Planning in management

1. PLANNING IN MANAGEMENT
Jitin Kollamkudy

2. MANAGERIAL FUNCTIONS
• Planning
• Organizing
• Staffing
• Leading/Directing
• Controlling

3. PLANNING
Planning involves the determination of future
course of action, that is why an action what is to
done, how to de done and when to be done
“Planning bridges the gap from where we are to
where we want to go. It makes it possible for
things to occur which would not otherwise
happen”
-Koontz and O'Donnell

4. IMPORTANCE OF PLANNING
• Planning provides directions
• Planning reduces the risks of uncertainty
• Planning reduces overlapping and wasteful
activities
• Planning provides innovative ideas
• Planning facilitates decision making
• Planning establishes standards for controlling

5. STEPS IN PLANNING
• Being aware of opportunity
• Setting objectives or goals
• Considering planning premises
• Identifying alternatives
• Comparing alternatives in light of goals
• Choosing an alternative
• Formulating supporting plans
• Quantifying plans by making budgets

6. TYPES OF PLANS
• Objective:-Future destination or desirable state of
affairs
• Strategy:-Course of action developed by relating
strengths & weaknesses of an organization with
opportunities & threats arising out of the changing
environment.
• Programme:-Network of policies,procedures,rules&
budgets designed to meet specific situations & all
other needful actions required for implementing a
given course of action.

7. • Budget:-Numerical expression of plan in terms of
expected revenue & expenditure over a period
of time.
• Policies:-General statement that guides decision
making.
• Procedure:-Administrative action guide, setting
chronological sequence for action.
• Method:-Detailed manner in which specific
activity will be performed.
• Rules:-Directives for regulating & controlling the
working behavior of employees.

8. STRATEGY
• Strategy can be defined as determination of basic
long term goals and objectives of an enterprise
and the adoption of course of action and
allocation of resources necessary for carrying out
these goals.

9. THE CHARACTERISTICS OF STRATEGY
• Strategy is a single use plan made to meet the
challenge of a specific situation; when situation
changes ,the strategy becomes outdated.
• It is a comprehensive & unified action plan drawn
to seek specific objectives in changed situation.

10. STRATEGY FORMULATION
• Strategy formulation is an intellectual process that
calls for use of analytical abilities, imagination
and creativity on the part of managers.

11. THE MAIN STEPS
• Determining mission and objectives of the
organization
• The organizational mission and objectives serve
as the basis to develop a suitable strategy.
• SWOT Analysis
• SWOT is an acronym for Strengths , Weaknesses ,
Opportunities and Threats.

12. POLICY
• The term’ business policy’ is used interchangeably
with ‘strategic management'. It is because
business policy provides a broad framework
within which the corporate plans are made.

13. POLICY FORMULATION
• Policies are formulated at the top level of the
organization. But with regard to functional &
operational policies, the co-operation of lower
level managers is also sought.

14. • Identification of Need.
• Collection of Required Information.
• Discovery of Tentative Policy Proposal.
• Evaluation of an Alternative.
• Approval & Application of Policy.
• Policy Review& Appraisal.

15. EVALUATION OF STRATEGY
• Like all other plans, this strategy also needs
periodic review & evaluation. This is done to
ensure that it is implemented as effectively as
possible.

16. • Internal Consistency.
• Consistency with Environment.
• Appropriateness of strategy in the Light of
Available Resources.
• Acceptable Degree of Risk Involved in Strategy.
• Appropriateness of Time Horizons of Strategy.
• Workability of Strategy.

17. Thank You …