Planning

Saturday, September 4, 2010

Of all the managerial functions, planning is considered as the most basic function. Planning refers to the rational and orderly thinking about the ways and means for the realization of the objective of the organisation. In the words of Lundy, planning means “the determination of what is to be done, how the results are to be evaluated.” Thus, planning means deciding in advance what to do. It involves thought and decision pertaining to a future course of action. Planning is a mental process requiring the use of intellectual faculties, to foresight imaginations and sound judgement. It includes determination of objectives, setting rules and procedures, determining projects, setting policies and strategies, budgeting, etc. All these determine what an organisation wants to do and how it can be done.

Planning may be short term or long term. It is a pervasive function and managers of various levels have to prepare plans. It is also an ongoing process. It enables us to do things in an orderly and efficient manner. IT enables an organisation to face change and uncertainly.