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Planning is the process of bridging the gap between where we are and where we want to be in
the future. In other words, planning is ³looking ahead, relating today¶s events with tomorrow¶s
possibilities.´ It is the process of deciding in advance what to do, how to do, when to do it, and who does
what. Proper planning minimizes risk and ensures that resources are efficiently and effectively utilized.
objectives and developing strategies to achieve the objectives, while controlling involves establishing
standards of performance and comparing actual results with the planned results. Controlling without
planning is meaningless. Unless one knows where to go, one cannot tell whether one is going in the right
direction or not. Planning gives an organization the required focus and direction. Thus planning is a
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º?In a complex business situation, planning helps managers meet the challenges posed by the
environment, while at the same time minimizing the risks associated with them. Planning is a
prerequisite not only for achieving success but also for surviving in a complex and competitive
world.
º?Planning is very important in all types of organizations. It forces organizations to look ahead and
decide their future course of action so as to improve their profitability. Organizations that plan in
advance are more likely to succeed than those which fail to plan for the future.
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a.?Effective planning secures economy since it leads to orderly allocation of resources to various
operations.
b.?It also facilitates optimum utilization of resources which brings economy in operations.
c.?It also avoids wastage of resources by selecting most appropriate use that will contribute to the
objective of enterprise. For example, raw materials can be purchased in bulk and transportation
cost can be minimized. At the same time it ensures regular supply for the production
department, that is, overall efficiency.
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a.?In the process of planning, managers have the opportunities of suggesting ways and means
of improving performance.
b.?Planning is basically a decision making function which involves creative thinking and
imagination that ultimately leads to innovation of methods and operations for growth and
prosperity of the enterprise.
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c! '? There are several limitations of planning. Some of
them are inherit in the process of planning like rigidity and other arise due to shortcoming of the
techniques of planning and in the planners themselves.
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a.?Planning may be used to serve individual interests rather than the interest of the enterprise.
b.?Attempts can be made to influence setting of objectives, formulation of plans and programmes
to suit one¶s own requirement rather than that of whole organization.
c.?Machinery of planning can never be freed of bias. Every planner has his own likes, dislikes,
preferences, attitudes and interests which is reflected in planning.
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a.?Elaborate planning may create a false sense of security to the effect that everything is taken for
granted.
b.?Managers assume that as long as they work as per plans, it is satisfactory.
c.?Therefore they fail to take up timely actions and an opportunity is lost.
d.?Employees are more concerned about fulfillment of plan performance rather than any kind of
change.
º?)#
a.?Collection, analysis and evaluation of different information, facts and alternatives involves a
lot of expense in terms of time, effort and money
b.?According to Koontz and O¶Donnell, ¶ Expenses on planning should never exceed the
estimated benefits from planning.¶
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a.?Political Climate- Change of government from Congress to some other political party, etc.
b.?Labour Union- Strikes, lockouts, agitations.
c.?Technological changes- Modern techniques and equipments, computerization.
d.?Policies of competitors- Eg. Policies of Coca Cola and Pepsi.
e.?Natural Calamities- Earthquakes and floods.
? Changes in demand and prices- Change in fashion, change in tastes, change in income level,
demand falls, price falls, etc??
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a.?Planning requires a systematic approach.
b.?Planning starts with the setting of goals and objectives to be achieved.
c.?Objectives provide a rationale for undertaking various activities as well as indicate direction of
efforts.
d.?Moreover objectives focus the attention of managers on the end results to be achieved.
e.?As a matter of fact, objectives provide nucleus to the planning process. Therefore, objectives
should be stated in a clear, precise and unambiguous language. Otherwise the activities
undertaken are bound to be ineffective.
f.? As far as possible, objectives should be stated in quantitative terms. For example, Number of
men working, wages given, units produced, etc. But such an objective cannot be stated in
quantitative terms like performance of quality control manager, effectiveness of personnel
manager.
g.?Such goals should be specified in qualitative terms.
h.?Hence objectives should be practical, acceptable, workable and achievable.
º? !&!
a.?Derivative plans are the sub plans or secondary plans which help in the achievement of main
plan.
b.?Secondary plans will flow from the basic plan. These are meant to support and expediate the
achievement of basic plans.
c.?These detail plans include policies, procedures, rules, programmes, budgets, schedules, etc.
For example, if profit maximization is the main aim of the enterprise, derivative plans will
include sales maximization, production maximization, and cost minimization.
d.?Derivative plans indicate time schedule and sequence of accomplishing various tasks.
º?%!&!
a.?When forecast are available and premises are established, a number of alternative course of
actions have to be considered.
b.?For this purpose, each and every alternative will be evaluated by weighing its pros and cons in
the light of resources available and requirements of the organization.
c.?The merits, demerits as well as the consequences of each alternative must be examined before
the choice is being made.
d.?After objective and scientific evaluation, the best alternative is chosen.
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The seven MP tools, listed in an order that moves from abstract analysis to
detailed planning, are:
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º?' Critical to your happiness is whether you enjoy of your job. Think about the
elements of your employment which bring you the greatest satisfaction and which gain you
the biggest plaudits. Is it possible to move into a similar role with a stronger focus on the
elements you enjoy the most? Employers will generally prefer to play to your strengths
rather than have you perform a job you¶re unhappy doing. If you need experience in an area
which you know you will find challenging and fun, mention it in an appraisal.
º?c"&! ' The atmosphere and environment of offices from sector to sector can vary
enormously. For example: a company in the media sector is more likely to have a more
relaxed, dress-down environment than a City based brokers, simply because this industry
demands a certain kind of behaviour. Different industries have different etiquette and it¶s
very important to ensure that you choose the right industry for you. You know your own
personality better than any recruiter, so do some research on the kinds of environment that
might suit you and ask your friends about the feeling in their offices.
º?
012&'When checking that your CV is up to date, have a look
at the skills and qualifications you have listed. These are your personal assets and
there is always room to build on your existing abilities. A µskills audit¶ will allow
you to see what might stand as a barrier to your progression. A skills audit involves
breaking down all of your qualifications and past training as well as skills you have
acquired through your day-to-day work. Putting them down on paper will enable
you to see exactly which areas you can improve upon and where training will
improve your chances of finding the role you desire. To step up from a junior role in
any profession may require a qualification or some in-house training. Have a look
online at the kinds of industry qualifications that are available in your sector and
then take a look at the roles which demand them. You will probably notice that the
salaries for those roles take a leap up upon qualification. Again, speak to your
Manager about the possibility of your current workplace sponsoring your study.
After all, your newfound skills are as much a benefit to them as to yourself.
º?! *!0 )#!' Many roles will list demonstrable work experience
among the criteria in the job specification. If the criteria is impossible for you to match
within your current role, think about where you might be able to gain the kind of experience
that is being demanded. If this means a change of role, think carefully about your
willingness to make the change. In some sectors, particularly in the creative field, unpaid
work experience is unfortunately the only option. If you¶re determined to succeed, it may be
possible to save the money required or even take on part time work to ensure you gain a
foothold in your desired area. Keep in mind that the financial stress of unpaid work can be
quite a load to bear, so think also about the period of time you would be able to sustain such
work.
º? " ' It may not seem particularly relevant, but at some point your
family status will affect the work you plan to do. A good example might be a role which
would require a great deal of travel, as this could eventually affect your home life. Other
aspects of your working life that may impact upon your family life might be the location of
your workplace in relation to your family home - a long commute can become a source of
anxiety for some. The hours you work will also make a difference to your presence at home,
while your salary will obviously impact upon your family. Though it may seem far off, it¶s
wise to give this some thought before embarking on your new career path.
º?!'? If you wish to retire comfortably and at a younger age than most, the
planning you make early in your career will be pivotal to the enjoyment of your retirement
years. Take some time to think about timescales and your long-term goals. When are they
achievable by? What progress will you have to make to reach that kind of success?
Perhaps your aim is to own your own successful company by a certain age? Again, it¶s
necessary to consider what kind of capital you will require to finance this start-up; how you
will gain that money; and where you will gain the skills to get that company up and
running.Planning your career may seem a daunting prospect at first. Bear in mind that the
plans you make now are flexible and are simply a way of ensuring that you get the best
from yourself and make full use of the resources available to you. Remember that if you can
plan for a successful future, it¶s easier to make it happen.
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º? DEFINITIONS OF PLANNING
º? SIGNIFICANCE OF PLANNING
º?ADVANTAGES OF PLANNING
º? DISADVANTAGES OF PLANNING
º? EXTERNAL LIMITATIONS OF PLANNING
º? STEPS IN PLANNING FUNCTION
º? SEVEN NEW MANAGEMENT AND PLANNING TOOLS
º? PLANNING FUNDAMENTALS FOR THE OVERALL RISK ASSESSMENT
º? THE IMPORTANCE OF CAREER PLANNING