Meaning and Characteristics of Planning, Levels of Planning

Meaning of Planning

Planning is the process of preparing future actions to achieve objectives quickly and successfully. It also goes by the name "blueprint of action." It is the management function that comes first and foremost. It chooses what to do or not do, who will carry it out, and how the outcome will play out over the next few days. It is the main responsibility of management. It focuses on the next step to take. For a company to succeed, planning is essential. Planning entails defining company prospects with both creativity and analysis. It is the process of directing the company in a definite direction.

According to Robert R Kreitner

• “Planning is the process of coping with uncertainty by formulating the future course of action to achieve specified result”.

According to Richard Steers

• “Planning is the process by which managers define goals and take the necessary step to ensure that these goals are achieved”.

According to Ricky W. Griffin

• “Planning is setting an organization’s goals and deciding how best to achieve them”.

We may conclude from the definitions above that it is the process through which a management considers the future and identifies various courses of action in order to choose the best options from those available.

Characteristic of Planning

The following list includes the many planning traits:

• Primary Function
  • The main responsibility of management is planning. It is essential to the coordination of all managerial functions. The foundation for organizing, staffing, directing, controlling, etc. is planning.
• Pervasive Activity
  • Planning is a task that managers at all organizational levels handle. Although planning is required for all actions at all levels, the type and extent of planning vary depending on a person's position within the organizational hierarchy and the general parameters set forth by his upper managers. In other words, upper level management creates strategic plans, middle level creates department plans, and lower level creates day-to-day operational plans.
• Future-Oriented
  • Planning is always done with the future in mind. It is one of the fundamental goals of every organization to guarantee its continued existence and expansion. Its primary goal is to prepare for upcoming events or courses of action. If only planning can adapt to the changing environment, it is accomplished. As a result, it inspires future analysis, anticipation, and prediction. Additionally, it offers suggestions, builds a structure for future operations, and offers instructions.
• Continuous Activity
  • The ever-changing corporate environment makes planning a continual, never-ending activity. Every organization has a clearly defined hierarchy of plans at all times. One-time plans cannot be made by management. When a business organizational goal is accomplished, a new plan is created to accomplish the organization's future goals. It is a never-ending procedure as a result.
• Intellectual Work
  • Local consideration and decision-making are included in planning. It requires thinking. Intelligent, imaginative, and ethical judgment are required for planning. Top-level managers were in charge of creating plans, therefore they needed to be skilled and experienced. Before forming any plans, they consider potential issues, potential solutions, and the effects of each. Planning is therefore a cerebral or cognitive process.
• Flexible
  • Plans must be adaptable in some way. It should be written so that adjustments can be made if the environment changes. In the future, several factors could have an impact on it. Therefore, it should be adaptable even when the environment changes.
• Efficiency and Economy
  • Utilizing resources wisely includes making the best use of labor, machinery, and other resources. A plan's effectiveness is determined by how much it contributes to the goals and objectives in comparison to the expenses associated with developing and implementing the plan.

Level of Planning

The foundation for future action is planning. It comes in several forms. It can be divided into categories based on the time frame, type of plans, and managerial structure. Planning involves getting ready for either a short period of time or a lengthy period of time. The many planning types are as follows:

• Strategic plan
• Tactical plan
• Operational plan

• Strategic Plan
  • The top level management creates the strategic plan. The mission and strategy goals are accomplished through the brand action plans. It includes the entire company. It consists of guidelines, timetables, and plans for utilizing the organization's resources. The organization, long-term objectives, and formulation of realities are the key concerns of these programs. For three, five, or more years, strategic plans are long-term. They give the company long-term guidance.
• Tactical Plan
  • A intermediate level of management creates the tactical strategy. It is ready to put the corporation plan into action. Managers identify the plans in this planning based on the importance of the work. The focus of programs is on resource and work allocation. It gets ready to divide out divisional tasks like payroll, hiring, marketing, production, and so forth. This serves as a link between corporate and operational plans.
• Operational Plan
  • Lower or first line management prepares the operational plan. It takes daily activities into account. A plan of this nature is created by lower level management. These strategies are focused on the near future. It creates the production department's regular production schedule. Consequently, emphasis should be placed on regular production processes.

Reference

Poudyal, Dr.Santosh Raj. Principles of management. Bhotahity,Kathmandu: Asmita Book publishers & Distributors(P)Ltd, 2011.