STEPS IN PLANNING PROCESS
Steps
in the Planning Process
•
Being aware of opportunities
•
Establishing objectives
•
Developing premises
•
Evaluating alternatives and
selection
•
Formulating derivative plans
•
Securing cooperation and
participation
•
Providing the follow – up
Establishing
Objectives
•
Identify the goals of the
organization
•
The internal as well as external
conditions affecting the organization must be thoroughly examined
•
Objectives must indicate what is to
be achieved, where action should take place, who is to perform it, how is to be
undertaken and when is it to be accomplished
•
Managers must provide clear
guidelines for organizational efforts.
Developing
Premises
•
Premises are assumptions about the
environment in which plans are made and implemented.
•
Plans should be formulated by the
management, keeping the constraints imposed by internal as well as external
conditions in mind
Evaluating
alternatives and selection
•
Alternatives have to be carefully
evaluated against factors like costs, associated risks involved, benefits
likely to arise, availability of spare capacity etc.
•
The pros and cons as well as the
consequences of each alternative course of action must be examined thoroughly
before a choice is made.
Formulating
derivative plans
•
The management has to formulate the
secondary plans to support the basic plan.
•
The plans derived for various
departments, units, activities, etc in a detailed manner are known as
derivative plans.
•
To ensure success of a basic plan,
the derivative plans must indicate the time schedule and sequence of performing
various tasks.
Securing
Cooperation and Participation
•
Management should involve
operations in the planning activities
•
Suggestions, complaints, and
criticisms from operating personnel help management rectify the defects in
plans
•
Participation enables employees to
give their best to plans.
•
They are also motivated to carry
out the plans to the best of their ability
Providing
the Follow – Up
•
Plans have to be reviewed
continually to ensure their relevance and effectiveness.
•
Without a regular follow up plans
may become out-of date and useless.
•
Management can notice shortcomings
in time and initiate suitable remedial steps.
A continuous evaluation of plans
also helps to develop sound plans in future, avoiding mistakes that have
surfaced while implementing the previous plans
Principles
of Planning
•
Principle of contribution to
objectives
•
Principle of primacy of planning
•
Principle of pervasiveness of
planning
•
Principle of flexibility
•
Principle of periodicity
•
Principle of planning premises
•
Principle of limiting factor
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