MGT 8

• three keywords in planning?

  defining, establishing, and developing
• what should be defined in planning?

  the organizational goals
• what should be established in planing?

  an overall strategy
• what should be developed in planning?

  a comprehensive set of plans
• what is plaaning concerned with?

  ends and means
• what are ends?

  what is to be done
• what are means?

  how it is to be done
• importance of planning

  legitimacy to stakeholder

  motivate and increase commitment

  serve as roadmaps or guides to action

  basis for decision making and reduces uncertainty

  set of standard of performance
• planning is the primary management function because

  it establishes the basis of all other functions
• goals and plans are the two elements of planning
• goals are the desired future state
• plans are the blueprint for goal achievement
• well-defined goals are SMART
• what does SMART stand for?

  specific, measurable, attainable, relevant, timebound
• well-defined goals are also FAST
• what does FAST stand for?

  frequently discusses, ambitious, specific, transparent
• what is better SMART or FAST?

  FAST
• if goals are frequently discussed, they are embedded in ongoing discussions
• if goals are ambitious they are difficult but not impossible
• if goals are specific they force clarity
• if goals are transparent they should be public for all employees to see
• Appraoches to goal setting make use of what framework?

  AFI framework
• what does AFI stand for?

  analyze, formulate, implement
• what are the 2 approaches to goal setting?

  Traditional Goal-Setting and Management by Objectives
• What happens in traditional goal setting?

  goals set by top managers flows down and is broken into subgoals
• what is the disadvantage of traditional goal setting?

  the goals lose clarity and unity. it is also potentially expensive for large global corporations
• what is in the pyramid objective from bottom to top?

  individual employee, department manager, division manager, top management
• what is the goal of top managers?

  improve company’s performance
• what is the goal of division managers?

  significantly improve division‘s profits
• what is the goal of department managers?

  increase profits regardless of means
• what is the goal of individual employees?

  work fast regardless of quality
• Management by objectives are specific performance goals that are jointly determined by employees and their managers
• is MOB self-directed or boss-directed?

  self-directed
• what are the 4 elements of MOB?

  goal specificity, participative decision making, explicit time period, performance feedback
• steps in MBO

  1. objectives are formulated
  2. objective are allocated
  3. unit managers set specific objectives to their units
  4. specific objective are collaboratively set
  5. action plans are specified and agreed upon
  6. action plans are implemented
  7. progress is reviewed and feedback is given
  8. achievement of objectives are reinforced
• 4 types of plans

  breadth, time frame, specificity, frequency of use
• 2 concepts under breadth

  strategic and operational
• 2 concepts under timeframe

  short term and long term
• 2 concepts under specificity

  directional and specific
• 2 concepts under frequency of use

  single use and standing