Assignment 4
Principles of Management Melissa Cole 10/20/2014
Chapter 8
2. Discuss the contingency factors that affect planning.
Three contingency factors affect the choice of plans: organizational level, degree of environmental uncertainty, and length of future commitments.
Organizational Level – Lower-level managers do operational planning while upper-level managers do strategic planning.
Environmental Uncertainty – When uncertainty is high, plans should be specific, but flexible. Managers must be prepared to change of amend plans as they’re implemented. At times, they may even have to abandon the plans.
Length of Future Commitments – The last contingency factor also is related to the time frame of plans. The commitment concept says that plans should extend far enough to meet those commitments made when plans were developed. Planning for too long or too short a time is inefficient and ineffective.
4. If planning is so crucial, why do some managers choose not to do it? What would you tell these managers?
I am not sure why some managers do not plan. I was under the impression that all managers were required to plan because it is one of the managerial functions. I would probably tell a manager that did not plan why I felt like they should plan. Planning would provide direction, reduce uncertainty, minimize waste and redundancy, and establish goals or standards used in controlling. I would also reveal some of the things associated with formal planning like higher profits and a higher return on assets.
6. How might planning in a not-for-profit organization such as the American Cancer Society differ from planning in a for-profit organization such as Coca-Cola?
Businesses want to make a profit and not-for-profit organizations want to meet the needs of some constituent group(s). In a for-profit organization, planning would be based on organizational goals to make that profit, compete with competitors, and maintain a safe work environment. Whereas, planning for a not-for-profit
Chapter 8
2. Discuss the contingency factors that affect planning.
Three contingency factors affect the choice of plans: organizational level, degree of environmental uncertainty, and length of future commitments.
Organizational Level – Lower-level managers do operational planning while upper-level managers do strategic planning.
Environmental Uncertainty – When uncertainty is high, plans should be specific, but flexible. Managers must be prepared to change of amend plans as they’re implemented. At times, they may even have to abandon the plans.
Length of Future Commitments – The last contingency factor also is related to the time frame of plans. The commitment concept says that plans should extend far enough to meet those commitments made when plans were developed. Planning for too long or too short a time is inefficient and ineffective.
4. If planning is so crucial, why do some managers choose not to do it? What would you tell these managers?
I am not sure why some managers do not plan. I was under the impression that all managers were required to plan because it is one of the managerial functions. I would probably tell a manager that did not plan why I felt like they should plan. Planning would provide direction, reduce uncertainty, minimize waste and redundancy, and establish goals or standards used in controlling. I would also reveal some of the things associated with formal planning like higher profits and a higher return on assets.
6. How might planning in a not-for-profit organization such as the American Cancer Society differ from planning in a for-profit organization such as Coca-Cola?
Businesses want to make a profit and not-for-profit organizations want to meet the needs of some constituent group(s). In a for-profit organization, planning would be based on organizational goals to make that profit, compete with competitors, and maintain a safe work environment. Whereas, planning for a not-for-profit