University of Cebu

College of Engineering
Special Chapter

PLANNING
Menorias, Lucelito
Ybas, Joy P.

Topic Outline:
I. Types Of Planning
II. The Inexact nature of Strategic Planning
III. Planning Roles of Engineering Managers
IV. Tools For Planning
V. Planning Activities
VI. Some Specific Advice On Planning

Types Of Planning
1)

Strategic Planning
* Also called as Discovery-driven

planning

2) Operational Planning
* Also called as Platform-based
planning

The Inexact Nature of Strategic

Planning
Major Difficulties of Strategic Planning can be traced
back to three inherent characteristics of such planning:
1) Prediction of the Future.

2) Applicable experience and insight.

3) Random Process of strategy making.

Strategic plans often fail due to the following

reasons:
1) Not thinking strategically.
2) Failure to identify critical success factors for the company.
3) Not having both an internal and external focus.
4) Lack of long-term commitment from company management.
5) Reluctance of senior management to accept responsibility for
tough decisions.
6) Not leaving enough flexibility in the plans, causing difficulties in
adjusting to the changing environment.
7) Failure to properly communicate the plan and thus not
securing support and management buy-in.

Planning Roles of Engineering Managers

1)Assist Their Own Superiors in Planning
Includes:
(a) analyzing hard data
(b) offering alternative interpretations to data
available
(c) raising insightful questions to challenge
conventional assumptions
(d) communicating the resulting outputs of planning
to help effectuate buy-in from others

2)Ask for Support from Subordinates

3)Develop Active Plans
(a) Time management

(b) Projects and programs

(c) Corporate know-how
(d) Proactive tasks

Tasks include:
a) Utilizing new technologies to simplify and enhance the
products and services of the company.
b) Looking for business partners to form supply chains.
c) Offering new or enhanced services to customers.
d) Initiating new programs to promote healthy customer
relationships.
e) Developing new products with upgrade attributes.
f) Reengineering and simplifying specific operational
processes to increase efficiency.
g) Outsourcing specific task to augment cost effectiveness.

Tools For Planning

1)Market Research
(a) polling by questionnaires
(b) product concept testing
(c) focus groups
(d) pilot testing

2)S.W.O.T. Analysis ( Strength, Weakness,

Opportunities, Threats )

3)Financial What-If Analysis and Modeling

4)Performance benchmarks
(a) Customer-related measures
(b) Process-related measures
(c) Financial measures
(d) Employee-related measures
(e) Competition-related measures

5)

Technology Forecasting

6) Product-Life Cycle Analysis

Planning Activities
1)Forecasting
May be implemented by using the ff. steps:
a) Identify
b) Determine
c) Select
i. Mechanical Projection
ii. Analytical Projection
d) Forecast
e) Prepare
f) Adjust
g) Assure

2)Action Planning
Mandates engineering managers to take the ff.
specific steps:
a) Analyze Critical Needs
b) Define Specific Objectives
c) Define Standards
d) Define Key Action Steps
e) Create a Schedule
f) Develop a budget

3)Issuing Policies
Characteristics of a policy:
a) applies uniformly to the organization at large
b) remains relatively permanent, unless and until
repeated
c) fosters the objectives of the company
d) frees managers and employees to focus on important
matters
e) encourages effective teamwork by reducing
disagreements conflicts, and differences in
interpretation
f) is issued by top management or authorized managers
with perspective, balance and objectivity

Establishing Procedures
Techniques for developing procedures includes:
1) Concentrating on procedures for critical work
2) Charting the work required
3) Reviewing work characteristics carefully
4) Proposing procedures in the context of existing
objectives, policies, and programs
5) Defining improvements to procedures and updating
them regularly
6) Formulating the procedures in writing
7) Communicating with all affected parties

Some Specific Advice on Planning

1) Assumptions
2) People
3) Benefit versus Cost
4) Small but Sure Steps
5) Contingency Planning
6) Commitment

CASE 2.3:
Joe Engineer took a graduate school course at SUNYBuffalo where he learned the importance of planning. Joe
knows that luck plays a big role in ones life. But he is
convinced that proper planning will help him to have an
orderly progression in his career. He thinks that it would
be cool to become a CEO of a publicly owned,
multinational company at the age of 60 and retire at 65
with a net worth of $5M. He wants some guidance with
career planning.
How can you help him?