PLANNING FUNCTION

Contemporary Business Environment and Planning Function

Contemporary Business Environment and Planning Function

Introduction

Planning is one of the most important functions of management. Planning is bridging the gap between present and future course of action. Need to understand that planning is not an easy task, despite the sophisticated methods no one can predict the future accurately. Thus, proper planning requires a lot of work, which includes the study of past trends and forecasting the future. At the present time, with growing competition it has become imperative for any organization to plan their strategy in advance, so that she can win the competition.

Discussion

Planning includes conducting a SWOT-analysis, structural analysis organization, weaknesses, opportunities and threats. Planning is important at all levels of government. Without proper planning, the organization cannot achieve its goals. Currently, the organization of a separate planning department that is involved in establishing policies that would organize the next level. While setting goals, it is necessary that managers and employees of the organization understand the goals, because they are the ones who are responsible for the implementation and achievement. Therefore, should be proper communication objectives at all levels of an organization.

Planning helps to answer three basic questions:

1. Where are we now?

2. Where do we want to be?

3. How to get there?

Strategic planning helps an organization to understand its current position and how it can achieve the desired goals. Planning in an organization involves setting goals, outlining options for action to achieve the desired objectives, development plans of the derivative, and the involvement of staff and evaluation plans.

Need to understand that planning is a never-ending process. If you have to survive in a competitive world today have to constantly keep on making strategy. Saying: "Well, half the battle plan" is true, as if proper planning goals, it seems an easy job. Proper planning ensures the best available course of action is chosen that will lead to the overall effectiveness of the organization and the best and most efficient use of human, material and machines.

This is a bridge across the chasm, where the organization is where he wants to be. It provides a framework within which business must operate. This is an active process that is designed to help individuals, groups, and the performance of the organization. But people avoid planning because of organizational problems (poor effort and reward structures, fire suppression, and get-stuck in the field of culture, no monetary / non-monetary incentives) or individual issues (laziness, lack of commitment, resistance to change, fear of failure, no experience).

Provides Direction

Plan provides a clear idea of the direction of the organization and operation of the behavior of managers and others. It strengthens their confidence in understanding where the organization is moving and why, how best to make the organization to move along the chosen path, and when they should take what action to achieve organizational goals.

It provides the ability to analyze alternative courses of action. Another source of the importance of planning is that it allows managers to analyze and evaluate alternative courses of action ...