Planning and Organizing Chapter 13 Planning and Organizing Chapter 13 Planning and Organizing ©2008 Thomson/South-Western

Lesson 13.1 The Planning Function Goals Recognize the importance of planning to business success. Differentiate between strategic and operational planning. Chapter 13 Planning and Organizing

Importance of Planning Chapter 13 Planning and Organizing

Planning and Organizing Business Puzzle Chapter 13 Planning and Organizing

Planning and Organizing Levels of Planning Strategic planning — long-term planning that provides broad goals and direction for the entire business Chapter 13 Planning and Organizing

Planning and Organizing Levels of Planning Operational planning — short-term planning that identifies specific activities for each area of the business Chapter 13 Planning and Organizing

Planning and Organizing Strategic Planning Chapter 13 Planning and Organizing

Planning and Organizing From Vision to Mission Chapter 13 Planning and Organizing

Planning and Organizing Vision vs Mission a vision statement seeks to communicate the core values and purpose of an organization and looks to the future, to “what is possible” rather than “what is.” It’s more about inspiration than perspiration, while the mission statement says exactly what you do now. Chapter 13 Planning and Organizing

Planning and Organizing Who is this about? “We fulfill dreams through the experience of motorcycling, by providing to motorcyclists and to the general public an expanding line of motorcycles and branded products and services in selected market segments.” Harley-Davidson Chapter 13 Planning and Organizing

Planning and Organizing Who is this about? “People love our clothes and trust our company. We will market the most appealing and widely worn casual clothing in the world. We will clothe the world.” Levi Strauss Chapter 13 Planning and Organizing

Planning and Organizing Mission Statement Mission statement help clarify what business you are in, your goals and your objectives, in a few succinct sentences. Use "radiant words." Once you have the basic idea in writing, polish the language of your mission statement. "Every word counts," says Abrams. The statement should create dynamic, visual images and inspire action. Use offbeat, colorful verbs and adjectives to spice up your statements. Don't hesitate to drop in words like "kaleidoscope," "sizzle," "cheer," "outrageous" and "marvel" to add zest. If you want customers to boast about your goods and services, say so--along with the reasons why. Some businesses include a glossary that defines the terms used in the statement. Chapter 13 Planning and Organizing

Planning and Organizing Mission Statement II The mission statement reflects every facet of your business: the range and nature of the products you offer, pricing, quality, service, marketplace position, growth potential, use of technology, and your relationships with your customers, employees, suppliers, competitors and the community. Why are you in business? Who are your customers? What image of your business do you want to convey? What is the nature of your products and services? Chapter 13 Planning and Organizing

Lesson 13.2 Using Planning Tools Goals Identify the characteristics of effective goals. Describe several planning tools and how they are used. Chapter 13 Planning and Organizing

Establishing Direction Goal — specific statement of a result the business expects to achieve Effective goals: must be specific and meaningful must be achievable should be clearly communicated should be consistent with each other and with overall company goals Chapter 13 Planning and Organizing

2 Sec. Quiz questions Ch 13 #1-2 Which of the following would NOT be a part of strategic planning? (a) mission statement (b) goals, (c) strategies, (d) department work assignments To be effective, goals should be (a) general rather than specific (b) slightly higher than can be realistically achieved, (c) independent from all other goals, (d) meaningful. Chapter 13 Planning and Organizing

Planning and Organizing Planning Tools Budget — specific financial plan Schedule — time plan for reaching objectives Standard — specific measure against which something is judged Chapter 13 Planning and Organizing

Planning and Organizing Planning Tools Policies — guidelines for making decisions regarding specific, recurring situations Procedures — steps to be followed for performing certain work Research — carefully collected information on the way jobs are performed Chapter 13 Planning and Organizing

2 Sec. Quiz questions Ch 13 #3-4 One type of financial planning tool is a (a) goal, (b) budget, (c) standard, (d) schedule. Guidelines used in making decisions regarding specific, recurring situations are know as (a) policies, (b) procedures, (c) standards, (d) goals. Chapter 13 Planning and Organizing

2 Sec. Quiz questions Ch 13 #5-6 The management function responsible for arranging resources and relationships between departments and employees and defining the responsibility each has for accomplishing the job is (a) planning, (b) organizing, (c) implementing, (d) controlling. A visual device that shows the structure of an organization and the relationships among workers and divisions of work is (a) a schedule, (b) a strategic plan, (c) an organization chart, (d) an operational plan. Chapter 13 Planning and Organizing

Planning and Organizing Answers to 2 second quiz 1,2,3,4 Which of the following would NOT be a part of strategic planning? (d) department work assignments. To be effective, goals should be (d) meaningful. One type of financial planning tool is a (b) budget. Guidelines used in making decisions regarding specific, recurring situations are know as (a) policies. Chapter 13 Planning and Organizing

Answers to 2 second quiz 5-6 The management function responsible for arranging resources and relationships between departments and employees and defining the responsibility each has for accomplishing the job is (b) organizing. A visual device that shows the structure of an organization and the relationships among workers and divisions of work is (c) an organization chart. Chapter 13 Planning and Organizing

Writing procedures - Steps Have each student write a procedure about making a cell phone call A - B - C - D - E - Tell it to their partner and have them question each other about whether all the steps are there. Chapter 13 Planning and Organizing

Planning and Organizing Does the light work? Chapter 13 Planning and Organizing

Planning and Organizing Flow chart samples Samples of flow charts Student’s flow chart the steps “Procedure” about whether to wear Sandals on a Saturday morning. Chapter 13 Planning and Organizing

Lesson 13.3 The Organizing Function Goals Describe factors that managers should consider when organizing work. Discuss how the characteristics of good organization contribute to a more effective work environment. Chapter 13 Planning and Organizing

Planning and Organizing Organization Chart Chapter 13 Planning and Organizing

Planning and Organizing Organizational Chart Chapter 13 Planning and Organizing

Characteristics of Good Organization Responsibility (obligation to do an assigned task) and authority (right to make decisions about assigned work and make assignments to others) Accountability — obligation to accept responsibility for outcomes of assigned tasks Unity of command — principle that no employee reports to more than one supervisor at a time or for a particular task Span of control — number of employees any one manager supervises directly Chapter 13 Planning and Organizing

Lesson 13.4 Developing Effective Organizations Goals Describe the strengths and weaknesses of four types of organizational structures. Make recommendations for improving business organization. Chapter 13 Planning and Organizing

Types of Organizational Structures Line organization __________________ Teacher Student A Student B Line-and-staff organization_____ & _ _ _ Student A Student B _L_i_b_r_a_r_i_a_n _C_a_t_a_p_u_l_t_ Specialist Specialist Chapter 13 Planning and Organizing

Types of Organizational Structures Matrix organization - Country teams in this class Team organization – Permanent teams Self-directed work teams Technical job skills Interpersonal skills, such as writing, speaking, discussing and negotiating Administrative skills, such as leading meetings, thinking analytically and maintaining records. Chapter 13 Planning and Organizing

Improving Business Organization Centralized organization — traditional structure in which a few top managers do all major planning and decision making Chapter 13 Planning and Organizing

Improving Business Organization Decentralized organization — structure in which a business is divided into smaller operating units and unit managers have almost total responsibility and authority for the operation of their units Chapter 13 Planning and Organizing

Improving Business Organization Flattened organization — structure with fewer levels of management than traditional structures. It should have improved communication because it has to flow through fewer levels. Chapter 13 Planning and Organizing

Study guide line and staff assignment Chapter 13 Planning and Organizing

Organizational chart answer key Chapter 13 Planning and Organizing