planing and controlling

8/14/2019 Planing and Controlling

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Planning & Controlling

Presented by Pawan VijayE-MAIL:- [email protected]

PGPSE Student of AFTERSCHOOOL

AFTERSCHOOL DEVELOPING CHANGE MAKERS, CENTRE FOR SOCIAL

ENTREPRENEURSHIP PGPSE PROGRAMME World Most Comprehensive programme in social entrepreneurship & spiritual

entrepreneurship

OPEN FOR ALL FREE FOR ALL

www.afterschoool.tk


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Submitted by Pawan, PGPSE Student of AFTERSCHOOOL 2

Planning Ahead

How do managers plan?

What types of plans do managers use?

What are the useful planning tools andtechniques?

What is the control process?

What are the common organizationalcontrols?


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Submitted by Pawan, PGPSEStudent of AFTERSCHOOOL

3

Roles of Planning &

Controlling in the Management

Process

LeadingTo inspire effort

Organizing

To create structures

ControllingTo ensure results

Measure performance

Take corrective action

Planning-to set the directionDecide where you want to goDecide how to best go about it


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What is Planning?

Planning is a process of

setting objectives

and

determining how to accomplishthem.


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Approaches to Planning

Outside-in Opportunities

Threats

Inside-Out

Strengths Weaknesses

Top-Down

Bottom-Up


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The Planning Process

Five steps in the Planning Process:

1. Define Objectives

2. Determine where you stand re objectives

3. Develop premises regarding future conditions

4. Analyze and choose among action alternatives

5. Implement the Plan


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Benefits of Planning

Planning improves:

Focus & FlexibilityAction Orientation

Coordination

Time ManagementControl


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Types of Plans Used by

Managers

Short-Range & Long-Range Plans

Short-range plans = 1 year or less

Intermediate-range plans = 1 - 2 years

Long-range plans = 3 or more years


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Strategic & Operational Plans

Policies & Procedures Standing Plans

Single Use Plans

Budgets

Types of Plans Used by

Managers


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Planning Tools &

Techniques Forecasting

Process of predicting what will happen in the future

Contingency Planning

Identifies alternative courses of action to take when

things go wrong

Scenario Planning

Identifies alternative future scenarios and makes plans

to deal with them


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Planning Tools &

Techniques

Benchmarking

Uses external comparisons to gain insights for

planning

Best Practices Technique

Staff Planners

Participatory Planning

Includes persons who will be affected by plansand/or who will implement them


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The Control Process

Step 1:

Establish performance

objectives & standards

Step 2:Measure

Actual

performance

Step 3:

Compare actual

Performance with

objectives and standards

Step 4

Take

Necessary

action

The Control Process


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The Control Process-Step 3

Control Equation:

Need for Action = Desired Performance

Actual Performance

Three Types of Comparisons:

1. Historical Comparison

2. Relative Comparison

3. Engineering Comparison


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Management by Exception

Practice of giving attention to situations

that show the greatest need for action

Saves valuable time, energy & other

resources by focusing attention of high-

priority areas

Two types of exceptions:

Problem Situation

Opportunity Situation


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Types of Control

Feedforward Controls

Concurrent Controls

Feedback Controls


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Common Organizational

Controls

Management by Objective (MBO)

Employee Discipline Systems

Break-Even Analysis


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Joint objective setting

Individual works Supervisor supports

Joint review of results

THIS IS THE REAL MBO


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188.1

Hot Stove Rules of EmployeeDiscipline

A reprimand should be immediate; a hot stove burns the first time youtouch it.

A reprimand should be directed toward someones actions, not theirpersonality; a hot stove doesnt hold grudges, doesnt try to humiliatepeople, and doesnt accept excuses.

A reprimand should be consistently applied; a hot stove burns anyone

who touches it, and it does so every time. A reprimand should be informative; a hot stove lets a person know

what to do to avoid getting burned in the futureDont touch.

A reprimand should occur in a supportive setting; a hot stove conveyswarmth but also operates with an inflexible ruleDont touch.

A reprimand should support realistic rules; the dont-touch-a-hot-stoverule isnt a power play, a whim, or an emotion of the moment; it is a

necessary rule of reason.


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Employee Discipline

Systems Discipline:

The act of influencing behavior through

reprimand.

Progressive Discipline:

Ties reprimands to the severity and frequency

of misbehavior.


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DollarCosts &

Revenues

Unit Sales

Fixed Costs

Variable Costs

Total Costs =

Fixed+Variable

Total Sales

Revenue

Break-even Point

Revenues = Costs

Loss

Profit

Break-Even Analysis


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Review Questions

How do managers plan?What types of plans do managers

use?

What are the useful planning tools

and techniques?What is the control process?

What are the common organizationalcontrols?

planing and controlling

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