Introduction
Undoubtedly, planning is a very essential tool for success of any organization; may it be for profit or not for profit. As a matter of fact, planning takes different course depending on the nature of activities that are undertaken within a given organization. In this context, the term “planning” is used to refer to looking into the future and establishing courses of actions that will be followed. To be more precise, the term refers to a comprehensive programme considering future course of accomplishment. Arguably, there are two major planning techniques which most managers employ in propelling forward their organizations; project management and scenario planning, (Godet, 2006).
Scenario planning
Generally, this technique involves an attempt to study the future by trying to comprehend the nature as well as the effect of indecisive and crucial driving forces that have an impact on the globe. Notably, it is usually used in drawing long-term flexible plans. Scenario planning allows managers to focus on various external uncertainties as well as trends which can significantly affect their organization, to define the future, (Gill, 2006). Therefore, this particular technique can be very effective for organizations operating in a very dynamic environment; for instance, banking or rather financial institutions. It should also be noted that, this is a technique encourages exchange of knowledge as well as advancing of shared deeper perceptive of crucial matters or rather issues to the future of an organization.
Project management
The term “project management” is used in this context to refer to a cautiously planned and structured effort to achieve a successful project. It involves devising plans for projects which includes the definition and confirmation of the objectives and goals of the project, identification of undertakings as well as how achievement of the goals will be made possible, quantification of resources that would be required for the project, as well as establishing the time span and budgets for completing the project, (Harold, 2009). Additionally, management of implementation plans as well as other regular controls is very essential in project management. Unlike scenario planning, project management has some degree of inflexibility as it is difficult to change plans depending on conditions that may arise.
Technique that works better, why?
The best technique that can be applied in my workplace is scenario planning. As mentioned above, financial organizations operates in uncertain environments which requires constant changes of plans based on the circumstances that arise, as the future may be difficult to predict accurately. Precisely, this technique is flexible which perfectly suits organizations such as financial institutions in this case, (Gill, 2006). Moreover, a lot of speculation is done in this kind of business; therefore, this technique is vital as it helps managers to appreciate that disagreements are healthy during this period as it facilitates clear understanding of the uncertain future. Lastly, early recognition of scenario may enhance better preparation. Due to its inflexibility, project management cannot be applied effectively in financial institutions.
Steps taken to implement chosen technique
The first step in scenario planning is scoping, which involves determination of the issue to be addressed. This is followed by trend analysis, which is concerned with the identification of external forces and their impacts on the organization. Thirdly is building of scenarios; which done based on the first two steps. This will be followed by generation of various options, (Godet, 2006). Notably, these options will be based on the scenarios that have been generated and they may include; opportunities, projects, or new services. The next step is testing the available options, which involves identification and discussion of probable repercussions as well as effects of scenarios on the various options. Lastly, is drawing a plan of action, which is usually based on the outcomes of these activities.
References.
Gill, R. (2006). Scenario Planning: Managing for the Future. New York: Wiley.
Godet, M. (2006). Creating Futures: Scenario Planning as a Strategic Management Tool, 2nd
edn. London: Economica-Brookings.
Harold, K. (2009). Project Management: A Systems Approach to Planning, Scheduling, and
Controlling. New York: John Wiley & Sons.
