chapter_6 principles of planning

8/3/2019 Chapter_6 Principles of Planning

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1. A definition of planning and an understanding of the purposes of planning

2. Insights into how the major steps of the planning process are related

3. An understanding of the relationship between planning and organizational

objectives

4. A knowledge of the areas in which managers should set organizationalobjectives

5. An appreciation for the potential of a management-by-objectives (MBO)

program

6. A knowledge of how the chief executive relates to the planning process

7. An understanding of the qualifications and duties of planners and how

planners can be evaluated

OBJECTI

VES


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Planning Is the

Process of

Determining how

the Organizationcan get where it

wants to go and

what it will do to

accomplish itsobjectives

DEFINIT

ION


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PURPOSES

Protective

Affirmative

If you fail to Plan, you plan to fail


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PLANNINGPROCESS


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PLANNING

SUBSYSTE

M


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ORGANIZATIONAL

OBJECTIVESOrganizational

objectives are

the targetstowards which

the open

management

system isdirected


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FOR ORGANIZATIONALOBJEC

Market standing

Innovation

Productivity

Physical and financialresources

Profitability

Managerial performance and

development

Worker performance and

attitude

Public Responsibility


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TYPES OFOBJECTIVES


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HIERARCHY OF

OBJECTIVES

FOR

MEDIUM SIZED

ORGANIZATION


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GUIDES FOR ESTABLISHING

QUALITY OBJECTIVES1. Let those responsible for attaining objectives have voice in

setting them

2. State objectives as specifically as possible

3. Relate objectives to specific actions whenever necessary

4. Pinpoint expected results

5. Set goals high enough that employees have to strive to meet

them

6. Specify when goals are expected to be achieved

7. Set objectives only in relation to other organizational

objectives

8. State objectives clearly and simply


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ANAGEMENT BY OBJECTIVES (MB

TheMBO strategy:

All individuals are assigned a

specialized set of objectives Performance reviews are

conducted periodically

Rewards are given to individuals


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MBOPR

OCESS


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Continually emphasize how toachieve organizational goals

Secures employeecommitment to attaining goals

Advantages

Development of objectives canbe time consuming

Increase the volume ofpaperwork in an organization

Disadvantages

MBO

PROGRAMS


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PLANNING AND THE

CHIEF EXECUTIVE Final ResponsibilityAs planners, chief executives ask:

1. In what direction should the organization be going?

2. In what direction is the organization going now?

3. Should something be done to change this direction?

4. Is the organization continuing in an appropriate

direction?

Planning Assistance


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THE PLANNEREvaluation of Planners

Objective Indicators

Guidelines for evaluating the planners performance:

1. Organizational plan is in writing

2. Plan is the result of all elements of management team workingtogether

3. Plan defines present and possible future business of the

organization

4. Plan specifically mentions organizational objectives

5. Plan identifies opportunities and suggests how to take advantage

of them

6. Plan emphasizes both internal and external environments

7. Plan describes the attainment of objectives in operational terms

8. Plan includes both long- and short-term recommendations


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QuestionsQuestions


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