GRAND MARK INTERNATIONAL COLLEGE

MASTER OF BUSINESS ADMINISTRATION PROGRAM

Course- Management theory and practice.

Group assignment.

Assessment of planning process of high-tech companies: A case study of

Google.
Name ID
Anwar Shamil GSR/0297/22
Firehiwot Hailu GSR/0359/22
Getenet Tesfa GSR/0299/22
Hewan Kebede GSR/0369/22
Marsimoy Tamiru GSR/0324/22
Nathanael Chane GSR 0354/22
Tasena Habte GSR/0285/22
Tewahido Genene GSR/0286/22

Instructor’s name - Wondimu T (Asst. Professor &PhD Candidate).

Date- November/2023
 Contents.
1 Introduction. ........................................................................................................................................ 3
1.1 Definitions of planning. .............................................................................................................. 3
1.2 Types of planning. ....................................................................................................................... 4
1.3 Planning process.......................................................................................................................... 5
2 Literature review. ............................................................................................................................... 6
2.1 Introduction ................................................................................................................................. 6
2.2 Planning in high-tech companies. .............................................................................................. 6
3 Planning process: A case study of Google ....................................................................................... 16
3.1 Introduction. .............................................................................................................................. 16
3.2 Types of plans used by Google. ................................................................................................ 16
3.3 Planning process of Google. ..................................................................................................... 16
3.4 Timing of plans. ......................................................................................................................... 17
3.5 Planning techniques. ................................................................................................................. 17
3.6 Forecasting................................................................................................................................. 19
3.7 Approval process. ...................................................................................................................... 19
3.8 Challenges. ................................................................................................................................. 19
3.9 Strength and weakness. ............................................................................................................ 20
3.10 Recommendations. .................................................................................................................... 22
4 Conclusion. ........................................................................................................................................ 22
5 Reference. .......................................................................................................................................... 23
1 Introduction.
Planning means choosing what you want to do, when, where, how and who will do it. Planning
helps you move from your current situation to your desired situation. It involves picking the best
goals, rules, steps and plans from different options. A plan is a set of actions that you have decided
beforehand to reach a certain goal. It is a mental process that requires thinking before doing. It is
a way for managers to prepare for the future and improve their performance. Planning is the most
important task of management[1].

1.1 Definitions of planning.

Planning is a broad concept that has different meanings for different scholars. However, there is a
common element in all the definitions. They all view planning as a guide for action and a way of
achieving a desired outcome. Here are some examples of how different scholars define planning.
Planning is an ongoing process of making strategic decisions with a vision for the future, and
systematically organizing the resources needed to implement these decisions. Moreover,
systematic planning enables an organization to set its goals. The opposite of systematic planning
is decision-making based on past experience. This often leads to reactive management that
involves crisis management, conflict management, and problem-solving. Planning is deciding
what has to be done, by whom, and by when, in order to fulfill one’s assigned duty[2].

Planning is the most basic function of management. Different experts define it in different ways.
However, the following is the most widely used definition of planning: “Planning is the process
of deciding beforehand about the short and long-term objectives of the organization and choosing
the actions for achieving them.” The main purpose of planning is to reduce the risk or challenges
that may affect future operations. From this perspective, planning can be defined as the process of
getting ready for change and dealing with uncertainty by creating the means for reaching goals. It
is proactive decision making that sets organizational goals and determines the methods of
accomplishing them [3].

Planning is the foundation (primacy) of management: planning provides the whole basis for all
future management functions. It comes before the other managerial functions such as organizing,
staffing, directing and controlling, because none of these functions can be done without a plan.
However, it should be noted that the functions of management are interdependent in that no one
function can exist without the other[4].
In general, planning involves identifying objectives, developing programs and actions for
achieving them, creating schedules and timelines for action, and assigning responsibilities for their
execution[5].

Therefore, the term planning is a very broad concept and has different definitions by different
scholars. In this paper, the term plan is used to represent the following definition. Planning is the
process of determining what is required to successfully finish a specific project. Planning in this
context includes planning of time, cost, quality, communication, contract, stakeholder, human
resource, scope and procurement of a specific project.

1.2 Types of planning.

Different activities that we do require different types of plans. We can have plans that are long
term, short term or midterm in a company or an organization. [6]identified three main types of
plans based on their scope or breadth, which is the extent of activities that they cover. Some plans
are very broad and long-term, focusing on the main goals of the organization.

Other plans are more specific and show how the organization will use its resources to achieve those
goals[6].

The three types of plans based on their scope or breadth are: Strategic plans, Tactical plans and
Operational plans.

i. Strategic plans: define the mission, vision and major actions and resources of the
organization. Strategic plans give the organization a general direction for the long term
and lead to the creation of policies. Strategic planning usually considers the external
opportunities and threats and the internal strengths and weaknesses of the organization.
Strategic plans are usually: done by top managers, have a long-term time frame, use
general and vague terms and provide a general guidance for the organization.
ii. Tactical plans: focus on how to develop and execute strategies. As mentioned earlier,
strategic plans show what the organization wants to be in the future; while tactical plans
show how to achieve that. Tactical plans involve implementing activities and allocating
resources that are necessary for reaching the organization’s goals. They mainly focus
on short-term actions and resource allocation
 iii. Operational plans: are the most concrete and precise plans, concentrating on the daily
and weekly tasks of the organization. These plans consist of: production timelines, sales
strategies, teaching outlines, and so on.

1.3 Planning process.

The planning processes set goals and decide how to achieve them and the project’s scope[7].

The process of planning is a crucial skill for any organization or individual who wants to achieve
their goals effectively and efficiently. Planning involves the following steps:

Defining goals: Determining the organization’s objectives and giving clear directions for achieving
them. This step helps to clarify the purpose and scope of the plan, as well as the expected results
and benefits. For example, a goal for a company might be to increase its market share by 10% in
the next year.

Identifying assumptions: Establishing the assumptions about the situation and the environment in
which the plans will be executed. This step helps to identify the factors that might affect the plan,
such as the availability of resources, the competition, the customer demand, the legal regulations,
etc. For example, an assumption for a company might be that the demand for its products will
remain stable in the next year.

Choosing alternatives: Evaluating the possible courses of action and their advantages,
disadvantages and outcomes. This step helps to compare and contrast different options and select
the most feasible and effective one. For example, an alternative for a company might be to launch
a new product line or to expand into a new market.

Developing supporting plans: Developing the subsidiary plans that complement the main plan and
cover different aspects, levels and activities of the organization. This step helps to break down the
main plan into smaller and more manageable units, such as functional plans, operational plans,
tactical plans, etc. For example, a supporting plan for a company might be to develop a marketing
strategy or to hire new staff.

Ensuring cooperation and involvement: Engaging operations people in the planning process and
ensuring their cooperation and participation. This step helps to communicate the plan to all the
stakeholders and get their feedback and input. It also helps to motivate and empower them to
execute the plan effectively. For example, a way to ensure cooperation and involvement for a
company might be to hold regular meetings or to create a reward system.

Monitoring and revising: Monitoring and updating the plans to ensure their suitability and
efficiency and modifying them based on new facts. This step helps to track the progress and
performance of the plan and make adjustments as needed. It also helps to evaluate the outcomes
and learn from the experience. For example, a way to monitor and revise for a company might be
to use key performance indicators or to conduct surveys.

2 Literature review.
2.1 Introduction
High-tech companies are constantly innovating and evolving, which can make it difficult to plan
for the future. However, planning is essential for ensuring that these companies are able to achieve
their goals and remain competitive. The future of high-tech companies is shaped by various factors,
such as macroeconomic conditions, technological trends, customer preferences, regulatory
environment, and competitive landscape. These factors can create both challenges and
opportunities for high-tech companies in the coming decade. In this paper, we will explore some
of the key tech trends that will impact the future of high-tech companies, such as digital
connectivity, distributed infrastructure, next-generation computing, and artificial intelligence. We
will also discuss how high-tech companies can leverage these trends to create value for their
customers, stakeholders, and society[8].

2.2 Planning in high-tech companies.

Capacity planning

Capacity planning in the high-tech industry is a challenging task due to a number of factors,
including[5]:

• Volatile and non-stationary demand: High-tech products often have short product
lifecycles and are subject to rapid technological change, which can lead to unpredictable
demand patterns.
 • Complex production processes: High-tech products are often manufactured using complex
and sophisticated processes, which can be difficult to scale up or down quickly.
• Long lead times: The lead times for procuring raw materials and components for high-tech
products can be long, making it difficult to respond quickly to changes in demand.
• High acquisition costs: The cost of acquiring new production capacity can be very high in
the high-tech industry.

To cope with these challenges, high-tech companies need to carefully plan their capacity needs.
This involves forecasting demand, assessing current capacity, and developing a plan to meet future
demand requirements.

There are a number of different capacity planning strategies that high-tech companies can use. One
common strategy is to invest in excess capacity. This means that the company has more production
capacity than it currently needs. This can help to buffer against unexpected demand surges and
also allows the company to respond quickly to new product opportunities.

Another strategy is to use outsourcing. This involves outsourcing some or all of the production
process to a third-party supplier. This can help to reduce the cost of production and also give the
company more flexibility to scale its capacity up or down as needed.

Finally, high-tech companies can also use modular product design. This means that products are
designed in a way that makes it easy to add or remove features. This can help to reduce the amount
of capital investment required to produce new products[9].

In addition to capacity planning, high-tech companies also need to plan their inventory levels[10].
This involves determining the optimal amount of inventory to hold in order to meet customer
demand while minimizing costs.

Inventory buildup planning is especially important for high-tech companies because of the high
cost of inventory. High-tech products are often expensive to produce and can have short product
lifecycles. This means that companies need to be careful not to overstock inventory, as this can
lead to obsolescence and write-downs.
There are a number of different inventory buildup planning strategies that high-tech companies
can use. One common strategy is to use safety stock. This is a buffer stock of inventory that is held
to protect against unexpected demand surges.

Another strategy is to use just-in-time (JIT) inventory. This involves holding only the inventory
that is needed to meet immediate customer demand. This can help to reduce inventory costs, but it
is important to have a reliable supply chain in place in order to avoid stockouts.

Finally, high-tech companies can also use vendor-managed inventory (VMI). In this arrangement,
the supplier is responsible for managing the company's inventory levels. This can free up the
company's resources and help to improve inventory efficiency[10].

Production planning in the high-tech industry.

Production planning in the high-tech industry is crucial for operational efficiency and success.
Operational decisions related to production planning include[11]:

• Forecasting demand: Accurate forecasting of demand is essential for planning production

levels and ensuring that products are available to meet customer needs.
• Scheduling production: Production scheduling involves allocating resources, such as
equipment, labor, and materials, to produce products on time and in the correct quantities.
• Managing inventory: Inventory management involves ensuring that the right number of
materials and products are on hand to meet demand without incurring excessive costs.

Capacity expansion and inventory buildup.

Production planning decisions need to be aligned with capacity expansion and inventory buildup
decisions in multi-echelon systems. Multi-echelon systems are supply chains with multiple levels
of inventory, such as warehouses, distribution centers, and retail stores.

Capacity expansion decisions involve determining how much production capacity to add or
remove to meet future demand. Inventory buildup decisions involve determining how much
inventory to hold at each level of the supply chain[12].
Strategic long-term resource planning.

High-tech firms need to engage in strategic long-term resource planning to ensure that they have
the resources they need to meet future demand and maintain a competitive advantage. This
includes considering factors such as[12]:

• Expansion lead time: The time it takes to expand production capacity or build new
manufacturing facilities.
• System performance: The performance of existing production and logistics systems,
including factors such as throughput, efficiency, and reliability.

By considering these factors, high-tech firms can optimize resource allocation and minimize costs
over the long term.

Backlogging management.

Backlogging, or the accumulation of unfulfilled orders, is an important aspect of planning in the

high-tech industry. High-tech products are often complex and have short product lifecycles, which
can make it difficult to accurately forecast demand. As a result, backlogging can be a common
occurrence in the high-tech industry.

Minimizing backlogging costs and ensuring timely order fulfillment are key objectives in planning.
High-tech firms can use a variety of strategies to manage backlogging, such as [13]:

• Prioritizing orders: Prioritizing orders based on factors such as customer importance,

profitability, and due date.
• Offering incentives for early orders: Offering customers incentives, such as discounts or
early delivery, to place orders in advance.
• Expanding capacity: Expanding production capacity to reduce the time it takes to fulfill
orders.

Incorporating modeling.

High-tech firms are exploring ways to incorporate modeling techniques proposed in research
papers into their strategic long-term resource planning processes. Modeling can help firms to better
understand the complex dynamics of the high-tech industry and make more informed decisions.
For instant, high-tech firms can use modeling to[13]:

• Simulate different production scenarios: Simulating different production scenarios can

help firms to identify the optimal production plan to meet future demand.
• Assess the impact of capacity expansion and inventory buildup decisions: Modeling can
help firms to assess the impact of capacity expansion and inventory buildup decisions on
costs and customer satisfaction.
• Identify and mitigate potential risks: Modeling can help firms to identify and mitigate
potential risks to production, such as supply chain disruptions and technological changes.

By incorporating modeling into their strategic long-term resource planning processes, high-tech
firms can make better decisions and improve their overall performance.

Here are some additional examples of how high-tech firms are using production planning to
improve their operations[4]:

• Using artificial intelligence (AI) to forecast demand: AI can help high-tech firms to more
accurately forecast demand by analyzing historical data, market trends, and other factors.
• Using machine learning (ML) to optimize production scheduling: ML can help high-tech
firms to optimize production scheduling by considering factors such as equipment
availability, labor costs, and due dates.
• Using digital twins to simulate production processes: Digital twins are virtual replicas of
physical production systems. High-tech firms can use digital twins to simulate production
processes and identify areas for improvement.

By using these and other innovative techniques, high-tech firms are able to improve their
production planning processes and gain a competitive advantage.

Strategic Planning in Small High-Tech Companies.

Strategic planning is an important process for small high-tech companies, as it guides and controls
their long-term growth and development. It helps companies to[14]:

• Define their mission and vision

 • Set goals and objectives

• Identify and assess their strengths, weaknesses, opportunities, and threats (SWOT analysis)

• Develop strategies to achieve their goals

• Create a plan to implement their strategies

• Monitor and evaluate their progress

The strategic planning process in small high-tech companies is often less formal than in larger
companies. However, it is still important for small companies to have a plan in place.

Conducting in-depth interviews.

One way to gather information for strategic planning is to conduct in-depth interviews with a
representative sample of employees. This can help to identify the company's strengths,
weaknesses, opportunities, and threats, as well as the needs and concerns of employees[15].

Considering previous experience.

The previous experience of the entrepreneur and the presence of a diversified management team
can also influence the strategic planning process. Entrepreneurs with more experience are more
likely to have a clear vision for the company and to be able to develop effective strategies. A
diversified management team can provide different perspectives and expertise, which can be
helpful in developing and implementing strategic plans[15].

Preparing business plans.

Written business plans are prepared infrequently in small high-tech companies. However, they can
be helpful for securing external funding during the early stages of the company. Business plans
typically include information about the company's mission, vision, goals, objectives, strategies,
and financial projections[8].

Employing strategic management techniques.

More sophisticated strategic management techniques, such as formal strategic review sessions, are
more likely to be employed by small firms that have successfully grown through their life cycle.
These techniques can help companies to stay on track and to make necessary adjustments to their
strategic plans as needed[10].

Strategy meetings.

Strategy meetings are a common way for small high-tech companies to discuss and decide on
marketing, management, RD, and courses of action. These meetings typically involve key
stakeholders from different departments within the company[14].

Overall, strategic planning in small high-tech companies is an important process that can help
companies to achieve their long-term goals and objectives. It is important for small companies to
develop a strategic plan that is tailored to their specific needs and resources[14].

Planning Process in High Tech.

The planning process in high-tech projects involves a strategic planning framework based on IT
diffusion for maximizing the value of investments in strategic capabilities. IT diffusion is the
process by which new technologies are adopted and used by organizations and individuals.

The essential steps in this framework include[16]:

• Environmental scan: This involves identifying and assessing the key external factors that
will impact the project, such as technological trends, market conditions, and regulatory
requirements.

• Internal scrutiny: This involves assessing the organization's internal capabilities and
resources, such as its IT infrastructure, budget, and personnel.

• IT diffusion analysis: This involves analyzing the factors that will influence the adoption
and use of the new technology, such as its relative advantage, complexity, and
compatibility.

• IT investment modeling: This involves developing financial models to assess the costs and
benefits of the proposed investment.

It is important to periodically update the evaluation process to accommodate unanticipated aspects

of the investment. This can be done by surveying actual users to identify their needs and concerns.
Tracking an IT implementation from the planning phase through its entire life cycle allows for
necessary monitoring and capturing both predicted and unpredicted losses and benefits from IT
projects. This information can be used to improve future IT planning decisions.

Assessing the business value of IT is a crucial step in the strategic planning framework for high-
tech projects. This involves identifying and measuring the ways in which IT investments contribute
to the organization's overall goals and objectives.

To future explain each step in the framework:

Environmental scan

The environmental scan should identify and assess the key external factors that will impact the
project. [17]: The project can be affected by various factors, such as technological trends, market
conditions, and regulatory requirements. Some of the new technologies in the industry could have
positive or negative impacts on the project, depending on how they are used and adopted. The
market conditions could also influence the project’s success, as they reflect the demand, supply,
and competition in the industry. The regulatory requirements could pose challenges or
opportunities for the project, as they set the standards and rules for the industry.

Internal scrutiny.

The internal scrutiny should assess the organization's internal capabilities and resources. This
includes factors such as[17]: The project depends on various factors, such as IT infrastructure,
budget, and personnel. The organization’s IT infrastructure could enable or constrain the project,
depending on its quality and capacity. The budget could also affect the project’s feasibility, as it
determines the resources available for the project. The personnel could also influence the project’s
outcome, as they provide the skills and experience needed for the project.

IT diffusion analysis.

The IT diffusion analysis should analyze the factors that will influence the adoption and use of the
new technology. This includes factors such as: [17] The new technology has various
characteristics, such as relative advantage, complexity, and compatibility. The relative advantage
refers to the benefits of the new technology over existing technologies, which could motivate the
users to adopt it. The complexity refers to the difficulty of using the new technology, which could
discourage the users from adopting it. The compatibility refers to the degree of fit between the new
technology and existing technologies, which could facilitate or hinder the integration of the new
technology.

IT investment modeling.

The IT investment modeling should develop financial models to assess the costs and benefits of
the proposed investment. This includes factors such as[17]:The new technology involves various
costs and benefits, such as development costs, implementation costs, support costs, and benefits.
The development costs refer to the expenses incurred in creating the new technology, such as
research, design, and testing. The implementation costs refer to the expenses incurred in deploying
the new technology, such as installation, training, and configuration. The support costs refer to the
expenses incurred in maintaining the new technology, such as updates, repairs, and
troubleshooting. The benefits refer to the potential advantages of the new technology, such as
improved performance, efficiency, and quality.

Periodic evaluation.

It is important to periodically update the evaluation process to accommodate unanticipated aspects

of the investment. This can be done by surveying actual users to identify their needs and concerns.
This information can be used to make necessary adjustments to the project plan[17].

Tracking IT implementation.

Tracking an IT implementation from the planning phase through its entire life cycle allows for
necessary monitoring and capturing both predicted and unpredicted losses and benefits from IT
projects. This information can be used to improve future IT planning decisions[17].

Assessing business value of IT.

Assessing the business value of IT is a crucial step in the strategic planning framework for high-
tech projects. This involves identifying and measuring the ways in which IT investments contribute
to the organization's overall goals and objectives. This can be done by tracking metrics such as[17]:

• Increased revenue

• Reduced costs
 • Improved efficiency

• Improved customer satisfaction

• New product and service development

By following this strategic planning framework, organizations can maximize the value of their
investments in high-tech projects.
3 Planning process: A case study of Google
3.1 Introduction.
Google is a multinational technology company that specializes in Internet-related services and
products, such as online advertising, search engine, cloud computing, software, and hardware. It
is one of the world’s most valuable companies, with a market capitalization of over 1.5 trillion US
dollars as of October 2023[18].

3.2 Types of plans used by Google.

Google uses a variety of plans, including:

Strategic plan: This is a long-term plan that outlines Google’s overall goals and objectives. It is
developed by top management and approved by the board of directors. It guides the direction and
scope of Google’s activities and aligns them with its mission and vision. Some of the strategic
goals of Google are to organize the world’s information, make it universally accessible and useful,
and provide the best user experience[19].

Business plans: These plans are developed for each of Google’s business units. They outline the
unit’s specific goals, objectives, and strategies. They also include financial projections, market
analysis, and performance indicators. Some of the business units of Google are Google Cloud,
YouTube, Google Ads, Google Play, and Google Search[20].

Product plans: These plans are developed for each of Google’s products. They outline the product’s
features, functionality, and target market. They also include product roadmaps, user feedback, and
competitive analysis. Some of the products of Google are Gmail, Google Maps, Google Photos,
Google Assistant, and Google One[21].

Project plans: These plans are developed for specific projects, such as new product launches or
marketing campaigns. They outline the project’s scope, timeline, budget, resources, deliverables,
and risks. They also include project milestones, tasks, dependencies, and status updates. Some of
the recent projects of Google are Android 12, Pixel 6, and Project Taara[20].

3.3 Planning process of Google.

Google's planning process is iterative and ongoing. It begins with the development of the strategic
plan, which is then cascaded down to the business unit and product levels. At each level, managers
develop more detailed plans that align with the overall strategic plan. The strategic plan is based
on Google's mission and vision, as well as its analysis of the external and internal environment[19].

The planning process involves a variety of stakeholders, including:

• Top management: Responsible for setting the overall strategic direction of the company
and approving the strategic plan. They also communicate the plan to the rest of the
organization and monitor its progress.
• Business unit managers: Responsible for developing and implementing business plans.
They also coordinate with other business units and align their plans with the strategic plan.
For example, the Google Cloud business unit has a business plan that outlines its goals,
strategies, and metrics for growing its cloud services[20].
• Product managers: Responsible for developing and implementing product plans. They also
collaborate with engineers, designers, marketers, and other stakeholders to deliver high-
quality products that meet user needs and expectations. For example, the Gmail product
manager has a product plan that outlines the features, functionality, and target market of
Gmail[20].
• Project managers: Responsible for developing and implementing project plans. They also
manage the project scope, timeline, budget, resources, deliverables, and risks. They also
use various tools and methods to plan and execute projects effectively. For example,
Google uses design sprints[21], a five-day process for solving problems and testing new
ideas, to innovate and launch new products.

3.4 Timing of plans.

Google's strategic plan is typically updated on an annual basis. Business plans are typically updated
on a quarterly basis, and product plans are typically updated on a monthly basis. Project plans can
vary in length depending on the size and complexity of the project. For example, a project plan for
launching a new feature may take a few weeks, while a project plan for launching a new product
may take a few months.

3.5 Planning techniques.

Google uses a variety of planning techniques, including:
• Brainstorming: This technique is used to generate a large number of ideas for a particular
topic. Google uses brainstorming to encourage creativity and innovation among its
employees. For example, Google allows its employees to spend 20% of their time on
projects that interest them, which often leads to new products and features[19].
• Delphi technique: This technique is used to gather expert opinions on a particular topic.
Google uses the Delphi technique to solicit feedback from its users and stakeholders. For
example, Google uses surveys, focus groups, and user testing to collect data and insights
on its products and services[19].
• SWOT analysis: This technique is used to identify the company's strengths, weaknesses,
opportunities, and threats. Google uses SWOT analysis to evaluate its internal and external
environment and formulate its strategies. For example, Google's strengths include its brand
recognition, innovation, and market share; its weaknesses include its dependence on
advertising revenue, privacy issues, and antitrust regulations; its opportunities include
expanding into new markets, developing new products, and acquiring new technologies;
and its threats include competition, cyberattacks, and changing user preferences[20].
• PEST analysis: This technique is used to identify the political, economic, social, and
technological factors that may affect the company. Google uses PEST analysis to assess
the macro-environmental factors that influence its operations and performance. For
example, Google's political factors include the laws and regulations of different countries,
such as censorship, taxation, and data protection; its economic factors include the global
economic conditions, such as growth, inflation, and exchange rates; its social factors
include the demographics, culture, and values of its users and employees; and its
technological factors include the trends and innovations in the internet industry, such as
artificial intelligence, cloud computing, and mobile devices[20].
• Force field analysis: This technique is used to identify the forces that are driving and
restraining change in the company. Google uses force field analysis to analyze the pros and
cons of implementing a change initiative. For example, Google's driving forces for
adopting a remote work policy include increasing employee satisfaction, productivity, and
diversity; while its restraining forces include reducing collaboration, communication, and
culture[21].
3.6 Forecasting.
Google uses a variety of forecasting techniques, including:

• Time series analysis: This technique uses historical data to predict future trends. Google
uses time series analysis to forecast its revenue, traffic, and user behavior. For example,
Google uses time series analysis to estimate the seasonal fluctuations in its advertising
revenue.
• Causal forecasting: This technique uses relationships between different variables to predict
future trends. Google uses causal forecasting to understand the impact of various factors
on its outcomes. For example, Google uses causal forecasting to measure the effect of its
marketing campaigns on its brand awareness.
• Judgmental forecasting: This technique relies on the opinions of experts to predict future
trends. Google uses judgmental forecasting to incorporate human intuition and experience
into its predictions. For example, Google uses judgmental forecasting to anticipate the
demand for new products or features.

3.7 Approval process.

Google's planning process is bottom-up, meaning that plans are developed at the business unit and
product levels and then approved by top management. Google follows a principle of "freedom with
responsibility", which means that employees have autonomy and flexibility in their work but also
accountability for their results. Google's approval process is based on data-driven decision making,
peer review, and feedback loops.

3.8 Challenges.
Some of the major challenges of Google's planning process include:

• Complexity: Google is a complex organization with a wide range of products and services,
such as online advertising, search engine, cloud computing, software, and hardware. This
can make it difficult to develop and implement a coordinated planning process that covers
all the aspects of the business. For example, Google has to balance the needs and
expectations of different stakeholders, such as users, advertisers, developers, regulators,
 and competitors. Google also has to deal with the challenges of managing a large and
diverse workforce that spans across different countries and cultures.
• Uncertainty: The technology industry is constantly changing and evolving. This can make
it difficult to forecast future trends and develop effective plans that can adapt to the
changing environment. For example, Google has to cope with the emergence of new
technologies, such as artificial intelligence, blockchain, and quantum computing. Google
also has to respond to the changes in user behavior, preferences, and needs. Google also
has to anticipate the risks and opportunities that may arise from the political, economic,
social, and legal factors that affect the industry.
• Alignment: It can be difficult to ensure that all of Google's plans are aligned with the
overall strategic plan that guides the direction and scope of the company. For example,
Google has to align its business plans with its strategic plan that outlines its mission, vision,
values, and goals. Google also has to align its product plans with its business plans that
outline its strategies and tactics. Google also has to align its project plans with its product
plans that outline its features and functionality. Google also has to ensure that its employees
are aligned with its plans and share a common understanding and commitment.

3.9 Strength and weakness.

Some of the strengths of Google’s planning process include:

• Participation: Google involves a variety of stakeholders in the planning process, such as

top management, business unit managers, product managers, project managers, engineers,
designers, marketers, and users. This helps to ensure that all perspectives are considered
and that plans are realistic and achievable. For example, Google uses brainstorming
sessions, surveys, focus groups, and user testing to generate and validate ideas for new
products and features.

• Data-driven: Google uses a variety of data to inform its planning decisions, such as
historical data, market analysis, user feedback, and competitive intelligence. This helps to
ensure that plans are based on sound evidence and can be measured and evaluated. For
example, Google uses time series analysis, causal forecasting, and judgmental forecasting
to predict future trends and outcomes.
 • Flexible: Google’s planning process is flexible and can be adapted to changing
circumstances. Google follows a principle of “freedom with responsibility”, which means
that employees have autonomy and flexibility in their work but also accountability for their
results. Google’s plans are not rigid or fixed, but rather dynamic and iterative. For example,
Google uses design sprints, a five-day process for solving problems and testing new ideas,
to innovate and launch new products quickly and effectively.

Some of the weaknesses of Google’s planning process include:

• Complexity: Google’s planning process can be complex and time-consuming. Google is a

large and diverse organization with a wide range of products and services. This can make
it difficult to coordinate and integrate the planning process across different levels and units.
For example, Google has to balance the needs and expectations of different stakeholders,
such as users, advertisers, developers, regulators, and competitors. Google also has to deal
with the challenges of managing a global and distributed workforce that spans across
different countries and cultures.

• Uncertainty: Google’s plans can be disrupted by unexpected changes in the technology

industry. The technology industry is constantly changing and evolving. This can make it
difficult to forecast future trends and develop effective plans that can adapt to the changing
environment. For example, Google has to cope with the emergence of new technologies,
such as artificial intelligence, blockchain, and quantum computing. Google also has to
respond to the changes in user behavior, preferences, and needs. Google also has to
anticipate the risks and opportunities that may arise from the political, economic, social,
and legal factors that affect the industry.

• Alignment: It can be difficult to ensure that all of Google’s plans are aligned with the
overall strategic plan that guides the direction and scope of the company. For example,
Google has to align its business plans with its strategic plan that outlines its mission, vision,
values, and goals. Google also has to align its product plans with its business plans that
outline its strategies and tactics. Google also has to align its project plans with its product
plans that outline its features and functionality. Google also has to ensure that its employees
are aligned with its plans and share a common understanding and commitment.
3.10 Recommendations.
Some recommendations for improving Google’s planning process include:

• Invest in planning tools and technologies: Google could invest in planning tools and
technologies to help streamline the planning process and improve communication and
collaboration between stakeholders. For example, Google could use tools like Sheets,
Groups, Calendar, Drive, Sites, Slides, Docs, Meet, etc., to create dynamic project plans
and Gantt charts, communicate with team members using one address, manage project
schedules, store and share digital assets, build project websites, create impactful
presentations, collaborate on documents, and hold video meetings with remote team
members.

• Develop a more robust planning process for new products and services: Google could
develop a more robust planning process for new products and services that involves more
rigorous testing and validation before launching them to the market. For example, Google
could use tools like Vertex AI Data Labeling for unstructured data, Vertex AI Feature Store
for structured data, BigQuery for storing structured data, Cloud Storage for storing
unstructured data, and Vertex AI Prediction Service for deploying machine learning
models, to prepare training data, store data, and implement machine learning on Google
Cloud. Google could also use tools like Firebase Test Lab for testing Android apps, Cloud
Test Lab for testing web apps, and Cloud Monitoring for monitoring app performance, to
test and monitor their apps before launching them to the users.

4 Conclusion.
In conclusion, Google and other high-tech firms face various challenges and opportunities
in developing and launching new products and services. To ensure quality and reliability,
they could adopt more rigorous testing and validation processes using various tools and
technologies. To cope with uncertain and fluctuating demand, they could make optimal
decisions regarding capacity expansion, inventory buildup, and backlogging. To achieve
long-term success and competitive advantage, they could engage in strategic resource
planning and allocation.
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