Management Planning at World Com

IntroductionThe caller-up was formed in the US in 1983. The p stratagemy became quoted in the dividing line exchange in 1989. The companys growth was mainly by acquisition, in 1999 it acquired MCI to become one of the biggest communication giants in the adult male. Bernard Ebbers become the companys chief administrator in 1985. In 1998, the telecommunication industry in the US was in the decline performance voguish Mr. Ebbers was ousted, from the position in 2001.Between 1999 and 2002 world com was involved in a series of fraudulent accounting practices in order for the company to portray profitability whereas the telecommunication industry was performing poorly. The directors carried emerge this activities so as to maintain the high share price of the company in which they held many shares. The internal audit plane section at world com uncovered the more than $3.8 billion fraud, and alerted its main external auditors who were KPMG. Subsequently in July 2002 the company fille d for bankruptcy. However, the company emerged from bankruptcy in 2004 .Planning function at World ComPlanning involves evaluating the impact of present decisions on the future. The other managerial functions are carried egress only after planning function has been carried out. Planning is applic equal to(p) to all managerial levels. Planning involves coming up with the vision mission, objectives and goals. A vision communicates where the firm should be in 5- 10 years time while the mission is the rationale for business existence objectives on the other hand convert the mission, into achievable tasks.Goals used to further express the objectives. The goals in order to be acceptable should be SMART that is they should be specific, should be measurable, should be attainable they should be rewarding and should be timely. World com has developed tactics which describe how, who, what and when activities impart occur to enable the goals to be accomplished.World com carries out strategic planning. Strategic planning helps the firm know where it is now, where it wants to be and how it depart get there.Impact of Legal l issues on Management PlanningWorld com has been unable to efficiently plan its trading operations. This is because strategic planning process requires a plentifulness of resources. . In 2002 the company was involved in a number of accounting scandals. This made it file for bankruptcy. The company had to pay more than $750 million, to the authorities to compensate investors. The legal issues have affected world com since it can no longer attract competent managers, who can effectively and efficiently handle management planning at world com. Ghallab 2004In 2004, the company was able to come from bankruptcy but still it could not jam out management planning effectively. World com had to pay its previous bond holders the value of their bonds, this payments affected the operations of the company. World com also faced a number of contingent liabilities since it had very many suits pending in court this meant that the management at world com could not be able to effectively carry out management planningIMPACT OF ETHICS ON MANAGEMENT PLANNINGEthics refer to ethical principles and moral that can suffice in corporate set up. In world com a number of unethical practices have occurred. Since companies aim at maximizing shareholders wealth, but at world com major corporate governance lapses have occurred in that, the directors art world com, contracted on improving their persona interests making the shareholders incur major losses. In world com, directors were not able to follow the prescribed code of corporate governance leading to major losses in the organization, and consequently the management was not able to carry out management planningIMPACT OF CORPORATE well-disposed RESPONSIBILITY AT WORLD COMCorporate social responsibility refers to the organization looking at the interests of other stakeholders. It involves the organization , condole with for the community are large. World com was not a unsloped corporate citizen since it did not look at the affairs of stakeholders like the government, shareholders and the general public. A company which manages effectively its social responsibility programs enjoys a good corporate image in the eyes of the community. World com lacks the effective resources to carry out sound social responsibility programs and this affects the management planning process, since, the objective set in the social responsibility department will not be met. World com had too much power that the directors could control the share prices at the stock exchange.FACTROR S THAT IFLUENCE COMPANYS STATEGIC TACTICAL, OPERATIONAL AND CONTIGENCY PLANNING1. The size of it of the organization organizations which are large in size are able to carry out effective strategic planning like world com was able to carry out management planning to cover more 7 years.2. The government policy Organizations will have to carry out management planning with the laws of the land in mind.3. The Resources available Companies with a fold of resources like world com are able to carry out effective social responsibility programs.Erven 2005cambell 1990ReferencesCampbell M1990planning universal processLondon praeger greenwoodGhallab m paolo T 2004Automated planningnew york elsevier