The word business comes from the act of being busy. It originally means that one is busy with some work. But over time, business has come to mean a very specific kind of work.
Business in the modern world means when one person or a group engages in a commercial activity of self-employment. It means that one is not an employee of an organisation, but instead has a self-generated source of income that involves trade or commerce of some kind.
Businesses are of various types. Generally, they are classified by size into small, medium and big businesses.
Businesses like a restaurant, a barber shop, a grocery shop, etc. are called small businesses. They generally have few employees from 1 to 10 and have a small size of investment.
Businesses like a small chain of restaurants, a shopping mall, a beauty spa or resort, etc. can be called medium sized businesses. They generally have a few hundred employees and have a medium sized investment to begin with.
Businesses like pharmaceutical companies, car manufacturers, etc. are called Large scale businesses. They generally have a few thousand employees and have a large sized investment.
Medium to Large businesses generally have typical set-up and organisational structure. They have various functional categories and departments within them. Some of them are as follows:
The higher management generally consists of the Business Owner, the Chief Executive Officer [CEO], Chief Financial Officer [CFO], Marketing Heads, Manufacturing Heads, etc. Some businesses also have an Executive Board, which has various Board Members and a Chairperson to advise on the overall business strategy.
Human Resources [HR]
HR is responsible for recruiting new talent and for the maintenance of the already employed employees.
The financial department is responsible for the business accounting, taxation and the investment decisions of the business.
Manufacturing or Services
This department is responsible for manufacturing the products of business or for developing the Services that the business aims to provide.