Welcome to Seminar Three! MT-140 Class 3 Kym Chavez, MBA Kaplan University Th is is me !

Agenda General Questions and Announcements Introduction Planning Steps / Q & A Different Levels of Planning / Q & A SWOT Analysis Conclusion of Seminar

UNIT 2: Any questions?

# 5 Nag Grams and Late work… If you have late work, please send it in. Better some points then no points, right? You may receive a funny little reminder called a nag- gram- that is a free service I offer to make sure you turn in your assignments.

Unit 3 Objectives During this unit we will: 1.Identify the basic steps in any planning process. 2.Explain the relationship between strategic planning, tactical planning, and operational planning. 3.Interpret the elements of a basic SWOT analysis.

Key Concepts Planning is one of the four primary functions of management. Planning involves a systematic process of making decisions about goals and activities that will be carried out by individuals, groups, and the organization. Successful management depends on an accurate and thorough evaluation of the organization’s environment.

General Characteristics of Planning

The Planning Process Step 1: Analyze the Situation Situational Analysis: Step 1: Within the constraints of time and resources, gather, interpret and summarize all relevant information of the issue or problem at hand. Step 2: Examine past events, current conditions, and try to forecast future trends. Step 3: Within the context of the business as an open system, apply the analysis to the unit in question. Step 4: Examine the issue or problem within the context of the different environmental situations (External and Internal). Step 5: Produce an outcome that identifies and examines the assumptions, problems, and issues.

The Planning Process Step 2: Generate Alternative Goals and Plans Goals: The end the result the manager seeks. These must be: -Specific -Measurable -Attainable -Relevant -Time-bound -EXAMPLES????

The Planning Process Step 2. Generate Alternative Goals and Plans (Continued) Plans: Specific actions or means the manager will use to achieve the goals. These may be: -Single-use Plans -Standing Plans -Contingency Plans -What are the differences? What are some specific examples from your workplace?

Step 4. Select Goals and Plans Step 3. Evaluate Goals and Plans -What might be a good example of a management goal? Remember we want it to be: - Specific -Measurable -Attainable -Relevant -Time-bound

The Planning Process Step 5: Implement the Goals and Plans Proper implementation is key to success. Good implementations assure that: -All managers and employees understand the goals and plans and their roles in the implementation -Managers and employees are sufficiently motivated to make it work -Correctly linked to other systems and parts of the organization.

The Planning Process Step 6: Monitor and Control Performance Proper monitoring and control is essential for successful implementation. Actual performance of the new plans and goals must be measured against standards of expected performance. Corrective action must be taken to ensure performance or the measurement criteria must be readjusted. You may have noticed by now that the steps in the Planning Process look very much like POLC!

Levels of Planning and Goals Strategic Goals: Major long-term targets or results relating to the firm’s long-term survival, value, and growth. These are set by the firm’s highest level of management. Strategic Plans: Action plans to support the strategic goals. These usually cover the entire firm and are implemented by top management.

Levels of Planning and Goals Continued Tactical Planning: Translates the broad strategic goals and plans into specific goals and plans usually for a specific area of the firm such as department or division. These often involve middle level management and are not as long-range as the strategic goals and plans.

Levels of Planning and Goals Continued Operational Planning: Shorter-range plans that address specific procedures and processes to ensure success of the tactical goals and plans and in turn, success of the strategic goals and plans. This usually occurs at lower levels of the organization and often involves first-level managers (supervisors). All levels of planning must be consistent and in agreement to be successful! It is a hierarchical process!

Scenario: Your boss has just informed you that he wants you to create an emergency evaluation plan for the coffee shop that you and 5 shift workers staff. You work 8 hr, shifts – two at a time from 7am-3pm and 3pm -11pm. You sell coffee, pastry in a refrigerated dairy case as well as mugs, candy and some miscellaneous gift items. You have 2 industrial coffee pots as well as an on=site industrial coffee grinder and roaster. There is a front door and a back door. There are two extinguishers in the back room and the security gate at the front entrance comes down automatically if the sprinkler system goes on. Where shall you start? What kind of plan is your boss asking for? Start an outline here …

SWOT Analysis The SWOT Analysis is a useful strategic planning tool. It allows the user to visualize the strengths, weaknesses, opportunities and threats facing the business. Strengths and Weaknesses: Refer to internal resources of the firm; what the firm does especially well and in what areas the firm is weaker. Opportunities and Threats: Refer to those elements in the macro environment and the competitive environment that could represent a competitive opportunity or pose a competitive risk for the firm.

SWOT Analysis Illustrated: InternalStrengths:Weaknesses: ExternalOpportunities:Threats:

Any questions? Slide 51

READING FOR UNIT 3: 1) READING: This week's required reading is from Chapter 4 in the Bateman and Snell text pp Click the Chapter 4 icon above for an electronic version of Chapter 4. In this unit, you are introduced as part of your reading assignment to a business case study, Sandwich Blitz, Inc. which we will continue to consider at various times throughout this course.

Make sure to get background information on Sandwich Blitz since we will continue to discuss it.

DISCUSSION DISCUSSION: You are introduced as part of your reading assignment to the business case study, Sandwich Blitz, Inc. which we will continue to consider at various times throughout this course. Refer back to the description of the company and to your textbook reading on “Levels of Planning” which is on pp. 75–77. After completing the readings, in your judgment, what are some considerations that Jack and Jenny must have at each of the three levels (strategic, tactical, and operational) of planning for Sandwich Blitz, Inc?

ASSIGNMENT ASSIGNMENT: the emergence of two new franchise operations that offer food and beverages similar to that of Sandwich Blitz. Although these have not yet entered the Atlanta market, she feels that this is only a matter of time. The company has the resources to open two additional locations if good places in Atlanta can be found. The recent economic downturn has adversely affected the occupancy rates in the larger office parks that have historically been good locations for their shops. They could always look at other cities but have never considered this. Jack and Jenny are wondering if they expand again, should it be a small expansion or should they try something on a larger scale. After reading the scenario above and the readings in the text for Unit 3, what do you think are the strengths, weaknesses, opportunities, and threats (SWOT) that the business faces if Jack and Jenny commit to a large-scale expansion of their business? Be sure to identify at least one strength, one weakness, one opportunity, and one threat that apply to the scenario. Write your assessment in paragraph form, using Microsoft Word in at least 100 words. This should be free of spelling and punctuation errors.

EXAMPLE: Sandwich Blitz has many strengths. A strong one is they have strength in numbers already. The revenue from their eight stores is a major plus and if they choose locations to expand to with similar customer demographics to the existing stores then they should succeed in a large scale expansion. One huge weakness is their management staff. Jack and Jenny need to do a Human Resources Assessment and point out to their managers that this is what they are paid to do so that Jack and Jenny can get back to the business of running the business. Their managers have relied on Jack too long so he needs to fix this before it gets in the way of his long term expansion plans and he will have the time to focus on the things he should be doing. Opportunities here: Threats here:

Review- 25 points -Ok let’s review… # 28

Any questions? Slide 56

Next Week - Unit 4 ORGANIZING Slide 57

# 31 Parting Thoughts I have a switch in my apartment that doesn't do anything. Every once in a while I turn it on and off. One day I got a call from a guy in France who said, "Cut it out!" I replaced the headlights on my car with strobe lights. Now it looks like I'm the only one moving. I got my driver's license photo taken out of focus on purpose. Now when I get pulled over the cop looks at it (moving it nearer and farther, trying to see it clearly)... and says, "Here, you can go." I went to a general store, but they wouldn't let me buy anything specific. I turned my air conditioner the other way around, and it got cold out. The weatherman said, "I don't understand it. It was supposed to be 80 degrees out today." I said "Oops..." I put contact lenses in my dog's eyes. They had little pictures of cats on them. Then I took one out and he ran around in circles. I spilled Spot remover on my dog. Now he's gone. Have a great week!