Foundations of Planning

Types of Goals
(1) Stated Goals Official statements of
what an organization says, and what it
wants its various stakeholders to
believe, its goals are.
(2) Real Goals Goals that an
organization actually pursues, as
defined by the actions of its members.
Steps in Goal Setting
(1) Review the organizations mission, or
purpose.
(2) Evaluate available resources.
(3) Determine the goals individually or
with input from others.
(4) Write down the goals and
communicate them to all who need to
know.
(5) Review results and whether goals are
being met.
Mission a broad statement of an
organizations purpose that provides an
overall guide to what organizational
members think is important.
Well-written Goals
(1) Written in terms of outcome rather
than actions
(2) Measurable and Quantifiable
(3) Clear as to a time frame
(4) Challenging yet attainable
(5) Written down
(6) Communicated to all necessary
organizational members
Environmental Scanning
- Screening information to detect
emerging trends
- Use to improve a managers analysis
of the external environments.

Gathering information about

competitors that allows managers to
anticipate competitors action rather
than merely reacting to them.
One of the most fastest-growing forms
of environmental scanning.
Planning Tools and Techniques

SWOT Analysis
- An analysis of the organizations
Strengths, Weaknesses, Opportunities
and Threats.
(A) External Analysis
a. Opportunities Positive
trends in the external
environment
b. Threats negative trends
(B) Internal Analysis
a. Strengths any activities the
organization does well or any
unique resources that it has.
b. Weaknesses Activities the
organization does not do well
or resources it needs but does
not possess.
Resources An organizations
assets that are used to develop,
manufacture and deliver products
to its customers.
Capabilities An Organizations
skills and abilities in doing the
work activities needed in its
business.
Core competencies The
organizations major value-creating
capabilities that determine its
competitive weapons
Competitive Strategy
- An organizational strategy for how an
organization will compete in its
business.
Competitive Advantage
- It is what sets an organization apart.
- Its the organizations distinctive edge.

Competitor Intelligence
Forecasting

Allows the managers to predict future

events affectively and in timely
manner.
Forecasts
- These are prediction of the outcome
wherein its basis are established by
Environmental Scanning.
Two categories of Forecasting
(A) Quantitative Forecasting
- Forecasting that applies a set of
mathematical rules to a series of
past data to predict outcome.
(B) Qualitative Forecasting
- Forecasting that uses the
judgement and opinions of
knowledgeable individuals to
predict outcome.
Benchmarking
- The search for best practices among
competitors or noncompetitors that
lead to their superior performance
Foundations of Organization and Design
Purposes of Organization
(1) Divides work to be done into specific
jobs and departments.
(2) Assign tasks and responsibilities
associated with individual jobs.
(3) Coordinates diverse organizational
tasks.
(4) Clusters jobs into units
(5) Establishes relationships among
individual, groups and departments.
(6) Establishes formal lines of authority.
(7) Allocates and deploys organizational
resources.
Departmentalization
- The basis by which jobs are grouped
together.
Cross-functional Team
- A work team composed of individuals
from various functional specialties.
Chain of Command
- The line of authority extending from
upper organizational levels to the
lowest levels, which clarifies who
reports to whom.
Authority

The rights inherent in a managerial

position to tell people what to do and
to expect them to do it.
Acceptance Theory of Authority
- The view that authority comes from
the willingness of subordinates to
accept it.
Line Authority
- Authority that entitles a manager to
direct the work of an employee
Staff Authority
- Positions with some authority that
have been created to support, assist
and advise those holding line
authority.
Unity of Command
- The management principle that each
person should report to only one
manager.
Definitions
Job Description
- A written statement that describe a job
Job Specification
- A written statement of the minimum
qualifications that a person must
possess to perform a given job
successfully.
Job Analysis
- An assessment that defines jobs and
the behaviours necessary to perform
them.
Recruitment
- Locating, identifying and attracting
capable applicants.
Decruitment
- Reducing an organizations workforce.
Selection
- Screening job applicant to ensure that
the most appropriate candidates are
hired.
Source:
Management (11th Edition) by Robbins
Coulter