It requires a mental disposition of thinking before’ acting in the light of facts rather than guess. What is it that you are … What's the Difference Between Vision, Strategy and Tactic? Elements 5. The school and local law enforcement have developed a memorandum of agreement, (MOA), defining the roles and responsibilities of both. Within each category, there may be several alternatives. Strategies act as reserve forces to overcome resistances and reactions according to circumstances. From this are developed subordinate goals that contribute to the attainment of the general objective. It will help in detecting the shortcomings and pitfalls of the plans and taking remedial actions well in time. Question 4 All of the following elements are part of an organization’s vision EXCEPT _____. TOS 7. Though major planning function is entrusted to the top management, it is not restricted to the top level only. Thus, control is exercised in the context of planning action as the standards against which actual results are to be compared are set up through planning. Product. B. The Emergency Action Plan takes into account each of the following EXCEPT _____. Different procedures are adopted in different areas of business activities. However, the other business remains a threat if it pulls out of the crises. After the evaluation of various alternatives, the most appropriate one is selected as the plan. 1.. All following elements have been identified as important to supporting school’s level of involvement with law enforcement EXCEPT: A. These involve reflective thinking which signifies problem-solving thought process—a process by which past experiences are superimposed on the facts of the present situation and possible future trends. Programmes are precise plans of action followed in proper sequence in accordance with the objectives, policies and procedures. The different departments may formulate different plans and programmes for their integration in the overall planning. This enables the businessman to concentrate upon those matters which are actually relevant and vital to business success. In a big enterprise, various policies are formulated for guiding and directing the subordinates in different areas of management. Because it is a template, or pattern, you can adapt and use it again—perhaps at a future job. Production procedure involves manufacturing and assembling of parts; sales procedure relates to advertising, offering quotations, securing and execution of orders; purchase procedure indicates inviting tenders, selecting quotations, placing orders, storing the goods in go-down and supplying them against requisition to different departments and personnel procedure is the recruitment, selection and placement of workers to different jobs. This allows timely changes in the planning and makes it more effective. As a managerial function, planning is important for the following reasons: The first and most important reason for planning lies in the fact that it provides a basis on which decisions are made. Harley-Davidson's vision statement focuses on keeping its brand internationally known and valued, using the combined power of its stakeholders and employees to drive value and innovation: While a vision describes how you view your business to your customers and stakeholders, a mission statement describes what you do currently. 1 / 1 pts Question 5 Which is the first step of Warrick’s six-step change implementation process? But these different policies are co-ordinated and integrated in such a way that they ensure easy realisation of the ultimate objectives of business. But a vision with a plan can change the world.” Creating a plan to achieve your business objectives may not change the world—but it is possible. Similarly, in respect of sales procedure, rule may be enforced that all orders should be confirmed the very next day. The RBS is contained in the risk management plan. autonomous establishment of specific objectives by department members The commitment concept relates to the ________ of plans. The project charter should help the project team and the project sponsor to develop a common understanding of what the project is all about. This gives the planning exact, definite, and accurate meaning in its scope and content. Whatever be the nature of activity, management starts with planning. Since there are so many complex variables connected with each goal and each possible plan, the process of comparative evaluation is extremely difficult. The key elements of the benefits management plan are all of the following EXCEPT Benefits owner. depending upon the situation. Policies provide the necessary basis for executive operation. Planning, being an intellectual activity is based on rational considerations. It is the analysis and interpretation of future in relation to the activities and working of an enterprise. The strong and weak points of every alternative should be analysed carefully. Planning is neither poetry nor philosophy. C. the nature of the competitive environment. Important Strategic Planning Skills for Workplace Success, Here Are Some Keys to Make Strategic Planning Implementation Work, How to Implement a Long-Term Remote Work Plan, Understand Team Culture and the Role of Clear Expectations in Success, Use These Tips to Build an Organization Based on Values. Alternative courses of action can be evaluated against the criteria of cost, risks, benefit and organisational facilities. d. All the above are basic elements Ans: d Difficulty: Moderate Feedback: Project Planning Short Answer 82. Figure 2.2 “The Strategic Planning Process” and Figure 2.3 “Elements of a SWOT Analysis” show examples of internal and external factors and in a SWOT analysis. Thus, procedures mean definite steps in a chronological sequence within the area chalked out by the policies. B. the products/services the firm intends to provide. It has a simple mission statement: A vision and mission can also be combined in the same statement. In this process a hierarchy of objectives is created. Mention may be made here of varied operating orders and instructions which are outside of planning, but are subject to decision­ making. All planning is linked up with certain goals and objectives. A SWOT analysis provides businesses a situational investigation into their position in the market. These methods are known as a. portfolio models. Planning has to find out several alternatives, estimate the feasibility and profitability of the different alternatives, and to choose the best one out of them. Again, there are many managerial functions like motivating the employees, disapproving their work or discharging them form service which call for decision-making, but these functions cannot be included within planning from the point of view of analytical study of different management processes. However, to plan any kind of work, the following facts demand utmost attention: (i) The nature, quality and quantity of work to be done, the best way of doing it, the time available for its accomplishment, how to do it, when it is to be done and who are to do it. The next step in the planning process lies in the setting up of objectives to be achieved by the enterprise in the clearest possible terms keeping in view its strength and limitation. Dan McCarthy wrote about management and leadership for The Balance Careers. Long-term goals are the milestones a company sets to guide operations toward their far-reaching objectives. A plan should be made efficient to attain the objectives of the enterprise at the minimum cost and least effort. There may be production procedure, sales procedure, purchase procedure, personnel procedure etc. Changes must necessarily be effected in the plan for taking into account new developments that may take place in the course of the operation of the plan. Disclaimer 9. They are applied as and when required. O Strategic alignment. Each objective should be as SMART as possible: Specific, Measurable, Achievable, Realistic, and Time-based. Above all, no planning can proceed without forecasting—which means assessing the future and making provision for it. It must also achieve better results with the minimum of unexpected happenings. Which of the following Tools and Techniques are part of Risk Management Planning? The commercialization of health is all that. Work Breakdown Structure. The plans for achieving your short-term goals are your action plans. In fact, most of the company’s achievements can be attributed to careful planning. However, an employer with 10 or fewer employees may communicate the plan orally to employees. Risk threshold C. Risk urgency D. Risk tolerance. So, uniformity must be there in all levels of planning to match the general plan. The quality of planning depends upon the abilities of the managers who are required to collect all relevant facts, analyse and interpret them in a correct way. The plans at each level of the organisation are made for the attainment of the appropriate objectives in the hierarchy. Most managers can benefit from having a strategic plan. By this we mean to say that the application of decision-making is extended beyond the horizon of planning and, in any business, almost every position is a decisional centre. b. In thinking of objectives, alternative courses of action and, above all, in making decision for choosing certain alternatives, the planner goes through an intellectual process. In fact, planning is a dynamic activity. Thus, planning and control are inseparable. It must bridge the gap between where we are and where we want to go at the minimum cost. Planning concentrates attention on the objectives of an enterprise. Regulates health insurance needs and desires. The more detail provided the less flexibility exists for those that follow the plan. Well-considered overall plans harmonies inter-departmental activities. Preliminary criteria can be defined in several ways— minimum investment required, matching with the present business of the organisation, control by the government, etc. Principles. D. include an analysis of the competition. Nature and Characteristics of Planning 3. From this point of view, decision-making and planning move together and one depends on the other. The philosophy and values of the organization. (Select all answers that apply.) A vision statement describes the way you envision your business. Strategies are the devices formulated and adopted from the competitive standpoint as well as from the point of view of the employees, customers, suppliers and government. Importance 4. A structure to gather key project data and turn it into readily digestible information. This may also be stated as an important strategy of business. So, necessary help is to be taken from experts. It can be a single page or fill up a binder, depending on the size and complexity of the business and work. It also serves as a very important control device by measuring the performance in relation to the set goals. ... A mission statement should reflect all of the following, EXCEPT: a. Some important definitions of planning, given by the eminent authors are stated below: According to Koontz and O’Donnell, planning is “an intellectual process, the conscious determination of courses of action, the basing of decisions on purpose, facts and considered estimates.”, “By means of planning management members try to look ahead, anticipate eventualities, prepare for contingencies, map out activities and provide an orderly sequence for achieving the objective.”, “The plan of action is, at one and the same time, the result envisaged, the line of action to be followed, the stages to go through, and methods to use.”. Core Values. All taxes, except payroll, paid to the appropriate government institutions. Welcome to Sciemce, where you can ask questions and receive answers from other members of the community. It is an immense need for the managers of an enterprise to fix up their minds as to what they want to accomplish and then plan the use of time, resources, and efforts towards the achievement of their objectives. b. Ultimately, the choice will depend upon what is determined as the most critical factor from the point of view of the objectives of the enterprise. It acts as a guide and is essentially in the nature of a decision made by the management authority. Precision is the soul of planning. Elements of the objective matrix in the development of strategies include ____. Strategic planning is essential where there is competition. The important principles may be stated as follows: This means that certain resources must be committed or pledged for the purpose of planning. In planning, the manager evaluates the alternatives on the basis of efficiency. A good plan must be simple, balanced and flexible, and make utmost use of the existing resources. Procedures outline a series of tasks for a specified course of action. It is a scheme for investing resources which can be analysed and appraised reasonably and independently. Programming involves dividing into steps the activities necessary to achieve the objectives, determining the sequence between different steps, fixing up performance responsibility for each step, determining the requirements of resources, time, finance etc. The nature of the business that the organization is engaged in. For example, one alternative may be the most profitable but requires heavy investment; another may be less profitable but also involves less risk. It is part of the job that needs to be done in connection with the general programme. Planning also requires laying down of policies for the easy realisation of the -objectives of business. All in all, your communication plan needs the following elements: An understanding of all stakeholders’ preferences and requirements. Programmes must be closely integrated with the objectives. It will, thus, add to the quality of planning through the knowledge of additional facts, new visions and revealing situations. Do You Know Your Leadership Values and Practice Ethically? Planning is basically related with this aspect. Planning focuses on efficiency and economy in operation. Content Filtrations 6. This decision signifies that a definite action must be taken in respect of a specific situation. Since planning is concerned with the identification of alternatives and selection of the most favourable alternative, it may rightly be described as “the most basic tool of management functions.” Thus planning is a process of deciding the business targets and charting out a rational path of attaining those targets. Sometimes evaluation shows that more than one alternative are equally good. After formulating the basic and derivative plans, the sequence of activities is determined so that the plans are put into action. C. establish a strategy for acquiring sufficient funds. B Explanation: B) The planning phase includes analyzing the situation, gathering information, … A plan is a course of action that can take the organisation to its objectives at the minimum cost. In choosing from alternatives, the best alternative will be that which contributes most efficiently and effectively to the accomplishment of a desired goal. What Daily Leadership Behaviors Inspire Employee Motivation? This will help in selecting the most favourable alternative. Through this system of monitoring and control, customer requirements will be met and the product or process variation will be reduced. The task of planning will be well-accomplished if some fundamental principles are followed in the process. Thus, a company may have a programme for the establishment of schools, colleges and hospitals near about its premises along with its expanding business activities. It follows, therefore, that every plan must contribute in some positive way to the accomplishment of group objectives. The break-down of the master plan into departmental and sectional plans provides a realistic picture of the actions to be taken in future. 29. The best strategy of planning from the competitive standpoint is to be fully informed somehow about the planning ‘secrets’ of the competitors and to prepare its own plan accordingly. all of the above: assessments depict progress toward accomplishing the mission assessments inform cc's intent, guidance for design and planning, prioritization, and execution. Quality-control systems specify an organizational structure that allows those responsible for quality to check the work being carried out at all levels. None can be a planner whose mind is not active, who does not possess any deliberate power and whose sense of judgement is not strong. It occupies first place and precedes all other functions of management which are designed to attain the goals set under planning. In the absence of a plan, work still gets done on a day-to-day basis but often lacks a sense of purpose and priority. Thus, planning has assumed great importance in all types of organisation—business or non-business, private or public sector, small or large. The plans are formulated in the light of both external and internal factors. Business forecasting refers to analysing the statistical data and other economic, political and market information for the purpose of reducing the risks involved in making business decisions and long range plans. (Select all answers that apply.) Every manager is required to plan first for systematic and orderly performance of his assigned duties. Compassionate Eye Foundation/Hiep Vu/Getty Images. This is needed for improvement in the quality of planning. Week 3 - Quiz: MGT435: Organizational Change … Long-term goals are statements that drill down a level below the vision and describe how you plan to achieve it. Budget indicates the size of the programme and involves income and outgo, input and output. They all merge into a single programme and act as a guide for the whole concern. A good mission statement should incorporate all of the following elements EXCEPT A. the customers the firm will serve. A business plan should do all of the following EXCEPT:? Planning as a managerial process consists of the following elements or components: The important task of planning is to determine the objectives of the enterprise. So decision-making has a pervasive influence upon planning and it is a part of the planning process. RedHat has been a provider of Linux operating systems for over 25 years. For example, production planning depends upon sales planning—and vice versa. Fire Up Your Strategic Framework for Your Organization's Success, You Can't Be a Real Leader Who People Want to Follow Without Vision. This is very important for the planning process because it leads to formulation of plans by providing clue as to whether opportunities exist for taking up particular plans. The nature and characteristics of planning may be stated as follows: Planning is an intellectual and rational process. It is the job of all managers in all types of organisation. External premises include total factors in the environment like social, political, technological, competitors’ plans and actions, government policies, etc. D. Diagramming techniques. Timing and sequence of operations determine the starting and finishing time for each piece of work according to some definite schedule and give practical and concrete shape and form to work performance. It should be as flexible as possible to accommodate all possible changes in the enterprise with a view to coping with the changing conditions in the market. Planning is essentially a process of deciding in advance what is to be done, when and where it is to be done, and how it is to be done, and by whom. A plan without a vision is just drudgery. In an organisation, there can be various derivative plans like planning for buying raw materials and equipment, developing new product, recruiting and training the personnel, etc. Planning helps the managers in taking care of future uncertainties and thus minimizes business risk. The marketing mix includes all of the following except. Planning is a major and primary function of management. Each objective should have a plan that details how it will be achieved. The aspects of this changing environment include changes in technology, government policies, the nature of competition, social norms and attitudes etc. Budgets for various periods can be prepared to make plans more concrete for implementation. While much more is often included in the plan, these seven elements will help you get started. Briefly discuss project management and what it involves. a. a specific worksite layout b. structural features c. community response d. emergency systems What are the components of an effective Emergency Action Plan? It is based on facts and experience, and thereby realistic in nature. Ans: Project management is the management of the work to develop and implement an innovation or change in an existing operation. Innovation is a necessity for its sustaining growth in this dynamic world. Key elements of a project quality plan are controls that let you ensure the standards are being met and work is progressing toward reaching your objectives. It provides a unifying framework. Planning decides the future course of action and involves choosing it from alternatives. Price. Policies act as guidelines for taking administrative decisions. Answer Save. Therefore, it is to be seen that what is expected is likely to be achieved. Innovation consists in creating something new for increasing satisfaction of the consumers. The process of planning generates the purposeful and orderly setting up of activities to be carried on. The future is uncertain. All of the following elements should be included in a project scope statement EXCEPT. Policies provide guidelines to thinking and action, but procedures are definite and specific steps to thinking and action. Calculating and planning requirements for materials at all levels of the BOM. Planning is the synthesis of various forecasts—short-term or long-term, special or otherwise. Any mistake or error in planning is sure to upset other functions of management and, thus, precision is of utmost importance in every kind of planning. Planning is not an easy task. A particular objective can be achieved through various actions. The plan should be so prepared that there is sufficient scope for changing it from time to time. They are the beliefs you have that will … 18. Plagiarism Prevention 4. After reading this article you will learn about:- 1. Planning is directed towards efficiency. With the help of planning, an enterprise can predict future events and make due provision for them. Note that these marketing plan elements correspond to a sample marketing plan template provided for use in this course. All these steps in planning lead automatically to economy. Financial Planning: it’s Meaning, Importance and Elements – Discussed! b. This is why there must be a follow-up system in the planning process itself. Question 15 – You work for a large manufacturing plant and you are working on a new project to release a new product line of toothpaste and salt. assessments answer what happened, why it happened, and what we need to do to improve. These derivative plans are formulated out of the main plan and so they support it. If another competitor is trying to expand its customer base, it is a threat as well. It represents a programme which is possible to execute with more or less existing resources. Healthcare organizations have multiple markets or customers. D. the location in which the firm intends to operate. Update: A. provide the rationale for the business. He has spoken, written, and taught on management for more than 20 years. Planning is a mental exercise involving imagination, foresight and sound judgement. For successful implementation of a plan, it must be communicated to all levels of the organisation. It anticipates future events and sets the course of action to control these events to one’s advantage. Default protocols to be followed across projects. If there is only one way of doing something there is no need of planning. The firm’s internal environment—such as its financial resources, technological resources, and the capabilities of its personnel and their performance—has to be examined. It means systematized pre-thinking for determining a course of action to achieve some desired result. Thus, a rule may be incorporated in respect of purchase procedure that all purchases must be made after inviting tenders. All of the following statements concerning project stakeholders are true except A. Risk appetite B. For example, the policy may be the recruitment of personnel from all parts of the country; but procedures may be to advertise and invite applications, to take interviews and offer appointment to the selected personnel. 1910.38(c)Minimum elements of an emergency action plan. So, the planner must also be ready with alternative—normally known as contingency plan— that can help coping up with the changed situation. B. include estimates of income and expenses. B. Planning pervades all managerial activities. A local competitor with ties to non-local customers could be facing a financial situation, giving this business an opportunity. Perception of opportunities includes a preliminary look at possible opportunities and the ability to see them clearly and completely, an understanding of why the organisation wants to solve the uncertainties and a vision what it expects to gain. To plan is to look ahead and chalk out the future course of operations of an enterprise. An emergency action plan must include at a minimum: 1910.38(c)(1) Copyright 10. Planning is said to be the most basic and primary function of management. A project is a single-use plan which is a part of a general programme. Planning ensures organisational effectiveness in several ways. Definition The problem statement should not pose a solution, accounts for current circumstances, and does not predict what future actions may occur. The Joint Fires Element can be overwhelmed and the lethal targeting and fires function can be diluted if given staff responsibility for planning and integrating all nonlethal actions (e.g., reconstruction, engagement, reconciliation, etc. Therefore, planning may be defined as follows: Planning is the process by which the managers of an organisation set objectives, make an overall assessment of the future, and chart the courses of action with a view to achieving the organisational goals. Various alternative courses that are considered feasible in terms of preliminary criteria have to be taken for detailed evaluation. The language of the work schedule or programme in the planning should be simple so that each and every part of it may easily be understood by the employees at different levels, specially at the lower level. Thus, planning and budgeting are inter-linked. In other words, procedures are the methods by means of which policies are enforced. All of the following are part of the planning function EXCEPT: a. Analyzing a situation. This involves collection of facts and figures necessary for planning the future course of the enterprise. Steps 6. After determination of the organisational goals, it is necessary to establish planning premises, that is, the conditions under which planning activities will be undertaken. 9. Some examples of long-term goals could be for a business to strengthen its hold on the local market, increasing profits, or expanding its operations and sales. All the steps in the process of planning must be linked and co-ordinated with each other. C. Alternative course of action may be required to be undertaken in future in changed situations. Therefore, every organisation is required to specify what it wants to achieve. C. Data precision rankings. The capital required to obtain any equipment elements that are needed for the generation of income. It aims at smooth flow of work. There may be several departmental budgets which are again integrated into the master budget. A plan is essentially today’s design for tomorrow’s action and an outline of the steps to be taken in future. This, no doubt, eliminates or reduces the possibility or jumping into uncertainties. (ii) Adequate knowledge about the capacity of the force available through observations and experiments and from established standards. Every lower-level plan serves as a means towards the end of higher plans. Planning is the key to success of an organisation. As such, it should communicate that dream to your employees and customers in an inspirational manner. C. limit the business's flexibility and decision-making ability. A plan involves varied factors of different importance. All of the following elements should be included in a project scope statement EXCEPT: names of the project team members Once the project is underway, each potential change to a project is normally documented by some sort of change request. c. Executing the BOM for materials at the top level of the BOM. Planning prevents wastage of resources by choosing the best course of action from many alternatives. Strategies thus may be internal and external. As the planning proceeds step by step, it foresees the changes likely to come and accordingly prepares its programme by necessary adjustments and adaptation. Image Guidelines 5. Scientific management involves all the following except a. breaking down jobs into their simplest elements. There may be separate plans prepared in different levels in the organisation, but all the sub-plans must be united with the general plan so as to make up a comprehensive plan for operation at a time. ... (WBS) is a framework that will be used as a basis for further planning activities including all the following EXCEPT: Identify and Live Your Personal Values for Success in Life and Work, vision statement describes the way you envision. The project scope planning processes include all of the following EXCEPT: how the business case will be created. Service and/or Product Line: In this section describe your service and product. Want to Understand the Basic Job Description and Duties of a Manager? cannot be an isolated act apart from sales planning and production planning. Through planning, the manager fixes the objectives of the organisation as a whole and, in the light of this, the goals of its various departments. The enterprise must be ready to exhaust the available resources for the achievement of a plan. Internal factors include the organisation’s policies, resources of various types, and the ability of the organisation to withstand the environmental pressure. 67. But, decision-making has a wider connotation than planning. Read this article to learn about Planning in an Organisation. and assigning definite duties to each part. Based on the plans at various levels, it can be decided who will do what and at what time. its market share Correct! After the best alternative is decided upon, the next step is to derive various plans for different departments or sections of the organisation to support the main plan. Some of the most successful corporations started in garages, and through planning became industry giants. Since all alternatives cannot be considered for further analysis, it is necessary for the planner to reduce in preliminary examination the number of alternatives that do not meet the minimum preliminary criteria. ). So planning provides the basis for control. This provides an opportunity to set the objectives in real sense. Though a plan is prepared after reflective thinking, this does not mean that no departure can be made in the course of its operation. Enterprises start with a general objective. A vision statement should be reviewed continuously to ensure it is still aligned with the way you see your company. Each long-term goal should have a few one-year objectives that advance your goals. Planning involves selection of suitable course of action from several alternatives. Answer: A 9. It allows you to spot and name the important aspects, happenings, and adversaries of your business. The following commission EXCEPT: are elements in a manager's compensation package b. c. benefits d. short term incentives salary 10. Question 2. It is a function of every manager at every level in the organisation. A control plan is a document describing the critical to quality characteristics, the critical Xs or Ys, of the part or process. Objectives are the goals towards which all managerial activities are aimed at. Documentation reviews. Then he proceeds to prepare a kind of ‘blueprint’ mapping out the ways of attaining these objectives. Moreover, there is no certainty about the outcome of any alternative course because it is related with future which is not certain. It’s been said that “A vision without a plan is just a dream. Once the organization has identified and classified all of its SBUs, some method must be established to determine how resources should be allocated among the various SBUs. Policies should be consistent and must not be changed frequently. Planning is a function of every manager at every level in an enterprise. A rule specifies necessary course of action in a particular situation. But sectional plans cannot but be inter-dependent. Programmes, thus, lead to a concrete course of inter-related actions for the accomplishment of a purpose. c. Risk attitude consist of all the following elements except for which one? Content Guidelines 2. Planning leads to achieve a coordinated structure of operations. No organisation can operate properly without planning. Business planning has become imperative due to the fact that an enterprise operates in a changing and dynamic environment. Creating the BOM hierarchy showing all the levels of the BOM. To keep the enterprise as a going concern without any break, it is essential that planning must be a continuous process. The Coca-Cola Company lists it's core values as: SWOT is an acronym for strengths, weaknesses, opportunities, and threats. There may be some confusion between policies and procedures. To secure participation of the employees with whole-hearted co-operation in execution of the plan, it is necessary that the plan must be communicated and explained to them for their full understanding. A. There must be complete agreement among the managers in respect of planning premises over which the structure of plan is to be framed. Question 3 The amount of salary managers are paid usually depends on the value of the person's work to the organization and how well the person is: a. accepted by customers b. influencing the board exercising managerial authority d. discharging responsibilities 11. Planning involves all of the following EXCEPT: C. Determining rewards for goals achievement _______________ involves analyzing a situation, determining goals to be pursued and deciding upon the actions that will be taken to achieve these goals. Your team’s internal work style and communication preferences. The managerial function of controlling is concerned with a comparison between the planned performance and the actual performance of the subordinates and departments of the organisation. What is the Importance of Planning in Management? A business's strength could be its ability to attract local customers, while its weakness might be an inability to break into a non-local consumer base. The process of developing a plan helps the manager (and the team) step back and examine where they are, where they want to go, and how they are most likely to get there. The Walt Disney Company does this: Note that the statement is both aspirational (“is to…”) and descriptive of what they do and how they do it ("through the..."). This is so because the manager decides upon the policies, procedures, programmes, projects, etc. A major plan is prepared and it is supported by many derivative plans. place. Planning requires scientific thinking and it should spell out in clear terms the definition of the purpose, analyse the problem and make a careful and diligent search for all the facts bearing upon it. It is within the planning function that goals are determined, decision-making takes place, forecasts are made and strategies are initiated. After you make your yearly objectives, you might break each one down further into short-term goals, which define the actions and objectives for the next three months to get you to your yearly goals. The rules prescribe a definite and rigid course of action to be followed in different business activities without any scope for deviation or discretion. There is another reason for choosing more than one alternative. Privacy Policy 8. All planning work must spell out in clear terms the objectives to be realised from the proposed business activities. A plan is prepared against some foundations or backgrounds known as ‘Planning Premises’. This set of goals usually starts three years out and extends to around five years into the future, directly aligning with the mission and vision statements. Policies are statements or principles that guide and direct different managers at various levels in making decisions. b. For example, if an organisation has set its objective to grow further, it can be achieved in several ways like expanding the field of business or product line, joining with other organisations, or taking over another organisation, and so on. Whether internal or external, the success of the plans demands that it should be strategy-oriented. Planning is a preparatory step for action. Objectives specify the results expected in measurable terms and indicate the end points of what is to be done; where the primary emphasis is to be placed, and what is to be accomplished by various types of plans. Budget means an estimate of men, money, materials and equipment in numerical terms required for implementation of plans and programmes. Sales. (iii) The priority to be given in succession for the accomplishment of different tasks through careful analysis. As a result of such attention, it becomes possible for the planners to determine the policies, procedures, programmes and the rules for an orderly advance towards the ultimate goals desired to be achieved. TRUE A typical change request form will include which of the following content items? The next step in planning process is to search for various alternative courses of action based on the organisational objectives and planning premises. Report a Violation. Customer needs must be met before wishes. Elements of Planning: Planning as a managerial process consists of the following elements or components: 1. But all plans must contribute in a positive way towards the achievement of the enterprise objectives. Which of the following statements describes characteristics of a well-written problem statement that can help focus the staff and subsequent planning process? Definition and Meaning of Planning 2. In the course of execution of a plan, certain obstacles may crop up in midway and planning may require revision, alteration or correction. So, the first plan must follow the second plan and the second plan the third and so on in never-ending series in quick succession. These, in turn, are supported by the specific objectives for the departments. This hierarchy can be built up by coordinating the plans of different departments. All of the following statements are true regarding the RBS except for which one? c. hiring only … The essence of planning is the choice among alternative courses of action. All of the following would be important elements of management by objectives (MBO) EXCEPT the _____. Planning is concerned with the establishment of objectives of an enterprise and finding out the way of realisation of those objectives. For ensuring that the selected plans are proceeding with the right lines, it is of paramount importance to devise a system of continuous evaluation and appraisal of the plan. Elements of Control Plan. Forecasting : Roles, Steps and Techniques | Management Function. Innovation is achieved through research and development and planning is required to provide such scope. d. Choosing the planning strategy for the BOM. They may be production policy, sales policy, financial policy, personnel policy etc. 2. It is prepared in the light of what the competitors are intending to do. Before publishing your articles on this site, please read the following pages: 1. E. the underlying corporate philosophy. It describes risk categories, which are a systematic way to identify risks and provide a foundation for understanding for everyone involved on the project. Differences between or among stakeholders should be resolved in From this definition it follows that the planning process involves: (i) The determination of appropriate goals and objectives, (ii) The specification of the actions needed to reach the established objectives; and. How far into the future a manager can see and with how much clarity he will depend on his intellectual calibre, are chalked out through planning process. Explanation: Portfolio planning is an element of the strategic plan. The other functions of management—organising, direction, co-ordination and control—can be performed only after the manager has formulated the necessary planning. A plan is a course of action that shows promise of optimizing return at the minimum expense of inputs. Planners must take into account the strategies of the rival organisations, otherwise the planning projection may land them in trouble. It is undertaken at all segments and levels of the organisation—from the general manager to the foreman. ‘Planning Premises’ are planning assumptions relating to the expected environmental and internal conditions. Objectives: The important task of planning is to determine the objectives of the enterprise. This principle implies that more emphasis has to be put on that factor which is scarce or limited in supply or extremely costly. An emergency action plan must be in writing, kept in the workplace, and available to employees for review. Planning has no meaning without being related to goals and objectives. Examples of such investment may be outlays on land, building, machinery, research and development, etc. The key elements of a marketing plan are described in the table below. It must be based on clearly defined objectives. Sound planning inter-relates all the activities and resources of an organisation. Core values describe your beliefs and behaviors. It defines the boundaries within which the business should operate. Planning is basically a problem of choosing. Rule is related to parts of a procedure. So, planning premises are of two types—external and internal. This understanding provides the basis for additional knowledge about new facts and matters to the employees. It states the objectives of the organization in the context of given resources; provides for proper utilisation of resources to the best advantage, gives necessary competitive strength for continuous growth and steady progress by foreseeing what the competitors are likely to do and evolving its strategies accordingly. It also ensures an obligation of the personnel of the enterprise to execute the plan by individual and joint participation. defining objectives defining metrics determining the sourcing vendor for the software package identifying obstacle and problems. It often describes what you do, for who, and how. When planning action is taken, these objectives are made more concrete and meaningful. Forecasting provides a logical basis for anticipating the shape of the future business transactions and their requirements as to man and material. A strategic plan is a document that establishes the direction of an organization. b. eliminating unnecessary motions. At a minimum, the EAP must include the following elements: • ways to report fires and other emergencies before proceeding with the work. A. A good plan should not only attain optimum relationship between output and input but should also bring the greatest satisfaction to those who are responsible for its implementation. Again, planning for purchase of raw materials, employment of labour, etc. The amount of detail depends on the amount of flexibility you want your managers and team to have. Plans must be communicated in greater details to the subordinates to increase their understanding of the proposed action and for enlisting their co-operations in the execution of plans. So a single step in a programme is set up as a project. Private insurance is an important need. For preparation of such a plan, a definite process involving the following steps has to be followed: The manager must first identify the opportunity that calls for planning and action. A. Prohibited Content 3. A project involves basically the investment of funds, the benefits from which can be accrued in future. Objectives are the goals towards which all managerial activities are aimed at. There are seven basic elements of a strategic plan. Which of the following are elements of planning business analysis approach? Thus, decision­-making and planning have intimate relation with each other. Capital . Plans should not be made rigid. The manner in which each work has to be done is indicated by the procedures laid down. Different plans are inter-dependent and inter-related. Decision-making is required not only in planning, it is also necessary in other areas of management functions such as organising, direction, co-ordination, and control. A good system of planning should be responsive to the opportunities for innovation. (iii) The optimum period of time for achieving them. For example, if the organisational objective is profit earning, planning activity will specify how much profit is to be earned looking into all facilitating and constraining factors. A mission statement could broaden your choices, and/or narrow them. In such a case, the manager may choose more than one alternative at the same time. e. Generating multiple BOMs for … Thus, various departments work in accordance with the overall plan, and co­ordination is achieved. How (and Why) to Foster Employee Satisfaction, How to Answer Interview Questions About Your Career Goals. Generally, in planning a project, a special task force is also envisaged. The first function of planning is to spell out its objectives. They set forth overall boundaries within which the decision-makers are expected to operate while making decisions. Core values describe your beliefs and behaviors. Planning is a structured process and different plans constitute a hierarchy. There is no need for planning if there is only one way for doing something. They are the beliefs you have that will enable you to achieve your vision and mission. The character and breadth of planning will, of course, vary from one job to another—depending on the level of management. Truly speaking, planning as a whole with its component parts is the outcome of decision-making. Focusing on your mission each day should enable you to reach your vision. Any deviation of rule entails penalty. 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