DIFFERENT TYPES OF PLANS

DIFFERENT TYPES OF PLANS

  02:47    Rahul R

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Different types of plans are 

•         Purposes or missions

•         Objectives or goals

•         Strategies

•         Policies

•         Procedures

•         Rules

•         Programmes

•         Budgets

Purposes or Missions

The mission or purpose identifies the basic function or task of an enterprise or agency or any part of it. Every kind of organized operation has, or at least should have if it is to be meaningful, a purpose or a mission.

Objectives or Goals

Objectives or goals are the ends towards which the activity is aimed. They represent not only the end point of planning but also the end towards which organizing, staffing, leading and controlling are aimed.

Strategies

Strategy is defined as the determination of the long term objectives of an enterprise and the adoption of course of action and allocation of resources necessary to achieve these goals.

Policies

Policies are also plans in that they are general statements or understandings that guide or channel thinking in decision making.

Procedures

Procedures are plans that establish a required method of handling future activities. They are chronological sequence of required actions. They are guides to action, rather than to thinking, and they detail the exact manner in which certain activities must be accomplished

Rules

Rules are usually the simplest type of plan. The essence of a rule is that it reflects a managerial decision that some certain action must or must not be taken

Programmes

Programmes are a complex of goals, policies, rules, task assignments, steps to be taken, resources to be employed, and other elements necessary to carry out a given course of action; they are ordinarily supported by budgets

Budgets

A budget is a statement of expected results expressed in numerical terms

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STEPS IN PLANNING PROCESS

STEPS IN PLANNING PROCESS

  22:24    Rahul R

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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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PLANNING IN MANAGEMENT

PLANNING IN MANAGEMENT

  22:20    Rahul R

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Planning is deciding in advance what to do, how to do it, when to do it and who is to do it.

Definitions based on futurity

•         Planning is a trap laid down to capture the future – Allen

•         Planning is deciding in advance what is to be done in future – Koontz

•         Planning is informed anticipation of future – Haimann

•         Planning is anticipatory decision making – R L Ackoff

•         Planning is a thinking process, an organized foresight, a vision based on fact and experience that is required for intelligent action – Alford and Beatty

Features of Planning

•         Goal oriented

•         Primary function

•         All – pervasive

•         Mental exercise

•         Continuous process & Planning involves choice

•         Forward looking

•         Flexible

•         Integrated process

•         Planning includes efficiency and effectiveness dimensions

Features of a good plan

–        Have a clear goal

–        Be simple

–        Be amenable for proper analysis and classification of actions

–        Be flexible

–        Be balanced

–        Provide for optimum use of resources

Planning Questions

•         Where are we now?

•         Where do we want to be?

•         Gap?

•         How can we get there from here?

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STEPS IN PLANNING OR FORMULATION OF PLANS

STEPS IN PLANNING OR FORMULATION OF PLANS

  06:38    Rahul R

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Steps in planning /  formulation of plan

1)      Establishing objective

2)      Establishing plan premises

3)      Identification of alternatives

4)      Evaluation of alternatives

5)      Selecting alternatives

6)      Formulation of plan

7)      Arrange sequence and setting goals

8)      Implementation and follow up

1)      Establishing objectives

           the first step in planning is establishing objectives. objective must be specific, clear understandable and self explanatory to indicate what is to be done objectives also pinpoint to the timing, as to when job is to be accomplish.

2)   Establishing plan premises

            planning premises are planning assumption. it include both internal and external assumptions expected to achieve good result.

Internal factors include objectives, policies, programs, financial condition, availability of raw materials, managers attitude, forecasting etc..

External factors include the business environment, market condition, social factors, government regulations etc…

3) Identification of alternatives

         the third step is planning is to search for and examine alternative course of action, especially based on the organizational objectives and planning premises.

4) Evaluation of alternatives

           Various alternatives which are considered feasible in term of preliminary criteria may be evaluated while various factors.

5) Selecting the best course of alternatives

            the fifth step involve choice making. Selection of most suitable course of action, the plan became the formal document ready for execution.

7)Arranging sequence and setting goals

       starting time and finishing time are fixed for each job so as to indicate when and at what time the work is to commenced and completed.

8) Follow up

      this is the last step in planning process and is concerned with through  checkup and if necessary with modification or revision an the initial plan.

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WHAT IS PLANNING IN MANAGEMENT

WHAT IS PLANNING IN MANAGEMENT

  07:38    Rahul R

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What is planning ?

Planning is deciding in advance what is to be done. It’s the determination of a course of action  to acheive the desired result. Planning involves problem solving ( identification of alternatives ) and decision making  (selection from alternatives) . In planning a manager searches for the alternative courses open to him and then select from these alternatives to determine general and specific objectives and detailed means for achieving them. It’s the fundamental function of management .

Nature of Planning

·         Planning is a mental activity

·         Planning is Goal oriented

·         Planning is forward looking

·         Planning is the primary function of management

·         Planning is  essentially decision making

Steps in planning

·         Establishing objectives

·         Establishing plan premises

·         Identification of alternatives

·         Evaluation of alternatives

·         Selectio of alternative

·         Formulation of plan

·         Arrange,Sequence and setting goals

·         Implimentation

·         Follow up

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