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The Importance of Business Administration for Business Development

During the evolution of society there have always been the basic concepts of a business: cost, price and utility. We speak of cost as the money we invest to obtain a product or to provide a service; Price: as the amount of money we demand to provide my service or for other people to purchase my product and finally, utility as the difference between the price and the cost or in other words the profit. All this negotiation of criteria is developed based on the needs of the seller (company), from the famous barter of the ancestors, where one good was exchanged for another primordial according to the needs of the family, to, the sole proprietorships or societies converted into big companies, going through agriculture, this great art of reaping a primary good, recognizing that these products are important because they serve as raw material for a secondary or tertiary good, after going through a transformation process. Also recognizing the great contributions of the famous inventions that made the business process improve in terms of productivity and efficiency, we refer to the so-called industrial revolution of Henry Ford, Rockefeller, Thomas Alva Edison, among others.

What authors said?

Then certain information methods arrive, through the automation of processes, that is, the technological contribution in companies, the exchange of men for machines that largely helped to make nations more competitive through their economies, which reason why great administrative authors such as Frederick Taylor, Henry Fayol, Peter Drucker and others, developed theories of management of administrative resources, because the business had grown and had become a company, an organism on which many economies depend, at the micro economic level, The economy of the family of a worker, of the partner and other dependents of the company and at a macroeconomic level, depends on a whole nation, all this helped the staff to begin to specialize in their work. In this way we come to the present, where companies are no longer dedicated only to producing goods, but also to meet the needs and expectations of all of its environments, such as: suppliers, workers, customers, partners - shareholders, government and society; where there is a continuous improvement of our capabilities as a company and as employees of the same, trying to emerge with the development and new market trends.

Among all this route, administration techniques were used, apart from the theories set forth by the aforementioned, there are quality techniques that helped to improve the technical processes that would be used only if they were believed in them, where the company's guidelines gave a 100% support to practice them, to make the necessary changes in order to improve both its profitability and productivity, including Kaizen, brainstorming, Ishikawa diagram, among others, which was simply a support for the company through the trust and motivation of its employees, because they must have the autonomy to suggest new business concepts, but all this should be led by someone with vision, with the vision of the company, that has the capacity to influence all the personnel of the company (workers, partners, investors).

History Review

Based on this brief historical review, we think that business administrators are very important to the functions and obviously the skills and abilities that they have acquired through their professional, technological, and technical training. A complete and competitive business administrator for the labor market, is obtained in the mix of: experience, knowledge and desire to get ahead.

Let's start with the experience, we mean the common sense that is acquired in the course of our lives, when we experience problem solving, decision making or when we document similar cases with other people or companies and that are applicable to what we make.

The knowledge, what we acquire in an institution, the tools, techniques, theories and particular cases that we learn. This characteristic is so important that there is nothing better than a trained leader, who knows what he says and what he does, who has the technical, ethical and moral authority to make the decision, a person who helps provide solutions, who is interested the optimization of resources, that identifies and understands the mechanism of the company. 

And the desire to get ahead, this characteristic is nothing more than having a goal, a mission and a personal vision, to plan how we build the way to reach the goal, all determined from the approach of happiness, identifying what we want and how much time we determine to obtain it, that desire to get ahead, helps our job performance since we will not only seek to keep the functions to which we were hired but also to analyze, identify and develop new improvement processes.

Finally, business administrators, they need us and we are necessary because we make a difference, because we have the skills acquired in this institution to support companies to get ahead, so that they are more competitive and in the end provide a grain of sand to get the mission and vision of the company.

Scene Rise

Author: Scene Rise

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