3. PERSONAL GOALS @ PLANNING
• List 3 important things in your life
• Share with your group and look for differences
and similarities
• What affected your decision?
• Age
• Job position
• Upbringing
4. PERSONAL GOALS @ PLANNING
• Imagine you are given RM 50,000.00 to spent
• How would spent the money?
• The way you have just spent the money; is it in
harmony with your 3 important things in your
life?
5. PERSONAL GOALS @ PLANNING
• What are your top 3 personal goals?
• Name at least 1 goal that you still have not
achieved
• Write your reason for still not achieving that
goal
• How could we overcome the roadblocks?
6. THREE STAGES OF THE PLANNING PROCESS
Process
Determining the Organization’s
mission and goals
(Define the business)
Strategy formulation
(Analyze current situation &
develop strategies)
Strategy Implementation
(Allocate resources & responsibilities
to achieve strategies)
Figure 7.1
8. MISSION
To be a responsible company committed to
enhancing quality of life by providing
sustainable solutions based on innovative
sciences.
9. CORE VALUES @ P.E.T.I.R.R.
PASSION - We inspire and energise everyone to be the best.
EXCELLENCE - We consistently deliver outstanding performance through
innovative solutions.
TEAMWORK - We succeed together because we work as one.
INTEGRITY - We conduct ourselves with pride in being honest and ethical.
RESPONSIBLE - We honour the trust given to us by being accountable for our
actions.
RESPECT - We value differences and sincere intentions as the basis for
achieving shared aspirations.
11. PLANNING ENCOMPASSES
• Defining the
organization’s
objectives or goals
• Establishing an overall
strategy for achieving
those goals
12. ADVANTAGES OF PLANNING
• It gives direction to
both management
and no management
staffs
• It minimize waste
and redundancy
13. SHORT-TERM AND LONG-TERM PLANS
• Short-term plans are
plans that cover less than
1 year
• Mid-term plans that
covers 1-5 years
• Long-term plans are
plans that extend beyond
5 years
14. MANAGEMENT BY OBJECTIVE @ MBO
• MBO is a system in
which specific
performance objectives
are jointly determined
by subordinates and
their supervisors
• Progress toward
objectives is
periodically reviewed –
basis for rewards
15. HOW DOES A MANAGER SET
EMPLOYEE OBJECTIVES?
• Identify an employee’s
key job tasks
• Build in feedback
mechanism to assess
goal progress
• Link rewards to goal
attainment
16. THE STRATEGIC MANAGEMENT PROCESS
• Environmental
scanning refers to
screening large
amounts of
information to detect
emerging trends
17. THE STRATEGIC MANAGEMENT PROCESS
• Competitive
intelligence refers to
accurate information
about competitors that
allows Managers to
anticipate competitors’
actions rather than
merely react to them
23. IMPORTANCE OF ORGANIZING FUNCTION
• Co-ordination -
Organization is a
means of creating co-
ordination among
different
departments
24. CENTRALIZATION
(NO DELEGATION)
Advantages
• Greater Top-
Management Control
• More Efficiency
• Simpler Distribution
System
• Stronger
Brand/Corporate Image
Disadvantages
• Less Responsiveness to
Customers
• Less Empowerment
• Inter organizational
Conflict
• Lower Morale Away
from Headquarters
25. DECENTRALIZATION
(DELEGATE AUTHORITY)
Advantages
• Better Adaptation to
Customer Wants
• More Empowerment of
Workers
• Faster Decision Making
• Higher Morale
Disadvantages
• Less Efficiency
• Complex Distribution
System
• Less Top-Management
Control
• Weakened Corporate
Image
26. ORGANIZATIONAL STRUCTURES
Tall Organizations
• Many Layers of
Management
• High Cost of
Management
• Narrow Span of
Control
Flat Organizations
• Current Trend
• Creation of Teams
• Broad Span of Control
27. SPAN OF CONTROL - NARROW
Advantages
• More Control by Top
Management
• More Chances for
Advancement
• Greater Specialization
• Closer Supervision
Disadvantages
• Less Empowerment
• Higher Costs
• Delayed Decision
Making
• Less Responsiveness to
Customers
28. SPAN OF CONTROL - BROAD
Advantages
• Reduced Costs
• More Responsiveness
to Customers
• Faster Decision
Making
• More Empowerment
Disadvantages
• Fewer Chances for
Advancement
• Overworked Managers
• Loss of Control
• Less Management
Expertise
48. WHAT IS YOUR WORTH?
QUESTIONS PHARMACEUTICAL FERTILIZER CHEMICAL
How much is your
monthly sales?
How much is your
yearly sales?
How many
employees in total?
What is the sales
value per person?
What should be the
training investment
per person?
49. TRAINING & DEVELOPMENT
• Increase In Efficiency
• Increase In Morale Of
Employees
• Better Human Relations
• Reduced Supervision
• Increased Organizational
Efficiency & Productivity
51. LEADERSHIP AND MANAGEMENT
• The management
function that
energizes people to
contribute their best
individually and in
cooperation with
other people
59. LEGITIMATE POWER
• Manager’s authority
resulting by their
management
position in the firm
• Can be power to
hire/fire workers,
assign work
60. REWARD POWER
• Based on the Manager’s
ability to give or withhold
rewards
• Pay raises, bonuses,
verbal praise
• Effective Managers use
reward power to signal
employees they are doing
a good job
61. COERCIVE POWER
• Based in ability to
punish others
• Ranges from verbal
reprimand to pay cuts
to firing
• Can have serious
negative side effects
62. EXPERT POWER
• Based on special skills
of leader
• First & middle
managers have most
expert power
• Often found in
technical ability
63. REFERENT POWER
• Results from personal
characteristics of the
leader which earn
worker’s respect,
loyalty and admiration
• Usually held by likable
Managers who are
concerned about their
workers
64. EMPOWERMENT
• Process of giving
workers at all levels
authority to make
decisions and the
responsibility for their
outcomes
70. PERFORMANCE CONTROL
• Are employees
responsive to
customers?
• Customer service is
increasingly important
71. THREE TYPES OF
PERFORMANCE CONTROL
Inputs Outputs
Conversion
Process
Feed Forward
Control
(anticipate
problems)
Concurrent
Control
(manage problems
as they occur)
Feedback
Control
(manage problems
after they occur)
Figure 9.1
72. IMPORTANCE OF PERFORMANCE CONTROL
Feed Forward: use in the
input stage of the process.
• Managers anticipate
problems before they
arise
• Managers can give
rigorous specifications to
suppliers to avoid quality
problems
73. IMPORTANCE OF PERFORMANCE CONTROL
Concurrent: gives
immediate feedback on
how inputs are converted
into outputs
• Allows Managers to
correct problems as they
arise
• Managers can see that a
machine is becoming out
of alignment and fix it
74. IMPORTANCE OF PERFORMANCE CONTROL
Feedback: provides
facts & information
Managers can use in
the future
• Customer reaction to
products are used to
take corrective action
in the future
75. PERFORMANCE CONTROL PROCESS
Establish standards of performance, goals, or
targets against which performance is evaluated.
Measure actual performance
Compare actual performance
against chosen standards
Evaluate results and take corrective action
when the standard is not being achieved.
1.
2.
3.
4.
Figure 9.2
76. PERFORMANCE CONTROL PROCESS
Establish standards,
goals, or targets against
which performance is to
be evaluated
• Standards must be
consistent with
strategy, for a low cost
strategy, standards
should focus closely on
cost
77. PERFORMANCE CONTROL PROCESS
Measure actual
performance: Managers
can measure outputs
resulting from worker
behaviour
• Managers then
measure the behaviour
(come to work on time)
not the output alone
79. PERFORMANCE CONTROL PROCESS
Evaluate result and take
corrective action
• Perhaps the standards
have been set too high
• Workers may need
additional training, or
equipment
80. BEHAVIOR CONTROL PROCESS
It occurs through
personal supervision
and the use of formal
administrative systems
• Performance appraisal
systems
81. BEHAVIOR CONTROL PROCESS
It occurs through
personal supervision
and the use of formal
administrative systems
• Compensation and
benefit systems
82. BEHAVIOR CONTROL PROCESS
It occurs through
personal supervision
and the use of formal
administrative systems
• Employee discipline
systems
83. BEHAVIOR CONTROL PROCESS
It occurs through
personal supervision
and the use of formal
administrative systems
• Management-by-
objectives
85. THANK YOU
A bird sitting on tree is
never afraid of the
branch breaking,
because her trust is not
on the branch but on
it’s own wings. ALWAYS
BELIEVE IN YOURSELF !