Management Plan Types and Steps for Developing a Mission Statement

Posted on Oct 15, 2024 in Economy

Management Plan Types

Projects or Purposes

Objectives or Goals

These terms are used interchangeably in this work and represent the ends toward which activity is directed.

Strategies

During military strategies, the word was used to refer to the plans of what is believed that an enemy might do or not, but the last has a competitive involvement. Managers increasingly use it to reflect broad areas of running a business. Strategy is defined as the method of determining the core long-term objectives of a company.

Policies

Plans could also be considered policies because they are general statements or understandings which guide or channel thinking in making decisions. Not all policies are statements.

Policies and Market Leadership

Michael Treacy and Fred Wiersema suggest that market leaders must excel in at least one of the three disciplines of operational leadership:

  1. Product
  2. Lead
  3. Closeness to the customer

Operational Excellence

Operational excellence means providing a good product or service at a low cost.

Leadership in the Product

Leadership in the product can be illustrated by carriers with a flow of new products more quickly than their competitors.

Proximity to Customers

Proximity to customers requires being close to the client and learning about their goals and needs.

Procedures

These are plans which provide a method of handling necessary for future activities. They are chronological sequences of required actions and are guides to action to think and chew the precise details of how to perform certain activities. For example, University Western Case outlines three steps to its assessment process:

  1. Set performance targets
  2. Perform a mid-year evaluation of targets
  3. Analyze performance at the end of the period

Rules

Rules set out specific actions or inaction required of which there are no deviations allowed. This type of plan is usually simple.

International Perspective: Procedures and Rules Imposed from Outside

Sometimes the rules and procedures are established because of bad publicity. General Dynamics, a major defense contractor in the U.S., was accused by inDev procedures to avoid being suspended from participation in tenders defense contracts. The company had to accept a list of rules and procedures imposed by the Department of Defense U.S.

These new requirements are designed to prevent the change of costs from one contract to another.

Smoking is the rule that allows no deviation from a course of action established. A rule is intended to reflect a management decision that a certain action should or should not be followed.

Programs

Software is a complex of goals, policies, procedures, rules, assignments, steps to use resources, and other elements necessary for a particular course of action. They are usually supported by a designated budget.

Budgets

A budget is a report of expected results as expressed in numerical terms. It can be called a plan actually quantified. The financial operating budget is often a profit plan.

Planning Steps

Be Aware of Opportunities

Although it must be real planning and therefore not strictly a part of the planning process, perceived opportunities in the external environment as well as inside the organization are the true starting point for planning.

Set Objectives

The second step in planning is to set targets for the whole company and then for each subordinate unit of work that could be done for the long term and for the short term. The objectives specify the expected results and indicate the end point of what should be done and where primary interest should be placed.

Mission or Purpose

It identifies the basic purpose, function, or duties of a company or agency or any part thereof. Any kind of organization is, or at least should have, a mission or purpose if they have felt one. In every social business, there must be a basic function or task that is assigned by society.

An example of a business purpose is the production and distribution of goods and services.

International Perspective: Mission Credit Afinanciador

  • Be the leader in providing service with strong reinforcement to ensure compliance with the obligations between individuals or those with the government. Always deserve the full trust of employees, shareholders, intermediaries, and customers.
  • Meet the needs of our customers through professional management products with quality products and timely service.

Its basic mission or task is to be a credit provider (afinanciador) that achieves customer performance needs and rewards the trust that shareholders have placed on managers. It aims to achieve support in the administration and the quality of their products and services as essential.

Perspective, Development of Mission Statements

The philosophy and vision of an organization are in a mission statement. Basically, it is to develop the following points:

  • Core values
  • Address
  • Geographical relations with those involved in it
  • Vision of the future

The Steps for Developing a Mission Statement Are as Follows but Can Vary:

  1. Evaluation of past and present profile of the company
  2. Contributions of participants in the company about the future direction
  3. Consensus of opposing needs of stakeholders (shareholders, creditors, administrators)
  4. Development of a mission statement describing the general direction of the organization’s values and philosophy, geographical scope, and its contribution to society
  5. Discussion of the mission statement with stakeholders, managers, and employees; necessary adjustments
  6. Communication of the mission statement to all those who must know and exposure of their applications for the strategic direction of the organization.

The Synergy Concept

The synergy concept can be expressed simply in that 2 + 2 equals 5 or more. The whole is greater than the sum of its parts.