types of plan

2. Reg No: 2005
Commerce
KUCTE, KULAKKADA

3. Types of Plan
Goal or
purpose or
mission
Objective
Policies
Procedures
Rules
Programmes
Methods
Budgets

4. Every organization should have a mission
or purpose or goal, which is assigned to
them by the society. A goal is the end
towards which an enterprise is aimed at
and strives to achieve the same by
fulfilling various objectives.

5. Every organization exists to achieve
some objectives . Objectives are the
ends, towards which activity is aimed at
for the accomplishment of
organizational goals.

6. Policy is a broad statement formulated to
provide guidelines in decision making to
various managers. It defines the area or
limits within which decisions can be
made.

7. Procedure is a chronological sequence to
be undertaken to enforce a policy. It lays
down the specific manner in which a task
is to be performed .

8. Rules are the prescribed guidelines for
conducting as action. They specify what
should be done or not to be done in a given
situation.

9. Methods provide detailed and
specific guidance for day to day
action.

10. Programmes include all the activities
necessary for achieving a given
objective. Programmes are a
combination of policies, procedures
rules and budgets.

11. Budget is a plan which states expected results of
a given future period in numerical terms.It may
be expressed in time, money or other units.
Budget may be prepared for production, sales,
materials, cash, capital expenditure etc. It is an
instrument of both planning and control.

12. Plans are varied in nature The several
types of plans are explained .To some
extend these types of plans are
necessary for the organization.