Planning is a systematic activity which determines when, how and who is going to perform a specific job. Planning means looking ahead or thinking before acting.
It is rightly said “Well plan is half done”. According to Koontz & O’Donell, “Planning is deciding in advance what to do, how to do and who is to do it. For an example when there is any examination student planned how much time we have to read for good marks. When I start at morning to come to class firstly I planned which local I take so that I will reach before class starts. Planning is the primary management function, establishes the basis for all other management functions.
Planning means to assess the future and make provision for it.” -Fayol
1. Steps in Planning Function:- Establishment of objectives
a. Planning requires a systematic approach.
b. Planning starts with the setting of goals and objectives to be achieved.
c. Objectives provide a rationale for undertaking various activities as well as indicate direction of efforts.
d. Moreover objectives focus the attention of managers on the end results to be achieved.
2. Establishment of Planning Premises
a. Planning premises are the assumptions about the lively shape of events in future.
b. They serve as a basis of planning.
c. Establishment of planning premises is concerned with determining where one tends to deviate from the actual plans and causes of such deviations.
d. It is to find out what obstacles are there in the way of business during the course of operations.
3. Choice of alternative course of action
a. When forecast are available and premises are established, a number of alternative course of actions have to be considered.
b. For this purpose, each and every alternative will be evaluated by weighing its pros and cons in the light of resources available and requirements of the organization.
c. The merits, demerits as well as the consequences of each alternative must be examined before the choice is being made.
d. After objective and scientific evaluation, the best alternative is chosen.
4. Securing Co-operation
a. After the plans have been determined, it is necessary rather advisable to take subordinates or those who have to implement these plans into confidence.
5. Follow up/Appraisal of plans
a. After choosing a particular course of action, it is put into action.
b. After the selected plan is implemented, it is important to appraise its effectiveness.
c. This is done on the basis of feedback or information received from departments or persons concerned.
d. This enables the management to correct deviations or modify the plan.
CHARACTERISTIC OF PLANING
1. Planning is goal-oriented.
a. Planning is made to achieve desired objective of business.
2. Planning is looking ahead.
a. Planning is done for future.
3. Planning is an intellectual process.
a. Planning is a mental exercise involving creative thinking, sound judgement and imagination.
4. Planning is a Continuous Process.
a. Planning is a never ending function due to the dynamic business environment.
5. Planning is designed for efficiency.
a. Planning leads to accomplishment of objectives at the minimum possible cost.
6. Planning is Flexible.
a. Planning is done for the future.
b. Since future is unpredictable, planning must provide enough room to cope with the changes in customer’s demand, competition, govt. policies etc.
The Key Terms of Planning
Vision: Nonspecific directional and motivational guidance for the entire organization. Usually top managers frames a vision for every business.
Mission: An organization's reason for being. It is concerned with scope of the business and what distinguishes this business from similar businesses.
It is rightly said “Well plan is half done”. According to Koontz & O’Donell, “Planning is deciding in advance what to do, how to do and who is to do it. For an example when there is any examination student planned how much time we have to read for good marks. When I start at morning to come to class firstly I planned which local I take so that I will reach before class starts. Planning is the primary management function, establishes the basis for all other management functions.
Planning means to assess the future and make provision for it.” -Fayol
1. Steps in Planning Function:- Establishment of objectives
a. Planning requires a systematic approach.
b. Planning starts with the setting of goals and objectives to be achieved.
c. Objectives provide a rationale for undertaking various activities as well as indicate direction of efforts.
d. Moreover objectives focus the attention of managers on the end results to be achieved.
2. Establishment of Planning Premises
a. Planning premises are the assumptions about the lively shape of events in future.
b. They serve as a basis of planning.
c. Establishment of planning premises is concerned with determining where one tends to deviate from the actual plans and causes of such deviations.
d. It is to find out what obstacles are there in the way of business during the course of operations.
3. Choice of alternative course of action
a. When forecast are available and premises are established, a number of alternative course of actions have to be considered.
b. For this purpose, each and every alternative will be evaluated by weighing its pros and cons in the light of resources available and requirements of the organization.
c. The merits, demerits as well as the consequences of each alternative must be examined before the choice is being made.
d. After objective and scientific evaluation, the best alternative is chosen.
4. Securing Co-operation
a. After the plans have been determined, it is necessary rather advisable to take subordinates or those who have to implement these plans into confidence.
5. Follow up/Appraisal of plans
a. After choosing a particular course of action, it is put into action.
b. After the selected plan is implemented, it is important to appraise its effectiveness.
c. This is done on the basis of feedback or information received from departments or persons concerned.
d. This enables the management to correct deviations or modify the plan.
CHARACTERISTIC OF PLANING
1. Planning is goal-oriented.
a. Planning is made to achieve desired objective of business.
2. Planning is looking ahead.
a. Planning is done for future.
3. Planning is an intellectual process.
a. Planning is a mental exercise involving creative thinking, sound judgement and imagination.
4. Planning is a Continuous Process.
a. Planning is a never ending function due to the dynamic business environment.
5. Planning is designed for efficiency.
a. Planning leads to accomplishment of objectives at the minimum possible cost.
6. Planning is Flexible.
a. Planning is done for the future.
b. Since future is unpredictable, planning must provide enough room to cope with the changes in customer’s demand, competition, govt. policies etc.
The Key Terms of Planning
Vision: Nonspecific directional and motivational guidance for the entire organization. Usually top managers frames a vision for every business.
Mission: An organization's reason for being. It is concerned with scope of the business and what distinguishes this business from similar businesses.