Planning and Implementation New

7/31/2019 Planning and Implementation New

1/71

Planning And Implementation

Part 1: Concept


2/71

Topics Covered

Definition

Nature of planning

Significance of planning

Limitations of planning


3/71

Definition

Planning is the function that determines in advances what

should be done. It consists of selecting the enterprise objectives,

policies, programmes, procedures and other means of achieving

these objectives.


4/71

Nature Of Planning

1. Planning Is Goal Oriented

Planning is not an end in itself. Rather, it is a means towards the

accomplishment of objectives. Planning has no meaning unless

it contributes in some positive way to the achievement of desired

goods. All plans way to the achievement of desired goals. All

plans emanate from objectives.


5/71

2. Planning Is A Primary Function

Planning is the basis or foundation of the management process.

All other functions of management are designed to attain the

goals set under planning. Planning provides the basis forefficiency organizing, staffing, directing and controlling. Without

planning, there is nothing to organize, no one to actual and no

need to control.


6/71


7/71

4. Planning Is Intellectual

Planning is a mental exercise involving imagination, foresight

and sound judgment. It requires a mental disposition of

thinking before doing and acting in the light of facts then guess


8/71

5. Planning Is A Continuous Process

Planning is an ongoing and dynamic exercise. As the

assumptions and events on which plans are based changes, old

plans have to be revised or new ones have to be prepared.


9/71


10/71

7. Planning Involves Choice

Planning is essentially choosing among alternative course of action.

Planning is presupposes the existence of alternatives. There is no

need for planning if there is only one way of doing something.


11/71

8. Planning Is A Mental Activity

Planning is not a simple process. It is an intellectual exercise and

involves thinking and forethought on the part of the manager.


12/71

Significance Of Planning :

(a) Minimizes uncertainty

The future is generally uncertain and things are likely to change

with the passage of time. Planning helps in minimizing the

uncertainties of the future as it anticipates future events.

(b) Emphasis on objectives

The first step in planning is to fix the objectives. When the

objectives are clearly fixed, the execution of plans will be facilitated

towards these objectives.

(c) Promotes coordination

Planning helps to promote the coordinated effort on account of pre-

determined goals.


13/71

(d) Facilitates control

Planning and control are inseparable in the sense that unplanned

actions cannot be controlled. Control is nothing but making sure

that activities conform to the plans.

(e) Improves competitive strength

Planning enables an enterprise to discover new opportunities, which

give it a competitive edge.

(f) Economical operationSince planning involves a lot of mental exercise, it helps in proper

utilization of resources and elimination of unnecessary activities.

This, in turn, leads to economy in operation.

Significance Of Planning (Cont)


14/71

(g) Encourages innovation

Planning is basically the deciding function of management. Many

new ideas come to the mind of a manager when he is planning.

This creates an innovative and foresighted attitude among the

managers.

(h) Tackling complexities of modern business

With modern business becoming more and more complex,

planning helps in getting a clear idea about what is to be done,

when it is to be done, where it is to be done and how it is to be

done.

Significance Of Planning (Cont)


15/71


16/71

(d) Influence of external factors

The effectiveness of planning is sometimes limited because of the external

social, political, economical and technological factors which are beyond

the control of the planners.

(e) Non-availability of data

Planning needs reliable facts and figures. planning loses its value unless

reliable information is available.

(f) Peoples resistance

Resistance to change hinders planning. Planners often feel frustrated in

instituting new plans, because of the inability of people to accept them.

Limitations Of Planning (Cont)


17/71

Summary

Definition

Nature of planning

Significance of planning

Limitations of planning


18/71

Part 2: Types Of Planning


19/71

Topics Covered

Types of planning

Importance of planning

Identifying barriers to planning

Requirements of a good plan


20/71

Corporate Planning

And

Functional Planning

Strategic Planning

And

Operational Planning

Long Term Planning

And

Short Term Planning

Formal Planning

And

Informal Planning


21/71

Corporate Planning

(i) Corporate Planning denotes planning activities at the top level and

cover the entire organizational activities.

(ii) Determine the long-term objectives.

(iii) Generate plans to achieve the objectives bearing in mind the probable

changes in environment.

(iv) Corporate planning includes:

The setting of objectives,

Organizing the work, people, and systems to enable those

objectives to be attained,

Motivating though the planning process of the plan and

developing people through better decision making,

Clearer objectives, more involvement, and awareness of

progress.


22/71

Functional Planning

(i) Functional planning is segmental and it is undertaken for each

major function of the organization like

production/operation,

marketing, finance,

human resource/personnel etc.

(ii) At the second level, functional planning is undertaken for sub-

functions within each major function.


23/71

Strategic Planning

Strategic Planning is

(i) Deciding on objectives of the organization,

(ii) Deciding on changes on these objectives,

(iii) Deciding on the resources used to attain these objectives,

(iv) Policies that are to manage the acquisition, use and disposition

of these resources.


24/71

Operational Planning

Operational Planning is

(i) Deciding the most effective use of the resources already

allocated .

(ii) To develop a control mechanism to assure effective

implementation of the actions.


25/71


26/71

Short-Term Planning

These plan are aimed at sustaining organization in its production

and distribution of current products or services to the existing

markets.


27/71

Proactive planning involves designing suitable courses of action

in hope of likely changes in the relevant environment.

Proactive Planning

Reactive Planning

Organizations responses come after the environmental changes

have taken place.


28/71

Formal planning is in the form of well-structured process

involving different steps.

Formal Planning

Informal Planning

This planning process is based on managers memory of events,

perception and gut-feelings rather than based on systematic

evaluation of environmental happenings.


29/71

Task 1

If a manager is planning to double the revenue by the end of the

current fiscal year and is planning to contract an advertising

consultant for one month to help him analyze and capitalize on

customers buying trends.

Can you tell which one is a long term and which one is a short term

planning?


30/71

Answer 1

Manager planning to double the revenue by the en d of the current

fiscal year is a long term goal and the manager planning to contract

an advertising consultant for one month is a short term goal.


31/71


32/71

Answer

All these are examples of informal planning.


33/71

Importance Of Planning- Why

Planning Is Important

1. Increases efficiency.

2. Reduces business-related risks.

3. Facilitates proper coordination.

4. Aids in organizing.

5. Gives right direction.

6. Keeps good control.

7. Helps to achieve objectives.

8. Motivates the personnel.

9. Encourages creativity and innovation.

10.Helps in decision making.


34/71

Identifying Barriers To Planning

(i) Inability to plan or inadequate planning

Managers are not born with the ability to plan. Some managers are not

successful planners because they lack the background, education,

and/or ability. Others may have never been taught how to plan. When

these two types of managers take the time to plan, they may not know

how to conduct planning as a process.

(ii) Lack of commitment to the planning process

The development of a plan is hard work; it is much easier for a manager

to claim that he or she doesn't have the time to work through the required

planning process than to actually devote the time to developing a plan.

Another possible reason for lack of commitment can be fear of failure. As

a result, managers may choose to do little or nothing to help in the

planning process.


35/71

(iii) Inferior information

Facts that are out-of-date, of poor quality, or of insufficient quantity

can be major barriers to planning. No matter how well managers

plan, if they are basing their planning on inferior information, their

plans will probably fail.

(iv) Focusing on the present at the expense of the future

Failure to consider the long-term effects of a plan because of

emphasis on short-term problems may lead to trouble in preparing

for the future. Managers should try to keep the big picture their

long-term goals in mind when developing their plans.

Barriers To Planning (Cont...)


36/71


37/71


38/71

(c) Flexible

The principle of flexibility states that management should be able to

change an existing plan because of change in environment without

undue extra cost or delay so that activities keep moving towards the

established goals. Thus, a good plan should be flexible to

accommodate future uncertainties.

(d) Stable

The principle of stability states that the basic feature of the plan

should not be discarded or modified because of changes in external

factors such as population trends, technological developments, or

unemployment.

Requirements Of A Good

Plan (Cont)


39/71

(e) Comprehensive

A plan is said to be comprehensive when it covers each and every

aspect of business. It should integrate the various administrative

plans so that the whole organization operates at peak efficiency.

(f) Economical

A plan is said to be good, if it is as economical as possible,depending upon the resources available with the organization.

Requirements Of A Good

Plan (Cont)


40/71

Summary

Types of planning

Importance of planning

Identifying barriers to planning

Requirements of a good plan


41/71

Part 3: Steps In Planning Process


42/71

Topics Covered

Steps in planning process

Definition of implementation

Steps in implementation process


43/71

Step 1: Establish Goals

The first step of the management planning process is to identify

specific company goals. This portion of the planning process should

include a detailed overview of each goal, including the reason for its

selection and the anticipated outcomes of goal-related projects.

Where possible, objectives should be described in quantitative or

qualitative terms. An example of a goal is to raise profits by 25

percent over a 12-month period.


44/71


45/71


46/71

Step 4: Prioritize Goals And Tasks

Prioritizing goals and tasks is about ordering objectives in terms of

their importance. The tasks deemed most important will

theoretically be approached and completed first. The prioritizing

process may also reflect steps necessary in completing a task or

achieving a goal. For example, if a goal is to increase sales by 25

percent and an associated task is to increase sales staff, the

company will need to complete the steps toward achieving that

objective in chronological order.


47/71

Step 5: Create Assignments And

Timeliness

As the company prioritizes projects, it must establish timelines for

completing associated tasks and assign individuals to complete

them. This portion of the management planning process should

consider the abilities of staff members and the time necessary to

realistically complete assignments. For example, the sales manager

in this scenario may be given monthly earning quotas to stay on

track for the goal of increasing sales by 25 percent.


48/71

Step 6: Establish Evaluation

Methods

A management planning process should include a strategy for

evaluating the progress toward goal completion throughout an

established time period. One way to do this is through requesting a

monthly progress report from department heads.


49/71

Step 7: Identify Alternative

Courses Of Action

Even the best-laid plans can sometimes be thrown off track by

unanticipated events. A management plan should include a

contingency plan if certain aspects of the master plan prove to be

unattainable. Alternative courses of action can be incorporated into

each segment of the planning process, or for the plan in its entirety.


50/71

Definition Of Implementation

Implementation is the carrying out, execution, or practice of a plan,

a method, or any design for doing something. As such,

implementation is the action that must follow any preliminary

thinking in order for something to actually happen.

In an information technology context, implementation encompasses

all the processes involved in getting new software or hardware

operating properly in its environment, including

installation, configuration, running, testing, and making necessary

changes.


51/71

Steps Involved In Implementation

Process


52/71

Step 1

Evaluate the plan. The first step in the implementation process is to

step back and make sure that you know what the plan is. Review it

carefully, and highlight any elements of the plan that might be

especially challenging. Recognize any parts of the plan that might beunrealistic or excessive in cost, either of time or money. Highlight

these, and be sure to keep them in mind as you begin implementing

the strategic plan. Keep back-up ideas in mind in case the original

plan fails.


53/71

Step 2

Create a vision for implementing the plan. This vision might be a

series of goals to be reached, step by step, or an outline of items

that need to be completed. Be sure to let everyone know what the

end result should be and why it is important. Establish a clear

image of what the strategic plan is intended to accomplish.


54/71

Step 3

Select team members to help you implement the plan. Make sure

you have a team that has your back, so to speak, and understands

the purpose of the plan and the steps involved in implementing it.

Establish a team leader, if other than yourself, who can encourage

the team and field questions or address problems as they arise.


55/71

Step 4

Schedule meetings to discuss progress reports. Present the list of

goals or objectives, and let the planning team know what has been

accomplished. Whether the implementation is on schedule, ahead of

schedule, or behind schedule, assess the current schedule regularlyto discuss any changes that need to be made. Establish a rewards

system that recognizes success throughout the process of

implementation.


56/71

Step 5

Involve the upper management where appropriate. Keep the

organizations executives informed on what is happening, and

provide progress reports on the implementation of the plan. Letting

an organizations management know about the progress ofimplementation makes them a part of the process, and, should

problems arise, the management will be better able to address

concerns or potential changes.


57/71

Summary

Steps in planning process

Definition of implementation

Steps in implementation process


58/71

Case Studies


59/71

Topics Covered

Why planning is required

Case study 1

Case study 2

Case study 3

Case study 4


60/71

Example Why Planning Is Required

One night 4 college students were playing till late night and could

not study for the test which was scheduled for the next day.

In the morning they thought of a plan. They made themselves look as

dirty with grease and dirt. They then went up to the Dean and said

that they had gone out to a wedding last night and on their return

the tire of their car burst and they had to push the car all the way

back and that they were in no condition to appear for the test.

So the Dean said they could have the re-test after 3 days. They

thanked him and said they would be ready by that time.


61/71

Example (Cont)

On the third day they appeared before the Dean.. The Dean said that as

this was a Special Condition Test, all four were required to sit in

separate classrooms for the test... They all agreed as they had prepared

well in the last 3 days.

The Test consisted of 2 questions with a total of 100 Marks.

Q.1. Your Name............................ (2 MARKS)

Q.2. Which tire burst? (98 MARKS)a) Front Left

b) Front Right

c) Back Left

d) Back Right.....!!!


62/71

Case Study 1

RMS Titanic was a British passenger liner that sank in the North

Atlantic Ocean on 15 April 1912 after colliding with

an iceberg during her maiden voyage from Southampton, UK to New

York City, US. The sinking of Titanic caused the deaths of 1,502people in one of the deadliest peacetime maritime disasters in

history. The RMS Titanic was the largest ship afloat at the time of

her maiden voyage.


63/71

Result Of Improper Planning

The US inquiry was headed by Senaton William Alden Smith and the

British one by Lord Mersey.

1. The result of the investigations revealed that many of the safety

measures and regulations of the international maritime were outdated

and required a second look. The ship itself was found short on few of

the standards.

2. The steel sheet that was used to make the body was made up of a

certain kind of steel that became extra brittle in the cold and easily

cracked at the slightest of the contact.


64/71

3. During 14th April 1912, Titanic radio operators received six

messages from other ships warning of drifting ice, which passengers

had begun to notice during the afternoon.

4. There were only 20 lifeboats, each lifeboat can accommodate only

68 people and collectively 1178 barely half the number of people on

board.

5. The shortage of lifeboats was not because of a lack of space- Titanic

had been designed to accommodate up to 68 lifeboats- nor was it

because of cost. The White Star Line had rather wished to have a wide

promenade deck with uninterrupted views of the sea, which would

have been obstructed by a continuous row of lifeboats.


65/71


66/71

Result Of Improper Planning

The ships were equipped as replicas of English Royal Navy officers clubs.

Each ship had a 1200 volume library; there were copious amounts of

china plate settings, cut glass wine goblets and sterling silver table ware

and cutlery. The cutlery was engraved for the individual officers, with

each officers initials and family crest. Unfortunately items such as these

took up so much space that room could be found for only 12 days supply

of coal for the auxiliary steam engines. They took no special clothing for

the Arctic conditions, just the rather splendid naval uniforms, and

equipment was standard: there were for instance no sleds.

It took 20 yrs to find the remnants of the expedition; the ships had been

destroyed by the pack ice, but frozen bodies were found in groups, many

kilometers from where their ships had disappeared.

Case Study 3


67/71

Case Study 3

SANO which is a brain child of Rakish Vita raised hope for a lot of middle

class families by giving them the status of owning a car. Expectations

were increasing amongst the customers regarding the product features

and its efficiency. Competitors were eagerly waiting for its arrival to find

whats inside SANO?. The only factor the customer knew in advancewas its price tag of 1 lac as conveyed by Rakish Vita.

The five seater car Sano from Vita finally arrived in the market. The

strengths of the product included its small size, ease in handling and

good mileage efficiency. It directly took on the motorcycle market and

tried to attach a status symbol to itself such that customers prefer the

Sano above buying a motorcycle.

But why was it not a big hit and why is it still lagging to grab the market

in spite of its good and convincing features?


68/71


69/71


70/71

Solution

This failure was basically due to improper planning. At four minutes

before the satellite launch, the computer began to go through the

checklist of items that needed to be checked. One minute later, the

computer program put the launch on hold; the display showed that

some control components were not in order. Abdul Kalaam's experts

he had four or five of them with him told him not to worry; they

had done their calculations and there was enough reserve fuel. Sohe bypassed the computer, switched to manual mode, and launched

the rocket.


71/71

Summary

Why planning is required

Case study 1

Case study 2

Case study 3

Case study 4

Documents

Planning and Implementation New