A general manager (GM) is an executive who has overall responsibility for managing both the

revenue In accounting, revenue is the total amount of income generated by the sale of goods and services related to the primary operations of the business. Commercial revenue may also be referred to as sales or as turnover. Some companies receive rev ...

and

cost In production, research, retail, and accounting, a cost is the value of money that has been used up to produce something or deliver a service, and hence is not available for use anymore. In business, the cost may be one of acquisition, in whic ...

elements of a company's

income statement An income statement or profit and loss accountProfessional English in Use - Finance, Cambridge University Press, p. 10 (also referred to as a ''profit and loss statement'' (P&L), ''statement of profit or loss'', ''revenue statement'', ''stateme ...

, known as profit & loss (P&L) responsibility. A general manager usually oversees most or all of the firm's

marketing Marketing is the process of exploring, creating, and delivering value to meet the needs of a target market in terms of goods and services; potentially including selection of a target audience; selection of certain attributes or themes to emph ...

and sales functions as well as the day-to-day operations of the business. Frequently, the general manager is responsible for effective planning, delegating, coordinating, staffing, organizing, and decision making to attain desirable profit making results for an organization (Sayles 1979). In many cases, the general manager of a business is given a different formal title or titles. Most corporate managers holding the titles of

chief executive officer A chief executive officer (CEO), also known as a central executive officer (CEO), chief administrator officer (CAO) or just chief executive (CE), is one of a number of corporate executives charged with the management of an organization especiall ...

(CEO) or president, for example, are the general managers of their respective businesses. More rarely, the chief financial officer (CFO),

chief operating officer A chief operating officer or chief operations officer, also called a COO, is one of the highest-ranking executive positions in an organization, composing part of the " C-suite". The COO is usually the second-in-command at the firm, especially if ...

(COO), or chief marketing officer (CMO) will act as the general manager of the business. Depending on the company, individuals with the title managing director, regional vice president, country manager, product manager, branch manager, or segment manager may also have general management responsibilities. In large companies, many vice presidents will have the title of general manager when they have the full set of responsibility for the function in that particular area of the business and are often titled vice president and general manager. In technology companies, general managers are often given the title of product manager. In consumer products companies, general managers are often given the title

brand manager A brand is a name, term, design, symbol or any other feature that distinguishes one seller's good or service from those of other sellers. Brands are used in business, marketing, and advertising for recognition and, importantly, to create an ...

or category manager. In

professional services Professional services are occupations in the service sector requiring special training in the arts or sciences. Some professional services, such as architects, accountants, engineers, doctors, and lawyers require the practitioner to hold prof ...

firms, the general manager may hold titles such as managing partner, senior partner, or managing director.

Industry-specific usages

Hotels

In the hotel industry, the general manager is the head executive responsible for the overall operation of an individual hotel establishment including financial profitability. The general manager holds ultimate managerial authority over the hotel operation and usually reports directly to a regional vice president, corporate office, and/or hotel ownership/investors. Some of the common duties of a general manager include are hiring and the

management Management (or managing) is the administration of an organization, whether it is a business, a nonprofit organization, or a government body. It is the art and science of managing resources of the business. Management includes the activitie ...

of an executive team, which consists of individual department heads, who oversee various hotel departments and functions, budgeting and financial management; creating and enforcing hotel business objectives and goals; sales management; marketing management; revenue management; project management;

contract management Contract management or contract administration is the management of contracts made with customers, vendors, partners, or employees. Contract management includes negotiating the terms and conditions in contracts and ensuring compliance with the terms ...

; handling of emergencies and other major issues involving guests, employees, or the facility; public relations; labor relations; local government relations; and maintaining business partnerships. The extent of duties of an individual hotel general manager vary significantly depending on the size of the hotel and company organization; for example, general managers of smaller boutique-type hotels may be directly responsible for additional administrative duties such as accounting, human resources, payroll, purchasing, and other duties that would normally be handled by other subordinate managers or entire departments and divisions in a larger hotel operation.

Sports teams

In most professional sports, the general manager is the team executive responsible for acquiring the rights to player personnel, negotiating their contracts, and reassigning or dismissing players no longer desired on the team. The general manager may also have responsibility for hiring and firing the head coach of the team. For many years in U.S. professional sports, coaches often served as general managers for their teams as well, deciding which players would be kept on the team and which ones dismissed, and even negotiating the terms of their contracts in cooperation with the ownership of the team. In fact, many sports teams in the early years of U.S. professional sports were coached by the owner of the team, so in some cases the same individual served as owner, general manager and head coach. As the amount of money involved in professional sports increased, many prominent players began to hire

agent Agent may refer to: Espionage, investigation, and law *, spies or intelligence officers * Law of agency, laws involving a person authorized to act on behalf of another ** Agent of record, a person with a contractual agreement with an insuranc ...

s to negotiate contracts on their behalf. This intensified contract negotiations to ensure that player contracts are in accordance with salary caps, as well as being consistent with the desires of the team’s ownership and its ability to pay. General Managers are usually responsible for the selection of players in player drafts and work with the coaching staff and scouts to build a strong team. In sports with developmental or minor leagues, the general manager is usually the team executive with the overall responsibility for "sending down" and "calling up" players to and from these leagues, although the head coach may also have significant input into these decisions. Some of the most successful sports general managers have been former players and coaches, while others have backgrounds in ownership and business management. The term is not commonly used in Europe, especially in football, where the position of

manager Management (or managing) is the administration of an organization, whether it is a business, a nonprofit organization, or a government body. It is the art and science of managing resources of the business. Management includes the activitie ...

or coach is used instead to refer to the managing/coaching position. The position of director of football might be the most similar position on many European football clubs.

References

{{DEFAULTSORT:General Manager Management occupations

Industry-specific usages

Hotels

Sports teams

See also

References