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Managerial behaviour planning
1.
2. Planning - Introduction – definition – nature – importance – forms – types –
objectives – needs - Formulation of objectives – steps –schedule for the
preparing the exam
Introduction:
In simple words, Planning is deciding in advance what is to be done for the future period of time.
In this sense, planning is basic activity. Almost everyone involve in planning to some extent. E.g.: -
A student plans his studies for coming examinations. College authority plans for smooth conduct
of examinations. Political leader plans for his elections. Government plans too proper utilization of
resources to achieve a desire economic growth.
Definition:
Planning is the fundamental management function, which involves deciding beforehand, what is to
be done, when is it to be done, how it is to be done and who is going to do it. It is an intellectual
process which lays down an organisation’s objectives and develops various courses of action, by
which the organisation can achieve those objectives. It chalks out exactly, how to attain a specific
goal.
3. Nature - Planning
1. Objectives oriented:
The main purpose of a plan is to accomplish the objectives of the organization.
2. Basic function of management: Planning is the foundation of organization. No planning, no
organization. The manager decides upon the policies, procedures, programmes and projects
before proceeding with his work.
3. Directed towards efficiency: The plan is said to be efficient, when the objectives are
accomplished.
4. It is flexible and dynamic: Planning leads to the adoption of a specific course of action and
the rejection of other possibilities. Management is dynamic as well as flexible because future is
unpredictable, and when future cannot be moulded to confirm to the course of action,
flexibility has to be ingrained.
4. Importance of Planning
It helps managers to improve future performance, by establishing objectives and selecting
a course of action, for the benefit of the organisation.
It minimises risk and uncertainty, by looking ahead into the future.
It facilitates the coordination of activities. Thus, reduces overlapping among activities and
eliminates unproductive work.
It states in advance, what should be done in future, so it provides direction for action.
It uncovers and identifies future opportunities and threats.
It sets out standards for controlling. It compares actual performance with the standard
performance and efforts are made to correct the same.
6. Cont.,
Strategic Plans
Strategic plans define the framework of the organization’s vision and how the
organization intends to make its vision a reality.
It is the determination of the long-term objectives of an enterprise, the action plan to be
adopted and the resources to be mobilized to achieve these goals.
Since it is planning the direction of the company’s progress, it is done by the top
management of an organization.
It essentially focuses on planning for the coming years to take the organization from
where it stands today to where it intends to be.
The strategic plan must be forward looking, effective and flexible, with a focus on
accommodating future growth.
These plans provide the framework and direction for lower level planning.
7. Tactical Plans
Tactical plans describe the tactics that the managers plan to adopt to
achieve the objectives set in the strategic plan.
Tactical plans span a short time frame (usually less than 3 years) and are
usually developed by middle level managers.
It details specific means or action plans to implement the strategic plan
by units within each division.
Tactical plans entail detailing resource and work allocation among the
subunits within each division.
8. Operational Plans
Operational plans are short-term (less than a year) plans developed to create
specific action steps that support the strategic and tactical plans.
They are usually developed by the manager to fulfill his or her job
responsibilities.
They are developed by supervisors, team leaders, and facilitators to support
tactical plans.
They govern the day-to-day operations of an organization.
Operational plans can be −
Standing plans − Drawn to cover issues that managers face repeatedly, e.g.
policies, procedures, rules.
Ongoing plans − Prepared for single or exceptional situations or problems and are
normally discarded or replaced after one use, e.g. programs, projects, and
budgets.
9. Objectives of Planning
Planning initiates the intellectual process as deciding the objectives,
drafting the plans and programmes, defining the policies for optimum
utilization of the accessible human and material resources. So that pre
defined objectives may be achieved in any organization.
Planning facilitates Managers and Administrators of any business or
industrial unit to make progress as per the needs of the desired
objectives. Below given are some of the Objectives of Planning:-
10. Cont.,
Forecast’s the course:
The most important ingredient of planning is forecasting. This is basically plan development
as per policies and requirement of the organization.
Forward Bearing
Planning provides specific forward momentum to all the activities in the organization by
chalking out the future working procedure.
Assured Activities
Planning drafts the policies, working procedure and decides controlling process for the
activities in an organization so that confidence level increases in employees & management
regarding the accomplishment of predefined goals
11. Cont.,
Forecast’s the Risk
Planning forecasts the future threats, therefore technical strategies are most often planned
and decided in advance to overcome the inconsistency or tackle the problems successfully.
Helps in Establishing Co-ordination:
Planning is the forefront initiator in any organization regarding coordination. This
coordinates all the departments and also policies, procedures, objectives, etc. in business or
industrial unit
Develops in Facing Competition:
Assists and develops the organization to face competitions of all sorts and in all aspects.
This strategic process is part of the objectives of planning.
12. Cont.,
Managing Budgetary Targets:
Budgetary Targets are executed & achieved as per the planning. It is a helping hand in
planned budget utilization.
Present Important Information’s:
Planning makes available adequate information and communicates it to the employees in
the organization as well as presents a positive picture of organization, its policies,
functioning and results to the outside world.
Economy in Management:
Having better coordination in an organization between employees & management the pre
decided goals proceed as per the requirement, all types of wastage's is brought to the
minimum. This helps in achieving the efficiency in the overall economy of management.
13. Importance of planning in management
are:
Planning is the first and most important function of management. It is needed at every level of
management. In the absence of planning all the business activities of the organisation will
become meaningless. The importance of planning has increased all the more in view of the
increasing size of organizations and their complexities.
Planning Provides Direction:
Under the process of planning the objectives of the organisation are defined in simple and
clear words. The obvious outcome of this is that all the employees get a direction and all their
efforts are focused towards a particular end. In this way, planning has an important role in the
attainment of the objectives of the organisation.
For example, suppose a company fixes a sales target under the process of planning. Now all
the departments, e.g., purchase, personnel, finance, etc., will decide their objectives in view of
the sales target.
In this way, the attention of all the managers will get focused on the attainment of their
objectives. This will make the achievement of sales target a certainty. Thus, in the absence of
objectives an organisation gets disabled and the objectives are laid down under planning
14. Cont.,
(2) Planning Reduces Risks of Uncertainty:
Planning is always done for future and future is uncertain. With the help of planning possible
changes in future are anticipated and various activities are planned in the best possible way.
In this way, the risk of future uncertainties can be minimized.
For example, in order to fix a sales target a survey can be undertaken to find out the number
of new companies likely to enter the market. By keeping these facts in mind and planning the
future activities, the possible difficulties can be avoided.
(3) Planning Reduces Overlapping and Wasteful Activities:
Under planning, future activities are planned in order to achieve objectives. Consequently, the
problems of when, where, what and why are almost decided. This puts an end to disorder and
suspicion. In such a situation coordination is established among different activities and
departments. It puts an end to overlapping and wasteful activities.
15. Cont.,
(4) Planning Promotes Innovative Ideas:
It is clear that planning selects the best alternative out of the many available. All these
alternatives do not come to the manager on their own, but they have to be discovered.
While making such an effort of discovery, many new ideas emerge and they are studied
intensively in order to determine the best out of them.
(5) Planning Facilitates Decision Making:
Decision making means the process of taking decisions. Under it, a variety of alternatives
are discovered and the best alternative is chosen. The planning sets the target for decision
making. It also lays down the criteria for evaluating courses of action. In this way, planning
facilitates decision making.
16. Formulation of objectives
Specific: the learning objective is not vague, but rather describes concrete conditions and
clear results.
Measurable: the learning objective has been formulated in such a manner that based on
this formulation it can be measured/examined whether students have achieved the learning
objective.
Acceptable: the learning objective has been formulated in such a manner that students can
see the significance of it. For example the learning objective appeals to them or they see
how it will benefit them once achieved. The real art lies in connecting internal and external
motivation with each other.
Realistic: the learning objective must be feasible and attainable within the available means,
time limits and provisions.
Time related: the learning objective must set a moment by which time it must have been
achieved, for example: by the end of the course.
17. Procedures of planning
1. Setting objectives: – objectives are the main part of plan. Setting
objectives is the first step of formulating plans, the success or failure of
plan depends upon the objectives of the organization. To determine the
objectives is the first step and most important procedure of making plan.
2. Developing planning premises: – after setting the objectives of the
organization planning premises is necessary. It is the second step of
formulating plans. Premises are the assumptions of internal and external
environment of the organization in which plans are to be implemented. It
is related to collect and make analysis of information concerning internal
and external environment.
18. Cont.,
Determining alternatives: – after developing planning premises the third
step of formulating plan is to determine the alternatives. The process of
searching and identifying alternatives is known as determining alternatives.
There may be so many alternatives. Reasonable alternatives should be
selected among them
4. Evaluating alternatives:- after determining alternatives, each and every
alternatives must b evaluated separately. After that, it is determined that
which alternative has how much advantage and disadvantages. In other
words, plans are evaluated in so many factors like cost factors, risk ,
benefits, facilities etc
19. Cont.,
5. Choosing one course of action: – after evaluating alternatives one best
alternative must be selected. When all the alternatives are evaluated then
all the weaknesses and strength of the alternatives are known. After this,
the best alternative must be selected. It is the most important step of
planning.
6. Formulating detail plan of action: – after choosing one course of
action, detailed plan must be formulated. Selecting one course of action is
the organized plan. After choosing organizational plan, other departmental
plan must be formulated. In other words, basic plan must be expanded
into functional areas.
20. Cont.,
7. Implementation of plan:- Without this step, other procedures of plan
remains as a paper work. This step brings all procedures of plan into
action.
8. Reviewing the panning process:- the planning procedures is a
continuous function up to the attainment of defined objectives. For this
purposed, the evaluation of achievement of work according to time is
necessary to know about actual performance.