BUSINESS SYSTEM Meaning and
Definition
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A business system refers to a structured and coordinated set of processes, tools, resources, and actions that function together to achieve the goals and objectives of a business organization. It encompasses the various interconnected activities and components that facilitate the smooth operation and functioning of a business entity.
A business system typically involves the integration of different functional areas within an organization, such as finance, operations, marketing, human resources, and technology. It entails the establishment of standardized procedures, protocols, and workflows that guide the overall functioning and decision-making processes.
The purpose of a business system is to enhance efficiency, productivity, and profitability by ensuring the optimal utilization of resources, effective coordination of activities, and continuous improvement of processes. It aims to streamline and automate repetitive tasks, reduce redundancy and errors, and provide a framework for monitoring and evaluating performance.
Key elements of a business system may include organizational structure, policies, procedures, information management systems, communication channels, performance metrics, and strategic planning frameworks. It is essential for the system to be adaptable and flexible to accommodate changes in the business environment, technological advancements, and evolving customer needs.
Ultimately, a well-designed business system enables the business organization to achieve its objectives, meet customer expectations, maintain a competitive edge in the market, and sustain long-term growth and success.
Etymology of BUSINESS SYSTEM
The word "business" originated in the mid-14th century, derived from the Old English word "bisignes" which meant "care or occupation". It evolved from the Old English word "bisig" meaning "busy" combined with the suffix "-ness" signifying quality or state.
The term "system" came from the Late Latin word "systema" in the early 17th century, which meant "an organized whole". It was derived from the Greek word "sustema" meaning "organized body" or "whole compounded of several parts".
When combined, "business system" refers to an organized and structured method or approach to managing and operating a business.
