Business Administration- An insight

Business Administration

The process of organizing resources – capital and human – to achieve common aims and objectives is said to be administration. It is the process of decision-making to affect performance and managing the operations of the business. It is the top-most function of any business organization. An administrator, commonly, is the general-manager (GM)/company-secretary and reports to the directors of the company board, but that term is now outdated and more recently it includes services like personnel, information-system, and finance management.

In organizational set-up, management comes under administration which is related with the routine and technical essentials in the operations of an organization, and is different from the executive/strategic jobs. Under some other set-ups it is the operational or bureaucratic accomplishment of daily office-tasks, mainly directed inside.

Elements

The administration of any business-organization performs a common set of functions to attain its goals. Henri Fayol has counted them as five-elements of an administration. The process of deciding the course, goals following a priority-order, the organization will take is appropriately called planning. It outlines the whole path, in the short and long run; the organization will take in the time to come.

Organizing entails identification of jobs to perform, assigning them to different departments, and deciding the organizational relations to get a coordinated endeavor, i.e., coordinating, from all directions. The process of deciding the need for human-resources, the hiring process, and recruiting right individuals is said to be staffing.

The attempt to direct people for the proper achievement of the aims, is directing, and, requires the resource-allocation and a good support-mechanism. Controlling looks for quality-evaluation, and, detects and saves from bifurcations. Budgeting, not included in the above five, is also very important and pays a lot.

Different functions

The upsurge in business during the last century has resulted in a several fold in increase in the significance of business administration. Areas like advertising, marketing, human-resource, operations, and finance has enriched the idea of business-administration in its length and breadth, and a student of management opts one among the above mentioned streams of specialization as per his/her likings.

Distribution, sales, and advertising of goods/services is performed by a marketing-manager. Allocation of budget to various heads like capital, investment, profit etc., is done by finance-manager. Human-resource management, hiring, training, promotion etc., is the job of human-resource manager and is very crucial for it selects and employs talented candidates which are a company’s biggest assets. Management of the operations of company at different locations is performed by operations-manager.

Be first to comment


*