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Business unit manager vs division manager

The differences between business unit managers and division managers can be seen in a few details. Each job has different responsibilities and duties. It typically takes 4-6 years to become both a business unit manager and a division manager. Additionally, a business unit manager has an average salary of $122,782, which is higher than the $81,755 average annual salary of a division manager.

The top three skills for a business unit manager include continuous improvement, customer service and product line. The most important skills for a division manager are customer service, project management, and safety program.

Business unit manager vs division manager overview

Business Unit ManagerDivision Manager
Yearly salary$122,782$81,755
Hourly rate$59.03$39.31
Growth rate6%6%
Number of jobs295,151349,279
Job satisfaction--
Most common degreeBachelor's Degree, 70%Bachelor's Degree, 66%
Average age4444
Years of experience66

What does a business unit manager do?

A business unit manager handles a unit or segment of the company. This unit may be a specialized team on specific projects or a part of a significant production process. The business unit manager ensures that the unit works efficiently and productively by implementing strategies and techniques that will enhance the productive output. A business unit manager also provides suggestions, offers solutions to problems, handles tasks delegation, planning production processes, and training and monitoring of employees in a unit.

What does a division manager do?

Division managers supervise a section of the company and are responsible for that division's success. General duties include organizing, planning, allocating resources, and managing the daily operations of the sector. Part of their duty is to evaluate the division's performance and develop strategies for performance improvement. They ensure that compliance to policies and procedures is maintained by the team members. Also, they assist in employee recruitment and performance evaluation for promotion, retention, and termination undertakings. Additionally, division managers need to fix issues that hinder achieving division goals and success.

Business unit manager vs division manager salary

Business unit managers and division managers have different pay scales, as shown below.

Business Unit ManagerDivision Manager
Average salary$122,782$81,755
Salary rangeBetween $81,000 And $184,000Between $51,000 And $130,000
Highest paying CityEast Providence, RISan Mateo, CA
Highest paying stateRhode IslandCalifornia
Best paying companyCitiDignity Health
Best paying industryTechnologyFinance

Differences between business unit manager and division manager education

There are a few differences between a business unit manager and a division manager in terms of educational background:

Business Unit ManagerDivision Manager
Most common degreeBachelor's Degree, 70%Bachelor's Degree, 66%
Most common majorBusinessBusiness
Most common collegeUniversity of PennsylvaniaUniversity of Pennsylvania

Business unit manager vs division manager demographics

Here are the differences between business unit managers' and division managers' demographics:

Business Unit ManagerDivision Manager
Average age4444
Gender ratioMale, 82.8% Female, 17.2%Male, 77.4% Female, 22.6%
Race ratioBlack or African American, 6.2% Unknown, 4.3% Hispanic or Latino, 15.3% Asian, 6.4% White, 67.2% American Indian and Alaska Native, 0.5%Black or African American, 6.2% Unknown, 4.3% Hispanic or Latino, 15.3% Asian, 6.4% White, 67.3% American Indian and Alaska Native, 0.5%
LGBT Percentage10%10%

Differences between business unit manager and division manager duties and responsibilities

Business unit manager example responsibilities.

  • Manage capital investment of $250k refurbishment project in RBD department to begin the plant's first TPM program.
  • Manage a portfolio of inpatient and outpatient products market to major academic medical centers, community hospitals and nursing homes.
  • Maintain establishment's monthly bills including payroll, utilities, advertisement, and vending.
  • Review as-is business processes and deploy new processes, roles & responsibilities and KPI's.
  • Calculate and paid all payroll taxes, sales taxes, and alcohol taxes for the business.
  • Develop and implement new business processes, tools, KPI's and scorecards to drive both improvement and adoption.
  • Show more

Division manager example responsibilities.

  • Achieve $2.5 million increase in EBITDA, from - $2.3 million to + $200K.
  • Exceed budget in years two & three and achieve ISO certification in year one.
  • Exceed budget in years 2 & 3 and achieve ISO certification in year 1.
  • Launch the usage of a CRM tool to assist associates in managing book of business.
  • Develop operational plans, implement schedules, coordinate supply logistics and manage the operational plan from inception to completion.
  • Establish productive working relationships with state and federal regulatory agencies, reorganize and improve operation, and achieve OSHA compliance.
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Business unit manager vs division manager skills

Common business unit manager skills
  • Continuous Improvement, 11%
  • Customer Service, 10%
  • Product Line, 5%
  • Project Management, 5%
  • Customer Satisfaction, 4%
  • Financial Performance, 4%
Common division manager skills
  • Customer Service, 16%
  • Project Management, 7%
  • Safety Program, 6%
  • Oversight, 6%
  • Human Resources, 5%
  • Financial Statements, 4%

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