Chapter 7 What is planning? 21/05/2018 Chapter 7 What is planning? Planning is all about establishing goals and then setting out policies or pathways to achieving them. This is the Title Slide © Edco 2012   It’s the Business R. DELANEY

The importance of planning 21/05/2018 The importance of planning Reduces uncertainty Provides greater unity Helps raise finance Facilitates change Improves control This is the Title and Content Slide © Edco 2012   It’s the Business R. DELANEY

Types of plans Strategic plans Operational plans Tactical plans 21/05/2018 Types of plans Strategic plans Tactical plans Operational plans Contingency plans This is the Section Header Slide © Edco 2012   It’s the Business R. DELANEY

Effective plans - SMART 21/05/2018 Effective plans - SMART Specific Measurable Agreed Realistic Timed This is a comparison slide © Edco 2012   It’s the Business R. DELANEY

Organisational structures 21/05/2018 Organisational structures Organisational structures set out the ways in which these resources and tasks will be divided. © Edco 2012   It’s the Business R. DELANEY

21/05/2018 What is organising? Organising is a management function which involves bringing people and capital resources together to achieve a common goal. © Edco 2012   It’s the Business R. DELANEY

Types of organisational structure 21/05/2018 Types of organisational structure Functional structure Product structure Geographic structure Matrix/team structure © Edco 2012   It’s the Business R. DELANEY

Functional structure © Edco 2012   It’s the Business

Product structure © Edco 2012   It’s the Business

Geographic structure © Edco 2012   It’s the Business

Matrix/team structure © Edco 2012   It’s the Business

21/05/2018 The chain of command The chain of command establishes the hierarchy in the business and shows how instructions flow through an organisation, from top to bottom. It illustrates how many levels (layers) of management are involved. © Edco 2012   It’s the Business R. DELANEY

21/05/2018 Span of control This illustrates the number of workers reporting directly to each manager. © Edco 2012   It’s the Business R. DELANEY

Where a manager has responsibility for a large number of subordinates 21/05/2018 Wide span of control Where a manager has responsibility for a large number of subordinates © Edco 2012   It’s the Business R. DELANEY

Where a manager has responsibility for a small group of employees. Narrow span of control Where a manager has responsibility for a small group of employees. © Edco 2012   It’s the Business

21/05/2018 What is controlling? This is about measuring performance and is carried out by comparing actual outcomes to plans, and taking corrective action if necessary. © Edco 2012   It’s the Business R. DELANEY

There are FOUR key areas which need to be controlled 21/05/2018 There are FOUR key areas which need to be controlled Stock control Quality control Credit control Financial control © Edco 2012   It’s the Business R. DELANEY