1. Principles of
Management
Learning Session # 20
Dr. A. Rashid Kausar

2. Re-cap of
Session # 19

3. Planning and Decision Aids
Management Science Or
Operation Research
For ?

4. Planning and Decision Aids
Increasing Decision Effectiveness by using Mathematical, Statistical, & Qualitative Models.

5. Planning and Decision Aids
1.For Assessing Environment:
1.1 Environmental Scanning
1.2 Forecasting
1.3 Benchmarking

6. Planning and Decision Aids
2.For Allocating Resources:
2.1 Budgeting
2.2 Scheduling
2.3 Break even Analysis
2.4 Linear Programming

7. Planning and Decision Aids
3. Contemporary Planning Techniques:
3.1 Project Management
3.2 Scenarios Analysis

8. Planning and Decision Aids
1.For Assessing Environment:
1.1 Environmental Scanning; The screening of large amounts of information to anticipate and interpret changes in the environment.

9. Planning and Decision Aids
1.For Assessing Environment:
1.1.1 SWOT Analysis
Strengths
Weaknesses
Opportunities
Threats

10. Planning and Decision Aids
1.For Assessing Environment:
1.1.2 Competitive Intelligence; An activity that seeks to identify who are our competitors, what are they doing, and how their actions will affect our organization.

11. Planning and Decision Aids
1.For Assessing Environment:
1.2 Forecasting;

12. Planning and Decision Aids
1.2 FORECASTING
Process of making predictions about changing conditions and future events that may affect the business of an organization.

13. Planning and Decision Aids
1.2 FORECASTING
Methods are of
3 Types !

14. Planning and Decision Aids
1.2 FORECASTING
1.2.1 Quantitative
1.2.2 Qualitative or Technological
1.2.3 Judgmental

15. Planning and Decision Aids
1.2 FORECASTING
1.2.1 Quantitative Forecast relies on numerical data and mathematical models to predict future conditions.

16. Planning and Decision Aids
1.2 FORECASTING
1.2.1 Quantitative
Time Series Methods
Explanatory / Causal Methods

17. Planning and Decision Aids
1.2 FORECASTING
1.2.1 Quantitative
Time Series Methods
It uses historical data to forecast the future.

18. Planning and Decision Aids
1.2 FORECASTING
1.2.1 Quantitative
Explanatory / Causal Methods… focus on major variables
Regression, Econometric and Leading Indicators

19. Planning and Decision Aids
1.2 FORECASTING
1.2.2 Qualitative or Technological..
Aim to predict long term technology trends by relying on creativity, judgements and experts knowledge.(Delphi Analysis)

20. Planning and Decision Aids
1.2 FORECASTING
1.2.3 Judgmental
Relies on individual judgments or committee agreements about future conditions

21. Planning and Decision Aids
1.For Assessing Environment:
1.3 Benchmarking; The search for the best practices among competitors or non-competitors that lead to their superior performance.

22. Planning and Decision Aids
2.For Allocating Resources:
2.1 Budgeting
2.2 Scheduling
2.3 Break even Analysis
2.4 Linear Programming

23. Planning and Decision Aids
2. For Allocating Resources:
2.1 Budgeting; The Budget is a numerical plan for allocating resources to specific activities in a specific period.