PLANNING TECHNICAL

ACTIVITIES
Managers who plan are afforded with
the opportunity to carefully analyze
situations which directly contribute
to effective decision-making.
Planning Defined
refers to the management function that
involves anticipating future trends and
determining the best strategies and tactics
to achieve organizational objectives.
Nickels and Others
Planning Defined
is the selection and sequential ordering of
tasks required to achieve an organizational
goal.
Aldag and Stearns
Planning Defined
is deciding what will be done, who will do it,
where, when and how it will be done, and
the standards to which it will be done.
Cole & Hamilton

Planning at Various Management
Levels
1. Top management level- strategic planning
2. Middle management level intermediate
planning
3. Lower management level operational planning
Top
Management
Chief Executive Officer
President
Vice Presidents
General Manager
Division Heads
Middle
Management
Functional Managers
Product Line Managers
Department Heads
Lower
Management
Unit Managers
First Line Supervisors
The Planning Process
1. Setting organizational, divisional, unit goals
2. Developing strategies or tactics to reach those goals
3. Determining resources needed
4. Setting standards
Types of Plans
Functional Areas
Time Horizon
Frequency of Use
Functional Plans
Marketing Plan
Production Plan
Financial Pluman
Resource Management Plan
Plans With Time Horizon
Short-range Plan
Long-range Plan

Plans According to Frequency of Use
Standing Plans:
Policies
Procedures
Rules
Single-use Plans:
Budgets
Programs
Projects
The Contents of the Marketing Plan
The Executive Summary
Table of Contents
Situational Analysis and Target Market
Marketing Objectives and Goals
Marketing Strategies and Tactics
Schedules and Budgets
Financial Data and Control
The Contents of a Production Plan
The amount of capacity the company must
have
How many employees are required
How much material must be purchased
The Contents of the Financial Plan
An analysis of the firms current financial
condition as indicated by an analysis of the most
recent statements
A sale forecast
The capital budget
The cash budget
A set of pro forma (or projected) financial
statements
The external financing plan
Contents of the Human Resources Plan
Personal requirements of the company
Plans for recruitment and selection
Training plan
Retirement plan

PARTS OF THE STRATEGIC PLAN
Company or corporate mission
Objectives or goals
Strategies

MAKING PLANNING EFFECTIVE
Planning may be made successful if the following
are observed:
Recognize the planning barriers
Use of aids to planning
Planning Barriers
1. Managers in ability to plan
2. Improper planning process
3. Lack of commitment to the planning process
4. Improper information
5. Focusing on the present at the expense of the future
6. Too much reliance on the planning department
7. Concentrating only on the controllable variables

Aids to planning that may be used are:
1. Gather information as much as possible
2. Develop multiple sources of information
3. Involve others in the planning process