What does business unit mean? - Search
  1. Dictionary

    busi·ness u·nit
    [business unit]
    noun
    business unit (noun) · business units (plural noun)
    1. another term for strategic business unit.
      "he is responsible for a business unit with a $4million turnover and 20 reports"
    2. a building (typically one of a number of similar buildings) or a self-contained section of a building intended for use as business premises:
      "approximately 214,000 residential units and 30,000 business units sustained structural damage in the earthquake"
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    noun
    1. a building (typically one of a number of similar buildings) or a self-contained section of a building intended for use as business premises:
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    What is a business unit?A business unit is a separate division within a company that often develops and implements its own processes independently from the core business or brand while still adhering to the overall company policies. Typically, large brands adopt this kind of structure to better organize and track metrics like revenue or costs for each division.
    Is a company a unit?Departments, companies, teams, and enterprises could be units. Companies create each organizational unit based on a definition of the features and attributes of that unit. In this image, the Parent Corporation may be the holding company. The Business Units 1, 2, and 3 may be subsidiaries.
    How are business units organized?Business units can be of various sizes, and their structure will depend on the size and type of company. In large companies, business units are often organized into divisions, which are then further divided into departments or teams. In smaller companies, there may only be one or two business units.
    What is a business unit strategy?As fully functional segments of a company, business units typically have their own strategic direction and vision. When it comes to strategy, each business unit has a role to play in the company’s grand plans and enterprise strategy. Each line of business or sector must align with and contribute value to the primary corporate business strategy.
     
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