The management process in achieving organizational goals
Management is the process of achieving organizational goals. Therefore, to attain the goal that need through the planning, organizing, leading and controlling functions. These four major functions are systematical progress on management. Moreover, planning is the first important step to start a major project. A good long-term plan is more like a guideline that will guide people to go through the project in the future. A long-term planning determines the future development direction of enterprises and also describing the future image of corporation. It includes setting objective and makes a lot of strategic decisions in every respect which are benefit for the organization. To achieve a perfect successful project also need time to make a perfect proposal because that is very crucial and essential. Consequently, not only the large organization but also the small organization is still support for long-term plan. Therefore, some managers consider changing the long-term planning to a short-term planning. There is a series of “what if” scenarios as follows:
What if their external environment is incompatible with the internal environment on the short-term plan?
What if technology and economy factor will affect their ability to offer products and service?
External environment and internal environment are critical on the achievement of organizational goal. External environment is focuses on the mega-environment and the task environment. Internal environment centered on organizational culture. These two major organization’s environments are crucial and these include many broad aspects. For example, organization must be ready to change and innovate. The history of the Warren Featherbone Company demonstrated that. (Morgenthaler 1989) Therefore, some change need technology and economy to support. Therefore, a short-term plan can not state clearly about capital requirement and new technology support in the next five-year or ten-year. These two environments which are external environment and internal environment influence success.
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Question 3: What if the quantity demanded exceeds the quantity supplied?
The demand and supply are also very important for an organization. Therefore, the price of the products will decline and the quantity will increase. Inversely, if the quantity supplied exceeds the quantity demanded, the price of the products will raise and the quantity will reduce. However, the market can not get an equilibrium price and the market will occur a surplus of goods or a shortage of goods. Consequently, it will cause heavy losses to the organization. Moreover, demand and supply should be equivalent, that in order to get an equilibrium price. Only in that way the organization will derive more profit. The demand and supply will change by years, so a lucrative organization need to do market research based on next five-year or ten-year. If it is a short-term plan which just plan several months or one-year, that plan can not control the market demand and supply. It’s necessary to make a long-term proposal about the balance of suppliers and buyers, then it will gets mutual benefits and reciprocity. The interaction of demand and supply are determined price and output.
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Question 4: What if a short-term plan has not contained a complex and accurate market research?
Market research can influence an organizations’ product sale. It also can change the organization’s development direction in a short time and make a strategic decision which can adapt to market variation. Through the market research, an organization can have a clear long-term development direction. Therefore, the market research is really important to an organization. If an organization lose their market research ability, that organization will be difficult to adapt to the varying consumer market. So the market research has a great influence to the organization’s development, and also affects products in a waiting stage. This will also result in an organization eventually be swallowed by the market. The market change at all times, so the organization need research the market in next five-year or ten-year in order to make a preparation for the market demand. Therefore, many management gurus and senior managers still support for long-term planning in many small and large organizations.
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Question 5: What if the new product development can not make profit to organization?
In terms of product development, it’s also an important part of the plan. The product development not only a good idea for the investment, but also will achieve the expectant investment return. So many managers put a high premium on the product development. Honestly, product development is critical part of plan and also can affect organization development. Although many managers have a lot of experience, they can not use their experience to judge the new product development. In the face of variable market demand, an organization needs a strategy which can control the new product development. Although the organization has many new product developments, they need a long-term research in order to ensure the future of plan will make profit for the organization. In this decision making process, the fist line managers determine the new product, and then the middle managers should consider how to develop the new product and analyze the market. These series of the procedure are all important. So a plan need prepare for the future of long-term development. Therefore, a long-term plan is more effective to develop the organization.
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Conlusion
In conclusion, a good plan is the basis of management. The organization must consider carefully about the future development. To draw up a plan need consider its applicability, especially in terms of time. A plan should have a long-term strategy, and it should contain many respects, such as external and internal environment, material and capital resource, political problem, technology improvement and market demand and supply. Therefore, a long-term and complex plan is very important to an organization, it determines the organization’s development direction. So many things need to plan and discuss with different managers. If the plan has changed, and it no longer means a complex and rigid series of five-year or ten-year plans, that plan can not be perfect and make profit to the organization. So many management gurus and senior managers still considerable support for long-term planning in many small and large organizations.
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Management
Student name: …Tianyan Liu
Student ID: …….20315
Unit code: …………….FSTP009
Teacher: ………Rodney Hale
Date: ……………..19.04.2010
Contents
1. Introduction…………………………………………………………..2
2. Body……………………………………………………………………5
– Question 1&2…………………..3
– Question 3……………………….4
– Question 4……………………….5
– Question 5…………………6
3. Conclusion…………………………………………………………..7
4. Appendix……………………………………………..8
5. Bibliography………………………………………………………..9
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Bibliography
http://www.standards.dcsf.gov.uk/schemes3/planning/538507/?view=get
Management Foundations – A Pacific Rim Focus 2e (2008)
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