TThe Manager as a MA A Planner and Strategist OThe McGraw-Hill Companies. Inc, 2000
Irwin/McGraw-Hill ©The McGraw-Hill Companies, Inc., 2000 7-1 The Manager as a Planner and Strategist 7
7-2 The Planning Process Planning is the process used by managers to identify and select goals and courses of action for the organization oThe organizational plan that results from the planning process details the goals to be attained .The pattern of decisions managers take to reach these goals is the organizations strategy " win/MeGraw-HHill CThe McGraw-Hill Companies, Inc, 2000
Irwin/McGraw-Hill ©The McGraw-Hill Companies, Inc., 2000 7-2 The Planning Process Planning is the process used by managers to identify and select goals and courses of action for the organization. ⚫The organizational plan that results from the planning process details the goals to be attained. ⚫The pattern of decisions managers take to reach these goals is the organization’s strategy
7-3 Three Stages of the Planning Process gure Determining the Organizations mission and goals (Define the business trategy formulation (Analyze current situation develop strategies) Strategy Implementation (Allocate resources responsibilities to achieve strategies) " win/MeGraw-HHill CThe McGraw-Hill Companies, Inc, 2000
Irwin/McGraw-Hill ©The McGraw-Hill Companies, Inc., 2000 7-3 Three Stages of the Planning Process Determining the Organization’s mission and goals (Define the business) Strategy formulation (Analyze current situation & develop strategies) Strategy Implementation (Allocate resources & responsibilities to achieve strategies) Figure 7.1
7-4 Planning Process Stages oOrganizational mission: defined in the mission statement which is a broad declaration of the overriding purpose. The mission statement identifies product, customers and how the firm differs from competitors o Formulating strategy managers analyze current situation and develop strategies needed to achieve the mission Implementing strategy: managers must decide how to allocate resources between groups to ensure the strategy is achieved " win/MeGraw-HHill CThe McGraw-Hill Companies, Inc, 2000
Irwin/McGraw-Hill ©The McGraw-Hill Companies, Inc., 2000 7-4 Planning Process Stages ⚫Organizational mission: defined in the mission statement which is a broad declaration of the overriding purpose. ◼ The mission statement identifies product, customers and how the firm differs from competitors. ⚫Formulating strategy: managers analyze current situation and develop strategies needed to achieve the mission. ⚫Implementing strategy: managers must decide how to allocate resources between groups to ensure the strategy is achieved
7-5 Levels of Planning Figure 7.2 Corporate Business Functional level plan level plan level plan Corporate 0a Divisional Functional mission goals goals 0a Setting Strategy Corporate- Business Functional- level strategy level strategy level strategy Formulation Design of Design of Design of Strategy Corporate Business-unit Functional Implementation Structure Structure Structure Control Control Control " win/MeGraw-HHill OThe McGraw-Hill Companies. Inc, 2000
Irwin/McGraw-Hill ©The McGraw-Hill Companies, Inc., 2000 7-5 Levels of Planning Strategy Implementation Corporate mission & goals Divisional goals Functional goals Corporatelevel strategy Businesslevel strategy Functionallevel strategy Design of Corporate Structure Control Design of Business-unit Structure Control Design of Functional Structure Control Goal Setting Strategy Formulation Corporatelevel Plan Businesslevel Plan Functional level Plan Figure 7.2