Supervision Concepts and Practices of

Management 12th Edition Leonard

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 Chapter 7 Supervisory Planning

CHAPTER 7
Supervisory Planning
LEARNING OBJECTIVES
1. Define planning and explain why all management functions depend on planning.

Planning involves establishing objectives based on the current situation and forecasts of the future and
determining the actions needed to achieve the objectives. Planning must be the first managerial function
because without a plan, none of the other functions can be meaningfully implemented.

2. Explain how visioning and mission statements provide the foundation for strategic planning.

Strategic planning begins with the creation of a mission statement, which reflects the organization’s basic
philosophy, purpose, and reason for being. Often, the mission statement is the yardstick by which the
company’s performance and results are measured.

Visioning takes strategic planning beyond the mission statement. It involves developing an image of what
the firm will become. This image or vision becomes the foundation for all other planning activities.
Strategic planning involves the process of making decisions that will enable a firm to make that vision a
reality and to achieve those long-term goals.

3. Discuss the need for well-defined organizational goals and objectives, particularly as they relate
to the supervisor.

Organizational goals serve as the guidelines for operations and their framework leads to the formation of
more specific, measurable goals at the departmental level. Without well-defined organizational goals,
supervisors would have no place to start when planning for their departments.

4. Describe the supervisor’s role in synchronizing his or her plans with organizational plans.

Supervisors usually engage in detailed, short-range planning for their department. Planning draws on
past and present performance in order to develop goals for future performance. Supervisors should use
specialists when necessary and communicate with employees concerning suggestions and plans for the
department. The supervisor should be informed of organizational plans so that departmental plans
coordinate with the firm's long-range objectives.

5. Summarize management by objectives (MBO).

Management by objectives (MBO) is a process in which supervisor and subordinate jointly determine
what is to be done. Basically, the supervisor and the employee must together decide on specific,
measurable objectives that fit within with the organization’s overall goals. The supervisor provides the
necessary resources and the employee develops specific activities to meet these objectives. The

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to a publicly accessible website, in whole or in part.
Chapter 7 Supervisory Planning

supervisor and the employee then use these agreed-upon objectives as guidelines for evaluating work
performance, both for reviewing progress and for comparing results when the time period has ended.

6. Identify the major types of standing and single-use plans and explain how these help
supervisory decision making.

There are four major types of standing (or repeat-use) plans: policies, procedures, methods, and rules.
Policies serve as guides for decisions, while procedures are guides to action. Methods are more detailed
than procedures, explaining exactly how a single operation is to be performed. Finally, rules are very
specific standing plans that must be followed without exception. All of these standing plans are helpful
in keeping supervisory action consistent and employee output predictable.

The three principal types of single-use plans are budgets, projects, and programs. Budgets are financial
plans that specify income and expenses for a fixed period of time. Programs are comprehensive single-
use plans designed to accomplish the organization's objectives, while projects are single-use plans for
accomplishing a specific nonrecurring activity.

7. Describe how the supervisor plans for efficient and effective resource use.

Planning makes the best use of human and physical resources. Supervisors must plan for the efficient
use of space and of major physical resources, such as tools, machinery, and computers. Additionally,
supervisors must ensure the security of materials, merchandise, and data in order to protect the
company’s substantial investment in them.

Supervisory planning also involves the full use of human resources. This begins with ensuring a safe
work environment for all employees. It also includes establishing expectations for overtime and
absences, developing alternative work schedules, and using part-time and temporary employees
effectively.

Supervisors must always be on the lookout for ways to improve their department’s use of time, which can
be accomplished through improved work procedures and methods. Planning for effective use of
inventory may include just-in-time inventory techniques. Gantt charts and PERT networks help
supervisors in efficiently planning and scheduling projects.

8. Cite the key advantages of quality planning.

Planning is crucial to establishing, improving, and maintaining the quality of a firm’s offerings. Planning
may be started by comparison with other firms, as is done in benchmarking; or through preventing
defects and continuously improving quality, as with total quality management; or through systematic
storage, retrieval, dissemination, and sharing of information, as with knowledge management. If a firm
hasn't planned how and when to improve product quality, inefficiency and decreases in quality may
result.

9. Recognize the importance of planning for the unthinkable (crisis management).

Every company risks crisis; supervisors must prepare for the unexpected. Crisis management planning
involves identifying the unthinkables, developing a plan for dealing with them, developing contingency
plans, forming crisis teams, and simulating crisis drills. Further, supervisors should foster an
organizational atmosphere of learning, where response time is immediate and apologies are given when

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to a publicly accessible website, in whole or in part.
 Chapter 7 Supervisory Planning

warranted. Supervisors must use their information-getting and information-giving skills to help
employees prepare for and address crisis.

PowerPoint Presentation Slides 7-2, 7-3, Learning Objectives

LECTURE OUTLINE
I. Management Functions Begin with Planning

Planning: process of deciding what needs to be done by whom and when. It is future focused and
precedes all other managerial functions.

What You Have Learned? Question 1

PowerPoint Presentation Slide 7-4, Planning
Personal Skill Builder 7-1: Prior Planning
NOTE: I prefer to introduce the issue of Crisis Management Planning early in the lecture. It is
something the students can identify with. The opening You Make the Call and Personal Skill
Builder 7-1 get students thinking about all of the potential hazards that may confront them as they
go through life.

In 1995, the Oklahoma City truck bombing killed 15 children at a day care center and brought
national attention to terrorist activities. On the morning of April 20, 1999, Eric Harris and Dylan
Klebold entered their suburban Denver, Colorado, high school (Columbine) and murdered 13 of
their fellow students. Most of your students can recall what they were doing when they first
heard about the terrorist attacks on the World Trade Center and Pentagon on 9/11. Then there
was the Virginia Tech tragedy followed in 2008 by the Northern Illinois University killings.

It makes no difference how we classify them – terrorist attacks, acts of rage, or murder – those
students who survived will remember that day and the days that followed forever. Some will live
in fear for the rest of the lives. In early 2009, crisis after crisis occurred almost daily and it was
not the financial crises being reported. Most educational institutions have taken proactive steps to
curb violent behavior. A year ago – the same day that a Chelsea Clinton was to speak at a
campus seminar – our campus went on a lock down. A student was murdered in her dorm room.
The killer was the mother of one of her roommates. Our electronic alert system worked fairly
well but we found it that it did not work as well as intended. IPFW Chancellor Mike Wartell
reported the following to the IPFW Community immediately after the event.

“This event may understandably lead to concerns or discomfort concerning matters of personal
safety. Are students, staff, faculty, and visitors safe at IPFW? While recent history gives ample
reason for the question to be raised, records show that the rate of criminal activity is remarkably
low and that this is the first homicide on campus in the history of the institution. We have a
skilled professional police force, extensive security infrastructure, and appropriate policies and
procedures to help assure safety on campus. We also work closely with Fort Wayne police when
it comes to matters of safety in the immediate vicinity of campus. In addition, we have a number
of educational programs in place to encourage students, staff, and faculty to help assure their
own safety and the safety of others. Perhaps most importantly, we are not complacent when it
comes to safety. Our programs, policies, and procedures are constantly under review to help
assure we are doing as much as possible to provide a safe campus community to learn, work, and
live. Every one of us who is a member of the IPFW community can and should help assure the

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to a publicly accessible website, in whole or in part.
Chapter 7 Supervisory Planning

safety and security of all on campus. We must be vigilant for signs of potential trouble or lapses
in security. We must be prompt and persistent in bringing those matters to the attention of
individuals charged with addressing such issues. We must be a caring and just community, eager
to support those struggling with personal issues but consistent in holding individuals accountable
for their behavior. In that way, we all play an important role in shaping the best IPFW possible.
Thank you for your patience, understanding, and support in these challenging times.”
(4/17/2008)

When I was a kid growing up we had a “fire drill” but never a “tornado drill.” Then one year we
had a major tornado and the schools started having tornado drills. I encourage you to review with
your students your school’s crisis management plan. Perhaps, the opening You Make the Call
and corresponding skill application will motivate your students to be more proactive in preparing
themselves to respond appropriately in a crisis.

II. The Strategic-Planning Process

Strategic planning: the process of establishing goals and making decisions that enable an
organization to achieve its long- and short-term objectives.

Top management is usually responsible for developing the strategic plan, and supervisors plan
activities for their departments that will achieve overall organizational goals. Managers should be
more involved in strategy development, as their participation will lead to greater commitment to the
resulting goals.

A. Mission Statements and Visioning

1. Mission statement: a statement of the organization’s basic philosophy, purpose, and reason
for being.

2. Visioning: management’s view of what the company should become; reflects the firm’s
core values, priorities, and goals.

What You Have Learned? Question 2

Personal Skill Builder 7-2: Getting Control over Organizational Success
Personal Skill Builder 7-3: Thinking Outside the Box
PowerPoint Presentation Slide 7-5, Strategic Planning
PowerPoint Presentation Slide 7-6, Mission Statements and Visioning
PowerPoint Presentation Slide 7-7, Example Mission Statement

III. Organizational Goals and Objectives

Upper management must develop a general statement of broad goals and objectives for the firm.
(The terms “goals” and “objectives” are used interchangeably throughout this text.) A supervisor
creates more specific “what-by-when” statements for the department that feed into the higher-level
objectives of the firm. There also must be a means to measure and document the department’s
contribution.

Metrics: a standard of measurement used to determine that performance is in line with objectives.

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to a publicly accessible website, in whole or in part.
 Chapter 7 Supervisory Planning

Whenever possible, objectives should be stated in specific, measurable terms, with a defined period
of time. This is essential to management-by-objectives, which is discussed next.

PowerPoint Presentation Slides 7-8 and 7-9, Organizational Goals and Objectives
PowerPoint Presentation Slide 7-10, Two Things to Remember in Developing Goals and Objectives
PowerPoint Presentation Slide 7-11, Figure 7.2, Statement of Corporate Objectives

IV. All Managerial Levels Perform the Planning Function

All managers plan, but different managers plan at different levels. Upper management’s planning is
usually broader and more far reaching than planning done by supervisors, where planning tends to be
more detail oriented.

Evaluations of past performance should be incorporated into managerial planning. Managers should
not plan in a vacuum, but should utilize the knowledge of specialists and employees for suggestions
when appropriate.

A. Planning Periods

Planning periods can be long-term (anything greater than a year) or short-term (usually a year or
less).

Strategic plan: long-term plans developed by top management.

[Note to Instructors: See additional content notes on Time Management in relation to planning at the end
of this lecture outline.]

What You Have Learned? Question 3

PowerPoint Presentation Slide 7-12, All Managers Perform Planning Function
PowerPoint Presentation Slide 7-13, Figure 7.3, Planning Requires Answering These Questions
PowerPoint Presentation Slide 7-14, Planning Periods

V. Management by Objectives—A System for Participative Management

Management by objectives (MBO): a process in which the supervisor and the employee jointly
set the employee’s objectives and the employee receives rewards upon achieving those objectives.

Four major elements of an effective MBO system (Figure 7.3):

1. Joint determination of specific, measurable, and verifiable objectives

2. Inputs: the resources needed to achieve objectives

3. Activities and processes to achieve objectives

4. Results: measured against objectives

PowerPoint Presentation Slide 7-15, Management by Objectives

PowerPoint Presentation Slide 7-16, Figure 7.4, Elements of the MBO Approach

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to a publicly accessible website, in whole or in part.
Chapter 7 Supervisory Planning

A. Why use Management by Objectives?

a. MBO is results-oriented.

b. MBO requires thorough planning, organization, controls, communication, and

commitment.

c. MBO can motivate and encourage employee commitment.

d. MBO provides objective criteria for performance evaluation and rewards.

PowerPoint Presentation Slide 7-17, Why Management by Objectives

MBO ties together many plans, establishes priorities, and coordinates activities. In addition, MBO
encourages the commitment of everyone in the organization by allowing each person to participate
in determining his or her own performance objectives.

What You Have Learned? Question 4

VI. Types of Plans

A. Plans

Standing plans: policies, procedures, methods, and rules that can be applied to recurring
situations. Also called repeat-use plans.

Single-use plans: plans to accomplish a specific objective or to cover a designated time-period.

B. Policies
Policy: a standing plan that serves as a guide to making decisions. Policies allow room for
judgment within acceptable parameters.
See Figure 7.5 Excerpts from a Computer Use Policy and Procedure Statement

1. Origin of Policies

Company-wide policies are originated by top management, while departmental policies are
established by supervisors. Some policies are imposed by external forces, such as
government or labor unions.

2. Written Policy Statements Promote Consistency

Written policy statements are more likely to be followed consistently if they are written.
They should be reviewed periodically and revised or discarded as needed.

3. The Supervisor’s Role

Supervisors rarely issue policies. Rather, supervisors usually interpret, apply, and explain
existing policies when making decisions. Occasionally, supervisors may encounter
situations for which no policy is applicable. If higher management has never issued a policy

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to a publicly accessible website, in whole or in part.
 Chapter 7 Supervisory Planning

for such a situation, the supervisor should request that his or her boss issue such a policy, so
that there is consistency throughout the organization.

C. Procedures

Procedure: a standing plan that defines the sequence of activities to be performed to achieve
objectives.

Procedures are guides to action; policies are guides to thinking. All supervisors must follow the
same procedure, the same chronological sequence of actions for a particular activity.
Procedures encourage uniformity of action and predictable outcomes.

D. Methods

Method: a standing plan that details exactly how an operation is to be performed. It is even
more detailed than a procedure.

When developing methods, supervisors should enlist the help of methods engineers or motion-
and-time study specialists, if such efficiency experts are available in the organization.
Supervisors with well-trained employees will rely less on procedures and methods than
supervisors whose employees are less well prepared.

E. Rules

Rule: a directive that must be applied and enforced wherever applicable. A rule is a very
specific standing plan, for which there must be consistency.

What You Have Learned? Question 5

PowerPoint Presentation Slide 7-18, Standing Plans
PowerPoint Presentation Slide 7-19, Example of Policy and Procedure Statement

F. Budgets

Budget: a plan that expresses anticipated results in numerical, usually financial, terms for a
stated period of time.

1. The Supervisor’s Role in Budgeting

Supervisors should play an active role in developing the budgets for their departments.
They are typically concerned with the expense side of the budget and are held accountable
for variations.

2. Budget Review

Budgets are also control devices used to compare estimated and actual results at regular
(monthly, quarterly) budget reviews.
G. Cost-Cutting
Reducing costs is a natural concern in all organizations.

H. Project Management
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to a publicly accessible website, in whole or in part.
Chapter 7 Supervisory Planning

Project: a single-use plan for accomplishing a specific, nonrecurring activity (e.g., creation of
a company brochure detailing their new facilities). A project is part of an overall program, and
is typically accomplished in shorter time frames.

Team Skill Builder 7-1: What Call Will You Make?

PowerPoint Presentation Slide 7-20, Single-Use Plans and Budgets
PowerPoint Presentation Slide 7-21, Programs and Projects

VII. Supervisory Planning for Resource Use

This section discusses physical and human resources planning techniques.

PowerPoint Presentation Slide 7-22, Supervisory Planning for Resource Use

A. Efficient Space Use

A supervisor often analyzes a floor-layout chart to determine whether there is sufficient space to
do the work and/or whether the space has been laid out properly.

B. Use of Other Major Physical Resources

Supervisors must make sure that employees are using equipment (e.g., tools, machinery,
computers) properly and that it is properly maintained. When warranted, a well-documented
request for new equipment should be submitted to upper management.

C. Use and Security of Materials, Supplies, Merchandise, and Data

It is the supervisor’s responsibility to protect a company’s substantial investment in materials by

preventing misuse or theft. Recently, companies have enlisted the help of IT specialists to
protect the company’s valuable computer data.

D. Safe Work Environment

The supervisor shares a responsibility, ethically and legally, to do everything possible to ensure
the safest work environment possible.

Workplace violence: an act or threat of assault directed at another employee. Workplace

violence accounted for 15% of all workplace fatalities in 2007.

NOTES: For more information on workplace violence, I suggest that you view the Bureau of
Labor Statistics Web site (http://www.bls.gov) and click on BLS Survey of Workplace
Violence Prevention and Census of Fatal Occupation Injuries.

E. Observance of OSHA and Other Safety Regulations

The Occupational Safety and Health Administration (OSHA) has expanded the responsibility of
the supervisor in planning for and bringing about a safer work environment.

F. Safety Committees
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to a publicly accessible website, in whole or in part.
 Chapter 7 Supervisory Planning

Safety committees help supervisors develop safer work areas and enforce safety regulations.
Most accidents reported on the job are caused primarily by human failure. Supervisors must
emphasize safe work habits to employees.

PowerPoint Presentation Slide 7-23, Safe Work Environment

PowerPoint Presentation Slide 7-24, Figure 7.7, Inattention Commonly Causes Accidents

G. Full Use of Human Resources

In order to get employees to contribute to their fullest capabilities, supervisors must focus on
improving methods of recruiting, selecting, training, communicating with, appraising, and
rewarding/disciplining. In turn, supervisors must focus on managing one of their own important
resources—their time.

PowerPoint Presentation Slide 7-25, Full Use of Human Resources

H. Employee Work Schedules

Supervisors should establish a work schedule based on a fair – not a maximum – level of output.
Allowances should be made for some unproductive time and for flexibility in emergencies and
the like.

NOTE: We have provide additional content notes on Time Management in relation to planning
at the end of this lecture outline.

I. Overtime and Absences

Though considered exceptions or emergency measures, supervisors should anticipate and plan
for a certain amount of overtime and absences, including vacation or holiday time off.

J. Alternative Work Schedules and Telecommuting

Supervisors can overcome the hurdles of supervisory control and adequate workstation coverage
related to flextime by adapting within their department and in their relations with other
departments. When telecommuting is used, supervisors must plan well in advance and
communicate with these employees regarding project work, budgets, and overall expectations.
Most studies show that flexible work arrangements are associated with lower
absenteeism/tardiness, and higher retention/morale/productivity.

K. Part-Time and Temporary Employment

Part-time employees are increasing in number. Supervisors must plan work schedules carefully
to accommodate part-time workers without creating problems with full-time employees and
work requirements.

Temporary employees may be hired by agencies and assigned to short-term employment

elsewhere or they may be hired directly by the firm themselves as interim employees.
Temporary employees should be given job assignments that can be done without disrupting the
regular workforce.
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to a publicly accessible website, in whole or in part.
Chapter 7 Supervisory Planning

PowerPoint Presentation Slides 7-26 and 7-27, Employee Work schedules

L. Improvement in Work Procedures and Methods

Supervisors are often so close to the job they fail to see when work procedures and methods
need updating. Supervisors should periodically seek the input of their employees or of a
specialist to look for ways to increase productivity, lower costs, or improve the quality of a
product or service.

M. Planning Inventory

Just-in-time (JIT) inventory control system: a system for scheduling materials to arrive
precisely when they are needed in the production process. Also called kanban.

Kanban: another name for just-in-time (JIT) inventory-control systems.

PowerPoint Presentation Slide 7-28, Planning Inventory

N. Scheduling and Project Planning

1. Gantt chart: a graphic scheduling technique that shows the activity to be scheduled on the
vertical axis and necessary completion dates on the horizontal axis.

2. Program evaluation and review technique (PERT): a flowchart for managing large
programs and projects that shows the necessary activities with estimates of the time needed
to complete each activity and the sequential relationship of activities.

PowerPoint Presentation Slide 7-29, Scheduling and Project Planning

VIII. Planning for Quality Improvement and Knowledge Management

Total quality management (TQM): an organizational approach involving all employees to satisfy
customers by continually improving goods and services.

Knowledge management: the systematic storage, retrieval, dissemination, and sharing of

information.

Benchmarking: the process of identifying and improving on the best practices of leaders.

Benchmarking follows these steps:

1. Determine what to benchmark.

2. Identify comparable organizations.
3. Collect comparative performance data.
4. Identify performance gaps.
5. Determine the causes of the differences.
6. Ascertain the management practices of the best.

ISO 9001: International quality standards

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to a publicly accessible website, in whole or in part.
 Chapter 7 Supervisory Planning

Baldrige Quality Award: American’s highest quality award

What You Have Learned? Question 5

IX. Crisis Management: Planning Required

Crisis: A critical point or threatening situation that must be resolved before it can cause more harm.

Tragedy: A disastrous event or misfortune that negatively impacts the lives of people.

Every company risks crisis and supervisors must prepare for the unexpected. Crisis management
planning involves identifying the unthinkables, developing a plan for dealing with them, developing
contingency plans, forming crisis teams, and simulating crisis drills. Further, supervisors should
foster an organizational atmosphere of learning, where response time is immediate and apologies are
given when warranted. (Refer to Figure 7.6 for suggested crisis management planning concepts.)

What You Have Learned? Question 6

NOTE: I prefer to engage students by using the Opening You Make the Call and Personal Skill
Builder 7-1 as an introduction to this chapter but it can also be used effectively here.
Team Skill Builder 7-2: Dealing with People you Might Appreciate: “The Advice Seeker!”
PowerPoint Presentation Slide 7-30, Crisis Management
PowerPoint Presentation Slide 7-31, Figure 7.8, Crisis Management Planning
PowerPoint Presentation Slide 7-32, Key Terms

Additional Content Notes on Time Management in Relation to Planning

Author Stephen Covey suggests that we always “begin with the end in mind.” Effective time management
requires knowing that where we are going and why we want to go there is more important than how fast
we go. In other words, what does it matter if we accomplish many tasks if they are not in line with our
goals?

Each of us has the same finite amount of time. How many times have you heard someone say, “I wish I
had more time”? No one has yet found a way to “make time” or store it for another day, but by working
smarter, one can better use time. Following are some practical tips for managing time.

1. Determine priorities. Focus on the most important tasks, those that support your objectives. Do
not be afraid to ask your boss if a new task takes priority over other assignments.
2. Clarify duties with a time-use chart. Identify which of your regular duties most directly relate to
departmental objectives.
3. List duties and prioritize the list. Make this your to-do list.
4. Know your prime time. This is the time of day when you are most alert, think most clearly, and
work most effectively. Schedule your most complex tasks for this period and your most routine
tasks for the times when your energy is low.
5. Schedule time at the end of the day to make tomorrow’s to-do list; then be sure to follow through
on these lists.
6. Use a desk calendar, day planner, or PDA to note activities that need major attention. Document
the what, when, who, and where of the details.

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to a publicly accessible website, in whole or in part.
Chapter 7 Supervisory Planning

7. Use common-sense organizational and time-management techniques. For example, handle

papers only once, keep your desk or workstation clear, finish one job before starting another,
avoid distractions, and say “no.”
8. Deal with interruptions when you’re focused on an important project. If someone asks you for a
minute on a non-life-threatening matter, tell that person you want to give the matter your
undivided attention and ask to schedule a brief meeting later. It is acceptable to tell someone you
will call back later. Wasting valuable time is not acceptable.
9. Enable subordinates to be the best they can be. Encourage subordinates to take responsibility and
to make decisions they can make. Do not let subordinates pass these decisions to you.
10. Delegate. See Chapter 11 for tips on delegating successfully.
11. Overcome procrastination. Plan habitually and continuously, break difficult tasks into small and
doable units, and work on unpleasant tasks immediately.
12. Use the 2-hour rule. If you have been working on a problem for more than 2 hours without
finding a solution, get help. Often, by explaining a problem to someone else, you get a different
perspective.
13. Follow the 80/20 principle. Eighty percent of achievement comes from 20 percent of time spent.

ANSWER TO WHAT HAVE YOU LEARNED?

1. Define planning. Why is planning primarily a mental activity rather than a “doing” type of
function?

Planning means establishing objectives based on the current situation and forecasts of the future, and
determining the actions needed to achieve the objectives. It is mental effort that involves thinking before
acting. A supervisor can learn to become a better planner through proper attention to planning and self-
discipline. Most supervisors who become better planners are taking a major step to becoming better
managers. Too often, supervisors spend so much time “putting out fires” that their departments seem to
just survive, rather than have any general direction or purpose. For many supervisors, taking adequate
time to think through what they want to accomplish would be a first major step in improving their
operations.

2. What is the importance of an organization’s vision? What is your vision for the next twelve
months?

Visioning goes beyond the mission statement. Visioning is the process of developing a mental image of
what the organization could become. Once defined, the mission and vision must be communicated so that
everyone knows where the organization intends to be. Visioning can thus help focus company goals and
objectives. The organization develops plans based on the vision.

Student visions should be shared so that their classmates can assess if student goals and objectives are
part of their personal visions; it is important that they understand the difference between mission
statement and visioning.

3. Identify and discuss the important factors a supervisor should consider in planning the work of
his or her areas of responsibility.

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to a publicly accessible website, in whole or in part.
 Chapter 7 Supervisory Planning

Supervisors who are well informed about the organization’s goals and objectives will be in a much better
position to integrate their departmental plans with the overall plans for the entire enterprise. Goals and
objectives are essential in planning because these are the targets toward which plans and activities must
be directed. For the most part, supervisors will be involved in developing supportive objectives for their
departments.

In addition, supervisors may be asked at times to participate in long-range planning for major extensions
or additions of facilities, and to contribute ideas for long-term projects and programs. Supervisors will
plan for long-term maintenance and safety programs and other aspects of operations that have an ongoing
impact on the department.

4. Discuss the step-by-step model for management by objectives (MBO). Explain why each step is
crucial if MBO is to be successfully implemented.

Refer to Figure 7.4 on page 217 as a visual of the MBO approach elements. The four elements are:

1. Jointly determine specific, measurable, and verifiable objectives (the foundation of the system)
2. Inputs: identify the resources needed to achieve objectives
3. The activities and processes that must be carried out to accomplish the goal
4. The results, which are evaluated against the objectives.

When employees have a say in what the objectives are, they will feel more ownership because they are
“our goals” as opposed to “their goals.” MBO focuses on the results rather than the techniques used to
achieve those results, but an MBO system is constructed such that all four of these elements are
integrated and must support the others in order to be successful.

5. If you were a supervisor in a small firm that had few policies and procedures and believed that
the organization needed to pursue a TQM program, how would you go about developing a plan
to improve the company’s production processes?

This question is essentially an application exercise. It encourages students to develop their own ideas for
planning a total quality initiative. The instructor may wish to remind students of steps in the decision-
making process described in Chapter 5 that could have a bearing upon how they approach this particular
problem. What a supervisor could, or should, do in such a situation will depend upon the nature and size
of the firm and the degree of decision-making authority the supervisor has to develop a policy to cover
such a situation. While not a new concept, total quality management (TQM) does have major emphasis
upon total organizational efforts toward meeting customer needs and satisfaction. In a macro-sense, the
student should “think outside the box” and develop plans and procedures that would improve the quality,
prevent and correct defects, and maintain a constant vision of continuous improvement.

The key word in the question is “total,” that is, everyone is involved and committed to the process of
quality improvement. In this scenario, the supervisor could play an important role in gathering
information concerning the scope of the problem. The supervisor might try to obtain copies of policies or
procedures that other firms have developed. Our students have found various Internet sources to be
invaluable sources of quality improvement information (see for example, www.qualitydigest.com).

The company should consider including input from customers and vendors as a foundation for their
quality improvement efforts (e.g., have students visit the Sun Microsystems website at www.sun.com and
see how they have instituted customer quality and loyalty satisfaction indexes and other quality
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to a publicly accessible website, in whole or in part.
Chapter 7 Supervisory Planning

initiatives). We strongly urge our students to review this chapter’s Supervisory Tips box before they
establish quality improvement initiatives.

The supervisor might draft a recommendation for a policy and accompanying procedures that could be
suggested to top management. An important part of this effort is to solicit the input from others that are
affected and also give them an opportunity to review the draft recommendation. Material presented in
Chapter 4 stresses that employees want to have ownership. Having an opportunity to contribute and to
review the policy before it is presented to top management gives the employees a sense of
accomplishment.

6. What do you see as the “downside” of a crisis management policy?

For this exercise, engage the class in an open discussion as to how they would suggest handling this
situation. It would also be a good idea to find out what is in place for crisis management at your
university or college campus already, and use that as a basis from which to start or continue a discussion
with the class. Reference Figure 7.8 (Crisis Management Planning) for this skills application.

You may also want to review some existing crisis management plans via the internet, such as:

The National Center for Crisis Management

http://www.universitycrisisresponse.com/contents.htm
Clemson University
http://www.clemson.edu/studentaffairs/deanofstudents/crisismanagement.php
Washing & Lee University:
http://www.wlu.edu/documents/student_affairs/Crisis%20Management%20Plan%20Feb%2008.pdf

ANSWERS TO SKILL BUILDERS

PERSONAL SKILL BUILDER 7-1: PRIOR PLANNING

You might want to review the BLS Survey of Workplace Violence Prevention (http://www.bls.gov) prior
to using this Personal Skill Builder. A Web search will also provide other tips for crisis management.
As referenced in Discussion Question 6 above, there are many crisis management plans available via the
Internet that students may use, and those sources listed in Question 6 can also be used in this skills
application.

Prior to developing a crisis management policy and procedure, students should review the concepts
presented in Figure 7.6. Steps 1, 2, and 3 should serve as the foundation of the planning effort.

Once the policy has been developed, crisis teams should be formed and simulations should be used for
practice, control, and evaluation purposes. Problems, situations, and decisions are becoming increasingly
complex and interrelated. As such, crisis management is mandatory for every organization. Yet,
through all this, the organization must speak with one voice.

Many colleges and universities have initiated course work dealing with organization security. Many
employees have also taken crisis management workshops. In studying a number of campus shootings,
the U.S. Secret Service and U.S. Education Department study concluded that “no one single profile fit the
shooters and that many were depressed and had difficulty coping with ‘significant losses or personal

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to a publicly accessible website, in whole or in part.
 Chapter 7 Supervisory Planning

failures.’” Professor Shane Jimerson of the University of California – Santa Barbara has helped develop
one such workshop. Security training and monitoring will help but awareness of where you are and what
is going on around you – vigilance – is a must. Do your students have a sense of awareness,
understanding, and watchfulness? How many have witnessed student behavior such as that cited in the
PSB?

PERSONAL SKILL BUILDER 7-2: GETTING CONTROL OVER ORGANIZATIONAL

SUCCESS

Organizations need to develop a mental image of what they are and what they want to become. They
need to assess what they have to do in order to fulfill the goals and ideals that they hope to accomplish.
This practical real-life exercise will help students realize and appreciate the challenges of success and
failure in an organization. This opportunity to understand why some organization succeeded and some
failed will be based on many of the responses that they learn during the interview process. This is a
powerful exercise to have students appreciate the content of this chapter.

PERSONAL SKILL BUILDER 7-3: THINKING OUTSIDE THE BOX

Look at the nine dots in Personal Skill Builder 7-3.

The students were asked to connect all nine dots by drawing only four straight lines.
Rule # 1: You must draw four and only four straight lines.
Rule # 2: You must not retrace a line previously drawn.
Rule # 3: Once you begin drawing, you may not remove your pencil or pen from the
page as you draw.

In order to accomplish this skills application, students must “go outside the box.” Student thinking is
often limited to the box. Look at the arrangement of the nine dots. It would be very easy to draw two
horizontal and two vertical lines and you would have a box.

As I am unable to graphically portray the correct response, let me explain it. (1) Start in the top row,
upper left hand corner and number the dots in that row 1, 2, 3. On the middle line starting on the left side
number the dots in the middle row 4, 5, 6. On the bottom line starting on the left side number those dots
7, 8, 9. (2) Begin at dot # 1 and draw a straight line vertically through dots # 1, 4, and 7. Continue
drawing this line below dot # 7 to such a point that you can stop and are able to draw a straight line
through dots # 8 and 6. Continue drawing this line on a 45-degree diagonal until you can stop and draw a
horizontal line connecting dots # 3, 2, and 1. From this point draw a diagonal line from dot # 1 though
dots # 5 and 9. Mission accomplished.

Some students will complain that you didn’t tell them that they could go outside the box while others will
complain that the last diagonal line crossed the second line you drew. I remind them to look at the
instructions.

For those that want another exercise, I then instruct them that their mission is to cut this butterscotch pie
(my favorite) into eight pieces making only three cuts. It can be done easily if you think the cuts do not
have to be straight lines. My students know that I have never met a piece of pie that I didn’t like but I
love butterscotch.

TEAM SKILL BUILDER 7-1: What Call Will You Make?

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to a publicly accessible website, in whole or in part.
Chapter 7 Supervisory Planning

Your instructor will cluster the class into groups of six to ten students depending on the class size. Each
group should determine who will play the following roles: Abrigail Connealy; Athletics director King;
and other students who were selected to review the university’s athletics programs and develop a plan of
action (POA) for increasing student attendance and support of the program.

(Note: Alternatively, students could devise a plan to increase attendance and support for music, dance,
and other on-campus performing arts.)

This should be a fun, creative activity for the students. Among the groups you may find the naysayers
who can’t believe there is any time for participation in campus events. Others may have no awareness
that these groups even exist and that their participation is needed and wanted. Athletics may not interest
some students; however, some of the on-campus performing arts activities may relieve personal stress and
add joy to their pressure-packed lives. One question that you might pose is “What does it mean to be
educated?” Perhaps this will help some students reevaluate the value of campus activities.

TEAM SKILL BUILDER 7-2: DEALING WITH PEOPLE YOU MIGHT APPRECIATE: “THE
ADVICE SEEKER

After reading this TSB, be prepared to encourage students to be creative in their approach to the
questions. They are no longer reading about a negative, disgruntled employee, but rather one who is a
leader and team player. Macon supports his employees and solicits their feedback in this crisis situation.
His ability to cope with change that he has no control over is a powerful example for future supervisors.
Students should enjoy responding to this scenario because it is based on the SKAs of effective
supervisors.

ANSWERS TO SUPERVISION IN ACTION QUESTIONS

VIDEO CLIP: Flight 001

The grim reality in mid-2011 was that most Americans did not think they would be able to maintain their
current standard of living, and with 15 million or so unemployed, there were few optimists about job
opportunities. Yet, IBM, Coca-Cola, Google, Intel, and Caterpillar were doing well because of their
international strategies.

1. In 100 words or less, write what you think the mission statement should be.

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to a publicly accessible website, in whole or in part.
 Chapter 7 Supervisory Planning

A mission statement is the purpose or reason for the organization’s existence. Or as Peter Drucker
said, “It answers the question of what business we are really in.” Student-generated mission
statements should include a statement that defines the unique purpose of Flight 001 that sets them
apart from its competitors. It may also define the scope of the company’s operations in terms of
products offered and markets served.

2. What are Flight 001’s major goals? Are they expressed in what by whom if statements? If not,
rewrite what you believe to be the goals.

No, Flight 001’s goals are not expressed in what by whom if statements. Flight 001’s major goals
are expansion and to become the Guru of Travel. Their ultimate goal is to become the travel
authority throughout the world.

3. What kind of planning must Emily do to ensure Flight 001’s continued success and meet its
expansion goals?

The qualities that have made Flight 001’s strategic planning model so successful are to replan,
listen well, react quickly, and take risks. The management team is innovative and entrepreneurial
and does not shy away from the possibility of failure. Specifically, Emily is proud of her
transition from doer to planner in the organization. In her role in Crew Development, she has
learned from positive and negative experiences. Her HR philosophy of promoting employees
from within who understand and embrace the company’s culture is the hallmark of her success.

4. What strategies and plan will need to be in place with regards to identifying and training store
leaders and assistant leaders for the new stores?

Emily has already experienced and is acutely aware of the future growth potential of Flight 001
so she is “stocking the fish pond” with potential leaders; new hires are characterized as strong
store assistants and strong sales associates. Her goal is to promote employees who are strong
leaders and understand the organization’s culture to open new stores world-wide.

5. To FOOD FOR THOUGHT QUESTION: How does retail planning for an organization like
Flight 001 differ from planning in other business sectors, such as manufacturing, finance,
construction, service, and so on. What are the similarities?

Retail planning is ubiquitous and very similar to other business sectors.

This is a good opportunity for team work; have students share their personal experiences in the
various business sectors where they have worked and their similarities to retail operations.

© 2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.