Date post: | 08-Apr-2018 |
Category: |
Documents |
Upload: | prince-dudhatra |
View: | 227 times |
Download: | 0 times |
of 33
8/7/2019 Planning Prince Dudhatra 9724949948
1/35
PLANNING
How To Best Meet Your Mission
We must plan for the future,
because people who stay in thepresent will remain in the past.Abraham Lincoln
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
2/35
W hat is Planning?
Planning is a search problem that requires tofind an efficient sequence of actions that
transform a system from a given starting state tothe goal statePlanning is the starting point of the managementprocessPredetermines what the business proposes toaccomplish and how it intends realizing its goals
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
3/35
Proper planning accomplishes the following
1. Managing Uncertainty
2. Better Focus3. Improves Coordination
4. Basis for Control
5. Improves Effectiveness
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
4/35
Planning is PervasiveC orporation LevelS trategic Business Unit ( S BU) LevelF unctional or Department LevelT eam or work group levelIndividual level
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
5/35
Corporation Headquarters
SBU 1
FinHRMIS MktOps
SBU 2
FinHRMIS MktOps
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
6/35
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
7/35
O rganizational MissionThe Mission states the organization svalues, aspirations, and reason forexistence.The Mission Statement is the basis forall following goals and plans.
Without a clear mission, goals and plansmay be developed haphazardly causingthe organization to fail.
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
8/35
Goals and PlansG oals: specify future ends. Desired
future state.
P lans: specify the means to future ends. T he blueprint for goal achievementspecifies the necessary resourceallocations, schedules, tasks
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
9/35
Strategic Goals and PlansStrategic Goals pertain to the entireorganization (not specific divisions anddepartments).Strategic Plans define the action stepsthe company will use to attain strategicgoals.
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
10/35
STRATEGIC GO ALS ANDPLANS
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
11/35
Tactical Goals and PlansTactical Goals apply to middlemanagement and describe what majorsubunits must do to to enable theorganization to meet its strategic goals.Tactical Plans:
Help execute major Strategic Plans.Cover a shorter period of time.
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
12/35
8/7/2019 Planning Prince Dudhatra 9724949948
13/35
O perational Goals and PlansO perational Goals: the specific resultsexpected of small units, workgroups,and individuals.O perational Plans: developed at thelower levels of an organization tospecify actions required to achieveoperational goals and to support tacticalplans.
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
14/35
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
15/35
Goal CharacteristicsBe specific and measurable
Quantitive Terms
Cover key result areasContribute most to company performance
Be challenging but realisticBe for a defined time period.Be linked to rewards.
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
16/35
Types of PlansSingle-use plans are developed to achieveobjectives that are not likely to be repeated inthe future. Single-use plans includeprograms, budgets and projects.
Standing plans are used to provide guidancefor tasks performed repeatedly within theorganization. The primary standing plans areorganizational policies, rules, and procedures
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
17/35
SINGLE-USE
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
18/35
STANDING PLAN
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
19/35
O ther Types O f Plans
Long term & Short termFormal & Informal PlansProactive & Reactive Plans
Strategic &O
perational Plans
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
20/35
The Planning Proc e ss
Planning may be seen as the identificationand formulation of the objectives of abusiness (Goal Setting)Determining Planning PremisesAnalyzing the data (IdentifyingAlternatives)Evaluation & SelectionImplementation & Review
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
21/35
The Planning Proc e ssGOAL SETTING
Identification and formulation of objectives
DEVELOPING PLANSChoices between alternative plans
IMPLEMENTATIONExecution of the plan
ReactivePlanning
Revision
of goalsandplans
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
22/35
Successful Planning Process
Everyone participatesBoard and staff educated about planningBoard and staff explore new ideasBoard takes advantages of opportunitiesNecessary resources available
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
23/35
Making Planning Effective
Linked to Long term objectivesConsistencyEveryone participatesFeasibleFlexibleSimpleTop Management Support
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
24/35
MANAGEMENT BY O BJECTIVES
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
25/35
What Is an O bjective?
objective are goals, aims or purposesthat organisation wish over varyingperiods of time
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
26/35
Management ByO
bjectives (MBO
)A method whereby managersand employees defineobjectives for everydepartment, project, and
person and use them tomonitor subsequent performance.
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
27/35
THE NATURE & PURPO
SEO
F MBO
THE NATURE & PURPO
SEO
F MBO
M BO is concerned with goal setting andplanning for individual managers and their units.T he essence of M BO is a process of j oint goalsetting between a supervisor and a subordinate.M anagers work with their subordinates toestablish performance goals that are consistentwith higher organizational objectives .M BO helps clarify the hierarchy of objectives asa series of well-defined means-ends chains.
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
28/35
Essential Steps for MB OSet Goals
The most difficult step.
Develop Action PlanFor both workgroups and individuals.
Review Progress/ Take corrective action
Periodic during the year.Appraise O verall Performance.
Review Annual Goals.
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
29/35
Ess e ntial St ep s for MBO
S et GoalsThe most difficult step .ConcreteS pecific target and timeframeAssign responsibility
D evelop Action PlanCourse of actionFor both workgroups andindividuals
R eview ProgressPeriodicity?
Course corrections
Appraise Overall Performance.H ow are we doing?D o we need to restate our goals?
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
30/35
MAKING MBO
PRO
CESS EFFECTIVEIf MBO is to be successful, it mus t s tart at th e top of th e organization
Employees must be educated about what MBO is and what their role in it will be .
Managers must implement MB O in a way that is consistent with overall organizational goals.
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
31/35
M anagers tell their subordinates what
organizational and unit goals and plans topmanagement has established.
M anagers meet with their subordinates on aone-to-one basis to arrive at a set of goals for each subordinate that both develop and towhich both are committed.
Goals are refined to be as verifiable as possibleand achievable within a specified period of time.
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
32/35
Goals must be written and very clearly stated.
M anagers must play the role of counselors inthe goal-setting and planning meeting.
T he meeting should specify the resources thathe subordinate will need
C onducting periodic reviews
T he employee is rewarded on goal attainment.
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
33/35
THE EFFECTIVENESSO F MBO
- STRENGTHSO rganizations create a powerful motivationalsystem for their employees by adopting MB O .
Through the process of discussion andcollaboration, communication is greatlyenhanced.
With MBO performance appraisal may bedone more objectively.
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
34/35
THE EFFECTIVENESSO F MBO
- STRENGTHSMBO helps identify superior managerial talent for future promotion.
MBO provides a systematic management philosophy
MBO
facilitates control through the periodicdevelopment and subsequent evaluation of individual goals and plans.
prince dudhatra-9724949948
8/7/2019 Planning Prince Dudhatra 9724949948
35/35
THE EFFECTIVENESSO F MBO -
WEAKNESSESThe major reason for MB O failure is l ack of top m anag e m e nt su pport
goals and plans cascading throughout theorganization may not be those of top management.Some firms may ov e r e m p h as ize qu ant itat ive goa l s
Some managers will not or cannot sit downand work out goals with their subordinates
prince dudhatra-9724949948