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Planning -> Organisation -> Control -> Planning
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# What is planning?
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Define a desired future and determine the means to achieve that.
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- The though process of decision making
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- The way from the current situation to desired one
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- Define *Objectives* and *Strategies* to implement a plan
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- Affects all lvels of a business
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- Goes hand in hand with control
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# The planning Process
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## Objectives
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1. What do you want to achieve?
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*Example:*
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Increase the production by 20% during 2011
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# Strategies
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2. How do you want to achieve it?
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*Example:*
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Add an extra shift, expand facilities, subcontract...
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## Plan
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3. What actions am i going to take?
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*Example:*
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Start preparing the expansion of the facilities, train the workers, buy new machines
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5. When do I want to achieve it?
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7. With whom?
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*Example:*
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Assign responsabilities: Managers and Director of Production
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8. With what resources?
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*Example:*
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Description of the project and the budget
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9. How do i evaluate my success?
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Profit, rentability...
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# Characteristics of a goal
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# What is a goal?
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It is a result to be achieved in the future
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It is the concrete expresion of the mission and the vision of a business
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**Characteristics of a goal**
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- Concrete
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- Measurable
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- Reachable
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- Motivational
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- Compatible
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# What is a strategy?
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Set of actions that allow the company's objectives to be achieved using its resources and capabilities, adapting to the environment and are consistent with the
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mission and vision. The strategy is
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develops in the PLAN (strategic).
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# What is a plan?
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Is a path of actions to achieve a goal.
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The most important one is the Company Plan or Business Plan.
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| Type of plan | Scope | Duration | Managment Level |
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|--------------|-------|----------|-----------------|
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| Strategic | Entire Business | 3-5 Years | Top Level |
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| Tactical | Division or Department | 1-3 Years | Mid Level |
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| Operational | Department or Section | 1 Year | Operatives |
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# Examples
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## Ryanair
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*Objectives*
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Increase the number of sales to be the leader in air traffic.
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*Strategy*
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Achieve the lowest prices in the market.
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*Plan*
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- Dont use the biggest airports
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- High frequency of travels
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- Remove business class
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- Remove Board Services
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- Remove non profitable routes
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- Sell online
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# What is control?
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Measuring the outcomes and comparing them with the expected outcomes, apply changes when deviations occur.
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*Phases:*
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- Establish a standard measuring method
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- Measure and compare
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- Correct the deviations
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> Quality means doing it right when no one is looking.
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> — Henry Ford
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Depending on the control you can either act:
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# Proactive
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*Example:*
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- Verify material quality on arrival
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# Interactive
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*Example:*
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- Let the boss supervise the execution of the task
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# Reactive
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*Example:*
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- Product Verification
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#
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It is a summary of important information for the management of the company.
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It contains objectives, indicators (measurements which show the status of a objective) and targets (value to be achieved by the indicator)
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*Example:*
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| Objective | Indicator | Goal | Evolution (T1...T4) |
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|-----------|-----------|------|-----------|
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| Increase sales | Sales Figures | +20% | |
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| Increase Market Share | Market Share | +3% | |
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| Reduce Productiontime | cycle times | -12% | |
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| Better quality products | Failure Rate | -7%% | |
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[[T4-Planificacion_y_control.pdf|PDF]]
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- [ ] Visión general del directivo *Management Overview*
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- [ ] Planificación *Planning*
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- [ ] Proceso de Planificación *The planning Process*
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- [ ] Planificación: Objetivo, estrategia y plan *Planning, Objectives, Strategies and plans*
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- [ ] Control
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- [ ] Tipos de control *Types of control*
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- [ ] Control: Cuadro de Mando integral *control: integrated control panel*
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- [x] Visión general del directivo *Management Overview*
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- [x] Planificación *Planning*
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- [x] Proceso de Planificación *The planning Process*
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- [x] Planificación: Objetivo, estrategia y plan *Planning, Objectives, Strategies and plans*
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- [x] Control
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- [x] Tipos de control *Types of control*
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- [x] Control: Cuadro de Mando integral *control: integrated control panel*
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## T5 | Organicazíon, Organisation
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