20-Second Summary
Business management and development must go hand in hand. A successful business does not run on the best business development strategy only; it also requires proper management to implement the planning of the business development strategist on a daily basis to execute it successfully and achieve profits and market share for the business, a balance widely emphasized by Harvard Business Review in its research on growth and operational alignment as per the Harvard Business Review, 2024.
This blog post will not only be a business management explanation, but also a guide on business development, how these two differ from each other, and how a business must use both together to scale and multiply.
What is Business Development?
Business development helps businesses to grow and scale their revenue streams by building partnerships, exploring and entering new markets, and negotiating the best possible deals.
In simple words, business development is all about identifying and creating new opportunities for businesses to help them keep expanding and grow consistently.
Key aspects of a business development role include the following:
- Identifying new potential markets for the businesses.
- Building partnerships and strong relationships with clients and suppliers.
- Curating long-term planning strategies for effective business growth.
- Working in alignment with the marketing, sales, and production teams to help implement the strategies for the required results.
What Is Business Management?
While business development is all about crafting long-term growth plans and strategies, business management is all about running the internal operations of a business organization smoothly to achieve the goals set by the business development strategists.
The key responsibilities of a business management team include:
- Supervising day-to-day tasks and overseeing the performance of the team and projects.
- Managing the production resources as per the budget.
- Implementing organizational policies and ensuring they are being met by the employees.
- Monitoring the key performance indicators to ensure progress is going in the right direction.
Business Development vs Business Management
Although we have already defined both business management and development separately, it is essential to have a side-by-side comparison between both to see how they differ from each other.
Also how business management works with business development together to ensure the development teams’ strategies are being implemented and executed effectively for the required growth and profits.
| Aspect | Business Development | Business Management | How They Work Together |
| Focus | Growth, partnerships, new markets | Operations, efficiency, team performance | Development creates opportunities, management executes them |
| Role | Drives revenue and expansion | Runs daily operations and resources | Strategy (development) meets execution (management) |
| Activities | Market research, deals, and planning | Supervising teams, budgets, and KPIs | Ensure growth plans are realistic and delivered |
| Skills | Negotiation, networking, strategy | Leadership, organization, finance | Blend external vision with internal control |
| Success Measure | Revenue, deals, market entry | Productivity, cost control, and project delivery | Growth targets achieved through efficient operations |
| Time Frame | Future-oriented | Present-oriented | Balance vision with execution |
Essential Skills for Business Development
Now that we have seen that both business management and development are different, that shows that both roles would require one to have different skills for each.
Let us first have a look at the skills that are required by a business development specialist.
In order to help the business succeed, the hard and soft business development skills include the following:
- Strategic thinking is the most important skill for a business developer. A person who can think strategically will be able to align the goals of the business with growth.
- They must possess the skills of analyzing the market based on market research and analysis to identify the gaps that a business can fill to beat its competition and provide its customers with products based on the new trends and customer needs.
- Networking is another essential skill to possess for a business development specialist. They must network and connect with more and more people to find new opportunities and create new partnerships for business growth.
- Communication and negotiation are other skills that a business development specialist needs to build partnerships and bring in business deals that are suitable for the business budget and scalability options.
Essential Skills for Business Management
The effective business management and development in order for business success requires strong management skills that must include:
- Leadership qualities, because business management is all about allocating resources for production, providing the task and job responsibilities to the employees and then monitoring them and ensuring they are following the company guidelines and also can reach out to you as a leader for solving their problems during the process.
- Business management requires problem-solving skills in order to make quick decisions to keep the project going smoothly and executed within given timelines.
- The allocation and buying of resources as per the budget and costs is part of internal financial planning, which is also another important business management skill to possess.
- Organizational ability in order to keep workflow efficient is also an essential skill for a business management person.
Business Planning & Development Strategies
A business strategy plays a key role in business planning and development for an organization to stay ahead.
The core business strategies for business planning and development include:
SWOT Analysis
SWOT stands for Strengths, Weaknesses, Threats, and Opportunities. This is an essential part of business strategy to explore the market and identify:
- Your key strengths in the market.
- Your weaknesses as a business that may impact your business growth and need to be worked on.
- The threats within your market that you must know in order to avoid them.
- The opportunities in the market that you can use to penetrate the market with new products and services to gain an edge over your competition.
SMART Goals
SMART goals are another part of a business development planning strategy. It is an acronym, a framework, that helps you to write effective objectives while planning business strategies by making them specific, measurable, achievable, and time-bound.
By setting SMART goals, the business development team can ensure an increased chance of success in achieving their growth goals.
- S → The goal should be clearly defined, answering the “What, Why, and Who.
- M → The strategy of the goal must have measurable indicators to monitor the execution of the goal on each milestone.
- A → The goal and its strategy must be as per the business budget and skill set so that it is easily achievable.
- R → The business goal and strategies must align with the long-term vision of the business, making it a relevant goal that works throughout the business growth.
- T → There must be an execution deadline or time framework, so that the goals have a sense of urgency, ensuring effective work from the employees to get it done and achieve the required results for the business management and development team.
Market Entry Plans
There must be strategies to research and find new opportunities within the market where the business is present, and also find new markets to help the business expand.
Innovative Initiative Strategies
Business planning and development strategies must also help the business to innovate and come up with new ideas regarding their products and services, that solve the problem of their customers and provide them with new solutions with an edge over the competitors.
When combined with strong business management in operations, these strategies transform plans into results. According to a 2024 Deloitte survey, organizations that integrate business management with development functions achieve up to 30 percent higher long-term performance compared to those that approach them separately.
Degree Requirements: Business Development vs Business Management Degrees
Both business management and development are distinct roles that require one to have a specific skill set. This also means that they require different types of business qualifications.
Let us have a look at the degree requirements, key focus areas and subjects, broken down for both bachelor’s and master’s level qualifications, with the list of job roles one can acquire after each degree.
| Aspect | Business Development | Business Management | Additional Courses (Optional for Both) |
| Bachelor’s Degrees | Often part of Business Administration, Marketing, or International Business programs | Bachelor of Business Management (BBM), Bachelor of Business Administration (BBA) | Digital Marketing, Data Analytics, Project Management |
| Master’s Degrees | MBA with specialization in Business Development, Strategic Management, or International Business | MBA with specialization in Operations, Finance, or Leadership | Executive MBA programs, Professional Certifications (CFA, PMP) |
| Focus Areas and Subjects | Sales strategy, Market research, Negotiation, International trade, Growth strategy | Leadership, Organizational behaviour, Financial management, Operations, Strategic planning | Short executive courses in AI in Business, Innovation Strategy |
| Job Roles after Bachelor’s | Business Development Executive, Sales Analyst, Junior Consultant | Operations Coordinator, Management Trainee, Project Supervisor | Industry-specific certificates like Google Analytics or Lean Six Sigma |
| Job Roles after Master’s | Business Development Manager, Strategic Partnerships Lead, Consultant | Operations Manager, Project Manager, Business Unit Head, Executive roles | Leadership development programs, Professional workshops |
Students pursuing a business development master program usually take it as part of an MBA specialization in strategic management, growth strategy, or international business.
Many students start exploring business with the business management programs to understand how companies organize people, resources, and strategy at scale.
Importance for Organizational Growth
Both business management and development are vital for any business organization to help them scale, innovate, and thrive in their competitive market with consistently better performance.
- The business development ensures that the business keeps expanding by identifying and creating new opportunities for the company, building strong and long-term strategies to provide businesses with a consistent growth map.
- Business management, on the other hand, ensures that the business development strategies are smoothly executed, aligning them with the productivity goals and the long-term stability of the business.
Together, business development and business management enable companies to not only remain ahead of their competition in their present market but also help them expand into new markets with long-term success, aligning with the vision and norms of the company.
Final Remarks
Business management and development are two essential yet distinct functions that work together to help businesses thrive and succeed, and have a long-term ability to scale and grow based on effective business development strategies accompanied by business management that ensures the successful execution of the strategies.
The synergy between business management and development is clear: one drives opportunities, the other sustains performance.
Since you are exploring the guide around business development and management, we are sure you would also like to read and learn how to become a business strategist, as it is yet another interesting role you must explore.
We do have another interesting piece on Top AI Cloud Tools for business management, which will help you find the best tools to manage your business smartly.
Frequently Asked Questions
What are essential business development skills?
The essential business development skills are negotiation, communication, networking, and strategic planning.
What is a business management degree?
A business management degree covers the subjects and core skills around leadership, finance, and organizational strategy to help students prepare for their career in management-related executive roles.
What is the difference between business development and business management?
The focus of business development is all about growth and expansion of the business with strategies focused on long-term planning, while business management is all about efficient execution of the day-to-day tasks to meet objectives, in order to execute the business development strategies for required growth and profits.
Why is business planning and development important?
Business planning and development are important because, with proper planning, businesses can curate strategies with actionable objectives to reach their goals of growth and scalability, along with a good market share and increased profits.
How does business management contribute to organizational growth?
Business management ensures that all the resources allocated are as per the budget of the company, the daily tasks are actionable and measurable, leading to complete objectives aligning with the long-term goals of the business and achieving the desired results within the time framework given for the allocated project.
Which is better for career growth: business development or business management?
Both roles have their own strengths. If you are someone who loves strategizing and networking, then opt for business development, but if you enjoy the roles of leadership and supervision of operations, then business management is a good choice for you.
