Business management is a set of actions and strategies that aim to ensure the sustainable growth of a business. This occurs through the structuring of processes, strategic planning and financial and tax management , in addition to the administration of human and material resources .
In this process, the company is led to azerbaijan mobile database establish an organizational culture , as well as measure results and identify and correct failures and risks, seeking continuous improvement.
However, an addendum is in order: obviously, we are dealing with a broad concept, since business management involves multiple fronts that need why my list of phone number is better than yours to be well articulated to generate profits.
What are the types of business management?
There are several ways to conceptualize and categorize business management . We can talk about meritocratic, democratic and autocratic management , but the three best-known models are:
- Value Chain
- Innovation Cycle
- Deming Cycle
Value Chain
This type of management analyzes the company’s activities to establish its value to consumers and competitors .
Its goals are to boost profitability, optimize costs and increase the business’s competitive advantage in the market. This proposal was developed review b by American professor Michael Porter in the 1980s.
Innovation Cycle
This management model, based on creative and innovation processes , follows a cycle of 3 pillars: creation, implementation and capitalization of projects.
This type of management also aims to increase competitiveness and streamline processes with quality. The model was proposed by the Austrian economist Joseph Schumpeter.
Deming Cycle
This type of management is based on a 4-step cycle called PDCA (plan, develop, check and act). All actions go through this cyclical and creative process . The model proposed by W. Edwards Deming aims to make management more effective, agile and with continuous improvement.
How important is business management for a business?
Business management is essential to implement good practices in each of the sectors that make up a business.
Not having control over cash flow , not knowing how to establish leadership properly , spending more than revenue and not complying with tax obligations are mistakes that management must avoid in order to avoid bankruptcy .
