Question

As the Board of Governors of the American Red Cross considers planning, one option is to make strategic plans and then direct managers to align tactical and operational plans accordingly. Another option is to have planning specialists help managers across the organization make their own plans. Why might this organization’s executives opt for the latter approach?
a. the environment is a dynamic one, and department and frontline managers can come up with more responsive plans than can central leadership.
b. resources will be better coordinated across the organization in support of the overall strategy.
c. senior leadership will have more control over the organization's direction.
d. when managers come up with their own plans, they are likely to be more committed to following through on them.

Answer 1

Answer:

a. the environment is a dynamic one, and department and frontline managers can come up with more responsive plans than can central leadership.

Explanation:

If the organization is a dynamic system, it means that conditions change fast and often. In this case, a plan developed by top-management may not be adequate enough a month, or even a week later after being devised.

Therefore, it's best to allow frontline managers, who have knowledge about daily operations and conditions, to develop their own plans (with the assistance of the planning specialists), and to modifiy those same plans if needed.