Planning as a

management function
Determines the Organisation vision, mission and goals
 Characteristics of an effective manager

 Good communication. ...

 Good Organisation. ...
 Team Building. ...
 Leadership. ...
 Ability
to Deal with
Changes Effectively. ...
Planning involves….
what Needs to be done?
How it is to be done?
And by whom?
Mission and Vision of a company

 The Mission Statement can be described as a formal summary of the aims and
values of a company. It must create an emotional bond between the
organisation and employees. It must create a sense of ownership, particularly
among the managers.

 The Vision Statement  is a company's road map, indicating both what the
company wants to become and guiding transformational initiatives by setting
a defined direction for the company's growth.
Types of plans
 Strategic : Made by top
Management – 5 to 10 year
commitment
 Tactical: made by middle
management – include
financial, hr, marketing –
support long term plans.
 Operational: made by
lower managers /
supervisors and in some
instances team leaders
 The strategic planning process

 The strategic plan is an organization’s process of defining its strategy or direction it

wishes to take in order to reach its Mission and Vision

 The strategic plan will form the framework or guidelines for all the organization’s
processes and departments.
 The strategic plan will also decide how resources will be allocated to the strategy.
Resources include money and workers.

 All strategic planning deals with: What should we do? / who we should do it for? /
How do we do it better than competitors?

 Strategic planning has an impact on what the company does in the long term. It can
have a timeframe of two to twenty years
 Top Management is responsible for making any strategic decisions. Every
department will ensure that the strategic plan is carried out by following
their daily operational schedules
 Employing a
systematic approach
to goals and
objectives
First ensure that the organisations
strategic objectives and their associated
indicators / measurements are
understood.

Secondly, interpret the business strategic

objectives into operational goals.
Management by objectives
 This is based on the belief that joint participation of
subordinates and superiors has an impact on
employee motivation, which ultimately impacts
business.
 It also creates buy in and leads to greater
commitment and understanding of what the business
wants to achieve.
 Together performance objectives can be identified in
relation to achieving business objectives. All staff
then have a performance plan with key performance
areas (KPA) and key performance indicators (KPI)
SWOT analysis
Where does it all fit in?

Mission
vision
Strategic plan
Tactical plan
Operational Plan
Goal
Objectives /
Standards of
performance
Setting business objectives and goals
Goal Examples

 My goal this year is to lose weight.

 My 2019 resolution is to save money
 This year I have o go on holiday
Smart Goals
 My goal this year is to lose weight.
 My goal is to lose 5kg by 30 June, this year, by eating ealthy and exercising for 30 mins
twice a week.
 My 2019 resolution is to save money.
 My 2019 resolution is to save R2000 by end of November, by putting away R200 each month.
 Next year I am going to get my driver’s license.
 By 30 July 2020, I will have my driver’s license, by booking and passing my learner’s and
taking at least two lessons monthly.
Measuring Actual performance

 Benchmarking: measure your own performance against that of competitors

 Kaizen ‘ improvement’ in Japanese, referring to the philosophy of continuous
improvement
 Variance analysis usually explains the difference between standard/ budgeted
costs and actual costs
 Tracking: keeping a record of activities normally via a computer system.
Measuring Actual performance

 Gannt charts
 A Gantt chart is a type of
bar chart that illustrates a
project schedule.
 provides a graphical illustration of a schedule that helps to plan, coordinate,
and track
specific tasks
Prioritise Time and work
Task lists and diaries

 A Task list is a list of things to do.

 Purpose of a Task List:
 to organize the work/tasks that need to be done to achieve the objectives.
 To clarify the tasks and allocate resources needed
 It allows for tasks to be prioritized
 It allows for tracking of job completion.
Diary

 A diary can be a book / desktop planner or electronic calendar used to write

down daily events or schedule activities.
 The Purpose:
 Helps to organize the work/tasks that need to be done in a given timeframe
 Serves as a reminder for day to day activities
 To Ensure that your day to day processes are running effectively and smoothly
 It allows for tasks to be prioritized
 It allows scheduling of meetings, appointments, etc avoiding clashes.
 Assists in maximizing your productivity
How do we ensure actions are taken/
completed accordingly
 Checklists
 Inspections
 Tick offs and cross outs in the diary
Action plan / Team task list
Task Person Time frame Required Task Checked
responsible Resources completed And
Indicators approved
 Draw up Floor plan and          
numbering Janet 2 weeks before Floor plan Completed
- updated floor
plan
 
 Inform Dc, Suppliers,        
customers Emails sent
Chris 3 weeks before Confirmed stock Notice printed
take date and
times
Computer and
telephone
 
 Print labels and numbering  Cindy  3 days  Computer and  Printed labels
before labels
 Charging scanners          
           
           
Prioritising
Individual task list
Name: Chris
Task: __Inform stakeholders about stock take
I understand what is required of me in terms of the tasks. ______________________

Task steps Priority Resources Checked by

       
Contact DC and suppliers 2 Telephone
Computer
       
Confirm stock take date and time 1

       
Print notice for customers 3 Computer and
printer
       
Stick up notice to inform customers 4

       
Diary / Calendar
MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY SUNDAY
            1

2 3 4 5 6 7 8
Inform DC Suppliers
Inform DC, suppliers

 
9 10 11 12 13 14 15

16 17 18 19 20 21 22
Print and stick up customer
  notice

23 24 25 26 27 28 29
Stock take

30 31          
Sales
How to improve sales: Establish the cause
 Customer perceptions – do your customers perceive lack of commitment from your business
to them, to your product or market? Is a poor or negative customer perception of your
business spreading by word of mouth? Is one of your competitors undertaking a ‘dirty tricks’
campaign?
 Marketing process – if you are not getting enough customers, are enough potential
customers aware of your products and services? Is the price set too high for the benefits
offered? Is the product specification not suitable for customers’ needs?
 Selling process – if you are getting good levels of response but not enough orders, is the
follow-up poor or slow? Are you putting customers off before closure? Are your negotiators
weak? Are you failing to maintain the relationship with customers once you have created it?
 Competitive threat – is there a new and strong competitive threat? Has a competitor just
launched a new or improved product or service? Is a strong competitor conducting an
aggressive promotional campaign or price discounting? Is one of your competitors starting a
price war?
 Product/service quality – is your quality letting you down: do you have delivery problems;
are your products unreliable; are they fit for your customers’ purpose; do you have slow or
poor after sales service?
What can be done to increase sales to ensure
profit?
 Improve your marketing and sales processes – selling is often a numbers game:
 Offer a sales discount – can you offer a short-term discount to encourage existing
users to buy more or to attract new customers?
 Promote increased usage by existing users – can you encourage existing users or
give them incentives to increase their usage by an advertising or promotional
campaign?
 Increase sales volumes by reducing price – this will work only if customers are
price sensitive, Be sure that your competitors will not respond in kind, so
escalating into a price war.
 Win competitors’ business – can you identify a weakness in competitors that will
enable you to use your advantage to win new business? Can you provide a
consistently better service for the same or lower price?
What can be done to increase sales to ensure
profit?
 Convert non-users – can you persuade customers for your
other products to adopt the product/service where you are
experiencing a shortfall? ‘Cross-selling’ will need sales calls or
some promotional activity.
 Launch improved or new products and services – be sure
that it is your product or service that is letting you down
before you go down this more expensive and time-consuming
route
 Enter new markets – this is usually part of a business’
planned growth, rather than a short-term reaction, so needs
careful planning.
Effect of reduced net profit on company
and staff
 Company: slows down company growth
 No new stores
 Cut backs on budget
 Negative effect

Employees: bonuses and incentives may be reduced or scrapped

No new employment opportunities
Training and development, teambuilding events, etc may be cut
back
Job loss
Negative effect
 Team work makes the dream work
 If the employees understand the effect of sales on the business and on
themselves as employees, they may be motivated to ensure sales levels are
optimum.
 Targets raise awareness and motivate employees to achieve sales
 Budgets assist employees to plan and control expenses.
Measures to track and monitor sales
 Set realistic targets for sales
 Develop and implement a sales plan
 Set goals for departments
 Motivate teams with incentives.
How can you improve sales in your area of
work, and what process do you have to follow
when proposing improvements to management?
How are improvements communicated
to your team?