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The basic planning process is a six-step process. The basic steps are (1) situational analysis, (2) alternative goals and plans, (3) goal and plan evaluation, (4) goal and plan selection, (5) implementation, and (6) monitor and control. This process is used repeatedly because business circumstances change. For Boeing, a change of this nature could be a different political party in power that wants to grow its military base or develop new technologies for space exploration. Whatever the change, Boeing must use the planning function of management and steps to ascertain what direction the company should take. Different types of planning are performed by managers of different levels (Bateman & Snell, 2009). The Boeing senior top-level executives with oversight by the board of directors are responsible for the strategic and contingency planning of the company (Boeing, 1995-2010). The goals and plans developed in strategic planning typically involve company growth, profits, investments, productivity, customer service, and communities (Bateman & Snell,
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Information relevant to the issue is collected, interpreted, and then summarized. During the analysis the past is compared to present conditions, and then an attempt at forecasting the future is made. After all relevant material and issues are considered and the managers recognize what needs to be done, they are ready to move to the next step of the planning process.
The second step in strategic planning is a creative process in which several goals and plans that are aligned with the company’s goals, are suggested. The goals should be SMART, which is an acronym for specific, measurable, attainable, realistic, and timely. The managers consider alternative plans such as single-use, standing, and contingency plans. Next, each goal and plan is evaluated. The pros, cons, and trade-offs are examined and all possible effects resulting from each is considered. The selection of the plan and goal that works best for the company is the fourth step of the planning …show more content…
If economic conditions are poor, many people will take less expensive means of travel. The airline industry will slow down and this will slow down orders for aircraft. Boeing relies on planning and contingency planning to create a strategy to make a profit when economies are in a downturn and demand for products decreases. Technology can affect planning management because it may require specialized resources. Boeing must use strategic, tactical, and operational planning in the design and development of a new aircraft or defense system. Another factor that affects planning management is competition. Boeing’s major competitors are Airbus, Lockheed Martin Corporation, and Northrop Grumman Corporation. Boeing uses planning management to develop strategies to give Boeing a competitive advantage over its competitors by developing new products and services to satisfy the customer’s
Information relevant to the issue is collected, interpreted, and then summarized. During the analysis the past is compared to present conditions, and then an attempt at forecasting the future is made. After all relevant material and issues are considered and the managers recognize what needs to be done, they are ready to move to the next step of the planning process.
The second step in strategic planning is a creative process in which several goals and plans that are aligned with the company’s goals, are suggested. The goals should be SMART, which is an acronym for specific, measurable, attainable, realistic, and timely. The managers consider alternative plans such as single-use, standing, and contingency plans. Next, each goal and plan is evaluated. The pros, cons, and trade-offs are examined and all possible effects resulting from each is considered. The selection of the plan and goal that works best for the company is the fourth step of the planning …show more content…
If economic conditions are poor, many people will take less expensive means of travel. The airline industry will slow down and this will slow down orders for aircraft. Boeing relies on planning and contingency planning to create a strategy to make a profit when economies are in a downturn and demand for products decreases. Technology can affect planning management because it may require specialized resources. Boeing must use strategic, tactical, and operational planning in the design and development of a new aircraft or defense system. Another factor that affects planning management is competition. Boeing’s major competitors are Airbus, Lockheed Martin Corporation, and Northrop Grumman Corporation. Boeing uses planning management to develop strategies to give Boeing a competitive advantage over its competitors by developing new products and services to satisfy the customer’s