This document discusses the importance of planning and outlines the planning process. It defines planning as deciding actions in the present to achieve future objectives. Good planning is objective-oriented, continuous, flexible, and helps coordinate efforts across an organization. The planning process involves analyzing the environment, setting objectives and forecasts, evaluating alternative actions, and establishing programs to implement the selected plan. Periodic review allows plans to adapt to changing circumstances. Failing to plan properly can lead an organization to fail to achieve its goals.

1. FAILING TO PLAN IS PLANNING TO FAIL
DEFINITIONS
KOONTZ AND DONNEL” Planning involves selecting enterprise objectives,
departmental goals, and programs, and determining the ways of reaching them,
Planning, thus, provides a rational approach to pre-selected objectives.”
PHILIP KOTLER “ Planning is deciding in the present what to do in the future. It is
the process whereby companies reconcile their resources with their objectives
and opportunities.”
Peter F. Drucker” Planning is the continuous process pf making present
entrepreneurial decisions systematically and with the best possible knowledge of
their futurity, organizing systematically the efforts needed to carry out these
decisions and measuring the results of these decisions against the expectations
through organized, systematic feedback.”

2. IMPORTANCE OF PLANNING
 OBJECTIVE ORIENTED
 INTELLECTUAL PROCESS
 ALL PERVASIVE
 CONTINUOUS PROCESS
 FLEXIBLE IN NATURE
 DIRECTED TOWARDS EFFICIENCY
 MASTER COORDINATOR

3. FEATURES OF GOOD PLAN BY
 WELL ESTABLISHED OBJECTIVES
URWICK
 SIMPLE & UNDERSTANDABLE
 FLEXIBLE TO CHANGE ACCORDING TO
CIRCUMSTANCES
 BALANCED & EQUAL EMPHASIS ON ALL
SECTORS OF BUSINESS
 PROVIDE BETTER ANALYSIS AND
CLASSIFICATION OF ACTIONS
 REASONABLE
 POSSIBLE TO PERFORM

4. ADVANATAGES OF PLANNING
 Acts as a Significant Integrating Force
 Helps in process of decision-making
 Helps the organisation to implement Future Programs
 Keeps the organisation up-to-date and Highly competitive.
 Economies of large scale operation
 Budgeting and budgeting control
 Sense of Involvement & Team Spirit
 Performance of all functions-coordinating, controlling etc.
 Achieving objectives through proper control
 Efficient management and develop individual managers

5. DISADVANTAGES OF PLANNING
1. VERY EXPENSIVE & TIME CONSUMING
2. RIGID ORGANSATIONAL STRUCTURE
3. DELAYS PROCESS OD DECISION-MAKING
4. CANNOT ENSURE CERTAININTY OF FUTURE
PERFORMANCE
5. PRECISION BASED ON ASSUMPTIONS
6. ONLY APPROXIMATE RESULTS

6. PRINCIPLES OF PLANNING
 Contribution to objectives
 Primacy of planning
 Pervasiveness of planning
 Flexibility of planning
 Periodicity
 Planning premises (Assumptions)
 Efficiency of Operations
 Limiting Factors
 Revision

7. Steps in Planning
1. Defining the Problem
2. Establishing objectives
3. Establishing the planning premises
4. Determining Alternative course of action
5. Evaluation of Alternative course of action
6. Selecting the course of action
7. Formulating derivative plans
8. Timing the sequence of operations
9. Participation and Follow-up

8. PLANNING PREMISES
 Management has to take policy decisions based on
certain assumptions and about future happenings.
Such assumptions are known as Planning Premises.
TYPES OF PREMISES
5. INTERNAL &EXTERNAL PREMISES
6. TANGIBLE & INTANGIBLE PREMISES
7. CONTROLLABLE, SEMI-CONTROLLABLE &
UNCONTROLLABLE
8. CONSTANT & VARIABLE PREMISES

9. PLANNING PROCESS
1. ANALYSIS OF EXTERNAL ENVIRONMENT
2. ANALYSIS OF INTERNAL ENVIRONMENT
3. DETERMINATION OF MISSION
4. DETERMINATION OF OBJECTIVES
5. FORECASTING
6. DETERMINING ALTERNATIVE COURSE OF ACTION
7. EVALUATING ALTERNATIVE COURSE OF ACTION
8. SELECTING THE BEST
9. ESTABLISHING THE SEQUENCE OF ACTIVITIES
10. FORMULATION OF ACTION PROGRAMMES
11. REVIEWING THE PLANNING PROCESS