IS BUSINESS DEVELOPMENT
Business Development is the creation of long-term value for an organization from a market-oriented perspective including customer, competition and the larger market environment where the firm operates.
Business Development is a subset of the fields of business, commerce and organizational theory. It is up to a business development professional to then use that knowledge and to identify and develop new business opportunities.
Business Development focuses on the sweet spot of growth opportunities that are non-strategic but still poses substantial challenges to the organization.
Business Development should ideally be within the constraints of the firm’s strategic momentum and corporate strategy. In other words, not the corporate strategy but the business strategy designed by the line functions or senior management represents a clear route for steering Business Development activities.
Business Development should impose substantial challenges to the organization, such as novel market or customer preferences, new technologies or new organizational tasks and processes. Such challenges could be lack of overview or competence in the line functions or senior management, potential for large communication and coordination errors, and high organizational and environmental complexity.
Essentially, when there is need for extra analytic, integration, coordination and support competence to assure better prepared foundations for managerial decisions and more smooth implementation.
We would best define Business Development as:
“The structured tasks and processes concerning analytical preparation of potential growth opportunities within the business strategy framework, and the support and monitoring of the practical implementation of these opportunities”