PLANNINGSaira Ansari Jagdeep Dahiya Ashish Jain Puneet Vyas
Defining PlanningThe process of setting objectives, or goals, and formulating policies, strategies, and procedures to meet them.
The process of choosing the who, what, how, when, and where of goal attainment.
Planning Where & How
Features of PlanningPlanning is Futuristic A Mental Exercise Pervasive Continuous Process
Why To Plan Better Coordination Focus on Forward Thinking Participatory Work Environment More Effective Control Systems If You fail to plan, you plan to fail.
Benefits of Planning...
Fool Proof Plan1 3
Costs of PlanningManagement Time
Delay in Decision Making
Where Should Planning BeginTOP-DOWNLevel at which planning is initiated Role of Organizational units Specificity of plan Advantages Disadvantages AppropriatenessTop Level Units act as per the plan Begins Broad, becomes specific as moves down
BOTTOM-UPIndividual closest to product/services/customers Develop their own goals and plans Begins specific, becomes cohesive as moves up
Plans driven by top mgmt who People closest to customers are most knowledgeable provide focused plans Top-level mgmt is removed Lower mgmt may not have a from the front line broad understanding When orgn success depends When it depends upon ability on quick response to external to respond quickly to changes in operational system. pressures and threats
Planning ProcessWhere We Want to Go?Vision/Goals
How To Know We Made it?Measures Indicators
Where We Are Now?Assess Present Condition
How Will We Get There?Strategy/Methods
Did We Made It?Re-Monitoring
Financial Planning Process: An Example
Levels of PlanningStrategic Definition Tactical OperationalProcess by which an Process of translating Process of determining organization makes broad strategic goals the day-to-day activities decisions and takes and plans into that are necessary to actions to enhance its long specific goals related achieve the long term term performance a functional areas goals of the organization Board of Directors, Middle Level, Top Level Executives, Functional Heads Managers within Business units Long-Term Medium Term Middle Level to Lower Level Managers
Types of Plans
Policies Procedures Rules
MBO System Balanced Scorecard
Programs Projects Budgets
Management By Objectives (MBO)Organizational Objectives Reviewed Employee Objectives Set
MBO for the next Operating Period begins
Strategic Management ProcessA process that involve managers from all parts of the Organization in the formulation and implementation of strategic goals and strategies.
Low Cost Strategy
Contingency PlanningFor Changing Environments Y2K Terrorist Attacks Policy Change Market Change Attrition
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