Principles Of Management-II Lecture No.2

THE PLANNING

Planning is often called the primary management function the process of making plans for something. Planning involves defining the organization’s goals, establishing an overall strategy for achieving these goals, and developing a complete set of plans to integrate and coordinate organizational work.

6 Ps in Planning Purpose Philosophy (View point) Premise (principle) Policies Plans Priorities

Management Fundamentals - Chapter 8 How do managers plan? Benefits of planning: Improves focus and flexibility. Improves action orientation. Improves coordination. Improves time management. Improves control. Management Fundamentals - Chapter 8

STEPS IN PLANNING

Awareness of opportunities and problems What business opportunities will come up in future What benefits will the organization find How to use these opportunities 2. Collecting and analyzing information 3. Determination of objectives 4. Assessment of environment 5. Ideas and forecasting 6. Review of key factors 7. Development of alternative plans 8. Evaluation of alternative plans 9. Selection of a suitable plan

What is Goal ???

Definition of Goals Goal are objectives that a business hopes and plans to achieve.

Three types of Goals Long Term Goals Medium Term Goals Short Term Goals

Types of Goals Short Term Goals Medium Term Goals Long Term Goals A plan for less than one year. Medium Term Goals A plan for one year to three years time. Long Term Goals A plan for more than three years.

Management By Objective (MBO)

Management by Objectives (MBO) is a personnel management technique where managers and employees work together to set, record and monitor goals for a specific period of time. Organizational goals and planning flow top-down through the organization and are translated into personal goals for organizational members.