planning
- planning is deciding in advance what to do and how to do
- planning seeks to bridge the gap between where we are and where we want to go
features of planning
1.focuses on achieving objectives
2. primary function of management
3. all pervasive
4. continuous
5. futuristic
6. involves decision making
7.mental exercise
importance of planning
- provides direction
- reduces the risks of uncertainty
- reduces overlapping and wasteful acitivites
- promotes innovative ideas
- facilitates decision making
- establishes standards for controlling
limitations of planning
- planning leads to rigidity
- planning may not work in a dynamic enviroment
- planning reduces creativity
- planning involves huge cost
- planning does not guarentee sucess
- planning is time consuming process
planning process
- setting objectivies
- developing premises
- identifying alternative course of action
- evaluating alternative course of action
- setting an alternative
- implementing the plan
- follow up action
2 types of plan
- single use
- standing plan
single use plan
A plan developed for a one-time event or project
types of single use plan
- budget
- program
budget
a statement of expected results expressed in numercial terms.
features of budget
a)Statement of expected result expressed in numerical terms.
b) Quantifies future facts and figures.
c) Budgets are prepared by managers at every level.
programme
a single use plan containing detailed statements about project outlining the objectives, policies, procedures, rules, tasks, physical and human resources required to implement any course of action.
features of programme
a) Detailed Statement About A Project.
b) Is Prepared For Various Activities.
standing plan
Standing plans are used over and over again because they focus on organizational situations that occur repeatedly.
types of standing plan
- policy
- procedure
- method
- rule
Policy
the general guidelines which brings uniformity in decision making for achievement of organizational objectives.
Features of Policies
a) Based on objectives.
b) Guides managers to implement the strategy.
c) It defines broad parameters within which a manager may function.
Procedure
those plans which determine the sequential steps to carry out some work/activity.
Features of Procedures
a) Sequence of steps to carry on different activities.
b) Generally meant for insiders only.
c) Are mostly in a chronological order.
Method
Methods are standardized ways or manners in which a particular task has to be performed.
Features of Methods
a) Methods vary from task to task
b) Selection of the right method saves time, and money and increases efficiency.
c) Standardised way in which a task has to be performed.
rule
Rules are specific statement that tell what is to be done and what not to be done in a specified situation.
features of rules
a) Specifies what to do and what not to do.
b) Are rigid, stringent and compulsive in nature.
Objectives
ends for the achievement of which an organization goes on working.
Features of Objectives
a) Serves as guide for overall business planning.
b) All activities are guided towards objectives.
c) These are usually set by top-level management
