2. Determining the future course of action

3.  Process
 Forward looking
 Pervasive-at all levels

4.  Long term vs Short term

5.  Objectives
 Planning premises
 Alternatives
 Evaluating alternatives
 Choice of alternatives
 Supporting plans
 Establishing sequence of activities

6. Commitment to a particular course of action
believed necessary to achieve specific results

7.  Standing - policies, rules, objectives
 Single use – budget, targets

8. Long term vision of what organization seeks to
do and why does it exist.
Focus is external

9. End results towards which activities are aimed
Good objectives should have SMART features:
S- specific
M-measurable
A- achievable
R-realistic
T-time bound
Management by Objectives (MBO)

10. Strategies are complex plans for bringing
organizations from one position to other in
future period (determined in light of external
environment)
Policies are general statements which provide
guidance in decision making

11. -Series of related tasks
-Establish a method for handling activities
Policies provide direction, procedure tell how
to do

12.  Based on facts
 Stability
 Flexibility
 Minimum in number

13.  Prescribed guidelines for conduct, action.

14.  Planned actions integrated into unity,
designed to bring about stated objective

15.  Corporate - top management
 Tactical - middle management
 Operational – lower management

16.  List your five most important personal
objectives? Are they long term or short term?
 Are the objectives verifiable?

17. Method Advantages Disadvanta
ges
Estimation People in position estimate the
number of people the firm will
require in the next yr.
Incorporates
knowledge of
corporate plans in
making estimates
May be
subjective
Expert opinion Panel of experts forecast HR requirements for particular future
business scenarios. For this method, there may be a single expert, or
estimates of several experts may be pooled together
Delphi Experts go through several
rounds of estimates with
no face-to-face meeting
Incorporates future
plans & knowledge of
experts related to
mkt., industry &
technical
development
Subjective, time
consuming &
may ignore data
Group brainstorming Face-to-face discussion
based on multiple
assumptions about future
business direction
Generates lot of
ideas
Does not lead to
conclusion
Nominal group
technique
Face-to-face discussion Group exchanges
facilitate plans
Subjective which
may ignore data
Simple averaging Simple averaging of
viewpoints
Diverse view points
taken
Extremes views
are masked when
averaged 17

18. Method Advantages Disadvantages
Trend
analysis
&
projectio
n
Based on past relationship between a business factor related to
employment & employment level itself
Simple
long-run
trend
analysis
Extrapolates past
relationship between
volume of business activity
& employment levels into
the future
Recognizes linkage
between employment
& business activity
Assumes that
volume of business
activity of firm for
forecast period will
continue at same
rate as previous yrs
Ignores multiplicity
of factors
influencing
employment levels
Regressi
on
analysis
Regresses employment
needs onto key variables
Data driven
Uses multiple business
factors
Difficult to use &
apply
18

19.  A decision is an act of choice by which an
individual or organization selects one
position or action from several alternatives

20.  Strategic decisions
 Tactical decisions

21.  Specific objectives
 Identification of problems: diagnosis, analysis
 Search for alternatives
 Evaluation of alternatives
 Choice
 Action
 Results

22.  Certainty
-using deterministic model
 Risk (information insufficient)
◦ -Priori probability (tossing coin)
◦ -Empirical probability
◦ -Subjective probability

23.  Uncertainty
◦ -maximax criterion
◦ -maximin criterion
◦ -Minimax criterion (minimising regret)
◦ -Insufficient reason criterion 9equal probability is
assigned to each event)

24.  Operations Research
 Decision Tree
 Game Theory
 Queuing Theory