Typical Steps of Planning and Types of Plans
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Typical Steps of Planning
1. Situation Analysis
Limitations of time and resources.
Collect, interpret, and summarize information.
Past, present, future...
Internal strengths.
External environmental influences.
2. Goals and Alternative Plans
Goals:
Purpose(s) that the administrator wants to achieve; must be realistic, challenging, and attainable.
Plans:
Actions or means that administrators use to achieve the goals of the organization.
Alternative Plans:
Used when the main plans, for any reason, are stopped; alike are used to achieve the same goal.
3. Evaluation of Goals and Plans
Assess strengths, weaknesses, and potential effects.
Rank
Remove
4. Selection of Goals and Plans
Plans and goals more appropriate and feasible.
Steps: alternative generation, evaluation, and selection scenarios (scenario describes a particular set of future scenarios).
5. Implementation
Managers and employees must understand the plan.
Securing sufficient resources.
Motivation: commissions, salaries, promotions, bonuses.
6. Monitor and Control
Monitoring is done according to the goals and plans.
Develop control systems to monitor performance and take them as a reference.
Types of Plans
Single-Use Plans
Achieve goals that will not recur in the future.
Permanent Plans
Ongoing activities.
Achieving a sustainable set of goals.
Becomes political.
Contingency Plans
"Just in case"
Initial plans fail.
Demand change externally.
Levels of Planning
Strategic Planning
Set of procedures for decision-making regarding the goals and strategies of the organization long term.
What to do in a given situation
Tactical Planning
Set of procedures for translating broad strategic goals and plans into specific goals and plans that are relevant to an identified part of the organization, such as the functional area of marketing.
TAKE PLACE AS OUR PLANS
Operational Planning
Process that is applied to develop specific procedures and processes required at the lower levels of the organization.