Name: Ahmad Hannan

Roll No: L1S21MBAM0040

SUMMARY
At the level of settings, objectives in companies’ managers have
understanding what they are try to achieve and planning how to keeping
company in business
It is necessary to translate the vision into a distinguishing set of
directions, the mission statement is very important for a company
objective because it identifies and provides a general focus to the
employees. Which can be use by employees to direct their efforts in a
mannered way. The mission statement of the company as a whole can be
quite general, but it need to reformed and practical to individual parts of
the organization to certify the focus of the department is associated with
the vision of the managers.
It is required to know actually, what the business of the company is and
what they are doing. are they good as per company vision? Because
mostly managers are being of the fact because they are too closely
involved in day-to-day operations and rise extensive events to achieve
goals.
Deriving the mission statement tell us how the company intends to
operate, what is the quality of products, Market area, target market,
consumers segment. Mission statement also clear the senior management
wish the organisation to be at some point in the future
To ensure the mission statement of the company can be quite general but
it need to be modified and applied to individual parts of the organisation.
The gap concept identifying into two steps, first is to decide what the
desired in future at a specified time this can be expressed in terms of new
products market share profitability and so on. Secondly, analyse the
company at that time there is no change.
There is no point to setting objectives, which employees think, cannot be
achieve, even these are derived from the company mission. Setting
objective is depending on the past decision. Objective must be relevant to
the manager involved and seen to be achievable if they are have to be
credibility. Some of the company objectives are quantifiable and non-
quantifiable. Some of the components are not readily measureable such as
happiness.
Aggregate objectives derive from the mission statement, which applies to
overall the company performance size, target market financial structures.
Aggregate objective can be used measure of the effectiveness of
corporate executives.
The personal objectives of an individual manager may include
maximisation of wealth, ambition, desire for a quiet life; desire to avoid
confrontation, The contract between principal and agent which ensure
that the agent attempts to achieve the company objective laid down in the
contract. What is to be achieved should to be differentiated from how it is
to be achieved, it is an issue which is closely related to the process of
disaggregating objectives is the difference between means and ends.
The objectives mainly stem economics, marketing and finance stresses
that objectives must be in economic and financial objectives. The
behavioural objectives are that a company, which has efficient
communication systems, good labour relations and a contented
workforce, is in a strong position to succeed in the competitive market
place. Economic objectives those who have not been instructed in
economics often assume economic and financial objectives are the same,
but this is not necessarily the case.
A financial objective makes it possible to quantify the profit
maximisation, present value future cash flows. Discounting and present
value is the technique for converting streams of future positive and
negative net cash flows into current terms. When an investment is
undertaken, the cash flow pattern is usually negative at the beginning and
positive later when the investment makes income. The net present is
found by summing the discounted streams of future expenditure and
income over life. The capitalized value is founded by divided the annual
income by interest rate. The clear choices of interest rate are the cost to
the company of raising money on the open market, which is usually term
the cost of capital. Investment, which is usually, expressed as net income
divided by value of assets in a particular year.
To maximise the wealth of shareholder is the primary object of the
company, the company published accounts records of accomplishment,
and announcement about the company plan will contain an allowance for
the risk associated with the company.
Companies have some social objectives. These objectives might include
the minimisation of the pollution, creating employment opportunities for
those who live in depressed areas. Many companies add corporate social
Responsibility in their decision-making and Annual reports often contain
as section on CSR.
A number of individuals and groups have an interest in the organisation.
Those individuals and groups are categorised as the stakeholders. Each
stakeholder has a different type of interest in the company.
Shareholders provide the capital for the company to get the profits, said
return on investment, if any company does not performing well
shareholder withdraws their funds and invest in some other more
profitable company. We say that the shareholders are direct resources to
those operations, which provide the highest financial returns.
Managers are the responsible for the allocation of resources in the
company. Stakeholder depend depends upon them for their returns. if
managers make wrong decisions it would be very harmful for the
company, products and also effect on other employees jobs. On the other
hand, company, success depends on the effort of employees as well as
managers.
Company truly dependent on suppliers. If company have one supplier it
follow that its stakeholder priority is relatively high. But it’s good if
company assigning too high a priority to a single supplier company also
can see the substitute which provides security of supplies, flexibility. It is
very clear to provide customer what they want. Its clear fact that the
company sell to customers. It is difficult to see what priority should be
accord to the customers.
Due to increasingly competitive capital in markets the creditor has made
a realistic estimate of the client than it will be reasonably confident that it
debts will be serviced and need have no other interest in the company.
Local communities and companies both are depend on each other’s. To
get both side benefit it is important for the company to live in harmony
with the local community, local community has a valid interest, and this
needs to be taken into account in the company decision making.
Companies paying taxes and acts according to the law. It’s government
responsibility to set the rules and monitor market economy. A Major
influence of the stakeholders on company legislative, institutional. In
Different companies stakeholder have different effects.

It is usually very difficult to define suitable moral codes of conduct.

Moral issues are never simple to resolve it was argued that companies
which attempt to meet social rather than profit related objectives may do
more harm than good, and in that sense their well-meaning attempts could
be regarded as wicked.
Smart objectives are clearly measurable, realistic, Relevant, achievable
and time bound. Measurable objectives nature is non-quantifiable we can
say stable and happy workforce. Relevant objectives are aligned with the
resource capabilities of the company. Time-bound objectives to relate
them to a time scale it has to be familiar that it is impossible to predict the
future with any degree of inevitability.