COVER FEATURE

organization knows the schedule of

activities well in advance.

Planning as a people process Planning involves selecting mis-

sion, objectives, goals and the ac
tions to achieve them. Indeed
Planning involves decision making
-choosing from alternative future
courses of action. Planning an-
Ashish Banerjee ticipates the future levels of activity
and ensures consistent availability
of inputs and outputs so that the
does not
aggregate level of activity
Caroll
Let us examine the following anecdote from Lewis to
sufter.
The Strategic Planning Process
Alice: Wouldyou tell me, please, which wayI ought gofrom begins with the
identification of the
here? Goal. This is a set of
Superordinate
where you want to values and aspirations often
good deal
un-
Chesire Cat: That depends a on
the conven-
written, that go beyond
statements of
go. tional, formal
Alice:I don't care where.. quantified goals and objectives.
Process
Chesire Cat: Then it doesn't matter which wayyou go. The Strategic Planning
-Cor-
takes place at various levels
Business and Functional.
porate, the
This is amply illustrated by
diagram below.
However, there are three major
constraints to which the Planners
need to be sensitive- Reality,
Ripeness and Resources.

efore undertaking a journey Levels of Strategic Planning

i t is important to know the
Business Functional
destination. The sequential Corporate
Level of Corporate
Business or Operating
steps ae: Divisional Functional
*find out where you are Management Managers
Managers in Managers
Responsibility a SBU -
determine where you want
to be Singh
Business
establish altermative routes
Unit
destina-
to take you to your Functional
Entire SBU -

tion Scope Organization Singh Area,

choose the most appropriate Business Geographical
Unit or Area,
one.
is al Product Customer
That is what planning Area
Company
about: and Long Range Intermediate Short Range
*knowing where you Time Span
are
0 1 year
want 0-5 yearS 0-3 years
determining where you General Concrete and Action and
to be. Specificity Statements operationally Implementa-
Both at the national and the of Direction oriented tion
embodies oriented
corporate level, a plan and Intent
collective as
the implication of the
distinct from the individual goals. the
A good plan would containa set of ments so that their behaviour
con- *Reality- how realistic is
in har- Plan in terms of customers,
incentives for the constituent
elec sistent with their goals are
the collective mission. competition and com
mony with
is that
The advantage of Planning petence.
General Manager (HR), Shaw
Wallace & Co. Ltd.. Calcutta. each component o r group in a n

729
THE MANAGEMENT ACCOUNTANT. OCTOBER 1995
 COVIRFATURE

mlean the prople wlio abould im 2000 AD) will br the "Mind Ware"
emrntallm of the lan plrmen nare omon vlslo avallablr in the organization. Much
nd own the Plan devigurd to will drprnd on the abiltty of the
whrther the r e v e hr vision oganization to utilize Its
lan has mindware", The Micharl Porter of
n
pagatte 111e People Process has to be
2000 AD will say the only source
ChO e itin tems ol sren as one In whlch people within
Man, Matrilal, Method. of Competittve Advantage is in your
he organizatlon contribute as in
Mnehne and Money at the people
dfviduals ns well as team members.
dinponnl of the organizatlon. In XYZ Company. It is such a
11he fundamental unit in the People belief which has led to the develop
1he abovr are necessary but not
Planning l'rocess Is the individual. ment of systems and sub-systems
Nullleten The maln issue as far oas
111e potentlal of the individual has which are helping individuals to
implementation tn concerned is Or
Ranizatiom Design and Stnucture. to be unleashed to the fullest cx set goals for themselves through
qually Important is the fact that fent possible. It cssentially re collective endeavours enabling
he prople should own the Plan. quircs an organization which hem to work out alternative ways
Thn can only happen when Plan- belleves in learning and which of achieving goals. The participa
ning is nothing but a pcople tive mode is aimed at building
generates cnabling mechanisms to
process. 1his is cxplained by a teams to create synergies in the
hclp the individual self-actualize.
simple dlagram shown below. But this process has to be a part of People Planning Process.
MFSSIONIOBICTIVESKOALS a larger process where interdepen- One such endeavour is the
dence among individuals will lead Strategic Planning Process in XYZ
to development of teams generat- Company-it is nothing but a
ing synergy within the organiza- People Process a modest begin-
lion. Such tcams will achieve ning but definitely a step in the
Plans
clcarly dcfined goals under effec- right direction. The Strategic
the
ive leadership. This is cxplained being worked out in
Divisions/Departments have in-
below.
volved People who have been
People throughthe entire process of work-
ing our goals and ways of achieving
them. As a result. we have ensured
TASK that People through whom the Plan
will be implemented are also those
who have been a part of the Plan-
External
Interna Opportunities/Threat ning Process and are therefore to-
Reeouroes to it.
The Planning Process
involves a tally committed
We have demonstrated in XYZ
clear articulatton of the Missionand the
translated into objectíves Company that Planning is not
privilege of the children of a greater
proper assess
It involves a Ldeahip
goals.
the internal r e s o u r c e s of God but rather is one which
ment of
find a match everyone owns.
the organtzation to
opportunities
between this and the TEAM
References
in order to
is a part a lcam
cnvironment INDIVIDUAL
in the Dess :Strategic
fulfil-
thnugh kwhpmcni
Gregory D.McGraw
achieve the Missson through interkpemkncr
Management Hill series
ment of goals
and objectives deter in Management (1993)
levels. Such
mined at the operating C. K. Prahalad & Gary
Hamel
not
process is
incomplete and Study: Why
a
within Strategy as a Field of
at tainable unless
the people Paradigm:
the n e c e s - The key role here is played by Send For a New
the organízatlon acquire which also has to
Strategic Management Jourmal:
to manage
this Leadership
sary skllis required and inspire Special Issue Summer 1994
The sklls re- define clear-cut goals of
Planning Process. achleve the goals. Kenichi Ohmae The Mind
technical. human, people to {1982)
quired are- the Strategist Penguin
managerial and conceptual. With the
advancement of Infor Competitive
the know- Michael E. Porter
ldeas mation Technology-
I 1s often said that good of Creating and Sustain-
to all aspects Advantage:
horses. But we how related will Performance 1985
a r e the winning Management
to Technology and ing Superior
belleve that it 1s not only enough nallonal borders, in-
Leslie W. Rue
and Phyllis Hol
also Important Now a c r o s s Mc-
have good ideas but Nrnms very rapidly. Management :
them. dustrles and land Strategic
to know how to mplement s o u r c e tor
galnlng Com- Graw Hill (1986)
of any The real
Process of tmplementation Advantuge by the year
hurdles petitive
Plan will meet wlth many
OCTOBER
1995
ACcOUNTANT.

MANAGEMENT

THE

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