Planning involves setting goals and determining how to accomplish them. Key terms in planning include goals, objectives, and strategies. The planning process involves establishing goals, defining the present situation, identifying factors that help or hinder goals, and developing plans of action. Managers use strategic plans for long-term needs and operational plans to implement strategies. Control involves measuring performance, comparing results to standards, and taking corrective action if needed. Control systems help ensure the right things happen at the right time through feedforward, concurrent, and feedback controls.

1. Planning and Controlling

2. What is “Planning”? Planning is a process of… setting objectives and… determining how to accomplish them .

3. Key Terms used in Planning Goals comprise the org’s purposes statements in wider perspective. Objectives are goals expressed in concrete and measurable terms. Strategies often denote a general program of actions and an implied deployment of emphasis and resources to meet the comprehensive objectives.

4. How do managers plan? Steps in the planning process (Stoner/Wankel) Establish a goal or set of goals . What the org. wants or needs. Define the present situation. How far the org. from its goals. Available resources ? Identify the aids and barriers to the goals . What factors in the internal and external environments can help the org. reach its goals. Or, factors which might create problems ? Develop a plan or set of actions for reaching the goal(s): Strategic Plan and Operational Plan

5. Approaches to Planning Outside-in Opportunities Threats Inside-Out Strengths Weaknesses Top-Down Bottom-Up

6. SWOT Analysis The combined internal and external strategic analysis is referred to as a SWOT analysis. S trengths W eaknesses O pportunities T hreats

7. External Analysis Purpose of External Analysis To identify aspects of the external environment that represent either an opportunity for or a threat to the organization. Opportunities: Those environmental trends on which the organization can capitalize and improve its competitive position. Threats Conditions that jeopardize the organization’s ability to prosper and its competitive position in the long term.

8. External institutional analysis examples: Perception/image studies of prospective students, parents, counselors, and employers Price sensitivity studies of prospective students and parents Competition analyses Market share and trend analysis of college bound target populations using College Board’s EPS and ACT’s EIS Demographic projection analyses of high school graduates and other target populations such as adults Workforce demand projections Analyses of prospective student, parent, counselor, adult, and employer wants and needs, including academic programs

9. Internal Analysis Purpose of Internal Analysis To identify the assets, resources, skills, and processes that represent either strengths or weaknesses for the organization. Strengths Aspects of the organization’s operations that represent potential competitive advantages or distinctive competencies . Weaknesses Areas that are in need of improvement.

10. Internal institutional analysis examples include: Assessment of the relationship of enrollment and institutional fiscal health Enrollment and fiscal projection scenarios Analyses of student flows into academic majors and courses Academic program capacity and demand analyses Assessment of student satisfaction, engagement, and what is important Incoming characteristic profile of students who succeed of those who don’t succeed Price discount sensitivity studies of admitted students Graduating student outcome analyses

11. Classroom data informs instruction and tracks progress of individual students. School data tracks progress and informs school practices / policies / goals and objectives. District data tracks trends and informs district practices / policies / goals and objectives. Provincial data tracks trends over time and reveals patterns and systemic strengths and weaknesses. Educational MIS Classroom School / school community District/ community Provincial

12. Classroom Data Examples of classroom-based data include: BC Performance Standards Unit tests and quizzes Report card marks Teacher observations, checklists and notes Assessments developed by teacher, school or district Attendance information

13. School-Level Data Examples of school-level data include: Reading assessments School-wide writes Report card marks BC Performance Standards Behaviour & attendance information Satisfaction Surveys

14. District-Level Data Examples of district-level data include: District-wide assessments (reading, math, etc.) District-wide write Report card marks Participation rates Discipline & attendance records Demographic information

15. Provincial-Level Data Examples of Provincial-level data include: Ministry of Education Satisfaction Surveys Foundation Skills Assessment (FSA) Provincial Exams Dogwood Completion Rate Grade-to-grade transition rates

16. An Elementary Example

17. What types of plans do managers use? Strategic and operational plans Strategic plans — address long-term needs and set comprehensive action directions for an organization or subunit. Operational (tactical) plans — define what needs to be done in specific areas to implement strategic plans and achieve strategic objectives. Production plans Financial plans Facilities plans Marketing plans Human resources plans

18. The Operational Plans Standing Plans Policies: Gen. statements which guide thinking and decision making. Procedures: These detail the exact manner in which in which activities should done. Rules or procedures Plans that describe exactly what actions are to be taken in specific circumstances.

19. The Operational Plans (cont.) Single-use plans: Program A plan encompassing a relatively large undertaking.. Project A smaller and separate portion of a program. Budget A forecast of anticipated costs of a program..

20. What are the useful planning tools and techniques? Forecasting Making assumptions about what will happen in the future A forecast is a vision of the future Qualitative forecasting Quantitative forecasting All forecasts rely on human judgment

21. What are the useful planning tools and techniques? Scenario planning (sometimes known as “what-if analyses” and simulations) A long-term version of contingency planning Identifying alternative future scenarios Plans made for each future scenario Increases organization’s flexibility and preparation for future shocks

22. What are the useful planning tools and techniques? Benchmarking Use of external comparisons to better evaluate one’s current performance Identify possible actions for the future Incorporate successful ideas into one’s own organization Compare against: self, others, and/or ideals

23. Controlling

24. What is the control process? Controlling The process of measuring performance and taking action to ensure desired results. Has a positive and necessary role in the management process. Ensures that the right things happen, in the right way, at the right time.

25. What is the control process? Steps in the control process Step 1 —e stablish objectives and standards Step 2 —m easure actual performance Step 3 —c ompare results with objectives and standards Step 4 —t ake corrective action as needed

26. Figure 8-4 Four steps in management control. Schermerhorn/Management, 7e Chapter 8, Figure 07-04

27. What is the control process? Step 1 —e stablishing objectives and standards Output standards Measure performance results in terms of quantity, quality, cost, or time. Input standards Measure effort in terms of amount of work expended in task performance.

28. What is the control process? Step 2 —m easuring actual performance Goal is accurate measurement of actual results on output and/or input standards. Effective control requires measurement.

29. What is the control process? Step 3 —c omparing results with objectives and standards Control equation Need for action reflects the difference between desired performance and actual performance

30. What is the control process? Step 3 —c omparing results with objectives and standards Methods of comparing desired and actual performance Historical comparison Relative comparison Engineering comparison Benchmarking using different comparison methods

31. What is the control process? Step 4 —t aking corrective action Taking action when a discrepancy exists between desired and actual performance. Management by exception Giving priority attention to situations showing the greatest need for action. Types of exceptions Problem situation Opportunity situation

32. What is the control process? Feedforward controls … Employed before a work activity begins. Ensures that: Objectives are clear. Proper directions are established. Right resources are available. Focuses on quality of resources.

33. What is the control process? Concurrent controls … Focus on what happens during work process. Monitor ongoing operations to make sure they are being done according to plan. Can reduce waste in unacceptable finished products or services.

34. What is the control process? Feedback controls … Take place after work is completed. Focus on quality of end results. Provide useful information for improving future operations.

35. Figure 8-5 Feedforward, concurrent, and feedback controls in the management process. Schermerhorn/Management, 7e Chapter 8, Figure 07-05

36. Processing to support operational control. Files Transaction processing Operational control reports (b) Control reports Transaction output Transactions Files Transaction processing (a) Transaction Inquiry response Operational report processing Inquiry Files (c) Inquiry Processing

37. Figure:6.4:- Management Control database and processing support Database Inquiry Processing Decision models Problem analysis model Variance reporting Planning/budget models Requests inquiries problems Etc Plans and budgets Scheduled reports, Special reports Analyses decision for review inquiry responses Other Budgets, standards, plans. etc Transaction based files

38. Figure 8-1 The roles of planning and controlling in the management process. Schermerhorn/Management, 7e Chapter 8, Figure 07-01

39. Figure 8-3 How participation and involvement help build commitments to plans. Schermerhorn/Management, 7e Chapter 8, Figure 07-03

40. The End

41. What control systems are used in organizations? Important financial aspects of organizational performance … Liquidity The ability to generate cash to pay bills. Leverage The ability to earn more in returns than the cost of debt. Asset management The ability to use resources efficiently and operate at minimum cost. Profitability The ability to earn revenues greater than costs.

42. What control systems are used in organizations? Purchasing control … A productivity tool Trends in purchasing control: Leveraging buying power Committing to a small number of suppliers Working together in supplier-purchaser partnerships

43. What control systems are used in organizations? Inventory control Goal is to ensure that inventory is just the right size to meet performance needs, thus minimizing the cost. Methods of inventory control: Economic order quantity Just-in-time scheduling

44. What control systems are used in organizations? Statistical quality control Quality control involves checking processes, materials, products, and services to ensure that they meet high standards. Statistical quality control involves: Taking samples of work. Measuring quality in the samples. Determining the acceptability of results.

45. HOW TO CONTROL QUALITY QUALITY IN : People Resources QUALITY OUT: Products Services QUALITY OPERATIONS: Activities & Processes Q

46. QUOTE OF THE DAY What gets measured happens! WRONG! You must manage even what you can’t measure

47. How do managers plan? Benefits of planning Improves focus and flexibility Improves action orientation Improves coordination Improves time management Improves control

48. What are the useful planning tools and techniques? Contingency planning Identifying alternative courses of action that can be used if and when original plan proves inadequate. Early identification of possible shifts in future events. Forward thinking … Using devil’s advocate method Developing worst case scenarios

49. What are the useful planning tools and techniques? Use of staff planners Lead and coordinate the planning function Responsibilities include: Assisting line managers in preparing plans. Developing special plans. Gathering and maintaining planning information. Assisting in communicating plans. Monitoring plans in progress and suggesting changes.

50. What are the useful planning tools and techniques? Participation and involvement Participatory planning requires that the planning process include people who will be affected by the plans and/or will help implement them. Benefits of participation and involvement: Promotes creativity in planning. Increases available information. Fosters understanding, acceptance, and commitment to the final plan.

51. What types of plans do managers use? Short-range and long-range plans Short-range plans = 1 year or less Intermediate-range plans = 1 to 2 years Long-range plans = 3 or more years People vary in their capability to deal effectively with different time horizons. Higher management levels are supposed to focus on longer time horizons.

52. How do managers plan? Planning The process of setting objectives and determining how to best accomplish them. Objectives Identify the specific results or desired outcomes that one intends to achieve. Plan A statement of action steps to be taken in order to accomplish the objectives.

53. Figure 8-2 A sample hierarchy of objectives for total quality management. Schermerhorn/Management, 7e Chapter 8, Figure 07-02

54. Table 4.2 Sample Issues in the General Environment Economic • Inflation rates • Unemployment rates • Wage rates • Exchange rates • Stock market fluctuations • Per capita income • GDP trends • Economic development Sociocultural • Norms and values • Demographic trends • Age groups • Regional shifts in population • Household composition • Diversity • Ecological awareness • Life expectancy Technological • Spending on research and development • Internet availability • Availability of information technology • Production technology trends • Productivity improvements • Telecommunications infrastructure Political–Legal • Tax laws • Environmental protection • International trade regulation • Antitrust regulation • Federal Reserve policy • Intellectual property and patent laws