What Is Planning?
What Is Planning?
PLANNING
PLANNING
CONTINGENCY PLAN
IS A TYPE OF PLAN THAT IS NECESSARY FOR SOME MANAGER'S TO AVOID UNEXPECTED
EVENTS OR OUTCOMES AND WHEN INITIAL PLAN DID NOT WORKED OUT.
BENEFITS OF PLANNING
PLANNING REDUCES UNCERTAINLY – MANAGERS CANNOT ACCURATELY PREDICT THE DEMAND OF THE
PRODUCTS AND SERVICES IN ADVANCE GIVEN THIS SCENARIO.
PLANNING CREATES GOALS THAT IS USED IN CONTROLLING – EVERY TIME A MANAGER TRY TO
CONTROL HIS SUBORDINATES WITHOUT ANY PLAN IS POINTLESS.
PLANNING GIVES DIRECTION – ALL MANAGERS SHOULD TAKE A PRIMARILY LOOK AT POSSIBLE FUTURE
OPPORTUNITIES AND SEE THEM CLEARLY AND COMPLETELY, KNOW WHERE THEY STAND IN LIGHT OF
THEIR STRENGTH AND WEAKNESSES, UNDERSTAND WHAT PROBLEM THEY WISH TO SOLVE AND KNOW
WHAT THEY TO GAIN. (KOONZT & WEIHRICH 2004)
OPERATIONAL PLANNING – IS A DETAILED PLAN THAT HAS LIMITED SCOPE AND FOCUS ON
SPECIFIC GOALS.
THE NATURE OF A GOAL IN ORGANIZATION
AN ORGANIZATION NEEDS TO HAVE A GOAL TO DRIVE EVERY MEMBER FROM THE TOP MANAGEMENT
DOWN TO THE LOWER LEVEL OF THE ORGANIZATION TOWARDS A COMMON DESIRED OUTCOME. IN THIS
SENSE WE CAN DEFINE GOALS AS A DESIRED OUTCOMES OR TARGETS THAT NEEDS TO ACCOMPLISHED
BY AN INDIVIDUAL OR THE ENTIRE ORGANIZATION.
CHARACTERISTICS OF GOAL
PROGRAMMED
DECISION
DECISION NON
PROGRAMMED
DECISION
WHAT IS DECISION MAKING?
TYPES OF DECISION
PROGRAMMED DECISION – A PROGRAM DECISION IS A TYPE OF DECISION THAT HIGHLY
STRUCTURED WHEREIN PROCEDURES IN DECISION ARE PROVIDED WITH
PREDETERMINED DECISION RULES. A TYPES OF DECISION THAT HAVE BEEN
ENCOUNTERED BEFORE WHICH INVOLVES ESTABLISHED PROCEDURES, POLICIES AND
RULES. PROGRAMMED DECISION ARE MADE IN RESPONSE TO REPETITIVE SITUATION.
TYPES OF DECISION MAKING
NON– PROGRAM DECISION– IS A TYPE OF DECISION THAT IS UNSTRUCTED WITH NO CLEAR
PROCEDURES FOR MAKING A DECISION. THIS REQUIRES A SPECIAL FORM OF DECISION. THIS REQUIRES A
SPECIAL FORM OF DECISION. IT DEALS WITH DEVELOPING CREATING A POSSIBLE SOLUTION AND ALL
ALTERNATIVES SHOULD BE EVALUATED.
5. SELECT THE BEST ALTERNATIVE – A MANAGER NEEDS TO REALIZE THE BEST POSSIBLE
ALTERNATIVE ALSO KNOWN AS MAXIMIZING AND NOT JUST CHOOSING ALTERNATIVE THAT IS
ACCEPTABLE ENOUGH THAT MEETS THE MINIMAL REQUIREMENTS BUT NOT NECESSARILY THE
PERFECT ONE WHICH IS COMMONLY KNOWN AS SATISFYING.
BASIC DECISION MAKING PROCESS
7. EVALUATE THE DECISION – IN THIS FINAL STEP, A MANAGER SHOULD EXAMINE THE
CONSEQUENCE OF THE DECISION BOTH THE POSITIVE AND NEGATIVE. EVALUATION STAGE WILL
BE MADE EASIER IF THE SOLUTIONS INVOLVES ARE CLEAR OBJECTIVES THAT INCLUDES
MEASURABLE TARGETS AND TIMETABLE ( SCHERMERHORN 1999).
IMPORTANCE OF MISSION & VISION
MISSION STATEMENT – A MISSION STATEMENT SERVES AS THE BASIS FOR ORGANIZATIONAL
GOALS WHICH PROVIDE MORE DETAILS. IT ALSO DESCRIBES THE SCOPE OF THE MISSION ( STEVENSON &
CHUONG, 2010), IT GUIDES THE ACTIONS OF THE ORGANIZATION AND DESCRIBE WHAT THE
ORGANIZATION DOES.
• IF POSSIBLE KEEP IT SHORT THE IDEAL MISSION STATEMENT TENTS TO HAVE THREE TO FOUR
SENTENCES.
• IT SHOULD DESCRIBES WHAT YOUR COMPANY DOES, WHO DOES IT FOR, HOW YOU DO IT AND WHY.
• IT SHOULD INCLUDE THE CORE COMPETENCIES, VALUES, MORAL, AND ETHICAL POSITIONS THAT ARE
EXPRESS IN YOUR BUSINESS.
• IT SHOULD BE ABLE TO WITHSTAND THE CHANGES AND AIM FOR THE SUBSTANCES BY PUTTING
YOUR MISSION STATEMENT AT WORK.