MODULE 10 PLANS AND PLANNING TECHNIQUES “Goals and objectives get you there faster” How and why do managers plan? What types of plans do managers use?

MODULE 10

PLANS AND PLANNING TECHNIQUES

“Goals and objectives get you there faster”

• How and why do managers plan?

• What types of plans do managers use?

• What are some useful planning tools and techniques?


Planning

MODULE GUIDE 10.1

Planning is one of the four functions of management.

Planning sets objectives and identifies how to achieve them.

Planning improves focus and action orientation.

Planning improves coordination and control.

Planning improves time management.


Planning

Planning The process of setting objectives and

determining how to accomplish them.


Planning

Objectives Specific results that one wishes to achieve.

PlanA statement of intended means for

accomplishing objectives.Stretch Goal

Performance targets that we have to work extra hard and stretch to reach.


Planning

Steps in the Planning Process

Step 1. Define your objectives Know where you want to go; be specific enough to know you have arrived when you get there and how far off you are along the way.

Step 2. Determine current status vis-à-vis objectives Know where you stand in reaching the objectives; identify strengths that work in your favor and weaknesses that can hold you back.

Step 3. Develop premises regarding future conditions and generate alternative scenarios for what may happen; identify for each scenario things that may help or hinder progress toward your objectives.

Step 4. Make a plan Choose the action alternative most likely to accomplish your objectives; describe what must be done to implement this course of action.

Step 5. Implement the plan and evaluate results. Take action; measure progress toward objectives as implementation proceeds; take corrective actions and revise plan as needed.

PLANNING

Reasons For Planning

Good planning makes us: Action oriented—keeping a results-driven

sense of direction Priority oriented—making sure the most

important things get first attention Advantage oriented—ensuring that all re-

sources are used to best advantage Change oriented—anticipating problems and

opportunities so they can be best dealt with

PLANNING

Reasons For Planning

Hierarchy of Objectives Lower-level objectives help to accomplish higher-

level ones.


Types Of Plans

MODULE GUIDE 10.2

Contingency planning creates back-up plans for when things go wrong.

Scenario planning crafts plans for alternative future conditions.

Benchmarking identifies best practices used by others.

Staff planners provide special expertise in planning.

Participatory planning improves implementation capacities.


Types Of Plans

Short-range plans usually cover a year or less.

Long-range Plans Usually cover three years or more

Jaques’s Findings on Long-Term Thinking

•Most people are comfortable with 3-month time spans.

•Some work well with a 1-year time span.

•Only the rare person can handle a 20-year time span.


Types Of Plans

Strategic Plan identifies long-term directions for the

organization.Operational Plan

identifies activities to implement strategic plans.

Marketing PlansFinancial PlansProduction Plans


Types Of Plans

A policy is a standing plan that communicates broad guidelines for decisions and action.

Project plans specify activities, resources, and timetables for completing projects.

A budget is a plan that commits resources to projects or activities.


Types Of Plans

Policy communicates broad guidelines for making decisions

Procedure defines specific actions to be taken in specific situations

Project Plans specify activities, resources, and timetables for completing

projects Budget

plan that commits resources to projects or activities Zero-based Budget

allocates resources as if each budget was brand new


Planning Tools And Techniques

MODULE GUIDE 10.2

Forecasting tries to predict the future. Contingency planning creates back-up

plans for when things go wrong. Scenario planning crafts plans for

alternative future conditions. Benchmarking identifies best practices

used by others. Staff planners provide special expertise in

planning. Participatory planning improves

implementation capacities.



ForecastingAttempts to predict the future

Twenty Five-Year Forecasts from The Economist Intelligence Unit:

• U.S. GDP will grow 2.7% per year; EU15 countries 1.9%; Japan 1%. • Aging populations will be a drag on economies. • Emerging markets will have higher growth; Russia and Brazil 3%, India and China 6%. • In 2030 the United State will be biggest economy in world, China second, Japan third, India fourth.



Contingency Planning creates back-up plans for when things go

wrong Benchmarking

uses external comparisons to gain insights for planning.

Best Practices are methods that lead to superior

performance.



Participatory Planning includes the persons who will be affected by

plans and/or who will implement them.

MANAGEMENT TIPS

Time management tips

Do say “No” to requests that divert you from what you really should be doing.

Don’t get bogged down in details that you can address later or leave for others.

Do have a system for screening telephone calls, e-mails, and requests for meetings.

Don’t let drop-in visitors or instant messages use too much of your time.

Do prioritize what you will work on in terms of importance and urgency.

Don’t become calendar bound by letting others control your schedule.

Do follow priorities; work on the most important and urgent tasks first. Continually work to optimize your time.”

Documents

MODULE 10 PLANS AND PLANNING TECHNIQUES “Goals and objectives get you there faster” How and why do managers plan? What types of plans do managers use?