Why Do Managers Plan?

Topics: Management, Enterprise resource planning, Strategic management Pages: 7 (2063 words) Published: January 22, 2012
Why do Managers Plan 1

Why do Managers Plan?

Management 301
Distance Learning

December 07, 2011
Why do Managers Plan 2

Why do Managers Plan?
Strategic Planning

This seems like a very cut and dry topic to discuss, but there is no single reason that a manager makes plans in the work environment. I will cover several areas in which managers use planning, and why it is an essential part of accomplishing tasks, and how it streamlines processes necessary for an organization to be successful. First, I will discuss strategic planning: strategic planning can also be referred to as “charting the course” for a business or organization. A central part of strategic management is performance measurement (Public Administration Review, December 2010). Unlike private sector business organizations, many government and public agencies have developed performance measurements without developing strategic plans. I think that this is primarily due to the infrastructure that is set in place in most government or public agencies, and the amount of red-tape that accompanies government ran agencies. Regarding the private sector, I believe that having a strategic plan to guide managers and leaders in the decision making process allows them to identify alternative steps or measures to take in the event that something in the business process changes that they have no direct control over. Managers who develop a strategic plan also are likely to recognize that the end result cannot be their only concern, but they identify milestones that must be met along the way, or during the process to use as a measurement tool to determine if they are making positive progress or if they need to examine “glitches” that will delay or have a negative impact on the business process. One tool to measure performance is a “Balanced Scorecard”. It is grounded in the idea that the measurement

Why do Managers Plan 3

of an organization’s performance ought to take into account the processes and resources needed to produce outcomes, as well as the outcomes themselves. In some ways, its emphasis on inputs and outputs is a step back in performance measurement, but that step is designed to help organizations fulfill the results promised. (Public Administration Review, December 2010). I believe that this is a vital step, if not the first step in planning that will help ensure a business or organization has a set path that will enhance their possibilities of success.

Knowledge Management in Organizational Planning is the next area that I want to discuss. When people talk about managers making plans for operations or processes in a business or organization it is likely that they are referring to plans that include forecasts. This type of planning is appropriate if the future of or in the business environment is stable; however, this is not always the case with many businesses because they face business environments that are complex and unstable (Knowledge Management in Organizational Planning, January 1987). With this being the case in most business environments today, the leadership of these businesses continue to pursue planning and forecasting tools and technology that will help them when they are developing strategic and organizational plans. Knowledge management might also be referred to as Management Information Systems (MIS). This is a computer program or...

References: Professional Article: Strategic Planning and Balanced Scorecards: Charting the Course to Policy Destination, Edward T. Jennings, Jr., University of Kentucky. Public Administration Review, dated: December 2010.
Professional Article: Knowledge Management in Organizational Planning, Lynda M. Applegate, Tsung Teng Chen, Benn R. Konsynski, and Jay F. Nunamaker, Jr. Twentieth Annual Hawaii International Conference on System Sciences, Honolulu, Dated: January 6-9,1987
Multiproject Planning and Resource Controls for Facility Management, E. William East and Liang Y. Liu, dated: December 2006.
Understanding the role of managerial agency in business benefits from ERP systems, Lorraine Staehr, La Trobe University, Dated: 2008.
Production planning model with simultaneous production of spare parts, P. Cyplik, L. Hadas, and M. Fertsch, Poznan University of Technology, Poznan, Poland, Dated: April 2009.
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