Analize
zezy690
Daft10eCh.5ppt.pptxPlanning and Goal
Setting
Chapter 5
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
All of the other management functions stem from planning
How do you plan for an undefined future?
No plan is perfect
Without plans and goals, organizations flounder
2
Planning Is Fundamental
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
3
A goal is a desired future state that the organization attempts to realize
A plan is a blueprint for goal achievement and specifies the necessary resource allocations, schedules, tasks, and other actions
PLANNING
Goals and Plans
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
4
5.1 – Levels of Goals and Plans
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
5
5.2 – The Organizational Planning Process
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Organizational mission – the organization’s reason for existence
Strategic goals – official goals, broad statements describing the organization’s future
Strategic plans – define the action steps the company will take
Goals should be aligned using a strategy map
6
Goal-Setting in Organizations
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
5.3 - An Innovative Mission Statement:
The Holstee Manifesto
7
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Direct employees and resources
Guide toward efficient and effective performance
Includes planning approaches:
Management-by-Objectives (MBO)
Single-Use Plans
Standing Plans
8
Operational Planning
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
9
5.4 - Characteristics of
Effective Goals
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Defined in 1954 by Peter Drucker
Method for defining goals and monitoring performance
10
5.5 - Model of The MBO
Process
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Goals and plans provide a source of motivation and commitment
Goals and plans guide resource allocation
Goals and plans are a guide to action
Goals and plans set a standard of performance
Goals and plans can create a false sense of certainty
Goals and plans may cause rigidity in a turbulent environment
Goals and plans can get in the way of intuition and creativity
11
Benefits and Limitations
of Planning
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Contingency Planning
Planning for emergencies, setbacks, or unexpected conditions
Building Scenarios
A forecasting technique to look at current trends and discontinuities and visualize future possibilities
Crisis Planning
Unexpected events that are sudden and devastating
12
Planning for a Turbulent
Environment
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
13
5.6 - Essential Stages of
Crisis Planning
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Stretch goals are highly ambitious
Clear, compelling, and imaginative
Require innovation
Goals must be seen as achievable
Like Big Hairy Audacious Goal (BHAG) from 1996 article on “Building Your Company’s Vision”
As times move faster and become more turbulent, these are important
14
Set Stretch Goals for
Excellence
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Every company is concerned with strategy
It determines which organizations succeed and which ones struggle
Strategic blunders can hurt a company
Strategic management is a specific type of planning
15
Strategy
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The long-term view of the organization and competition
Thinking strategically impacts performance and financial success
Today’s environment requires everyone to think strategically
16
Thinking Strategically
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Decisions and actions used to formulate and execute strategies that will provide competitively superior fit between the organization and its environment to achieve organizational goals
17
Strategic Management
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Explicit strategy is the plan of action
Competitive advantage is the organization’s distinctive edge for meeting customer needs
Strategies should:
Exploit Core Competencies
Build Synergy
Deliver Value
Target Customers
18
Purpose of Strategy
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
5.7 - The Elements of
Competitive Advantage
19
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Formulating strategy often begins with an audit of internal and external factors
Internal Strengths and Weaknesses
External Opportunities and Threats
Information is acquired from reports, surveys, discussions, and meetings
20
SWOT Analysis
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
5.8 - Audit Checklist for Analyzing
Organizational Strengths and
Weaknesses
21
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Organizes business along two dimensions
Business growth rate
Market share
Four categories for corporate portfolio
The combination of high/low market share and high/low business growth
22
Formulating Corporate-Level
Strategy: The BCG Matrix
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
5.9 - The BCG Matrix
23
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Strategy within the business units: How do we compete?
Business-level strategies are developed by Porter’s Five Forces
Web technology is impacting all industries in positive and negative ways
24
Formulating Business-Level
Strategy
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
5.10 - Organizational Characteristics
of Porter’s Competitive Strategies
25
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
