PlanningChapter 4What's the planning of organizations?Management by objectives一The strategic management processBenchmarking/ISO9000series/six sigmaEntrepreneurship: a special case of strategicplanning
Chapter 4 Planning What’s the planning of organizations? Management by objectives The strategic management process Benchmarking / ISO9000 series /six sigma Entrepreneurship: a special case of strategic planning
What's the planning of organizations?The content of planningAdvantages and disadvantages of planningTypes ofplans
What’s the planning of organizations? The content of planning Advantages and disadvantages of planning Types of plans
Planning Encompasses:Defining the organization's objectives or goalsEstablishing an overall strategy for achievingthose goals.Developing a comprehensive hierarchy of plans tointegrate and coordinate activities
Planning Encompasses: Defining the organization’s objectives or goals. Establishing an overall strategy for achieving those goals. Developing a comprehensive hierarchy of plans to integrate and coordinate activities
Advantages of Planning中中It gives direction to managers and nonmanagersalike.Planning can reduce the impact of changeIt minimize waste and redundancyPlanning establishes objectives or standards thatfacilitate control
Advantages of Planning It gives direction to managers and nonmanagers alike. Planning can reduce the impact of change. It minimize waste and redundancy. Planning establishes objectives or standards that facilitate control
Disadvantages of PlanningPlanning may create rigidityPlans can't be developed for a dynamicenvironment.Formal plans can't replace intuition and creativityPlanning focuses managers' attention on today'scompetition, not on tomorrow's survival.Formal planning reinforces success, which maylead tofailure
Disadvantages of Planning Planning may create rigidity. Plans can’t be developed for a dynamic environment. Formal plans can’t replace intuition and creativity. Planning focuses managers’ attention on today’s competition, not on tomorrow’s survival. Formal planning reinforces success, which may lead to failure
Exhibit 4-1 Types of PlansBreadthTime frameSpecificityFrequencyof useStrategicSingle useDirectionalLong termSpecificTacticalShort termStanding
Exhibit 4-1 Types of Plans Breadth Time frame Specificity Frequency of use Strategic Long term Directional Single use Tactical Short term Specific Standing
Strategic and Tactical Plans Strategic plans are plans that apply to the entire organizationestablishthe organizationsoverall objectives,and seek toposition the organization in terms of its environmentTactical plans (sometimes referred to as operational plans)specify the details of how the overall objectives are to beachieved. Strategicand tactical plans differ in three primary waystheir time frame, scope, and whetherthey include a knownset oforganizational objectives
Strategic and Tactical Plans Strategic plans are plans that apply to the entire organization, establish the organization’s overall objectives, and seek to position the organization in terms of its environment. Tactical plans (sometimes referred to as operational plans) specify the details of how the overall objectives are to be achieved. Strategic and tactical plans differ in three primary ways— their time frame, scope, and whether they include a known set of organizational objectives
Short-term and Long-term Plans Short-term plans are plans that cover lessthan oneyear. Long-term plans are plans that extendbeyondfiveyears.Their differences liein the length offuturecommitments and the degree of variabilityorganizationsface
Short-term and Long-term Plans Short-term plans are plans that cover less than one year. Long-term plans are plans that extend beyond five years. Their differences lie in the length of future commitments and the degree of variability organizations face
Specificand Directional PlansSpecific plans have clearly defined objectivesand leave no roomfor misinterpretationDirectional plans are flexible plans that setoutgeneral guidelines
Specific and Directional Plans Specific plans have clearly defined objectives and leave no room for misinterpretation. Directional plans are flexible plans that set out general guidelines
Single-use and Standing Plans Single-use plans are used to meet theneeds of particular or unique situation. Standing plans are ongoing, and provideguidance for repeatedly performed actionsinanorganization
Single-use and Standing Plans Single-use plans are used to meet the needs of particular or unique situation. Standing plans are ongoing, and provide guidance for repeatedly performed actions in an organization