Organizational planning is a process of making decisions on the steps necessary to reach set goals. It is a group effort including a company’s management and CEO’s to consider every idea and weigh pros and cons and introduce possible obstacles. The goals set by an organization are realistic goals, only if the plans are in place to reach those goals. There are three different planning processes that can be used when considering the desired outcome.
Strategic planning is best used when decisions are being made about the oranizations long term goals or strategies. Strategic plans usually include increasing market share, increasing productivity, and any or every area in which profitability can be raised. High corporate officials within an organization usually approve the actions included in this type planning.
As stated in the text, University of Phoenix Management Theory, effective strategic planning provides a basis for answering five broad questions about how the objectives are met. (1) Where will we be active? (2) How will we get there? Asking such as, will we increase sells or acquire another company. (3) How will we win in the marketplace? Asking such as, by keeping prices low or offering the best service. (4) How fast will we move and in what sequence will we make changes? (5) How will we obtain financial returns (low cost or premium prices)?
Tactical and operational planning are then ready to be set in action. Tactical planning is when broad strategic goals and plans into specific goals that are relevant to a particular area or department of the organization. Units will focus on actions that must be completed in order to make sure the goals set in strategic plan are obtainable.
Operational planning is the part of the planning process that is carried out by the frontline workers. The managers and workers that perform the daily production tasks. This level of the organization is in many ways the most important...