Beginning Intellectual process - Decision-making Continuous process principle of navigation change All pervasive

Planning and Plan Planning is an activity Planning is the selection and relating of facts and making and using of assumptions regarding the future in the visualisation and formalisation of proposed activities believed necessary to achieve desired results Plan is a commitment to a particular course of action believed necessary to achieve specific results A will and intention to carry out some action Nature of Planning A rational approach - choice of appropriate means to achieve stated objectives An open system approach Pervasiveness of planning Importance of Planning Primacy Minimizes risk and uncertainty Focus attention on objectives Help in coordination Help in control Steps in Planning Set the goals to be achieved brand image, sales Estabilishing planning premises conditions, basic assumptions o Internal and external premises o Tangible and intangible premises o Controllable and non-controllable premises Deciding the planning period o Lead time in development and commercialisation of a new product o Time required to recover capital investments o Length of commitment already made Finding alternative course of action Evaluating and selecting a course of action Formulation of support / derivative plans Measuring and controlling the progress Forms of Planning Strategic planning Tactical planning Types of Plan Single-use plans Standing plans Objectives End points Vision Dream of an enterprenuerer Mission

Unique aim that sets the organization apart from other of its type Purpose Primary role of an organization defined by the society Strategies A plan which takes into account the environmental opportunities and threats and the organizational strengths and weaknesses and provides an optimal match between the firm and the environment Environmental appraisal Corporate appraisal Policies General guideline for decision making Provide a framework and set up boundaries Channelize thinking of the organization members and ensures uniformity Speeds up action Easier to delegate Types of Policies Classification on the basis of sources Originated policies Appealed policies Implied policies Externally imposed policies Classification on the basis of functions Procedures A detailed set of instructions for performing a sequence of actions involved in doing a certain piece of work. Method A prescribed way in which one step of a procedure is to be performed Increase the effectiveness and usefulness of the procedure. A method selected for discharging a particular step under existing condition may become outdated in due course of time. Rules Detailed and recorded instructions