PLANNING CONCEPTS AND STRATEGIES

SITTIE PIERON ABUTAZIL-DU,RN

MPA STUDENT

Chapter Objectives

• Define planning.• Why is there a need to plan in management? • Importance of planning.• Planning function.• Define objectives and its kinds.• Differentiate between strategic and tactical planning

(kinds of planning)• Differentiate planning and strategic management• Discuss the planning process• Discuss the planning hierarchy and roles for managers

WHAT IS PLANNING?

• Is the process of setting objectives to be accomplished by an organization during a future time period and deciding on the methods of reaching them.

• In planning, managers attempts to bridge the gap between where the organization at the moment and where he wants it to go. In advance, it answers the WHO, WHAT, WHEN, WHY, and HOW of future actions.

• Planning is a never-ending activity. The manager must examine plans regularly and if necessary modify them in view of new situations and variables.

• It integrates various activities of organization

• It is an interdependent process which coordinates the various business activities.

• It requires considerable time form implementation.

• It not only selects the objectives but also develops policies, programs and procedures to achieve the objectives.

• Planning is looking into the future

Importance of Planning

• It reduces uncertainty of future events• It makes objectives clear and specific• It brings economy in operations.• It provides the basis of control• It establishes unity and coordination.• Optimum utilization of available resources• It helps to control hasty decisions.• It is for the development of the organization.

Kinds of Planning1. Strategic planning – is the type of planning that is generally

reserved for top-level managers since it involves the determination of overall direction.

- This concerns itself with issues such as the purpose of the organization, the major social, political, and technological influences which might seriously affect its business.

2. Tactical Planning – type of planning generally reserved for the middle and lower level managers.

- This primarily concerned with how to get, where the organization wants to go.

- It is concern with determining the tasks to be done, establishing responsibilities and accountabilities, setting quantitative measures for each tasks, implementing the planned actions, and exercising controls.

Planning function

• It consists of three major activities:

1. The manager must critically appraise the present position of his organization. He must take a complete inventory and attempt to realistically determine just where his organization is at the moment.

2. The manager must set objectives. He must decide where his organization must go.

3. The manager must develop a set of plans to achieve these objectives.

What is objective?

• Are clear-cut and carefully considered statements designed to give an organization and its members

direction and purpose.

• Goals, aims, purposes or missions are commonly used interchangeably with objectives.

Kinds of objectives

1. Organizational – deals with the general direction and purposes of the organization

2. Managerial – subordinate but directly related to the organizational objectives which identify the goals of particular departments or organizational segment.

3. Individual – are personalized objectives which outline what individuals in the group are trying to accomplish

- All these three kinds of objectives should blend together and not be conflict so that it will contribute to the organizational realization of its PLANS and for the future success.

Strategic Planning & Strategic Management

• STRATEGIC PLANNING - is an organizational management activity that is used to set priorities, focus energy and resources, strengthen operations, ensure that employees and other stakeholders are working toward common goals, establish agreement around intended outcomes/results, and assess and adjust the organization’s direction in response to a changing environment.

STRATEGIC PLAN- is a document used to communicate with the organization, the organizations goals, the actions needed to achieve those goals and all of the other critical elements developed during the planning exercise.

• STRATEGIC MANAGEMENT – can be defined as the art and science of formulating, implementing, and evaluating cross-functional decisions that enable an organization to achieve its objectives.

- Comprehensive collection of ongoing activities and processes that organizations use to systematically coordinate and align resources, actions with missio,vision and strategy throughout the organization.

- The strategic management activities transform the static plan into a system that provides trategic performance feedback to decision making and enables the plan to evolve and grow as requirements and other circumstances change

- The process by which managers of the firm analyze the internal and external environment for the purpose of formulating strategies and allocating resources to develop a competitive advantage in an industry that allows for the successful achievement of organizational goals.

- It includes understanding the strategic position of an organization, making strategic choices for the future and managing strategy in action,

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STEPS IN PLANNING

1. Establish Goals- Identify specific company goal

- Overview of each goal including the reasons for its selection And the anticipated outcomes

2. Identify Resources- Financial and human resources projections

3. Establish Goal-Related Tasks- Outlining tasks or activities

4. Prioritize Goals and Tasks

- Ordering objectives in terms of their importance.

5. Create Assignments and Timelines

-consider the abilities of staff members and the time realistically to complete assignments.

6. Establish Evaluation Methods

-through requesting a monthly progress report from department heads.

7. Identify Alternative Courses of Action- A management plan should include a contingency plan if certain aspects of the master plan prove to

be unattainable.

Management Levels: A Hierarchical View

• An organization can have many different managers, across many different titles, authority levels, and levels of the management hierarchy.

• The three levels of management typically found in an organization are low-level management, middle-level management, and top-level management.

• Top-level managers are responsible for controlling and overseeing the entire organization.

• Middle-level managers are responsible for executing organizational plans which comply with the company's policies. These managers act at an intermediary between top-level management and low-level management.

• Low-level managers focus on controlling and directing. They serve as role models for the employees they supervise.

IF YOU FAIL TO PLAN, YOU PLAN

TO FAIL…ANONYMOUS…

THANK YOU AND

WASSALAM