Intro to Management Chp 7

Managers formulate goals that are specific and measurable, cover key result areas, are challenging but realistic, have a defined time period, and are linked to rewards.

Types of operational planning include management-by-objectives, single-use plans, and standing plans. One example of a standing plan is a social media policy.

Single-use plans

A plan that is developed to achieve a set of goals that is unlikely to be repeated in the future.

crisis preparation stage

1. designating a crisis management team and spokesperson, 2. creating a detailed crisis management plan, and 3. setting up an effective communications system. The crisis management team, for example, is a cross-functional group of people who are designated to swing into action if a crisis occurs.

plan

A blueprint specifying the resource allocations, schedules, and other actions necessary for attaining goals.

Strategic goals

A broad statement of where an organization wants to be in the future; pertains to the organization as a whole rather than to specific divisions or departments.

mission statement

A broadly stated definition of an organization's basic business scope and operations that distinguishes it from similar types of organizations.

intelligence team

A cross-functional group of people who work together to gain a deep understanding of a specific competitive issue and offer insight and recommendations for planning.

goal

A desired future state that the organization wants to realize.

Management-by-objectives (MBO)

A method whereby managers and employees define goals for every department, project, and person and use them to monitor subsequent performance. 1.Set goals 2. Set goals 3. Review progress. 4. Review progress.

Planning starts with the organization's purpose or reason for existence, which is called its mission.

A mission statement is a broadly stated definition of the organization's basic business scope and operations that distinguishes it from similar types of organizations.

Planning is the most fundamental of the four management functions.

A plan is a blueprint specifying the resource allocations, schedules, and other actions necessary for attaining goals.

Planning is the most fundamental of the four management functions. A goal is a desired future circumstance or condition that the organization wants to realize. Planning is the act of determining goals and defining the means of achieving them.

A plan is a blueprint specifying the resource allocations, schedules, and other actions necessary for attaining goals. Planning helps managers think about the future rather than thinking merely in terms of day-to-day activities.

Stretch goals

A reasonable yet highly ambitious and compelling goal that energizes people and inspires excellence.

Key performance indicators (KPIs)

A tool used to assess what is important to an organization and how well the organization is progressing toward attaining its strategic goal, so that managers can establish lower-level goals that drive performance toward the overall strategic objective.

strategy map

A visual representation of the key drivers of an organization's success, showing the cause-and-effect relationship among goals and plans.

Strategic plans

Action steps by which an organization intends to attain strategic goals.

management by means (MBM)

An approach that focuses people on the methods and processes used to attain results, rather than on the results themselves.

Scenario building

An approach where managers look at trends and discontinuities and imagine possible alternative futures to build a framework within which unexpected future events can be managed.

decentralized planning

An approach where top executives or planning experts work with managers in major divisions or departments to develop their own goals and plans.

Standing plans

An ongoing plan used to provide guidance for tasks that occur repeatedly in the organization.

mission

An organization's purpose or reason for existence.

Complete the following sentences as they appeared in the textbook: "In the United States and Canada, the trend over the past 30 years has been toward greater __________________ of organizations. __________________ is believed to relieve the burden on top managers, make greater use of employees' skills and abilities, ensure that decisions are made close to the action by well-informed people, and permit more rapid response to external changes."

Decentralization; decentralization

Tactical plans

Designed to help execute major strategic plans and to accomplish a specific part of a company's strategy.

The matrix approach combines aspects of both __________________ and __________________ structures simultaneously, in the same part of the organization.

Functional; divisional

Contingency plans

Identifies important factors in the environment and defines a range of alternative responses to be taken in the case of emergencies, setbacks, or unexpected conditions.

strategic goals

Top managers are typically responsible for establishing strategic goals and plans that reflect a commitment to both organizational efficiency and effectiveness

Benefits of planning and goal setting include serving as a source of motivation, determining resource allocation, providing a guide to action, and setting a standard for performance measurement.

Limitations of planning and goal setting include the potential to create a false sense of certainty, create rigidity that hinders response to a turbulent environment, and get in the way of creativity and intuition.

Goals begin with broad strategic goals, followed by more specific tactical goals, and then operational goals. Plans are defined similarly, with strategic, tactical, and operational plans used to achieve the desired goals.

Managers at Unilever set a strategic goal to double revenues, to €80 billion, by 2020. Goals and plans need to be in alignment so that they are consistent and mutually supportive.

Operational plans

Operational plans identify the specific procedures or processes needed at lower levels of the organization, such as individual departments and employees. Frontline managers and supervisors develop operational plans that focus on specific tasks and processes and that help meet tactical and strategic goals.

A goal is a desired future circumstance or condition that the organization wants to realize.

Planning helps managers think about the future rather than thinking merely in terms of day-to-day activities.

Operational plans

Specifies the action steps toward achieving operational goals and supports tactical activities.

Tactical goals

Tactical goals and plans are the responsibility of middle managers, such as the heads of major divisions or functional units. A division manager will formulate tactical plans that focus on the major actions that the division must take to fulfill its part in the strategic plan set by top management.

Being an effective coalitional manager involves three key steps:

Talk to customers and other managers. Talk to customers and other managers. Break down barriers and promote cross-silo cooperation.

planning

The management function concerned with defining goals for future performance and how to attain them.

tactical goals

The outcome that major divisions and departments must achieve for an organization to reach its overall goals.

The following factors are associated with a __________________ span of control: work performed by subordinates is stable and routine; subordinates are concentrated in a single location, and subordinates are highly trained and need little direction in performing tasks.

Wider

Coalitional management

involves building an alliance of people who support a manager's goals and can influence other people to accept and work toward them.