RunningHead:PLANNINGPROCESS

Planningprocessofanorganization

Planningprocessinanorganization: Theplanninghelptodeterminethefuturestepsthatneedtobetakentoachievethe organizationobjective.Planninginvolvesworkthatisneededtoaccomplishagoalans assigningthetaskstoindividuals.Aproperplanisimportantforanorganizationwhichis carriedoutbytheexecutiveinasystematicmanner.Inplanning,asequenceofactionsteps areprepared.Byhelpofplanninganorganizationcanreducethelevelofwastageoftime, resourcesandefforts.Planningfollowsthe80/20rule.Inunstructuredactivities80percent inputgivelessthan20percentvaluableoutcome.Unstructuredactivitiesleadtounnecessary, unfocusedandinefficientsteps(Wetton,1997). Purposeoftheplan:Theplanshouldbepreparedkeepingintheviewthenecessities oftheorganization.Notwoorganizationsaresame.Theyhavedifferentworkculture, workingprocess,peopleetc.Sotheplansalsodifferfromoneorganizationtoanother. Planningisaresultorientedprocess.Thecriticalfunctionsoftheplanningistoclarifyand focusonbusinessdevelopment.IThelpstomakealogicalframeworkwithinwhichthe businessisdevelopedandstrategiesareexecutedforlongandshortterm.Ithelpstoprovidea benchmarkagainstwhichtheactualperformancecanbemeasured. Thestepsintheprocessofplanningare: Determinationoftheobjectives: Thefirststepintheprocessofplanningisdeterminationofobjectives.Itisnecessary toclearlydefinethegoalsandobjectivesoftheorganizationsothatplanscanbeprepared basedonthatobjectives.Theobjectivesshouldbemadeforeachpartordepartmentofthe organizationsothatitimprovestheefficiencyofoverallorganization. Thereshouldbenoambiguityintheobjectivesofeachdepartmentandthe organizationasawholeotherwisetheplanswouldnotbecarriedoutsmoothly.

Collectionandforecastingoftheinformation: Thestepisveryimportantintheprocessofplanning.Informationfromallthesources shouldbecollectedandthenplansandsubplansshouldbepreparedbaseduponthat situation.Theplansshouldbepreparedbaseduponthecriticalassessmentofthepresent statusofthecompany.Theplanshouldbemadetoachievefuturegoals.Theorganization shouldanalysesthepastandthepresenttrendsintheexternalandtheinternalenvironment andthendecidethefutureplansofthecompany.Externalenvironmentoftheorganization consistsofthreatsandopportunitieslikenewmarket,competitors,substituteproducts, government.Internalenvironmentofthecompanyshouldfocusonthestrengthand weaknessesoftheorganization.Thecompetenciesitcanusetotakeadvantagemustspecially beconsidered. Developmentoftheplanningpremises: Planningpremisesaretheassumptionsoftheorganizationandpredictionsaboutthe future.Theplanningpremiseisthefoundationsonwhichtheplansshallbeprepared.The plansarebasedonrealisticassumptionsabouttheprospectsoftheorganization.The assumptionscanbemadeaboutsales,revenues,costs,prices. Discoveringalternativecoursesofactions: Theactionplanshouldbeanalyzedproperly.Iftheactionplandoesnotseemto feasiblethenalternativetotheactionsplansshouldbeanalyzedandevaluated.Thealternative coursesofactionshoulddesignedofthemanagersbyinvolvingmaximumpeopleinthe process. Selectionofbestalternative: Theanalysisofalternativeisdoneandtheevaluationisdoneonthebasisofcost benefitanalysis.Theexpectedoutcomeofthealternativeshouldbeevaluatedbasedon

quantitativetechniqueslikePERT,CPM.Thebestalternativeisthenselectedamongthe variouschoicesavailable. FormulationofDerivativeplan: Thenextstepistheformulationoftheplans.Inthisstepthedetailedsubplansare preparedfortheimplementation.Theplansshouldbeinaccordancewiththepolicyandrule ofthecompany.Thederivativeplansshouldsupporttheoverallplansoftheorganization.The plansarepreparedbasedupontheframeworkofoverallplans.Thederivativeplansare preparedbasedonvariousactivitiestheorganizationisinvolved.Theplanarepreparedbased upontheareaandspantheorganizationisworking.Itcanbeglobalorlocal. Communicatingtheplan: Aftertheplansareprepared,themajorhurdleisinitsimplementation.Some companiesfailsintheimplementationoftheplanseveniftheplansarepreparedthoroughly. Oneofthereasonbehindthisisnotproperlyandclearlycommunicatingtheplanofaction. Communicatingtheplanisimportant.Theplanshouldbeclearlyexplainedsothateachone gettheclearpictureoftheexecution.Thecoordinationofthesubordinatesisnecessaryfor successfulimplementationsotheplansshouldbeclearlystated(Hill&Jones,2009). Followupmeasures: Theplansshouldbecheckedfromtimetotime.Theplansshouldbeexecutedonthe rightlines.Theactualperformanceshouldbecomparedwithplans,sothattheloopholescan bedetermined.Theproblemsshouldbenotedandthesuitableactionsorcorrectiveactions shouldtakenasaremedy.Feedbackisanongoingprocessthatshouldneverend(Maguire, 1993). Importanceofaplanningprocessinanorganization: Aplaniscrucialforanorganization.Ithelpstoavoidmistakesdoneinpast.Ithelpsto

exploretheopportunitiespresentinthebusinessworld.Withhelpofplansthecompanycan satisfyitsstakeholderssothattheyreadilyinvestinthecompany.Ithelpstolookforwardi.e inthefuture.Theorganizationcanreducetheleveloflosses.Theycanreduceirrelevant efforts,resourcesandtime.Theorganizationshouldinvolvethemanagementandrightmixof individualintheplanningprocess.Thepeopleshouldshowwillingness,commitmentand dedicationtowardstheplanningprocess(Allison,&Kaye,2005).Planningenablestogivea senseofdirectiontotheorganization.Manytimestheorganizationreactiontodaily occurrencesisnotinlinewiththelongtermgoals.Soplansavoidthedifferenceintheshort termandlongtermgoals.Itfocusesontheobjectivesandresultswhichmotivatesthe employeestowork.Itenablethedevelopmentofteamspirit.Peopleworkinteamstoachieve theplansandgoals.Thediverseculture,groupsworkeffectivelywiththehelpofintegrated plans.Itenablestocopewiththeproblemsandbringaboutchangesinthesystem.Attimesit helptopfightthecontingenciesduetoabruptchangesinexternalenvironment(Burack, Hochwarter&Mathys,1997).Itprovidesguidelinesfordecisionmakingprocessforthe future.Itenablesthemanagementtodecidethefuturerequirementsofthecompanyinterms ofmanpower,financialresources,rawmaterialsetc.Itisaprerequisiteinallmanagement functions(Erasmus,&Schenk,2009). Conclusion: Organizationplanningprocessenablesthetheorganizationtorunefficientlyand effectively.Itisnecessarytodevelopplansandimplementthemwithtotalcare.Finallyit enablestobringcustomersatisfaction(Griggs,2002).Itisimportanttoemployeestoknow theplansoforganizationandwantparticipationintheorganization(Bartlett,& Ghoshal,1994).

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