This PPT will help students to get the basic ideas of Planning and Decision making in Management process.

1. Management:
Planning and Decision making
Amrita Sutradhar
Lecturer
Department of Pharmacy
Southeast University

2. What is goal?
Goal is a set of targets an organization wants to achieve.
Types of Goal:
 Strategic goal: These goals are set by and for top
management of the organization. They focus on
broad, general issues.
 Tactical goal: These goals are set by and for middle
managers. Their focus is on how to operationalize
actions necessary to achieve the strategic goals.
 Operational goal: These goals are set by and for
lower-level managers. Their concern is with shorter-
term issues associated with the tactical goals.

3. Purposes of goal:
 Goals provide guidance and a unified direction for people
in the organization. Goals can help everyone understand
where the organization is going and why getting there is
important.
 Goal-setting practices strongly affect other aspects of
planning. Effective goal setting promotes good planning
and good planning facilitates future goal setting.
 Goals can serve as a source of motivation for employees
of the organization. Goals that are specific and moderately
difficult can motivate people to work harder, especially if
attaining the goal is likely to result in rewards.
 Goals provide an effective mechanism for evaluation and
control.

4. What is Planning?
Planning is a set of activities required to achieve
organizational goals.
Types of planning:
 Strategic plan is a general plan outlining decisions of
resource allocation, priorities and action steps necessary
to reach strategic goals.
 Tactical plan is aimed at achieving tactical goals and is
developed to implement specific parts of a strategic plan.
These plans are concerned more with actually getting
things done than with deciding what to do.
 Operational plan focuses on carrying out tactical plans
to achieve operational goals. Each one deals with a fairly
small set of activities.

5. Types of Operational plans:
The two most basic forms of operational plans are –
1. Single use plan:
A single-use plan is developed to carry out a course of action that
is not likely to be repeated in the future.
 Program: A single-use plan for a large set of activities.
 Project: A single-use plan of less scope and complexity
than a program.
2. Standing plan:
Standing plan is used for activities that recur regularly over a
period of time.
 Policy
 Standard Operating Procedure (SOP)
 Rules and regulations.

6. What is Contingency planning?
Contingency planning is the determination of alternative
courses of action to be taken if an intended plan of action
is unexpectedly disrupted or rendered inappropriate.
What is Crisis management?
Crisis management is the set of procedures the
organization uses in the event of a disaster or other
unexpected calamity.

7. Barriers to goal setting and planning:
 Inappropriate goal
 Improper reward system
 Dynamic and complex environment of the
organization
 Reluctance of manager to establish goal
 Resistance to change
 Constraints include a lack of resources, government
restrictions and strong competition.
Overcoming barriers:
 Understanding the purpose of goals and planning
 Communication and participation
 Goals should be consistent both horizontally and
vertically
 Effective reward system

8. What is SWOT analysis?
SWOT An acronym that stands for strengths, weaknesses,
opportunities and threats.
 Strength: A skill or capability that enables an
organization to conceive of and implement its strategies.
 Weakness: Skills and capabilities that do not enable an
organization to choose and implement strategies that
support its mission.
 Opportunity: An area in the environment that, if
exploited, may generate higher performance.
 Threat: An area in the environment that increases the
difficulty of an organization's achieving high
performance.

9. What is BCG matrix?
BCG matrix is a portfolio management technique of
evaluating businesses relative to the growth rate of their
market and the organization’s share of the market.
Stars
Question
Marks
Cash
CowsDogs
Relative Market Share
MarketGrowthRate

10. According to BCG matrix, portfolio can be classified into four
types –
 Dogs are businesses that have a very small share of a market
that is not expected to grow.
 Cash cows are businesses that have a large share of a market
that is not expected to grow substantially. These businesses
characteristically generate high profits that the organization
should use to support question marks and stars.
 Question marks are businesses that have only a small share of
a quickly growing market. The future performance of these
businesses is uncertain. Organizations should invest carefully
in question marks.
 Stars are businesses that have the largest share of a rapidly
growing market. Cash generated by cash cows should be
invested in stars to ensure their preeminent position.

11. Thank You