Chapter 7
What are the barriers to goal setting
1. Improper reward system 2. Dynamic and complex environment. 3. Reluctance to establish goals. 4. Resistance to change. 5. Various constraints.
How are tactical plans developed and executed
1. Middle of the organization, have intermediate time horizons and are of moderate scope. 2. Tactical plans are developed to implement specific parts fo a strategic plan. 3. Tactical plans must flow from strategy, specify resources and time issues and commit human resources. 4. Must be executed effectively.
Level
1. Mission 2. Strategic 3. Tactical 4. Operational
Strategic plan
1. Outlines decisions and resource allocation 2. Priorities 3. Action steps 4. Set by board of directors and top management 5. Has a time frame.
Who is responsible for planning?
1. Planning staff 2. Planning task force 3. Board of directors, 4. The CEO 5. Executive committee. 6. line management
Purpose of goals
1. Provide guidance and direction 2. Facilitate planning 3. Inspire motivation and commitment 4. Promote evaluation and control
Formal steps in goal setting
1. Start the program 2. Establishment of organizational goals and plans 3. Collaborative goal setting and planning. 4. Communicate goals - meetings, verifiable goals and clear plans, counseling, resources. 5. Periodic review 6. Evaluation
Methods for overcoming these barriers?
1. Understanding the purposes of goals and plans 2. Communication and participation 3. Consistency, revision and updating 4. Effective reward system
Contingency plan
Alternative if intended plan is disrupted.
Operational plans
Carry out tactical plans to achieve operational goals.
Tactical plans
Developed to implement specific parts of a strategic plan.
Crisis management
Disaster or other unexpected calamity
Management by objective
Formal goal setting process involving collaboration between manager and subordinates.
Value of contingency planning
Helps managers anticipate plan for unexpected changes.
How are goals differentiated
Level and time frame
Kinds of goals
Level, area and time frame
Single use plans
Not likely repeated
Action plan
Operationalize any kind of plan
Reaction plan
React to unforeseen circumstances.
Strategic
Set by and for top management, broad general issues.
Operational
Set by lower level managers.
Area
Set goals for different area, operations, marketing, finance, human resources.
Two major types of operational plans
Single use - Programs and projects Standing plans - Policies, sop, rules and regulations.
Program
Single use not likely to be repeated
Project
Single use plan of less scope and complexity than a program.
Operational plans
Single use, standing plans
What are the major types
Strategic, tactical and operational.
Where are operational plans derived from?
Tactical plans
