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Foundations of Planning Chapter 7
L E A R N I N G  O U T L I N E  Follow this Learning Outline as you read and study this chapter. ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
L E A R N I N G  O U T L I N E  (cont’d)  Follow this Learning Outline as you read and study this chapter. ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
L E A R N I N G  O U T L I N E  (cont’d)  Follow this Learning Outline as you read and study this chapter. ,[object Object],[object Object],[object Object]
What Is Planning? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Why Do Managers Plan? ,[object Object],[object Object],[object Object],[object Object],[object Object]
Planning and Performance ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
How Do Managers Plan? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Types of Goals ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Exhibit 7–1 Stated Goals of Large Global Companies Execute strategic roadmap—“Plan to Win.” Grow the business profitably. Identify and develop diverse talent. Promote balanced, active lifestyles. (McDonald’s Corporation) Continue to win market share globally. Focus on higher-value products. Reduce production costs. Lower purchasing costs. Integrate diversity. Gain ISO 14001 certification for all factories. (L’Oreal) Respect the environment. Respect and support family unity and national traditions. Promote community welfare. Continue implementing quality systems. Continue to be a strong cash generator. (Grupo Bimbo) Control inventory. Maintain industry’s lowest inventory shrinkage rate. Open 25–30 new locations in fiscal 2006. Live by the code of ethics every day. (Costco) Expand selection of competitively priced products. Manage inventory carefully. Continue to improve store format every few years. Operate 2,000 stores by the end of the decade. Continue gaining market share. (Target) Roll out newly-designed environmentally friendly cup in 2006. Open approximately 1,800 new stores globally in 2006. Attain net revenue growth of approximately 20 percent in 2006. Attain annual EPS growth of between 20 percent to 25 percent for the next 3 to 5 years. (Starbucks) Source:  Information from company’s  Annual Reports,  2004–2005.
Exhibit 7–2 Types of Plans
Types of Plans ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Types of Plans (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Exhibit 7–3 Specific Versus Directional Plans
Types of Plans (cont’d) ,[object Object],[object Object],[object Object],[object Object]
Establishing Goals and Developing Plans ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Exhibit 7–4 The Downside of Traditional Goal Setting
Establishing Goals and Developing Plans  (cont’d) ,[object Object],[object Object],[object Object],[object Object]
Establishing Goals and Developing Plans  (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Exhibit 7–5 Steps in a Typical MBO Program ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Does MBO Work? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Exhibit 7–6 Characteristics of Well-Designed Goals ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Steps in Goal Setting ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Developing Plans ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Exhibit 7–7 Planning in the Hierarchy of Organizations
Approaches to Planning ,[object Object],[object Object],[object Object],[object Object],[object Object]
Contemporary Issues in Planning ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Contemporary Issues in Planning (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Terms to Know ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

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Chapter 7 Foundations Of Planning Ppt07

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  • 10. Exhibit 7–1 Stated Goals of Large Global Companies Execute strategic roadmap—“Plan to Win.” Grow the business profitably. Identify and develop diverse talent. Promote balanced, active lifestyles. (McDonald’s Corporation) Continue to win market share globally. Focus on higher-value products. Reduce production costs. Lower purchasing costs. Integrate diversity. Gain ISO 14001 certification for all factories. (L’Oreal) Respect the environment. Respect and support family unity and national traditions. Promote community welfare. Continue implementing quality systems. Continue to be a strong cash generator. (Grupo Bimbo) Control inventory. Maintain industry’s lowest inventory shrinkage rate. Open 25–30 new locations in fiscal 2006. Live by the code of ethics every day. (Costco) Expand selection of competitively priced products. Manage inventory carefully. Continue to improve store format every few years. Operate 2,000 stores by the end of the decade. Continue gaining market share. (Target) Roll out newly-designed environmentally friendly cup in 2006. Open approximately 1,800 new stores globally in 2006. Attain net revenue growth of approximately 20 percent in 2006. Attain annual EPS growth of between 20 percent to 25 percent for the next 3 to 5 years. (Starbucks) Source: Information from company’s Annual Reports, 2004–2005.
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  • 14. Exhibit 7–3 Specific Versus Directional Plans
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  • 17. Exhibit 7–4 The Downside of Traditional Goal Setting
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  • 25. Exhibit 7–7 Planning in the Hierarchy of Organizations
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