Corporate planning is the process of making plans to achieve a firm's objectives. It involves drawing up detailed action plans to achieve organizational goals and objectives, taking into account resources and the operating environment. Corporate planning represents a formal, structured approach to achieving objectives and implementing strategy. It is a continuous process where a company defines its mission/vision in a strategic plan and uses that plan to direct, monitor, and manage business. Corporate planning includes strategic planning, detailed operational planning, and performance monitoring within the framework of short, medium, and long-term plans.

1. Concept of Corporate Planning
© Copyright 2013 Anupam Kumar 1
Concept of Corporate Planning
Presented By:
Anupam Kumar
Reader,
School of Management Sciences,
Varanasi
© Copyright 2013 Anupam Kumar 1
Corporate Planning
• Process of making plans to achieve firm's
objectives
• It is the process of
– drawing up detailed action plans
– to achieve an organization's goals and objectives,
– taking into account the resources of the
organization and
– the environment within which it operates.
2© Copyright 2013 Anupam Kumar
Goals and Objectives
Goals Objectives
Meaning The purpose toward which
an endeavor is directed
Something that one’s effort or
actions are intended to attain or
accomplish; purpose; target.
Action: Generic action or an
outcome towards which
one strives.
Specific action: the objective
supports attainment of the
associated goal.
Measure Goals may not be strictly
measurable or tangible.
Must be tangible.
Time Frame Longer term Mid to short term
3© Copyright 2013 Anupam Kumar
Corporate Planning
• Corporate planning represents
– a formal, structured approach
– to achieving objectives and
– to implementing the corporate strategy of an
organization.
• It has traditionally been seen as the
responsibility of senior management
4© Copyright 2013 Anupam Kumar
Concept of Corporate Planning
• Corporate planning is a continuous process in
which a company
– Defines its philosophy, mission and vision in a
strategic plan,
– Uses that plan to direct, monitor and manage the
business.
5© Copyright 2013 Anupam Kumar
Corporate Planning
• Three components of
corporate planning are:
– Strategic planning,
– Detailed operational
planning and
– Performance monitoring
• Businesses develop
corporate planning
within a framework of:
– Short-term plan
– Medium-term and
– Long term plan
6© Copyright 2013 Anupam Kumar

2. Concept of Corporate Planning
© Copyright 2013 Anupam Kumar 2
Short Term Planning
• It involves processes that
show results within a year.
• Short-term planning looks
at the characteristics of the
company in the present and
develops solutions for
improving them.
• These solutions set the
stage for addressing
problems more
comprehensively in the
longer term.
© Copyright 2013 Anupam Kumar 7
Medium Term Planning
• Organizations aim medium-
term plans at results that
take more than a year to
achieve.
• Medium-term planning
applies more permanent
solutions to short-term
problems.
• Medium-term planning
implements policies and
procedures to ensure that
short-term problems do not
recur.
© Copyright 2013 Anupam Kumar 8
Long Term Planning
• Long-term plans include the
overall goals of the organization
set for over four or five years in
the future.
• It helps organizations to solve
problems permanently and to
reach their overall targets.
• Long-term planning builds on the
success of short-term and
medium-term plans to preserve
accomplishments and ensure
continued progress.
© Copyright 2013 Anupam Kumar 9
Bibliography
• Books:
– Burgelman,R.A., Christensen,C.M.,and Wheelwright,
S.C.,(2009), “Strategic Management of Technology and
Innovation”,FourthEdition,New Delhi: Tata McGraw
Hill.
– Day, G.S., and Reibstein,D.J., (2006), “Wharton on
Dynamic CompetitiveStrategy,” New Delhi: Wiley India
(P) Ltd.
– Johnson,Scholes,and Whittington,(2008), “Exploring
Corporate Strategy: Text & Cases”, Seventh Edition,New
Delhi: DorlingKindersley (I) Pvt. Ltd.,licensee of Pearson
Education Ltd.
– Kazmi,A. (2008), “Strategic Management and Business
Policy,” Third Edition,New Delhi: Tata McGraw Hill
PublishingCompany Ltd.
– Kishore,R.M.,(2010), “Strategic Management”,New
Delhi: Taxmann Publications.
– Porter,M.E..,(200), “Competitive Strategy,” New York:
Free Press.
– Rao, P.S., (2010), “Strategic Management”, New Delhi:
HimalayaPublishingHouse.
– Roy,D., (2010), “Discourseson Strategic Management”,
Second Edition,New Delhi: Asian Books.
• Websites:
– http://smallbusiness.chron.com/shortterm-
mediumterm-longterm-planning-business-60193.html
– http://www.diffen.com/difference/Goal_vs_Objective
– http://www.forbes.com/sites/danschawbel/2013/02/05/
a-g-lafley-develop-a-strategy-to-win-at-business/
• For images and clip arts:
– blog.pac-online.com
– www.taoofdjfuji.com
– walyou.com
– www.superironfoundry.com
– cgnpsolutions.com
– darrenhardy.success.com
– livedwell.blogspot.com
– www.pepsico.com
– analyticsindiamag.com
– www.ongcindia.com
– www.intelligentspeculator.net
– futuredimensionss.com
– kikkidu.com
© Copyright 2013 Anupam Kumar 10
For comments and further details,
Contact:
Anupam Kumar
Reader, SMS Varanasi
Email: anupamkr@gmail.com
© Copyright 2013 Anupam Kumar 11