Planning and Goals Setting of Kuwait National Petroleum Company

            Goals and plans relate to the desired future outcomes and results. Organizations develop goals and plan to ensure the future performance and outcomes of the company in the desired way. Corporate level managerial staff to the bottom-line managerial staff, whole managerial staff develop goals and plans to provide a guideline to their subordinates. In this assignment, planning and goals setting is discussed in detail for the Kuwait National Petroleum Company (KNPC).

Goals Setting of Organizations

              Organizations develop goals at each level of their organization to execute their operations in the desired manner. Usually, organizations have two kinds of goals real goals and stated goals. Real goals are such kind of goals that organizations develop for what actually goes on in the organization. While on the other hand, stated goals are publically published goals (Gary, 2011). Organizations state such kind of goals in their annual reports and public relations announcement to present future plans. Somehow, stated goals can be different from the actual or real goals of the organization. As we all know goals setting is the prime responsibility of the managerial staff in each organization, similar to other organization goals of Kuwait National Petroleum Company (KNPC) are also developed by the managerial staff of KNPC.

          Goals setting steps are quite simple but at the same time really important. According to the academic literature goals setting steps are five key steps to be followed. See the presented below the list of steps for the goal

SMART Goals for KNPC  

1)      Introduce innovative ideas to create value in the targeted market during the current fiscal year.

2)      Bring continuous improvement in the employee’s performance through innovative skills development sessions.    

Review the mission statement of Planning and Goals Setting

             The first step of goals setting is to analyze the mission statement of the company set out by corporate level management (Price, 2011). All activities in the company should be aligned with the mission statement therefore while developing goals we have to review the mission statement. KNPC mission is to ensure commercial sustainability while leveraging innovation. Goals will discuss these aspects to reflect the mission statement.   

Evaluation of available resources of Planning and Goals Setting

            Now the second step is to conduct evaluative analysis. In this step, we will evaluate whether the company has enough resources (human resources, time resources, and financial resources) to accomplish the organizational mission? Annual report presents, the company has a total of 6344 employees working as permanent and regular employees (Knpc.com, 2019). While the company also earned more than 215 million KD as net profit during last year. Thus, according to this analysis KNPC has strength in human resource and financial resources to execute innovation related goals.

Determining goals with others or individually of Planning and Goals Setting

          Smart goals can help the organization get success easily. Therefore, while developing goals it is important to analyze whether goals are SMART or not? Briefly speaking, the goals we are going to present for KNPC are specific, time oriented and measurable.

Writing and communicating goals

            Now the next step after writing the goals is to communicate the goals with the relevant people. Our goal related to the production sector and financial department; therefore, we will communicate that goal with these two departments (Gary, 2011).   Revision of results

           The final step in goals setting is to review the performance outcomes of the goal. Evaluation presents that no additional changes are required in the resources and mission. Somehow, we will make goals more clear to ensure the accomplishment of the mission.         

Plan Development of Kuwait National Petroleum Company

          After establishing goals and conducting a revision of these goals now the next task is to create a plan for KNPC Company. Plans have several types that are discussed below:

There are four Types of Plans of Kuwait National Petroleum Company

            There are four categories of plan that are sub-divided into more categories because of the specification. The four main categories are breadth, time frame, specificity, and frequency of use. Strategic plans are usually long term plans that provide direction but only for single use. While on the other hand, operational plans are short term plans. Operational plans target a specific area of operations rather than providing directions (Knpc.com, 2019).  Somehow, operational plans have a standing frequency of use. A fine example of a strategic plan for KNPC Company is to introduce cost-effective operations. Example of long term operational plans for KNPC is production process reengineering to reduce extra motion and material wastage with the purpose to reduce the cost of operations. While a fine example of a short term goal is to increase monthly sales of products in the targeted market.

Operational Plans of Kuwait National Petroleum Company

           Introducing innovative ideas to create value in the targeted market during the current fiscal year is a specific and timely goal. The short-term goal is related to the current fiscal year only. Therefore, while developing a plan, we will develop an operational plan for this goal. KNPC is required to conduct research to find external weaknesses and threats with the purpose to find innovative solutions. Sustainability can be only ensured through innovation otherwise competitors can win the market shares with product expansion or introduction of substitutes. The company can ensure innovative ideas implementation while considering the available financial resources.

Strategic Plan of Kuwait National Petroleum Company

           However, the second goal is a long-term goal related to continuous improvement and innovative skills development. Of course, training sessions organized to develop skills in the employees provide long term benefits. Employee’s performance improvement and innovative skills will help out the organization to reduce the cost of operations and create a competitive edge. Moreover, learned skills and knowledge are also an asset for the company (Gary, 2011). Thus we can use this goal to develop a strategic plan for the whole organization as it is not limited to some specific employees only. The strategic plan will provide direction to the whole organization including all department and human resources.   

Conclusion on Planning and Goals Setting

            Concluding the whole discussion we can say that corporate level management to the front line management of the Kuwait National Petroleum Company (KNPC) will work on the implementation of SMART goals of the company by developing relevant strategic or operational plans. Strategic plans will relate to long term goals. While on the other hand, operational plans developed for the Kuwait National Petroleum Company (KNPC) are short term and specific.   

References of Planning and Goals Setting

Gary, D. (2011). Human Resource Management. Pearson Education India.

Knpc.com. (2019). MISSION, VISION & VALUES. Retrieved from www.knpc.com: https://www.knpc.com/en/about-us/mission-vission-and-values

Price, A. (2011). Human Resource Management. Cengage Learning. Retrieved 2019