Business

What Does a General Manager Do? 5 GM Responsibilities

Written by MasterClass

Last updated: Aug 29, 2022 • 4 min read

The job description of a general manager typically includes overseeing key decision-making processes, day-to-day operations, and pricing strategies. Learn about the necessary skills to follow a general management career path.

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What Is a General Manager?

A general manager (GM) is a senior job title at a company; the job description includes problem-solving, overseeing business operations, and approving marketing strategies. General managers play a crucial role in overarching business management and strategic planning, so they strongly inform work environment culture. General managers have high standards because they are partially responsible for fulfilling business plans and ensuring the company is profitable.

5 Types of General Manager Jobs

General managers will employ unique business strategies and styles based on the type of company at hand. No matter the GM’s industry, their main objective will be overseeing and executing the company’s goals.

  1. 1. Automotive GM: Automotive GMs focus on the assembly line’s efficiency and worker productivity. They also negotiate sales deals with supply distributors to save the company money.
  2. 2. Hospitality GM: Hospitality GMs work at hotels, spas, and vacation destinations. Customer satisfaction is a large part of this type of GM’s work.
  3. 3. Restaurant GM: A restaurant general manager’s concerns include sales, the work ethic of kitchen and wait staff, and the necessary ingredients and supplies needed to keep the restaurant running smoothly. If a farm or provider runs short on certain foods, the GM will find solutions and consult the chef to solve the problem and find the best solutions.
  4. 4. Sports GM: Sports GMs oversee the marketing and sales of a sports team while also drawing up the contracts for new hires. As at other companies, NBA, MLB, NFL, NHL, and minor-league general managers maintain a team's morale in winning and losing times.
  5. 5. Theater GM: A theater company GM signs off on publicity strategies, pricing discounts, and new hires in the marketing, box office, and production departments.

4 Common Qualifications of a General Manager

Valuable skills for a GM to have include:

  1. 1. Communication skills: Excellent communication skills, written and verbal, are necessary for all GMs. Clearly outlining budget resources, company goals, and strategy ideas can give project managers the tools to oversee their teams and help the business succeed.
  2. 2. Interpersonal skills: General managers must have strong interpersonal skills. GMs engage with every part of the organization, so the ability to fluidly navigate the needs and styles of everyone from top executives to operations managers will serve a GM well. Motivating employees is another significant part of this management position.
  3. 3. Leadership skills: Strong leadership is essential in making sound decisions, knowing what kinds of employees to hire, and instilling confidence in the staff.
  4. 4. Management skills: Dealing with disciplinary actions, overseeing a budget, and staffing a new team are all part of general manager duties.

5 Common Responsibilities of a General Manager

General managers will have several responsibilities; no two work days will feel the same as each project will present unique challenges and needs.

  1. 1. Approve budgets: General managers oversee many budgets, including marketing, operations, and production. GMs balance spending against what line items will help increase revenue.
  2. 2. Manage department heads: GMs check in with and manage department heads to ensure everything is copacetic with their teams. GMs support or find the needed resources to empower all teams to succeed.
  3. 3. Oversee daily operations: Supply issues, worker resources, and staffing problems will occur. GMs problem-solve to ensure daily operations run as efficiently as possible.
  4. 4. Seek out new business strategies: With the help of other senior staff, general managers aim to help the company grow through new business ventures.
  5. 5. Staff teams: Human resources make job offers to employees, but general managers play a hands-on role in interviewing and sourcing potential team members and managers.

How to Become a General Manager

General managers are in almost every organization, so many paths exist to step into this role.

  • Education: A high school diploma and bachelor’s degree are generally required; a master’s degree is not always necessary. Studying business administration or economics is a helpful way to pursue a career as a general manager.
  • Hands-on experience: When starting your career, working under a chief operations officer (COO) or marketing director can give you the hands-on experience necessary to learn about company operations and sales.
  • Management experience: Management experience can be the next step following that junior role. A few years of work experience as an assistant manager overseeing several team members can help a worker develop general management skills.
  • Skills-building: Some traits can be hard to quantify but are essential résumé buzzwords to show you can execute general management duties. Solid decision-making and problem-solving experience are crucial, as is the ability to imagine and realize new initiatives such as a company rebrand or new sales strategy.

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