Planning and decision making are important executive functions. Planning involves formulating strategies to achieve desired goals, while decision making is choosing between alternatives. There are different types of plans - tactical, strategic, operational, and contingency plans - each with their own purpose. Good planning is focused, actionable, and aligned. Decision making allows managers to better utilize resources and face challenges. Planning provides alternatives for decision makers to evaluate in addressing problems and achieving objectives. The two functions are interrelated, as decision making is at the core of planning implementation.

1. PLANNING AND DECISION MAKING
Definition and importance of
PLANNING
&
DECISION MAKING
“whenever you see a successful business, someone once made a
courageous decision”
-Peter F. Drucker

2. WHAT IS PLANNING?
Planning is one of the executive functions involved in the formulation,
evaluation and selection of a sequence of thoughts and actions to
achieve a desired goal.
According to KOONTZ,
”Planning is deciding in
advance- what to do
when to do and how to
do.”
Planning is chalking out
the future course of
action and deciding in
advance.

3. A plan is like a map.
When following the map, you can always see how much we have
progressed towards our project goal and how far we are from our
destination.
It bridges the gap from where we are and where we want to be.
It is one of the most important project management and time
management techniques.
It crucial for meeting our needs during each action step with our
time, money, or other resources.

4. TYPES OF PLAN
Tactical plans:
The tactical plan describes the tactics the organization plans to use to
achieve the ambitions outlined in the strategic plan.
Strategic plans:
Strategic plans are the plans developed to achieve strategic goals.
Managers at every level will turn to the strategic plan to guide their decisions.
Operational plans:
The operational plan describes the day to day running of the company..
Long range plan:
A plan that covers many years, perhaps even decades is called long range plan
Commonly they are made for five years in organization.
Contingency Plan:
A plan designed to take account of a possible future event or circumstances.

5. IMPORTANCE OF PLANNING
The planning process identifies the goals or objectives to be achieved,
formulates strategies to achieve them, arranges or creates the means
required, and implements, directs, and monitors all steps in their proper
sequence. Some importance are:
Increases efficiency
Reduces business related risks
Emphasizes proper coordination
Gives right decision
Aids in organizing
Keeps good control
Helps to achieve objectives
Motivates the personnel
Encourages creativity and innovation
Helps in decision making

6. FEATURES OF GOOD PLAN
Start with outcomes: Our planning should be able to master the
work outcomes we want to achieve as the result of completing our
development actions.
Focused and precise: our plan should be limited to behaviorally
defined areas for improvement.
Actionable: We have to identify the most important actions that
others will take support in our development goals.
Aligned: Our stakeholder's are in agreement regarding our plan
outcomes so plans should be aligned.
Based on feedback: we have to identify within the organization
in the best position to provide us with developmental feedback.

7. WHAT IS DECISION MAKING?
Decision making is the act of choosing one alternative form
among a set of alternatives.
It is one of the central activities of management and is a
huge part of any process of implementation.

8. CONDITION OF DECISION MAKING
Making decision is particularly important to managers. managers
may face three different conditions: Certainty, Risk, Uncertainty
A state of certainty exists only when the managers knows the
available alternatives as well as the conditions and consequences of
those actions.
The state of risk exists when the manager is aware of all the
alternatives, but is unaware of their consequences.
In todays complex environment most significant decisions are made
under a state of uncertainty where there is no awareness of all the
alternatives and also the outcomes even for the known alternatives.

9. STEPS IN DECISION MAKING
Step 1: Identifying the Problem
Step 2: Identifying Decision Criteria
Step 3: Allocating Weights to the Criteria
Step 4: Developing Alternatives
Step 5: Analyzing Alternative
Step 6: Selecting an Alternative
Step 7: Implementing the Alternative
Step 8: Evaluating Decision Effectiveness

10. IMPORTANCE OF DECISION MAKING
 Better utilization of resources
 Facing problems and challenges
 Business growth
 Achieving objective
 Increases efficiency
 Emphasizes innovation
 Motivates employees

11. INTERRELATION BETWEEN PLANNING AND
DECISION MAKING
In decision making process,
a manager identifies a specific
situation and finds the threats
and opportunities that it offers.
Than the manager must find
the available alternatives to
tackle with the situation. This is
where planning comes in.

12. By planning; manager finds the exact alternative by testing
and measuring their effectiveness.
He identifies the pros and cons of each alternative.
After that the managers must use their decision-making skills
for selecting one path of action.
Decision making is the core of planning. Unless a decision
has been made, a plan cannot be implemented in the
field.

13. REFERENCES:
“Management” by stepen P. Robbin
www.wikipedia.org
www.educationportal.com
www.businessdictionary.com

14. THANK YOU…
AlȇshAlȇsh