BSc Business Management BMP3004: Examining Functional Business Areas

This essay provides an overview of the functional areas within a business, focusing on marketing, human resource management, customer service, finance, research and development, and sales. It defines business and its various forms, emphasizing the importance of functional areas in achieving organizational efficiency. The essay details the roles and responsibilities of each functional area, highlighting the skills required for employees to perform effectively within these departments. Specific skills such as communication, problem-solving, negotiation, empathy, accounting, time management, and product knowledge are discussed in relation to their respective functional areas. The essay concludes by underscoring the significance of these functional areas in contributing to the overall success and profitability of a business. Desklib offers a platform for students to access similar solved assignments and study tools.

BSc (Hons) Business Management with
Foundation
BMP3004
World of Work
Functional Areas
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Contents
1.0 Introduction p
2.0 What is a business? p
3.0 What is Functional areas of business – Definition
p
4.0 What are the key functional areas of a business?
P
5.0 Description of the various functional areas in business
organizations p-p
5.1 Marketing p
5.2 Human Resource Management p
5.3 Customer Service p
5.4 Finance p
5.5 Research and Development p
5.6 Sales p
6.0 Description of the types of skills needed by employees
to be able to work effectively in these functional areas
p-p
6.1 Skills needed by Marketing employees p
6.2 Skills needed by Human Resource Management employees
p
6.3 Skills needed by Customer Service employees
p
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6.4 Skills needed by Finance employees p
6.5 Skills needed by Research and Development employees
p
6.6 Skills needed by Sales employees p
7.0 Conclusion p
References p
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1.0 Introduction
Business involves a deep understanding that makes one's living in a better way. It can be
done by making money by creating, purchasing and selling of goods and services. In other
words, it is an activity that turned business into profitable organisation. This assessment is
based upon different functional areas of organisation. It is based on a case study of John
who is looking to start a new business in local market (Freeman, 2018). For such, he is
requiring a deep understanding of different functional areas as well as required skills to
work effectively in a new business.
2.0 What is a business?
The concept of business is wide in nature as it comprises of commercial, professional and
industrial activities. Business can include various range such as sole proprietorship,
partnerships, corporations or limited liability companies. It can run to make profits for
entities or it can be a non-profit organisation such as charity. There are various small
business that operates in a small industry and others which are operated on large scale
across several industries throughout the world.
3.0 What is Functional areas of business - Definition
Functional areas of business refers to a group of people who have similar expertise and
skills. There are several reasons for which organisations organise by functional areas. It
creates efficiency when all members who have similar skills work together (Greenwood,
Rogerson and Wright, 2021). They can easily team up on activities needing their
proficiencies as well as will have back up member if one employee is not able to complete
their work.
4.0 What are the key functional areas of a business?
There are several functional areas of business which assists an organisation to work
effectively and efficiently. Functional areas such as research and development, human
resource management, sales, marketing, customer service, finance and many more. Each of
these department perform their projects in a productive way, not as a single unit but as
whole unit.
5.0 Description of the various functional areas in business
organizations
5.1 Marketing:
Marketing includes all such activities to identify the needs and wants of customer and
design goods and services that satisfy those needs. It also encompasses promoting brand
and its offerings, determining how it will be distributed in the target market as well as
creating pricing strategy to cover the market while improving its competitive edge
(Holloway and Humphreys, 2019). Now a days, social media marketing is one of the
impactful tools within the marketing function.
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5.2 Human Resource Management:
This department deals with the human resources of an organisation. This concept refers to a
group of individuals who are work together in order to make an excellent workforce for an
industry. It involves activities such as hiring, staffing, compensating, training and developing,
conflicts management, facilitating benefits for workers and many more. The main agenda of
HRM is to deliver a skilful staff according to the demands and requirements of the other
departments. It is the responsibility of this department to fulfil the vacant jobs of the
company with the suitable candidate. It is also focused on to retain the excellent talent and
experienced employees within the organisation.
5.3 Customer Service:
This department mainly works for the customer in order to offer help or after sales services
which are given by the customer service executive of the firm. Many large companies highly
concentrates on this department. It is also very essential that this department functions well
to serve customers as they believes that “winning heart of the customer” (Monden and
Talbot, 2019). Trained and skilled employees are recruited for this department to manage
and handle the customer queries and issues in a professional way.
5.4 Finance:
It is a function which encompasses activities such as planning for acquiring and handling the
funds of business. The finance employers plan for both short and long term financial
requirements of capital and examine the affect that borrowing will have on the financial
well-successfulness of the company. Most of the businessmen thinks that finance
department is the most crucial area to manage as the success of business highly depends on
the funds. Employees are responsible for making audit reports, financial accounts, cash
transactions, creditors lists, debtors lists and many more.
5.5 Research and Development:
It is known as the lifeblood of manufacturing organisations. This department is employed
with though leaders, scientists, industry analysts and subject matter experts striving to
facilitate the company with ideas and knowledge to keep up and ahead of the rivalries. The
IT department works to provide the internal technologies to the employees, is housed in the
R&D department.
5.6 Sales:
The main aim of this department is to close the revenue the business necessitates with a
motive to generate profits, particularity in B2B companies. Depending on the size and
nature of the business, the functional department of sales can differ in approach and
structure. This mainly works to generate the leads by marketing and tasks created by the
sales force itself (Li and et.al., 2021).
6.0 Description of the types of skills needed by employees
to be able to work effectively in these functional areas
6.1 Skills needed by Marketing employees:
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 Communication skills: This is the common and foremost skill which is essential for a
marketing employee. It is very significant to have this skill in order to convey a
brand's message and benefits of goods and services to the customer in a very
effective manner.
 Problem-Solving skills: This will not only improve the listening skills of an individual
in order to listen issues and queries of customers but also assists in solving the
marketing problems that deals with demand and supply. Thinking distinctly from
others will also support in delivering quality services to the customers.
6.2 Skills needed by Human Resource Management employees:
 Negotiable: Members work in this department must have negotiable skills which will
resolve the conflicts between two parties and benefits both workers and company.
 Patience: The main skills which is needed by HR employees to remain calm in most
of the tough situations. Sometimes, in this department, employees may face
complaints which are not tolerable, at that time this skill is most important.
6.3 Skills needed by Customer Service employees:
 Clear communication skills: Workers involved in this area must have clear and good
communication skills while communicating with customers.
 Empathy: As this functional area of business act as face of the organisation. Workers
in this department must have capacity to acknowledge the emotions of customers
and ability to understand their side as well.
6.4 Skills needed by Finance employees:
 Accounting Skills: This skill is need by a finance employee to track and record all the
business transactions. Knowing basic accounting principle also must be known by the
finance worker (Qiao and et.al., 2018).
 Analytical skills: This skill will help to analyse the issues of business and facilitate a
thoughtful solution of the issue.
6.5 Skills needed by Research and Development employees:
 Time management: Workers dealing with this area must be well organized and have
the capabilities to prior out the work, set deadline to complete and accomplish tasks
within the pre-decided time limit (World Bank, 2018).
 Thinking skills: The workers must have excellent thinking skills in order to facilitate
company with innovative solutions according to the demands of market.
6.6 Skills needed by Sales employees:
 Listening skills: It is very essential to acquire listening skills in order to deal with
customers. It is important to understand what the customer is trying to say or
demand from the company. Having a good understanding and listening can help to
increase the company's sale.
 Product Knowledge: The workers involved in this functional area are known as sales
representatives. It is vital for a sales representative to have a full knowledge about
brand and its offerings so that can easily convey and communicate with the client.
Conclusion
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It is concluded from the above assessment is that business is an entity which run for profit
motive or may be non-profit. It can be of any size and nature. There are various functional
department of the business such as HRM, marketing, sales, R&D, customer service and
many more. Every department is specialized with certain skills and knowledge.
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References
Freeman, R. E., 2018. The “business sucks” story. Humanistic Management Journal, 3(1),
pp.9-16.
Greenwood, J., Rogerson, R. and Wright, R., 2021. 6. Household Production in Real Business
Cycle Theory (pp. 157-174). Princeton University Press.
Holloway, J. C. and Humphreys, C., 2019. The business of tourism. Sage.
Li, S. and et.al., 2021. Optimize and control territorial spatial functional areas to improve the
ecological stability and total environment in karst areas of Southwest China. Land
Use Policy, 100, p.104940.
Monden, Y. and Talbot, B., 2019. The Toyota management system: linking the seven key
functional areas. Routledge.
Qiao, X. and et.al., 2018. Pollution evaluation of urban soil heavy metal and distribution in
different functional zones of Qiqihar city. J. North. Agric, 46.
World Bank, 2018. About Women, Business and the Law.
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