3. A writer describes planning…
Managers decide
1. “What is to be done?”
2. “When it is done”?
3. “How it is to be done?”
4. “Who is to do it”?
4. UPPER-LEVEL MANAGERS
- They generally devote most of their
planning time to the distant future and the
strategies of the entire organization.
LOWER-LEVEL MANAGERS
- They plan mainly for their own subunits
and for the shorter term.
5. PLANNING
- It is a process that does not end when a
plan is agreed upon; plans must be
implemented.
- At any time during the implementation
and control process, plans may require
modification to avoid becoming useless or
even damaging.
6. DECISION MAKING
- It is an important aspect of planning.
- It is the process of developing and
selecting a course of action to solve a
specific problem. It must be made at many
points in the planning process.
7. The Four basic steps in planning:
1. Establish a goal or set of goals
- Planning begins with decisions
about what the organization or
subunit wants or needs.
8. The Four basic steps in planning:
2. Define the present situation
- Asking questions like:
How far is the organization of the
subunit from its goals?
What resources are available for
reaching the goals?
9. The Four basic steps in planning:
3. Identify the aids and barriers to the
goals
- What factors in the internal and
external environments can help the
organization reach its goals?
10. The Four basic steps in planning:
4. Develop a plan set of actions for
reaching the goal(s)
- It involves developing various
alternative courses of action for reaching the
desired goal or goals, evaluating these
alternatives, and choosing from among them
the most suitable alternative for reaching the
goal.
11. TWO MAIN TYPES OF PLANS
1. Strategic plans – designed to meet
the broad objectives of the
organization, to implement the
mission which provides the unique
reason for organization’s
existence.
12. TWO MAIN TYPES OF PLANS
2. Operational plans – providing the
details of how the strategic plans
will be accomplished. The types :
a. Single-use plans
b. Standing plans
14. The link between planning and
controlling
Planning
Budgets
Employee
Involvement
Information
Controlling
CONTROL
- It is the process which
attempts to insure that actions
conforms to plans.
- It compares information about
what is really happening
during a plan’s implementation
(Actual data) with the budgets,
programs, standards, and for
the planned data.
15. BUDGETING
- It is the most common link between planning and
controlling. A budget is almost a key part of the
planning process because it guides decisions about
allocating resources toward the attainment of
goals.
- Overrunning a budget is frequently an early
signal that activities are not proceeding as planned.
16. Goal Setting
- It is the essential first step in planning, managers who
are unable to set meaningful goals will be unable to
make effective plans.
The ff. are reasons why some managers fail to set their
goals for their organizations or subunits:
1. Unwillingness to give up alternative goals
2. Fear of Failure
3. Lack of organizational knowledge
4. Lack of knowledge of the environment
5. Lack of confidence
17. Overcoming Resistance to Change
- Planning implies change, and implementing and
managing change are important parts of a manager’s
job.
The ff. are ways for managers to reduce or eliminate
resistance to planned changes:
1. Involve employees especially those to be affected in
the planning process.
2. Provide more information to employees about plans
and their probable consequences so that they will
understand the change.
18. 3. Develop a pattern of effective planning and effective
implementation. A successful “track record”
encourages confidence in the planners and
acceptance of new plans.
4. Be aware of the impact of proposed changes on
organization members and minimize unnecessary
disruptions.
19. Factors that Discourage Organizations from Developing
Formal Strategic Plans; and How to overcome Them
Factor And How to Overcome it
1. Conflict between formal strategic planning
process and management style
Select a level of formality in the planning process that is
compatible with the organization’s and its managers’
style
2. Inappropriateness of formal strategic
planning to small organization
Select a level of formality in the planning process
appropriate to the size and needs of the organization
3. Expense of formal planning process
Retain the essence of the planning process but omit such
“frills” as outside consultants, elaborate reports, and
extra paperwork
4. Overemphasis on the quantitative aspects Determine what statistical and financial data are
essential limit quantifications accordingly
5. Vulnerability of formal planning to
unexpected events
Keep in mind that unexpected is to be expected; build
flexibility into the plan by developing alternatives and
exploring options. Develop contingency strategies.