Planning

• Planning


  The fundamental process of management that involves determining what needs to be done, when it should be done, how it should be done, and who is going to do it
• Planning


  The systematic process of making decisions about goals and activities the organization will pursue
• Planning


  The main function of management, which involves figuring out a future course of action to achieve a certain goal
• Nature of planning

  • It is an intellectual process
  • It is the primary function in the process of management
  • It focuses on objectives
  • It is a selective process
  • It is continuous
  • It is a decision making process
  • It is flexible
• The five M's of management

  • Money
  • Manpower
  • Materials
  • Machinery
  • Methods
• Planning


  • It leads to efficiency and economy
  • It is an integrated process
  • It is pervasive
• Importance of planning

  • It provides directions
  • It decreases the chances of risk
  • It decreases overlapping and wasteful activities
  • It encourages innovative ideas
  • It aids decision making
• Vision


  A big picture of what the organization wants to achieve in the future
• Mission


  What the organization does to achieve the vision
• Goals and Objectives

  Goals are statements of mileposts to achieve the vision, objectives are time-sensitive statements to achieve the goals
• Basic steps in planning

  1. Developing an awareness of the present state

  2. Establishing outcome statements

  3. Premising

  4. Determining a course of action

  5. Formulating supportive plans
• Basic types of plans

  • Hierarchical plans (strategic, administrative, operational)
  • Standing plans (policies, rules, procedures)
  • Single-use plans
  • Programs
  • Projects
  • Budgets
  • Time-frame plans (short-range, medium-range, long-range)
  • Organizational scope plans (business/divisional-level, unit/functional-level, tactical, contingency)
• Problem solving and decision making


  Planning in businesses is essential for future instances which require problem solving and decision making
• Steps in planning for problem solving

  1. Identify the problem

  2. Gather data

  3. Analyze the problem

  4. Generate solutions

  5. Evaluate and select the best solution

  6. Implement the solution

  7. Monitor and evaluate the results
• Planning


  Essential for future instances which require problem solving and decision making
• Establishing processes that mitigate or remove obstacles

  1. Evaluate

  2. Explore solutions

  3. Prioritize execution

  4. Measure success
• Problem solving techniques


  • Solve problems fast
  • Create and improve a problem-solving procedure
  • Transform obstacles into opportunities
• Steps made in planning for problem solving situations

  1. Identify the problem

  2. SWOT analysis

  3. Conduct market research and customer outreach

  4. Competitive analysis

  5. Identify multiple solutions
• Identify the problem


  Examine what led to the problem
• Common factors that influence problems in businesses

  • Competition
  • Business model
  • Market factors
  • Team
  • Goal alignment
• When identifying the problem, businesses should gather enough data to examine the problem
• It is essential to write down the specific outcome that is needed- this should acknowledge the needs of the market and the business
• SWOT

  Strengths, Weaknesses, Opportunities, and Threats
• SWOT analysis is an important tool for strategic planning
• SWOT brings multiple perspectives when looking at investing resources to solve a problem
• Competitive analysis

  1. Identify your competitors

  2. Analyze the market

  3. Research your competitors

  4. Assess their strengths and weaknesses

  5. Identify opportunities and threats
• Design thinking approach


  Calls for the participation of a broad group of individuals in the problem-solving process, which allows the identification of several viewpoints and solutions
• When brainstorming potential ideas, the main goal is to discover shared needs in the organization and in society, as this facilitates the development of solutions that tackle fundamental problems
• Decision-making framework

  Xanax for Decision-Making
• Psychological safety


  A combination of empathy, time management and good conversational turn-taking that makes people feel heard and appreciated
• People were uncomfortable facilitating decision making
• The Matrix


  Distinction between good decision-making and good decisions
• Apply lean planning for nimble execution

  1. Lean business planning method

  2. Identify key metrics to track
• Lean business planning method encourages the revision of business strategies regularly
• Problems faced while planning

  • Inability to plan or inadequate planning
  • Lack of commitment to the planning process
  • Inferior information
  • Focusing on the present at the expense of the future
  • Too much reliance on the organization's planning department
  • Concentrating on controllable variables
  • Lack of Leadership
  • Excessive Distractions Prevent Effective Planning
  • Lack of Systems
  • Limited Manpower to Complete Tasks
  • Inadequate Resources and Funding
• Scheduling


  Listing all the tasks, goals, and important points in a project, including setting when each task should start and end, how long it will take, and who will work on it
• Gantt Chart


  A widely used project scheduling tool that visually shows activities over time, aiding project professionals in tracking progress
• Forecasting


  Using past and present events to predict future outcomes, helping businesses make decisions by analyzing historical data and trends to deal with uncertainty about the future
• Forecasting refers to the practice of predicting what will happen in the future by considering events in the past and present
• While related, budgets and forecasts are separate concepts: a budget is a plan for a company's future, whereas a forecast is a sign of where the company is going