Functional Areas of Business: Key Functions and Skills

Functional areas

Table of Contents
1.0 Introduction............................................................................................................................1
2.0 What is a business..................................................................................................................1
3.0 What is Functional areas of business.....................................................................................1
4.0 Key functional areas of a business.........................................................................................1
5.0 Description of the various functional areas in business organizations..................................1
5.1 Marketing...............................................................................................................................1
5.2 Human Resource Management..............................................................................................1
5.3 Customer Service...................................................................................................................2
5.4 Finance...................................................................................................................................2
5.5 Research and Development...................................................................................................2
5.6 Sales.......................................................................................................................................2
6.0 Description of the types of skills needed by employees to be able to work effectively in
these functional areas...................................................................................................................3
6.1 Skills needed by Marketing employees.................................................................................3
6.2 Skills needed by Human Resource Management employees................................................3
6.3 Skills needed by Customer Service employees.....................................................................3
6.4 Skills needed by Finance employees.....................................................................................3
6.5 Skills needed by Research and Development employees......................................................4
6.6 Skills needed by Sales employees.........................................................................................4
7.0 Conclusion.............................................................................................................................4
REFERENCES................................................................................................................................5

1.0 Introduction
Present report will lay emphasis on different functional areas which a business comprises
of. It will provide information about core aspects which is needed by John to run the business
effectively. Study will make sure to lay emphasis on various skills which are needed to make
business successful. There will be use of different models so that better assistance can be
provided to John for understanding business.
2.0 What is a business
Business can be defined as an entity who is involved in doing commercial activities such as
buying and selling goods for making profit.
3.0 What is Functional areas of business
Business functions are activities which is been carried out by an entity so that better profit
can be earned. In this hierarchical list related to responsibility is made so that the units can be
organised.
4.0 Key functional areas of a business
There are basically various functional areas of business. It includes Marketing, human
resource, customer service, finance, research and development, sales. These are most essential
functions of company which can assist in making better decision in future. Facco et.al., (2017)
has stated that different areas of business works as cohesive unit rather than making use of
separate ways. When all functional areas work together better productivity and operational
efficiency is being achieved.
5.0 Description of the various functional areas in business organizations
5.1 Marketing
As stated by Nalawade, More & Bhola, (2019) marketing can be considered as the process
of promoting goods and services so that consumer’s needs can be met and also value is being
created by achieving adequate amount of profit. Marketing helps in increasing sales of products
through market research, promotion and placement. It is one of the most important functional
area as in today’s time competition is not just local but global too. It is necessary for every
organization to make sure that their marketing team is skilled and efficient.
5.2 Human Resource Management
HRM is the process of managing people so that goals and objectives of company can be
achieved and also it assists business in performing better. There are various functions of HRM
1