Organisations that Fail to Plan are in Essence Planning to Fail - Case Study Example

C C\O Mr. Virat seth C-12\ 191,Century Rayon Colony, Shahad, Distt. Thane Maharashtra Pin--421103 Tel: 09224423599 E-mail : mohan_mili@yahoo.co.in 9th May, 2007 Essay A- 4297 words essay By MILI MOHAN O.B.1 Organisations that fail to plan are in essence planning to fail. It all depends on the approach. In order to run an organisation a flexible network and interaction of information technology and people is mandatory. For eg. One organisation theorist has noted: “Organisation structure is more than boxes on a chart ; it is a pattern of interactions and co- ordination that links the technology, tasks, and human components of the organisation to ensure that the organisation accomplices its purposes.” (Luthans, p.107, Ninth Edition,2002). To safeguard the organisation system / plan there are mainly two approaches : the closed - system approach and the Open – system approach(Luthans,p.108,Ninth Edition,2002). Nowadays due to informal status in the organisations the open system approach precedes the closed system approach. In the open system approach the influence of external environment (social, legal, technological, economic, and political) plays a vital role. The open system consists of input- transformation- output. All these three parameters are interrelated and their survival without one would be difficult. Mainly every organisation has to have a set plan to acquire its goals. So, what is Planning? Planning is a time- table for action (Ganapathy et al , p.84,1993,). To cater to organisational planning there should be set goals. These goals can be attained through the process of planning , reviewing ,and monitoring.This is diagrammatically known as P-D-C-A circle (conceived by Frederic taylor and modified by Dr, Deming). by Frederic Taylor .The representation is as follows-: P- plan –a time table to do ; D-doing- Translating plan into action C-checking- verifying the activities against plan (where we are as compared to where we should be). A-action-corrective action (Ganapathy et al , p.84,1993). mf.. Mohan - O.B.2 This circle becomes easier to practice when it involves the 5W’s and one H (Imai, p.235, 1986.) Who,What, Where, When, Why , How. For example if an MNC wants to increase the production of cars by 25% in the coming year.The target is already decided that the no. of units of cars will be increased by 25%.A plan will be scheduled to meet the current requirement keeping in mind the present units of cars ,a data has to be presented for the exact number of cars to be produced next year. The plan will now be implemented and simultaneous monitoring of the tasks and the deadline will be met meanwhile the drawbacks will be handled accordingly ,to bring out the desired results.Finally corrective action will be taken to achieve the target.This is the base of planning a particular task. In the above mentioned context the action can only be taken when the plan inculcates these questions :-Who all from the work force and the management are going to participate in the project? What does the plan say? Where or which place the project is to be carried out? When is the project going to start? Why is the MNC (or other organisation) carrying out the project? lastly, How, successful the completion of the project was ? An organisation plan can be successful and well worked if the employee performance (Luthans, p.537,Ninth Edition,2002) is developed.A constant check and rewards with the employees enhances the overall quality of the workforce and this promotes continuous learning (google .com-Sarasam ,Performance management in Human Resources; Performance Management Practitioner Series ; United States Office of Personal management) and professional growth . There appears a broader picture for jobs , career related skills, knowledge and experience. It enables employees to get acquainted with the changes in their fields. mf.. Mohan-O.B.3 Performance appraisal brings in affirmative action objectives and proves motivating for the employees. For the smooth functioning of an organization its culture (Luthans,p.122, ninth edition,2002) and design play a pivotal role.These also contribute for the organizations well being .When a person joins a particular organisation, he brings along some values and beliefs but at times these are not sufficient and the employee has to learn from the organization for his progress.An organisation’s culture can be reflected in its employees.Suppose a company has a dress code for the employees this will be perceived as a formal and a professional organization which has certain norms, values, beliefs .Such companies have fixed work timings wherein the productivity of the employee is targeted for a 9.a.m. -5.00 p.m. job. On the contrast , lets take the example of advertising agencies say Hindustan Thompson associates (New Delhi,India, I have worked with it).Here none of the employees have a dress code (of course not a criteria) but certainly there are standards of behaviour ,there is a sporting climate, the employees talk freely taking names irrespective of the age gap, everytime is an eating time.The interaction amongst the employees is very happy and all are treated on the same level.I want to express that there are variations in the culture from organisation to organisation.Similarly, there is no comparison of cultures in an IT industry and a traditional organisation.If a traditional organisation tries to imitate the IT industry culture it will not be at par and as a result hamper organisation’s work.Every employee has a different way of working and also the perception of the values of the company differ from person to person. Organisations which do practice a certain culture in their plan, likely fail in the market and face no competition . mf.. Mohan-O.B.4 The employees of such (even big) companies are also at ease and on a low productivity scale . They know they are getting the salary and the company pays no heed to the internal culture and environment. Transparency acts in the smooth functioning of an organisation ,and is also an ingredient of an organisational plan.It results in a positive outcome. For this the employer should be clear enough with the norms of the company . The company brief at the time of the interview should state the company’s work style and culture. The recruitments should be made to have a certain purpose in the mind of the employer. The educational qualification of the employee should be utilised for better productivity so that the employee never feels frustrated with the assigned job. It is often seen that equal participation of each employee lacks in various departments .In order to check this the senior management should delegate work to the juniors and monitor progress. This will bring positive results for the company and satisfaction to the employees.There should not be a one man show and the base should be briefed when a new employee joins, so that he knows what is going on in the department.Fragmented knowledge given by the seniors is of no use for anew comer.Transparency works only when there is no hide and seek for the documents.There are employees who would not like to share professional documents as there is a threat that their value and stability will not remain intact. In order to avoid such behaviour senior management should have a vigilant eye on all its juniors working under him and he should be open- minded in his approach. mf.. Mohan- O.B.5 Design (Luthans, p.115, ninth edition ,2002) is an important and the prioritised parameter for an organisational plan. Nowadays, managers do not want drastic changes in the design because time is changing rather has changed.These days organisations require flexibility, creativity, innovation, knowledge, and the ability t o cope with the environmental uncertainty. So the companies follow horizontal, network and and virtual designs and not vertical designs (Luthans, p.115, ninth edition,2002). In the horizontal structure the organisation has a whole process and not a particular task.Meaning there is a step- by -step completion of the project and an incharge is responsible to run the process.Small and tit- bit tasks are conjoined , tasks which are not of any value are removed and thus the intensity of supervision will be reduced to minimum.Performance based goals are set and independent teams are made and held responsible for measuring the goals.Value of the customer and feedback becomes the primary motive and rates the company’s performance.The employees are benefited and rewarded in teams not individually, for the success of a task.Multi –skilled employees are valued rather specialised ones.Employees are kept in direct touch with the suppliers and the customers.In-house teams are also made to interact with them.Employees are not kept aloof from the present data of the company and are briefed fully with no interruptions in their training. Companies like AT&T,GE, Motorola ,Xerox (Luthans,p116,ninth edition, 2002) are all practising the same structure. Network designs run in contrast with the horizontal structure.It has a unique combination of strategy , structure and management processes.Mostly the new organisations practice this design and regard it as highly flexible, it is controlled by market mechanisms. mf.. Mohan- O.B.6 A network of business teams is formed between the client and the professionals. Keeping in view the present scenario of the organisations redesign types have been formulated. As per the organisation need and demand companies make a brand- new structure keeping apart from the classical structure.This structure is said to be more flexible and facilitates motivation within the organisation.It is termed as Greenfield redesign (Luthans, p.118 ninth edition ,2002).Then comes rediscovery redesign in which the established companies follow the previous successful design making amendments and eliminating the waste. Lastly, in the network designs as discussed earlier the client decides where it can add the greatest value. Alterations are made into the demand supply chain. Here comes the virtual design of an organisation.It is self explanatory as the name suggests expecting a greater capacity or viewing the larger picture of the tasks than the present.Global companies practice such design as they have sufficient back up to do so. A strong IT platform is the current need of the virtual organising.There are partners who share the cost , skills and the modes reaching the international markets. This design is a bit faster than others as it matures with the changing scenario. Virtual organisations boost the competition in the market and the economy.They provide space and temporary interdependence to various organisations. There is a link between the organisations which help in the growth and achievement of a common goal. For example companies like Ford, Harley Davidson , ABB, Nike , Reebok (Luthans, p.121,ninth edition 2002 ) follow virtual design . So , in order to run an organisation these key designs should become a part of the organisational plan , else there would be no progress. Of course if a company has to stay in the market such trials work wonders. mf.. Mohan-O.B. 7 There are many types of plans in the management of an organisation. Each and every niche within an organisation is exposed to planning (Terry, p.151,1994). There exists a common element in planning i.e. the time.Time is the most desired factor while making planning endeavours. Seeing the importance of this in planning has given rise to the basic concepts. Actions are time bound and a specific time period is set.The environmental factors and the attitude of the employees affects the action. Then there are phases in which time enters and the plan is completed within the respective time phase. The span of time in a plan should be sufficient enough rather long so that the costs incurred in implementing a plan can be calculated.The top management prefer sufficient time period to justify the work. A well carried out organisational plan should have a summary of its plan , review of a situation, management philosophy , key personnel assessments, compensation and incentives (www.alliancedatacom.com/isp/guide_ch2_p4.asp, copyright 2002).An overall high level view is provided by the summary of the plan and the review situation gives an outline of the organizational chart or the staff to be delegated for work.Then the management philosophy explains the way of doing a particular business, the ethics of an organization and how does an organization interact with the internal staff and the customers . To talk of compensation, incentives , these should be time bound and given in order to boost the employee’s morale and his contribution.These also include the welfare of the employee. Employee welfare also contributes in the making of an organisational plan. A company which does not favour employee care is likely to fail in productivity. Some of the IT industry like Wipro and IBM are sensitive towards their employees.They are taking special care of their female staff . mf... Mohan-O.B. 8 Compensatory leave for maternity is given and they have opened crèches for their kids . This would not bother them for their kids and they can also have a constant check at the crèche. The IT companies believe that worrying hampers the productivity and output of the company . So,it takes due care for its employees . The male staff is also rewarded and proper welfare is being taken form time to time.The managers of the organisations come across many plans to manage day to day tasks and projects. Mainly there are seven types of management plans (Terry etal, p.177,Eighth Edition) in an organisation which can be merged with the organisational plan for the smooth running of the organisation. First type is policy /policies, which are made in advance to see the respective organisation’s or the management’s intentions in order to run a company.The policies demarcate the areas in which steps will be taken but the policies do not take a stand. These are always accepted by the management in written forms and they go hand in hand with other policies.A flexible approach and easy interpretation are regarded as good policies. The second type of management plan includes Procedure.Each and every plan has a procedure to work on .Procedure is a chain of small divided tasks to achieve the ultimate task. It is a standard way of performing a particular task . It can be mainly experienced in the management of an office, in factories where production is the chief goal. For example the term procedure can be applied even to our daily needs. Let us take up posting a letter in the post box.The first step would be to get an envelope and write the address of the place to be sent Then draft a letter fold it and place it in the envelope . Now paste the envelope containing the letter.Finally drop it in the letter box. So it is clear that each task requires certain procedure to be followed. . mf… Mohan-O.B. 9 Method is the third form of management plan. It involves a single step and guides how a particular task will be carried out . A method considers an objective , perks available , expenditure in totality , time and effort.Again if we take the (given above) example of drafting a letter , a method will involve a certain way in which the letter will be dropped i.e. the paper, pen envelope, and the matter of the letter. Fourth is Standard, which is an established unit of measurement to suffice the performance.It is already thought and estimated value seeing the scenario and comfort levels.Fifth, comes the budget , is an allocation of the cash for a particular task .It is a plan for the income or the required expenses or for both in a project, for various equipments which will benefit the organisation in some way or the other. Budgeting is necessary to keep a check on the cash flow and for the smooth running of a particular plan.Making a budget in an organisation saves unnecessary expenses and such limitations act as a boon for an organisation’s progress.Second last plan is program.It is not a single driven parameter . Instead involves multi- steps like procedures, policies, budget , objectives , methods, standard.For example if a company wants to diversify from fast moving consumer durables to durables in India , then there has to be a comprehensive plan to attain the objective . Program may inculcate the region in which the company wants to diversify , the man-power needed for this the place , resources, budget and whatever comes to our minds. This plan is superior to other plans because it provides such an assistance to the management that no other plan provides. Such a program usually has involvement of the top management. Last management plan is the techno factor plan which involves the technical devices and systems to complete a time bound project. Such plans are always included in organisations and used as organisational plans. mf.. Mohan-O.B.10 There also should be an easy interaction between the employee and the top management . The junior should feel free to discuss his ideas pertaining the plan ,with the managerial staff.The top management should try to support the juniors views and guide them wherever they need.The management should always be available .This gives the learners a moral support and correct guidance wherever and whenever they are in need.The interpersonal communication (Luthans, p.342,ninth edition 2002) amongst the employees should be effective enough in the sense it carries language , behavioural change and psychological processes.All these combined together formulate a good interpersonal rapport with the management.Not only communicating but listening to the employee also is a part of interpersonal communication . The management should be patient enough to listen to others and then pass on the final comments on a project. The approach no matter it is through a technology or in human form has to be done with an open mind .Not only the top management but the juniors should also have the knack to communicate with the managerial staff .This also involves some secrets, such as try to be as brief and to the point , the suggestion given by the middle level would carry importance because the message will travel throughout the department .So the staff should keep in mind that whatever they communicate they are representing the department as a whole. Tactics and a sharp brain is required in doing so.The managers or the directors of the organisations do not have enough time to listen so a short and straight communication is preferred by them. The organisational plan has so many faces that it is not easy to take up all and move. It is better to stick to one mode of plan solve it and then move further , then only an organisation can proceed.The plans keep on changing as the situation desires. mf.. Mohan-O.B.11 An organisation called ‘AAT’ (Australia) Administrative Appeals Tribunal ( goggle search engine: http//.Online Australian library www.aat.gov.an/corporate publications/organisational plan.htm, page last modified Thursday, 19 April 2007) in Australia has conducted a project on its organisational plan in the year 2006-2007.The organisation views a larger picture and wants to improve the quality of administrative decision making reviewing a method which is fair , economical , fit and quick. The mission statement is based on delivering the high quality of independent merits, by reviewing administrative decision making ,which is time bound and has ways to suppress dispute wherever necessary. The organisation came out with the results and noticed that Australians had the tact to fair in all their efforts, and they fit in exactly what the company requires.The company monitors various processes and reviews them time to time. The report is optimistic and shows that the organisation gives importance and value to its employees.The organisation also mentions that it has healthy and safe working environment which is seen lacking in a few organisations especially in the Indian context. AAT report reveals that it has appropriate staffing and structure to deliver efficient and effective services; timely and accurate information are the two key for organisational planning and making decisions.The organisation is rewarded the status of excellence in administration review. Much of it depends on the employee’s commitment to acquire a relevant plan . Here the employee’s contribution is also necessary to bring out the expected results for the organisation. The employee perceives an image of the organisation in his mind and forms an attitude which is known as an organisational commitment (Baron et al ,p.501,eighth edition, September 2001,Social Psychology). mf… Mohan-O.B.12 The individuals identify themselves with respect to their organisation. A person working for it feels proud to be a part of it, saying for instance “I am an TCS (organisation’s name changed;Baron et al p.502, eighth edition ,September 2001.) person”. Lets thread this example when I talk of TCS the IT company, it appears to me like a brand , which speaks as a person to the employee and he associates it with himself. TCS immediately forms a professional image in my mind , it is like a mother who nurtures its kids in the best possible manner telling him what is wrong and right .Giving its employees the best possible benefits exposure similarly like a mother wants her kid to be outgoing and extrovert. Such is the image of TCS . Carrying these traits in their minds the employees also compromise and sacrifice on their own basis for the organisation.This is an organisational commitment. In return the employee will also be dedicated and devoted for the organisation ,he would probably not like to quit the job and also there would be lower levels of absenteeism. Working in the same organisation for years the employee does not want to loose his funds and it would also be difficult to get the comparable job . These factors add to the organisational commitment. For an organisational plan to run smoothly both contribute the organisational commitment and the employee .If a company decides to attain achievement related goal it will have to plan accordingly and the employees ought to work . Co-ordination from both helps achieve the plan. Traditional organisations should impart trainings to their employees for an exposure to a plan . The libido of the employees should always be high and they should feel on top of the world working for their organisation. mf… Mohan- O.B.13 The top management should never promote only a single employee depending on his devotion . Because at times it happens that the employee who is getting benefited for all the exposure, does not share any briefings with his colleagues, he is at a threat that his importance will fade away in the eyes of the top management. As a result the talent of other employees is exploited and they run down in depression and stress.Managers should try to be very honest in briefing a plan . They should make sure they assign work to each and every member of the staff and let them move in teams so that there is no confusion and the project can be speeded up. If an organisation does not run with a plan the goals will not be achieved and there would be saturation in its growth. The self-presentation and impression (Baron , p.66,September 2001) of the management also contribute in the making of an organisational plan.The personality of a manager counts a lot as he would be dealing with the juniors and would also conduct meetings. His impression would be a lasting impact for the people working under him.The manager or the head has to brief his department for a plan .Henceforth, he should be cordial in his dealings with the employees working under him, have the common etiquette and mannerisms .The top management should make confident presentations for a project as these would be implemented for the company’s growth.All these traits apply for the staff too.Besides, all this personal grooming (Baron et al , p.67, eighth edition, September 2001) is also evaluated for an organisational plan, an untidy appearance of a manager or an employee surely gets reflected in the performance of a plan. Whereas a professional dressing of managers and the staff is perceived favourably by the staff ,they feel fresh and good from within. There are better chances of performance when working on a plan. mf... Mohan-O.B. 14 DIA is the design institute of Australia and the designers work for the future of the design professionals.The organisation has a vision that it be recognised as a dynamic body which represent designers in Australia .It aims at promoting the highest and ethical and professional standards by education , information, and managing events. DIA is a non -profitable organisation . The strategic plan of the company comprises management , education, professional development, information and membership services, maintaining organisational ethics and standards, membership.The organisational structure has its members interacting directly at the state branch level. The state council looks after the needs and interests of the local design constituency.Also the organisational structure is formulated in such a manner so that it caters to the needs of design professionals and the designers (employees) are benefiting totally from this. Henceforth, the structure and plan of DIA draws a thought that the organisation is so considerate for its employees that it has chalked out the needed tools and has put its best to deliver it to the employees. Thus, an organisational plan can be made as per the future need of the organisation. It can be employee focussed or in the organisation’s benefit .If a company has organisational plans then it is likely to go far off to beat the market competition.A company lacking in organisational plans is a sure failure in the planning process and for the self. END Copyright Mili Mohan 2007 References K. Ganpathy, B. Subramanian, V.Narayana (1993) Quality Circles Concept And Operation -a Workshop Handout , India ,Secunderabad. Fred Luthans ( Ninth Edition 2002) Organizational Behaviour, Mc Graw –Hill, India. George R. Terry, Stephen G. Franklin (Eighth Edition 1994) , Principles of Management, Nice Printing Press, New Delhi , India. Masaaki Imai ( First Edition ), The Key to Japan’s Competitive Success,Random House Business Division , New York. Robert A. Baron , Donn Byrne (Eighth Edition 2001), Social Psychology ,Prentice Hall Of India Pvt. Ltd. More information on organisational plan is available -: Australian online library (Google.com search engine) http//:www.aat.gov.au/corporate publications/organisational plan.htm http//:www.dia.org.au/content.c/m http://www.opm.gov/ http://www-hr.ucsd.edu/~staffeducation/guide Read More