Traditional Management:

Five Functions

Setting Objectives & Planning

A Key Managerial Task

Vadim Kotelnikov personal logo Vadim Kotelnikov

Founder, Ten3 Business e-Coach Happiness, Achievement, Inspiration, and Innovation unlimited!

"If you don't know where you're going, then sure as anything you won't get there."

The Starting Point in Setting Objectives

Assess Yourself

  1. Who am I?

  2. What are my strengths?

  3. How do I work?

  4. Where do I belong?

  5. What is my contribution?

Assess Your Unit

  1. What is its role?

  2. What are its resources?

  3. How does it function?

  4. What is my function within it?

  5. What are the functions of others?

Effective Objectives are:

 

SMART Objectives

  • Specific

  • Measurable - that can quantify the results

  • Achievable

  • Relevant

  • Time bounded - are governed by deadlines

Tips for Making Your Vision a Reality

 

The Planning Process

  1. Strategic planning

    • Setting goals

  2. Operational planning

    • Defining objectives

    • Designing the organization

    • Assigning responsibilities

    • Allocating resources

    • Designing organizational controls

Corporate Vision, Mission Statement, and Goals

Creating a Company Vision

Strategic Intent

Launching a Crusade

Developing a Technological Vision

4 Stages To Successful Delegation

Strategic Management

Management by Objectives (MBO)

MBO: Setting Objectives

Mastering Corporate Strategy

Strategic Programming

Strategic Thinking

Strategy Innovation

Results-Based Leadership

Tips for Making the Vision a Reality

Business Planning

Strategic Planning

Setting Goals

The major outcome of strategic road-mapping and strategic planning, after gathering all necessary information, is the setting of goals for the organization based on its vision and mission statement.

Results-based Leadership

A goal is a long-range aim for a specific period. It must be specific and realistic. Long-range goals set through strategic planning are translated into activities that will ensure reaching the goal through operational planning.

Surprise To Win: 3 Strategies

Setting Objectives

An objective is a specific step, a milestone, which enables you to accomplish a goal. Setting objectives involves a continuous process of research and decision-making. Knowledge of yourself and your unit is a vital starting point in setting objectives.

2 Basic Business Growth Strategies

Strategic planning takes place at the highest levels; other managers are involved with operational planning. The first step in operational planning is defining objectives the result expected by the end of the budget (or other designated) cycle.

Jack Welch's 5 Strategic Questions

Setting right objectives is critical for effective performance management. Such objectives as higher profits, shareholder value, customer satisfaction may be admirable, but they don't tell managers what to do. "They fail to specify priorities and focus. Such objectives don't map the journey ahead - the discovery of better value and solutions for the customer."6

3 Strategies of Market Leaders

The objectives must be:

  • be focused on a result, not an activity

  • be consistent

  • be specific

  • be measurable

  • be related to time

  • be attainable

MBO: Setting Objectives

In Management by Objective (MBO) systems, objectives are written down for each level of the organization, and individuals are given specific aims and targets.

Managers need to identify and set objectives both for themselves, their units, and their organizations. Ensure that you set the right objectives if you want to achieve the right results... More

Applying Feedback Analysis

Undertake a feedback analysis to compare actual results with expectations. Whenever you take a decision or action, write down what you expect to happen. Review results at regular intervals, and compare them with expectations. Use this feedback analysis as a guide to reinforce strengths and eliminate weaknesses as well as for the next round of setting objectives.

 Case in Point  New Approach at General Electric (GE)

Running the mighty GE enterprise, with its twelve major businesses, Jack Welch didn't seem like a traditional manager. He seemed more like a superleader. He abandoned the old practice of setting goals for GE's business leaders. "Now, we don't reward them according to whether or not they reach their objectives. They're all going to get paid on their improvement, and they know that. In bureaucratic companies, they waste a lot of time on making budgets. They waste energy. The world is changing quickly. We can't afford to waste time in bureaucracy. GE is an informal company. We trust each other."4... More

 Case in Point  Canon

At Canon, a Model Workshop means a workshop where:

  • Individual roles and goals are clearly defined... More

 Case in Point  Fidelity Investments

At Fidelity Investments commitment to Kaizen (a continuous improvement strategy) is reflected in its performance management and compensation systems. Each fall, Fidelity companies establish business goals for the coming business year. These goals are tiered through the company's various divisions down to the individual manager level. Many of these goals are focused on improvements in existing products or processes... More

 

 

References:

  1.  The Practice of Management, by Peter Drucker

  2. Management: Tasks, Responsibilities, Practices, Peter Drucker

  3. The Frontiers of Management : Where Tomorrow's Decisions Are Being Shaped Today, by Peter Drucker

  4. "The Power of TQ", ThinkTQ.com

  5. Turning Your Business Around. Mark Blayney

  6. Customer Intimacy, Fred Wiersema