7 Processes Of Planning

1. Setting up of objectives: Setting up of objective is 1st step of planning. Plans are prepared with a view to achieve certain goals. Hence, establishing the objectives is an important step in the process of planning. Plans should reflect the enterprise’s objectives. Objectives should clearly define as to what is to be achieved by policies, procedures, rules, strategies, budgets and programs. Plan must make sure that every activity undertaken contributes to the achievement of objectives.

2. Developing premises: This is the second step in planning. Premises include actual forecast data, policies and plans of the enterprise. Planning involves looking into the future which necessitates the enterprise to know, how future conditions will affect its activities. Thus, forecasting is an important step in planning. There are two types of forecasting namely,

• Prediction of general economic conditions.

• Prediction of market conditions for a specific product or service dealt with by the enterprises.

3.Listing various alternatives: Listing various alternative  is the third step in the planning process. The planner should study all the alternatives, consider the strong and weak points of them and finally select the most promising ones.

4.Evaluating different alternatives: Alternative selected should be evaluated in the light of premises and goals. Evaluation involves the study of performance of various actions. Various factors such as profitability, investment requirements, etc., of such alternatives should be weighed against each other. Each alternative should be closely studied to determine its suitability.

5. Selecting an alternative: After having evaluated the different alternatives, the most suitable alternative is selected. With this, the plan can be considered to have been adopted. It is exactly the point at which decisions are made. Sometimes, in the best interests of the enterprise, several alternative courses can be adopted.

6. Implementing the plan: Implementing of plans is the final step in the process of planning. This involves putting the plans into action so as to achieve the business objectives Implementation of plans requires establishment of policies, procedures, standards, budgets, etc.

7. Follow up: This is the final step of planning process.After implementing the plan feedback is needed and new plan is to be drawn as per the requirements.

The Meaning, Definition And Features Of Planning

Introduction:-

Planning is bridge between starting and ending. Setting up targets and objective for a fixed time period and formulation an action plan to achieve them efficiently and effectively.

Meaning:-

All organization whether it is government, a private or small business require planning . It bridges gap between where we are standing and where we want to reach.

Definition:-

"Planning is an intellectual process, conscious determination of course of action, the basing of decision on purpose, facts and considered estimates".

- Koontz & O Donnell

Features:-

• Focus on achieving goals
• Primary function
• Pervasive function
• Continuous process
• Involves decision making

1. Focus on achieving goals- organization are set up with general purpose hence planning is purposeful . Planning has no meaning unless it contributes to achievement of predetermined organizational goals.
2. Primary function- planning is 1st and important function of management. Planning lays down the base for the other function of management
3. .Planning precedes other function.Thus, planning is referred as primary function of management.It provides the basis of all other function.
4. Pervasive function- planning is required at all levels as well as in all departments of organization.It is not exclusive function of management nor of any particular department.Scope of planning defers at different levels and among different departments.

Example:- Top Level- undertakes planning as whole organization.

                   Middle Level- for departmental planning.

                   Lower Level- for day to day operational planning.

4. Continuous process-Plans are prepared for specific period of time.

     At the end of that time new plan is to be drawn on the basis of new requirement and future conditions. Hence, it is continuous process.

5. Future oriented process- It involves looking ahead and preparing          for future. Purpose of planning is to meet future events.It involves peeping into future.

6. Involves decision making- It essentially involves choice from various alternatives and activities. The need for planning arises only when alternatives are available. Thus, it involves through examination and evaluation of each alternative and choosing the appropriate one. Happy New Month Of August 2021