Covenant University AMS 111 Planning PDF

www.covenantuniversity.edu.n Raising a new Generation of Leaders PLANNING (AMS 111) PRINCIPLES OF MANAGEMENT Learning Objectives At the end of this lecture, students should be able to;  Define planning an...

www.covenantuniversity.edu.n Raising a new Generation of Leaders PLANNING (AMS 111) PRINCIPLES OF MANAGEMENT Learning Objectives At the end of this lecture, students should be able to;  Define planning and understanding the purposes of planning  Know the purpose for planning  Understand the features of planning in organisation. 2  Planning  Planning is one of the managerial functions that defines the;  What  How  When  Why  Where  Who 3 What is Planning Planning is decision making regarding a future course of action. It is also the process of setting the organization goals, formulate strategies, and outlining tasks to accomplish the goals. 4 What is Planning (contd.) Informal Planning Nothing is written down little or no sharing of goals general and lacking in continuity formal Planning Written Defines specific goals Specific action programs exist to achieve goals 5  Provides Set Control Direction Standard REASONS FOR PLANNING Minimize Rapid Socio- waste/redundan Economic cy changes Why Do Managers Plan? Purposes of Planning  Planning establishes the basis for all other management functions  Planning establishes coordinated effort  Planning reduces wasteful activities  Manage competition  Increase organization effectiveness 7 General Characteristics of Planning 8  Features/principles of Planning Planning is an intellectual process Primarily concerned with looking into the future Plans should be clear, well defined and easily understood Simple, flexible and comprehensive 9 Features/Principles of Planning (contd.) Take account of the existing organization and provide for control so that performance can be checked Consider factors in the environment which will help or hinder the organization in reaching its goals 10 Features of Planning In Business Planning in business is concerned with the following: Determination of company objectives. Formulation of policies, programs, and procedures Designation of performance and cost standards 11 Types Of Plans Types of Plans based on Breadth Strategic plans - apply to the entire organization establish organization’s overall goals seek to position the organization in terms of its environment Operational plans - specify the details of how the overall goals are to be achieved tend to cover short time periods 13 Types Of Plans (contd.) Types of Plans based on Time Long-term plans - time frame beyond three years Short-term plans - cover one year or less 14 Types Of Plans (contd.)  Types of Plans based on specification ‒Specific plans - clearly defined with little room for interpretation required clarity and predictability often do not exist ‒Directional plans - flexible plans that set out general guidelines provide focus without limiting courses of action 15 Types Of Plans (contd.) Types of Plans based on frequency of use Single-use plans - one-time plans specifically designed to meet the needs of a unique situation Standing plans - ongoing plans that provide guidance for activities performed repeatedly include policies, procedures, and rules 16  Planning In The Hierarchy Of Organizations Strategic Top Planning Executives Middle-Level Managers First-Level Operational Managers Planning © Prentice Hall, 2002 Steps in the Planning Process 18 Planning and the Chief Executive As planners, Chief Executives ask: 1. In what direction should the organization be going? 2. In what direction is the organization going now? 3. Should something be done to change this direction? 4. Is the organization continuing in an appropriate direction? 19  Planning Problems in Nigeria 1. Corporate planning is not integrated into the total management system 2. Lack of understanding of the different steps in planning process 3. Management at different levels in the organization do not properly contribute to planning activities 4. Poor information and inadequate inputs form basis of planning 20  Planning Problems in Nigeria (contd.) 5. Lacks serious thinking and extensive paperwork. 6. Inadequate data that are frequently used in planning 7. Gap between planner who formulate and the employees who implement the plan 8. Frequent and unpredictable changes in Nigeria environments. 21 Questions