Planning is the process of thinking in advance what is to be done, how, when, and by whom. It bridges the gap between where we are and where we want to go.
Features of Planning:
Goal-oriented – Focuses on achieving specific objectives.
Primary function – It is the first step in the management process.
Pervasive – Required at all levels and departments.
Continuous – Ongoing process as plans need updates.
Futuristic – Focuses on looking ahead.
Decision-making – Involves choosing from alternatives.
Importance of Planning:
Provides direction
Reduces uncertainties
Minimizes wastages
Facilitates decision-making
Establishes standards for controlling
Planning Process:
Setting objectives
Developing premises (assumptions about the future)
Identifying alternatives
Evaluating alternatives
Selecting the best alternative
Implementing the plan
Following up (monitoring)
Types of Plans:
Objectives – End goals.
Strategy – Broad plans for achieving objectives.
Policy – General guidelines.
Procedure – Steps to perform activities.
Rule – Specific statements to be followed strictly.
Budget – Numerical plan.
Limitations of Planning:
Time-consuming
May not work in a dynamic environment
Reduces creativity
Expensive
Involves rigidity