Functional Areas of Business: Key Areas and Required Skills

This report covers the concept of business, the key functional areas of a business, and the skills needed by employees to work effectively in these areas. The functional areas discussed include marketing, human resource management, customer service, finance, research and development, and sales. The report emphasizes the importance of effective business management and the role of functional areas in achieving organizational goals.

BSc (Hons) Business Management with
Foundation
BMP3004
World of Work
Functional Areas
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Contents
1.0 Introduction 3
2.0 What is a business? 3
3.0 What is Functional areas of business – Definition
3
4.0 What are the key functional areas of a business?
4
5.0 Description of the various functional areas in business
organizations 4-5
5.1 Marketing 4
5.2 Human Resource Management 4
5.3 Customer Service 4
5.4 Finance 4
5.5 Research and Development 4
5.6 Sales 5
6.0 Description of the types of skills needed by employees
to be able to work effectively in these functional areas
5-7
6.1 Skills needed by Marketing employees 5
6.2 Skills needed by Human Resource Management employees
5
6.3 Skills needed by Customer Service employees
5
6.4 Skills needed by Finance employees 7
6.5 Skills needed by Research and Development employees
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6.6 Skills needed by Sales employees 7
7.0 Conclusion 8
References 9
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1.0 Introduction
World of work is defined as a combination of various things which is developed or
made in the aspect of business. It includes jobs, occupation, employees, employers,
promotions, innovation, strategies and others. But in aspect of business management it is
concerned with the communication of all phases of company’s operation through planning
(Alvarez, Sensini and Vazquez, 2021). In business the main motive of organization is to
increasing their profitability at maximum level and also providing best quality products to
customers within low time. This report will cover the concept of business, what is the key
functional areas of a business and description of various types of skills needed by the
employees to be able work effectively in these functional areas. In aspect of business
facilitating quality based service to consumers is a very important and challenging task for
organization. Because without good service organization are not able maintain positive
relations with customers for long time.
2.0 What is a business?
Business is defined as an enterprising entity or organization which is engaged in
various activities such as professional, industrial or commercial. In business the main focus
of organization is to enhancing their portfolio or revenue at large scale within low time. With
help of effective business organization is able to expand their operational activities in various
locations effectively. Business is also referring to facilitating reliable and meaningful data to
consumers in time regarding various product and services. Business is also connected with
various functions which is run by company owner or their workers. Those functions are
marketing, human resource, finance and others.
3.0 What is Functional areas of business - Definition
Functional areas are defined as those activities which are divided into various
department or phases for doing the work in systematic manner (Cortés, 2021). The various
functional areas in business are human resource, finance, marketing, research and
development, customer service, sales and information technology department. Due to the
effective use of these functional areas company are able to accomplishing the various types of
task in systematic manner. With help of these departments products and services are easily
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delivered to customers in time and in best quality according to their desires and wants.
Therefore, functional areas of organization play an important role in business for run their
services smoothly in various locations.
4.0 What are the key functional areas of a business?
Key functional areas of a business is defined as those activities which is used by
company owner within organization. Those functions are marketing, finance human resource,
sales, customer support and others. Due to the effective use of these functional areas
organization are able to maintain good communication with all customer segments (Dash,
Kiefer and Paul, 2021). With help of these functional areas firm are able solve the queries and
complaints of customers within low time and effectively. The advantage for utilizing key
functional areas effectively is that sales of company products are easily increased at
maximum level within low time in various locations.
5.0 Description of the various functional areas in business
organizations
5.1 Marketing:
The role of marketing department in organization is to promote or popularizing the
company’s products and services at large scale in market or between consumers. For
enhancing the popularity of their product management are used various strategies such as
online advertising, digital marketing, sales promotion, personal selling etc. With help of these
strategies wants and desires of users are easily increased at maximum level.
5.2 Human Resource Management:
The main function of this department is to increasing the productivity of employees at
maximum level and also protecting the organization from various problems. Some common
responsibilities of HR department are to requirement, firing, providing compensation and
benefits and others. Therefore, it is important for organization that they must use highly
skilled and talented employees in various departments for run their activities smoothly.
5.3 Customer Service:
In customer service the main role of employee or organization is to facilitate quality
service to customers in any time or situation. Therefore, it is mandatory for company that
they must follow the concept of 24*7 service. According to this concept customer are free to
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ask their queries with organization in any time. Due to following this concept goodwill or
reputation of company are strongly developed and sustained in minds of consumers for long
duration.
5.4 Finance:
Here the role of finance department is to maintain the cash flow and expense of
organization on regular basis and also maintain the record of daily expenditure. Due to
maintaining record of daily expenditure senior financial officer easily identify that in which
area wastage of cash is increased or money are spend without any reason. In this way the
resources of the company are properly utilized.
5.5 Research and Development:
In this department lot of investment are made by organization in the form of money
for developing new and unique product which is totally different from other competitors (De
Cieri, Sanders and Lin, 2022). In R&D department products are developed or designed
according to the needs and desires of consumers. Due to developing unique product the
revenue of the company is easily increased at maximum level within low time.
5.6 Sales:
Sales is basically a part of marketing department and in this department management
is focusing on enhancing the sales of a product at international level. Because effective sales
are highly important for accomplishing the daily target of company or their employees in
time. Due to accomplishing the daily targets in time, the revenue and popularity of firm are
easily increased in market for long duration.
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:
Skills used by employees in marketing are –
 Creativity skills – In today’s time for selling the product use of creativity are
essential in various aspects. It includes use of various graphics and designs in their
packaging, providing beneficial schemes to customers etc. Due to the use of these
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type of creativity targeted customers are easily attracted in large number for buying
their product at any cost.
 Communication skills – It is defined as a strong connectivity between employee and
customer in business. In business effective communication is highly important for
employees to understand the needs, desires and problems of users quickly. In this way
the positive relationship between company and customer are easily sustained for long
duration.
6.2 Skills needed by Human Resource Management employees:
Skills used by employees in human resource are –
 Decision making – It is a very important skill for employees for supporting crucial
organizational function (Engeström and Sannino, 2021). With help of this skill
employees are able to take difficult decisions easily which leads to enhance the
productivity of firm at higher rate.
 Conflict solving – It is a mandatory skill for each and every employee within
company. Because with help of this skill employee are able to solve the various
problems in workplace area between workers effectively. Due to solving the problems
of lower level employee’s organizations goodwill are easily sustained in long term.
6.3 Skills needed by Customer Service employees:
Skills used by employees in customer service are –
 Use of positive language – In this skill it is mandatory for employees that they
always use positive language during the time of selling their product and facilitating
effective services. Because in today’s time positive language plays the major role for
identifying the real problems of customers effectively.
 Effective listening – It is the another important skill which is highly essential for
employees during the time of providing best quality services. Listening skills are
about just turning up a volume on a headset. It is about taking the time to truly
understand consumer’s problems.
6.4 Skills needed by Finance employees:
Skills used by employees in finance are –
 Interpersonal skills – In this skills employees are need to deal with various types of
people on regular basis. Due to this successful relationship with customers and co-
workers are strongly build for long duration.
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 Analytical skills – It is also the one type of skill which is required by all categories of
employees. In this skill various types of financial problems are solved by workers
within office. It leads to sustain the economic growth of organization in market for
long time.
6.5 Skills needed by Research and Development employees:
Skills used by employees in R&D are –
 Thinking and reasoning skills – Due to the use of this skill employees are able to
give suggestion and using new ideas during the time of developing product. Due to
the use of various ideas products are easily produced in high quality for customers.
6.6 Skills needed by Sales employees:
Skills used by employees in sales are –
 Networking skill – It is an essential skill for each employee to maintain interpersonal
connections effectively with all customer segments effectively (Hysa, Karasek and
Zdonek, 2021). Due to using this skill the knowledge of the product is easily spread
within low time in every location.
 Convincing skills – In this skill employees are tried to convince the consumers for
buying their product. For increasing the sales of their product employees tried to
highlight the features of that particular product in front of audience.
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Conclusion
From the analysis of above data, it is concluded that effective business is highly
essential for fulfilling the needs and desires of the consumers in time. Due to the use of
various functional areas in business effectively risk is highly decreased in their activities. In
this the profit margin and popularity of the organization is easily enhanced at large scale
within low time. The name of those functional areas are human resource, marketing, finance,
customer service and others. According to this report it is also understood that the various
skills of the employees plays the major role within organization to run their functions
smoothly.
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References
Alvarez, T., Sensini, L. and Vazquez, M., 2021. Working capital management and
profitability: Evidence from an emergent economy. International Journal of Advances
in Management and Economics, 11(1), pp.32-39.
Cortés, J. D., 2021. Research on innovation in China and Latin America: bibliometric insights
in the field of business, management, and decision sciences. Latin American Business
Review, pp.1-26.
Dash, G., Kiefer, K. and Paul, J., 2021. Marketing-to-Millennials: Marketing 4.0, customer
satisfaction and purchase intention. Journal of business research, 122, pp.608-620.
De Cieri, H., Sanders, K. and Lin, C., 2022. International and comparative human resource
management: an Asia‐Pacific perspective. Asia Pacific Journal of Human
Resources, 60(1), pp.116-145.
Engeström, Y. and Sannino, A., 2021. From mediated actions to heterogenous coalitions: four
generations of activity-theoretical studies of work and learning. Mind, Culture, and
Activity, 28(1), pp.4-23.
Hysa, B., Karasek, A. and Zdonek, I., 2021. Social media usage by different generations as a
tool for sustainable tourism marketing in society 5.0 idea. Sustainability, 13(3),
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Kvilhaugsvik, H., 2021. Bridging higher education and the world of work? Employer panels
in Nordic university governance. European Journal of Higher Education, pp.1-17.
Narayanamurthy, G. and Tortorella, G., 2021. Impact of COVID-19 outbreak on employee
performance–moderating role of industry 4.0 base technologies. International Journal
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Shah, D. and Murthi, B. P. S., 2021. Marketing in a data-driven digital world: Implications
for the role and scope of marketing. Journal of Business Research, 125, pp.772-779.
Troise, C. and Camilleri, M. A., 2021. The use of digital media for marketing, CSR
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