Midterms Flashcards
Output of planning
Plan
Provides methodical way of achieving desired results
Plan
Management function that involves anticipating future trends and determining best strategies
Planning (Nickels)
selection and sequential ordering of tasks to achieve organizational goal
Planning (Aldag and Stearns)
Deciding what will be done, who will do it, when, where, and how will it be done and standards to which it will be done
Planning (Cole and Hamilton)
Various levels of planning
- Top- Strategic Planning
- Middle- Intermediate Planning
- Lower- Operational Planning
Process of determining the major goals of the organization and the policies and strategies
Strategic planning
Output of strategic planning
Strategic plan
Decision about long-range goals and course of action
Strategic plan
Process of determining contributions of subunits with allocated resources
Intermediate planning
Process of determining how specific tasks can be accomplished
Operational planning
4 Planning process by Medina
- Setting organizational, divisional, or unit goals
- Developing strategies and tactics to reach those goals
- Determining resources
- Setting standards
First task of the engineer manager
Provide sense of direction
Precise statement of results sought, quantified in time and magnitude
Goals
Planning horizon of top managment level
1-10 years, CEO, President, VP, General manager, division head
Planning horizon of middle management level
6 months-2 years, functional managers, product line managers, department heads
Planning horizon of lower management level
1 week- 1 year, unit managers, first line supervisors
Characteristics of Goals
- Specific
- Measurable
- Agreed
- Realistic
- Time-based
Ways to realize the goals, concern of the top management
Strategies
Course of action aimed at ensuring that the goals of the organization will achieve its objectives
Strategies
Short term action taken by management to negative internal and external influences
Tactic
Where is the decision about short term goals indicated
Tactical plan
To satisfy strategic requirements, a general statement of needed ____ will suffice
Resources
Quantitative or qualitative measuring device designed to help monitor the performance of people, capital, and goods
Standards
Types of plans according to functional areas
- Financial
- Human resource management
- Marketing
- Production
Written document or blueprint for implementing and controlling organization’s marketing activities
Marketing Plan
States the quantity of outputs the company must produce
Production plan
Summarizes the current financial situation of the firm
Financial plan
Indicates human resource needs of the company
Human resource management plan
Types of planning based on time-horizon
- Long-range plans
- Short-range plans
Plans intended to cover less than one year, first line supervisors
Short-range plans
Plans covering a time span of more than one year, middle and top management
Long-range plans
Plans according to frequency of use
- Standing plans
- Single-use plans
Types of standing plans
- Policies
- Procedure
- Rules
Plans that are used again and again
Standing plans
Broad regulation to aid managers at every level
Policies
Plans that describe the exact series of actions to be taken
Procedures
Statement that either require or forbid an action
Rules
Types of single-use plans
- Budgets
- Programs
- Projects
Projected expenditure and where the funds will come from
Budget
Designed to coordinate a large set of activities
Program
More limited in scope than a program
Project
Contents of Marketing Plan
- The Executive Summary
- Table of Contents
- Situational analysis and target market
- Market objectives and goods
- Marketing strategies
- Marketing tactics
- Schedules and budgets
- Financial data and control
Contents of production plan
- Capacity of the company
- No. Of employees required
- How much material must be purchased
Contents of financial plan
- Analysis of the firm’s current financial condition
- Sales forecast
- Cash budget
- Capital budget
- Set of pro-forma financial statements
- External financing plan
Contents of HRM plan
- Personnel requirements
- Plans for Recruitment and selection
- Training plan
- Retirement plan
Parts of strategic plan
- Company or corporate mission
- Objectives or goals
- Strategies
How to make planning effectivr
- Recognize planning barriers
- Use of aids to planning
Focus on results, imperative verbs
Specific
Results are assessable qualitatively or quantitatively
Measurable
Employees discuss proposed objectives and come to an agreement
Agreed
Goals should cover areas within control of the employee
Realistic
Each goal has a completion date
Time-based
How to develop a good strategy
- Give overall direction
- Fit resources and opportunities
- Minimize resistance and barriers
- Reach those affected
- Advance the mission
A strategy should point out the overall path without dictating a particular narrow approach
Give overall direction
A good strategy takes advantage of current resources and assets
Fit resources and opportunities
Strategies need not provide a reason for opponents to attack the initiative.
Minimize resistance and barriers
Strategies must connect the intervention with those who it should benefit
Reach those affected
Strategies likely to make a difference
Advance the mission
Guidelines that describe the quality, performance, safety, etc
Standards
8 steps planning process by Toppr
- Recognizing need for action
- Setting objectives
- Developing premises
- Identifying alternatives
- Examining alternate course of action
- Selecting alternatives
- Formulating a supporting plan
- Implantation of the plan
Involves analyzing competitions, opportunities, threats as well as strengths and weaknesses of the organization
Strategic planning
Develop relatively concrete and specific means to implement the strategic plan
Tactical Planning
Develop specific action steps that support Strategic and tactical plans
Operational Planning
Helps top management to find the plan’s central points quickly, describes the target market and company’s position in it
Executive Summary
Includes market description that defines the market, chief market segments
Situational analysis and target market
A section on _____ identifies big competitors and their individual strategies
Competition
A section in _____ describes recent sales trends and development
Distribution
This section draws from the market audit, brief list of the critical success factors
SWOT Analysis
Meaning of SWOT
Strengths
Weaknesses
Opportunities
Threats
Marketing logic by which the business unit hopes to achieve its marketing objectives
Marketing strategy
Outline specific strategies for such marketing mix elements in each target market
Marketing tactics
Mix elements in each target market
- New products
- Field sales
- Advertising
- Sales promotion
- Prices and distribution
Basis for materials buying, production, scheduling
Budget
Explains who is responsible for each particular function, when specific tasks are to be accomplished, targets for sales and profits and the like
Production plan
Determine the amount of capital needed to support the plan
Financial plan
Management function which involves influencing others to engage in the work behaviors necessary to reach organizational goals
Leading
Actions and behaviors of an individual or group that guide, influence, or direct others towards a goal
Leading
Seen as an ongoing, dynamic process that involves not just individuals but also the culture, values, and strategies of an organization
Leadership
They inspire and motivate their teams
Good leaders
Process of influencing and supporting others to work enthusiastically toward achieving objectives
Leadership
Bases of power of leaders
- Legitimate power
- Reward power
- Coercive power
- Referent power
- Expert power
A person who occupies a higher position has __________ over persons in lower position
Legitimate power
When a person has the ability to give rewards to anybody who follows orders or requests, he is said to have ___________.
Reward power
Classifications of reward
- Material
- Psychic
Money or other tangible benefits
Material reward
Recognition, praises, etc.
Psychic reward
When a person compels another to comply with orders through threats or punishment, he is said to possess _______.
Coercive power
When a person can get compliance from another because the latter would want to be identified with the former, that person is said to have ________.
Referent power
Experts provide specialized information regarding their specific lines of expertise.
Expert
Those who are willing to accept responsibility, possess vigor, initiative, persistence, and health.
People with drive
Very crucial leadership trait because of the probability of failure in every attempt to attain particular goals
Drive
Leaders with _______ will have extra effort on hand that they can use whenever needed.
Desire to lead
A leader who lacks __________ will have a hard time convincing his subordinates about the importance of completing various tasks.
Personal integrity