This proficiency enables the use of business tools and analytical methods to assess situations, make informed decisions, align initiatives with the organization's strategy, and achieve desired outcomes.
[citation needed] The UK government considers business acumen to be a skill required by civil service staff with responsibilities in a contract management role.
According to Perth Leadership Institute, Business acumen is based primarily on behavioral and experiential issues, not on formal learning or education like financial literacy.
[2] Programs designed to improve an individual or group's business acumen have supported the recognition of the concept as a significant topic in the corporate world.
They also suggest that the learning process ranges widely, from structured internal company training programs, to an individual's self-chosen moves from one position to another.
Several companies offer business simulations as a way to educate mid-level managers and non-financial leaders within their organization on cash flow and financial-decision-making processes.
[14] This method approaches business acumen not as entirely based in either knowledge or experience, but on the combination of these and other factors which comprise an individual's financial personality or "signature".