Posdcorb: Explain Planning Process / Steps in Planning Process
Posdcorb: Explain Planning Process / Steps in Planning Process
P Planning Planning is a bridge between present and future. Planning refers to the very basic function of management that is performed as a process for framing the future course of action. Planning involves answering to the questions as to what is to be done, by whom, how etc. Planning can show us as to what will be our future position and to achieve that position what will be the course of actions that we will have to undertake. O Organizing Organizing refers to the provisions that are to be made in line of our planning. We need to allocate all the resources in such a manner that properly organized activities are to be done in the direction of our organizational goals. S Staffing Staffing refers to the most important component of an organization People. This function helps us understand as to how many people are required, what quality of people is required in terms of their qualifications, experience, skills, etc and they are required in what number and to fill what position in our organization so that our organization can move in the direction to achieve the goals that are set. D Directing Proper planning, organizing and staffing now will have to be directed effectively so that our organization can get better results. This function fulfills the aspect of providing a torch bearer, a leader in form of a manager for people who are working for our organization who will take work from them in the direction towards our organizational goal. Co Coordinating All the activities that are decided upon are important and no activity should be left out. Moreover whatever is being done has to happen with due respect to the other activity that is happening in the organization so that all the activities & processes can be carried out smoothly hand in hand. R Reporting The activities that are being done or have already been done reports are prepared so that the manager can evaluate the reports for getting the idea as to whether the activities are going in the direction of organizational goals or not. Also these reports help the managers not only for assessing the current scenario of business but also for formulating future plans B Budgeting Budgeting is an effective controlling tool. A budget is an estimate of future needs covering all the activities of an organization for a given period of time. Budgeting is the function that will define our resources and their procurement.
Planning
Explain Planning Process / Steps in planning process 1. Establishing Objectives 2. Building Premises 3. Collection, classification and analysis of data 4. Determining alternative courses 5. Evaluating Alternatives 6. Selection of plan 7. Preparing derivative plan (sub plan) 8. Follow up Steps 1. 2. 3. 4. 5. 6. in decision making. / decision making process Define and analyze the problem. Evaluating problem by establishing criteria. Find options or alternatives. Select the best possible decision. Implement and evaluate the decision. Follow up and Control Page 1
Importance of Planning 1. It is a primary activity 2. Helps to offset uncertainty and change 3. To focus attention of objectives 4. to help in coordination 5. To help in control 6. to increase overall organizational effectiveness Limitations of Planning 1. Difficulty of accurate premising 2. Problems of rapid change 3. internal inflexibilities a. psychological Inflexibilities b. Policy and procedural Inflexibilities c. Capital Investment 4. External inflexibilities a. Political climate b. Trade unions c. Technological change 5. Time and cost factors 6. Failure of people in planning
Organizing
Organizing Process 1. Departmentation (Different departments are to be set as per requirement) 2. Linking the departments (based on sequence of their activities) 3. Defining authority and responsibility (Manager and nonmanager, managerial nonmanagerial) 4. Defining the authority relationships Factors affecting organizational structure Internal External Size Government Scale of operations Technology Strategy Unions Etc. Bases of Organizational Structure / Departmentation: 1. Function (marketing, finance, etc.) 2. Product (Product a, product b, etc.) 3. Geography (territory Gujarat, maharashtra etc different states of India) 4. Process (Process 1, Process 2) 5. Customer 6. Time (Shifts) 7. Based on name or codes (Names starting from A, etc)
Staffing
Manpower / HR planning process 1. Forecasting 2. Utilizing current manpower effectively 3. Trying to foresee the future problems that may come up relating to manpower 4. Planning corrective actions like recruitment etc. Selection Process 1. Screening of applications 2. selection tests to be conducted 3. interview 4. checking for reference 5. physical examination Page 2
6. approval by authorities 7. placement Type of selection Tests 1. Achievement 2. Intelligence 3. Personality 4. Aptitude 5. Interest Training Methods 1. On the job training 2. Job Instruction Training 3. demonstration 4. apprenticeship 5. coaching / understudy 6. Job Rotation 7. Lectures and conferences 8. syndicates 9. role playing 10. case studies 11. Management games etc. Transactional Analysis Three types of people in an organization child ego stage, parent ego stage & parent ego stage. Sources of Recruitment 1. External Sources a. Advertisements b. Employment exchanges i. Public employment agencies ii. Private employment agencies (job consultants, naukri.com, etc) c. Campus recruitment d. Deputation (bringing somebody from outside temporarily) e. Labor Unions 2. Internal Sources a. Employee Recommendation b. Gate Hiring c. Promotions d. Transfers Steps of the MBO process 1. It describes roles and the mission it means who is doing what task. 2. The key result areas needed to be defined. 3. Indicators of good performance. That means what is good performance and how that is going to be achieved. 4. To set objectives within specified time, cost, date, quality etc. 5. To establish task and process oriented action plans. 6. To monitor progress continuously from time to time so that, work is done properly. 7. There should be full communication among the employers and the employees on a regular basis so that, every move and task is known to everyone. 8. In MBO the micro level and the macro level both have to be taken into consideration so that, total coordination could be matched up in achieving the company goals. Page 3
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The objectives of the company should be finally linked up with the company mission so that, it always influences the employees while they are working to get the required level of the productivity which in tern would fulfill the corporate goal of the company.
Explain Scientific Management Principles a. Develop a scientific way for each element of an individuals work, which replaces the old rule-of-thumb method. b. Scientifically select and then train, teach, and develop the worker. c. Heartily cooperate with the workers so as to ensure that all work is done in accordance with the scientific way that has been developed. d. Divide work and responsibility almost equally between managers and workers. Managers take over all work for which it is better fitted than the workers.
Organizing Motivation
Motivation is the activation of goal-oriented behavior. A motive is an inner state that energizes, activates or moves and that directs behavior towards goals. Motivation is the complex forces starting and keeping a person at work in organization. Motivation is something that moves the person to action, and continues him in the course of action that has been initiated. Motivation is strongly linked with satisfaction. A person in an organization works because of some motive say for eg. his salary, but salary is not the sole motive why a person will continue working for your organization. Strong motives have to be put forward in the direction that satisfies both the organization and the employees. A manager has to identify as to what are the factors that motivate his / her employees. If any individual has some motive he has to satisfy it and for that he will carry out the related activity. A manager has to relate motives of an individual and the organization so that an individual works better at the workplace and aids in achievement of organizational goals. Motivation leads to the goal directed behavior and makes a person to work for achievement of that goal. In goal directed behavior a person first identifies his needs, which is followed by tension that develops goal directed behavior and if supported by supportive environment leads to goal fulfillment and need satisfaction. Motivation aids in better work performance. Characteristics Internal feeling Source of motivation is need Motivation changes as per the change in needs There are many factors that affect the motivation because of existence of many needs Motivation affects human behavior significantly Motivation differs from person to person Human needs can be classified into: Basic needs: Food, Water, shelter etc. Social Needs: To be in society, in a group etc. Sense of Ego: He must feel good about things around him Maslows Theory of Hierarchy of Needs Physiological needs: Food, Water, sleep Safety Needs: Job Security, safety etc. Social Needs: To be with people, in a group etc. Esteem Needs: need of achieving something more. Self Actualization: Need to satisfy oneself. Page 4
Communication
Communication means exchanging information among individuals working in any organization. Communication is a two way process and is goal oriented one. In an organization, goals, missions, visions, policies, procedures etc have to be clearly communicated to the employees. Employees must be aware about the expectation of the organization from them. Communication Process 1. Idea Generation Sender 2. Framing of Message (Encoding) Sender 3. Selection of media Sender 4. Message Transmission (here the sender least control on the message) 5. Receiving and understanding (decoding) Receiver 6. Feedback to be given (from receiver to sender) Characteristics Goal oriented activity 2 way process Internal process Continuous process Administrative process Pervasive Human process Importance Smooth running of the enterprise Maximum productivity Assists other functions Job Satisfaction Establishment of human relations Process 1. Clarifying the idea / problem 2. Proper channel / method 3. Sending Information 4. Understanding 5. Evaluation / Feedback Making communication effective / Measures for effective communication 1. Clarity in idea (to the point) 2. Purpose of Communication (it has to be clear) 3. Empathy in communication (should keep in mind the receiver) 4. Two way communication 5. Proper language (for better understanding) 6. Supporting words with action 7. Credibility in Communication (has to be reliable) 8. Good listening
Leadership
Leadership has been described as the process of social influence in which one person can enlist the aid and support of others in the accomplishment of a common task Leadership is one of the most relevant aspects of the organizational contexteffective leadership is the ability to successfully integrate and maximize available resources within the internal and external environment for the attainment of organizational or societal goals Types of Leaders Autocratic Leaders Under the autocratic leadership styles, all decision-making powers are centralized in the leader as shown such leaders are dictators. They do not entertain any suggestions or initiative from subordinates. The autocratic management has been successful as it provides strong motivation to the manger. It permits quick decisionmaking as only one person decides for the whole group, and keeps it to them until Page 5
they feel it is needed by the rest of the group. An autocratic leader does not trust anybody. Participative or Democratic Leaders The democratic leadership style favors decision-making by the group as shown, such as leader gives instruction after consulting the group. He can win the cooperation of his group and can motivate them effectively and positively. The decisions of the democratic leader are not unilateral as with the autocrat because they arise from consultation with the group members and participation by them. Free Rein Leaders A free rein leader does not lead, but leaves the group entirely to itself as shown; such a leader allows maximum freedom to subordinates. They are given a freehand in deciding their own policies and methods. Free rein leadership style is considered better than the authoritarian style. But it is not as effective as the democratic style. Skills of Manager Conceptual skills Human Skills Technical Skills
Bureaucratic Management
1. 2. 3. 4. 5. 6. Division of Labor Authority Hierarchy Formal Selection Formal Rules and Regulations Impersonality Career Orientation
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Controlling
Steps in Control Process
1. 2. 3. 4.
Establishment of Control Standards Measurement of Performance Comparing Actual performance with standard performance Correction of Deviations
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