions acquire meaning.
So it’s one tough job, right? Not at all!
Top 10 most essential business management skills
Below are 10 most essential business management skills:
1. Sense of Objective and Direction
There is a very simple question that every manager needs to ponder: If you yourself have an ambiguity about the task at hand, how can you effectively convey it your colleagues? In order to be effective, an individual must define the object and its scope clearly. It is essential that both short term and long term goals are thought of and strategies are devised in inclination of them. Consent of the group and clear communication also hold utmost importance in objective-setting.
Once the destination is set, the real deal is to keep the journey alive. You must make sure that your group is always inclined towards the set objective. Merging group object with personal object can be an impeccable tool to ensure this. If the manager makes the path clear, cohesiveness and cooperation will definitely follow.
2. Communication and Interpersonal Skills
As mentioned in the previous point, clarity of communication is undoubtedly the key to success. The objective, along with an exact enumeration of the possible alternative courses of action should be should be conveyed to the group. It is worth noting that it’s always beneficial to follow a direct and free flow of communication across the entire organization. This ensures delivery of the intended message in its most effective manner without any alteration and disruption.
Also, any apprehensions and risk prospects must be talked through with the group to arise at a consensus, so that positive relationships are built among people.
3. Emotional Intelligence
For every human being, emotional stability and IQ is essential, but for a manager, the stakes escalate way beyond! Emotional IQ basically means your ability to handle situations yourself. It includes aspects like self-awareness, relationship management and stress coping, to name a few. Having and resonating a strong sense of self automatically displays your inner strength to set situations straight. No matter how competent you are, if for example, you keep breaking down at work due to a recent loss of a loved one, people might stop looking up to you for mentoring and decision-making. So, you must always hold your emotions at bay in a professional environment and not let them cloud your opinion.
4. Decision-making ability
The sense of choice is what drives the difference between a good decision and a bad decision. Great decision making calls for the ability to choose rationally, especially in a situation of crisis. The optimum decision is the one that brings in maximum work at minimal cost. When there are equally efficient alternative courses of action available, tailor your own PFA model and implement it:
- Priority: Weigh your priorities carefully according to time constraint
- Feasibility: Make sure the chosen plan of action is implementable and viable in both short and long term
- Analysis: Reaching a conclusion along with the concerned group always helps in better decision making. Critical thinking and cost-benefit analysis can save the day anywhere, anytime!
5. Leadership Skills
Mark Yamell rightly said- “A leader is someone who demonstrates what’s possible.”
In order to excel at business management, you must strive to be a good leader. Leadership comes in all shapes and forms; it’s not confined to just verbal mentorship, but should be reflected through your actions as well. A good leader should set examples for his peers. For example, if the leader is disciplined and punctual, the same habit would be reflected in the people who he inspires. Also, a clear and holistic long-term vision in addition to humility and cooperation is of utmost importance in order to make people look upto you as their natural coach.
6. Motivational Incentives
In a routine work, monotony can prevail, which can lead to the gravest sin in a manager’s endeavour: Loss in workforce productivity. Thus, it becomes imperative for a manager to be a great coach to his team to keep it engaged and driven. But what are the best tools for motivation? Well, rewards and recognition, both financial and non-financial count a lot. Also, if the superior gives guidance on a personal level, the overall motivation level will be high. It is a must to instil confidence in the team about the goals of the organization. Motivation basically helps to incline employees’ personal goals with organizational goals. A positive energy keeps the enthusiasm level of the team high and helps deliver quality output.
It is needless to say that any competitive environment calls for observing a particular risk level in anticipation for greater returns, right? The ability to make a well calculated decision is what differentiates a great manager from a good one. A risk can be both monetary, i.e. directly affecting revenue, sales or profit, and non-monetary, i.e. affecting goodwill, customer relations, etc.
For example, a choice between expansion (adding to the same product line) and diversification (introduction of new product line) involves a risk-return ratio, and you must employ your resources to settle for the most efficient option which reflects more returns over risks. A manager should be daring enough to assume and counter future contingencies.
The fierce race to becoming the best has commenced across all arenas. In this raging competition, the face of industries is changing rapidly. Globalization, the advent of social media, and rapid technological upgradation has called for a complete revamp of the attitude and approach in all organizations. So, learning new skills and adopting rather innovative and edgy solutions should be your new managerial mantra. And as they say, sharing is caring. You must also provide training and necessary guidance to your team to upgrade their skill and knowledge set in order to make them more proactive and productive. And the great part is that doing so lends a sense of empowerment to employees, thereby improving motivation!
The most foundational step in the ladder of managerial success is to be transparent with your team. You must share everything that directly or indirectly concerns your teammates and maintain a conducive environment for dialogue and deliberation. And transparency doesn’t only involve the good stuff. Openly disclosing the risks involved and your own apprehensions always leads to groundbreaking solutions to even the toughest of problems. But, the lack of it may result in ambiguity and confusion. Lack of transparency also breads rumours. For example: If a doctor at a hospital shares the exact procedure of a medical surgery without disclosing the risks and side-effects involved, it may prove to be immensely harmful in the long run.
10. Feedback and Gratitude – Business Management
An individual or a group of individuals are the essence for managerial action to take place, which is why their importance cannot be understated. Therefore, team involvement forms the crux of great business management. You should develop an internal system of regular feedback, wherein you must offer your opinion, suggestions and appraisal to subordinates. This works as a great tool of motivation and enhances their overall performance. It is also essential to widely respect your team and every member’s opinions. This goes a long way in showing your personal sense of modesty and gratitude, and counts a lot as far as interpersonal relationships are concerned.
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The essential business management skills would include proper technical training in the field and some job experience, it would also include enough knowledge of the subject, and practicality of purpose. There have to be certain impersonal skills where in a manager is expected to gain trust of the employees to create a good working atmosphere and work culture. Effective Communication skills are a must for managerial staff for it ensures a proper flow of information within and outside the company and it helps in boosting the economy and status of a company. The manager should effectively lead the team of workers and enhance their capabilities and streamline their duties to ensure productivity. The motivating skills are also a boon for a company. The most important of all are the conceptual skills. The coherent use of knowledge, the ability to analyse and strategize, obtaining good results and solving various problems technically and intelligently help achieve the higher goals. Overall the manager forms the backbone of an organization for the success of a firm depends on how well the management is.