Management Planning Paper Mgt/330

Management Planning Paper

Michael R. Collins

MGT/330 - Management: Theory, Practice and Application

October 10, 2011

Dr. Kathleen M. Dominick

Management Planning Paper

Boeing is a leading manufacturer of commercial jetliners and defense, space and security systems. Boeing is headquartered in Chicago, Illinois, but it employs 165,000 people in multiple locations throughout the United States and 70 different countries ("Boeing", 2011). The Boeing Corporation has two business organizations, Commercial Airlines and Integrated Defense Systems, that have been the backbone to Boeing's success as a business (Spindler, 2008). In global companies, such as Boeing, managers need to plan the effective and efficient use its resources.

Evaluate the planning function of management

There are six steps in the planning process situational analysis, alternative goals and plans, goal and plan evaluation, goal and plan selection, implementation, and monitoring and control. Boeing is a company with many different products in various stages from design to construction to in service moving passengers around the globe. Multiply this by many divisions and the task of planning appears to be a daunting task.

The first step is situational analysis. One issue Boeing needs to look at is the market for commercial aircraft. With the movement in global markets and the volatility of economy in different countries there will be a need to look at current trends and possible future trends. Another aspect is competition with a company like Airbus.

The second step is alternative goals and plans. Boeing may set a goal to introduce new technologies that produce the most fuel efficient plane or a design for a plane that can carry the most passengers. These goals may support corporate goals or visions. They will need to look at how this effects areas like employee levels will need to be addressed.

The third step is goal and plan evaluation. With many different projects with different aspects Boeing will evaluate the advantages and disadvantages of each goal. This process entails making sure that the proper financial and human resources are available meet determined deadlines and plans.

The fourth step is goal and plan selection. After all the evaluations management must decide what product they are going to build and what are the most appropriate plan is.

The fifth step is implementation. When plans are selected, management will decide how to execute the plans. To implement a successful plan, Boeing offered its non-union workers an incentive plan that provides "annual cash rewards" for "the company's achievement of annual financial performance objectives" (Market Wire, 2010).

The sixth step is monitoring and control. Boeing must put in place processes and systems to track the progress of the plan. Boeing has a quality assurance program that can manage Internal Audits, Control of Nonconforming Product, Corrective & Preventative Action, Control of Documents, Control of Records and a Quality Management System.

Legal issues, Ethics and Social Responsibilities

Internal and external factors have a great deal of influence on the planning process of a company, especially one as large as Boeing. Boeing, like many other companies, have legal, ethical and social responsibilities to its shareholders, employees and customers.

Boeing has had several legal issues that have affected the company. An internal matter occurred In 2000 when there was an issue regarding gender pay differential. External issues such as a battle against rival Airbus for access to foreign markets have impacts on the business. This type of litigation can lead to changes in policies and procedures. Boeing is also a company with contracts with the US government and need to be aware of regulatory requirements regarding contract bidding.

At Boeing all employees are expected to