Planning Function of Management
Planning in Management
Planning is deciding in advance what to do and how to do.It is one of the basic managerial functions. Before doing something, the manager must formulate an idea of how to work on a particular task. Thus, planning in management is closely connected with creativity and innovation. It involves setting objectives and developing appropriate courses of action to achieve these objectives.
"Planning bridges the gap from where we are to where we want to go. It makes it possible for things to occur which would not otherwise happen"
- Koontz and O'Donnel.
Importance of Planning
Features of planning
- Planning focuses on achieving objectives
- Planning is a primary function of management
- Planning is pervasive
- Planning is continuous
- Planning is futuristic
- Planning involves decision making
- Planning is a mental exercise
Setting objectives: Objectives may be set for the entire organisation and each department or unit within the organisation.
Developing premises: Planning is concerned with the future which is uncertain and every planner is using conjucture about what might happen in future.
Identifying alternative courses of action: Once objectives are set, assumptions are made. Then the next step would be to act upon them.
Evaluating alternative courses: The next step is to weigh the pros and cons of each alternative.
Selecting an alternative: This is the real point of decision making. The best plan has to be adopted and implemented.
Implement the plan: This is concerned with putting the plan into action.
Follow-up action: Monitoring the plans are equally important to ensure that objectives are achieved.
Types of Plans
Objectives: Objectives are very basic to the organisation and they are defined as ends which the management seeks to achieve by its operations.They serve as a guide for overall business planning.
Strategy: strategy is a comprehensive plan for accomplishing an organisation objectives. This comprehensive plan will include three dimensions,
(a) determining long term objectives,
(b) adopting a particular course of action, and
(c) allocating resources necessary to achieve the objective.
Policy: They are guides to managerial action and decisions in the implementation of strategy.
Procedure: Procedures are routine steps on how to carry out activities. Procedures are specified steps to be followed in particular circumstances.
Method: Methods provide the prescribed ways or manner in which a task has to be performed considering the objective. It deals with a task comprising one step of a procedure and specifies how this step is to be performed.
Rule: Rules are specific statements that inform what is to be done. They do not allow for any flexibility or discretion.
Programme: Programmes are detailed statements about a project which outlines the objectives, policies, procedures, rules, tasks, human and physical resources required and the budget to implement any course of action.
Budget: It is a plan which quantifies future facts and figures. It is a fundamental planning instrument in many organisations.
- The Five Functions of Management
Functions of Management. Koontz and O’Donnel explained five functions of management. They are; Planning, Organizing, Staffing, Directing and Controlling.
Functions of Management
- Evolution of Management Principles
The first known management ideas were recorded in 3000-4000 B.C.
- ORGANISING - Management principles
Organisation is the process of identifying and grouping of the works to be performed, defining and delegating responsibility and authority and establishing relationships for the purpose of enabling people to work most efficiently...
- DIRECTING - Management principles
Directing means giving instructions, guiding, counselling, motivating and leading the staff...
- Staffing Management Principles
Staffing is the function by which managers build an organisation through the recruitment, selection, and development of individuals as capable employees.
- Controlling - Management Principles
The managerial function controlling always maximise the use of scarce resources to achieve the purposeful behaviour of employees in an organisation.
Principles of Management
- Principles of Planning
Principles of Planning : Planning is a dynamic process, it is very essential for every organisation to achieve their ultimate goals, but, there are certain principles which are essential to be followed so as to formulate a sound plan.
- Principles of Organizing
Principles of Organizing; Organizing can be effective only if managers follow some guiding principles in order to make important decisions and act upon them.
- Principles of Directing
Direction is always a complicated task as it involves dealing with employees of different kind. A manager can become successful in the skill of efficient direction by learning and practicing the basics of direction.
- Principles of Staffing
Principles of Staffing; Staffing process of management assists in obtaining the right talent and also nurturing it. Staffing principles which are universally accepted are not present.
- Principles of Controlling
Principles of controlling; Controlling is a procedure of ensuring that satisfactory progress has been made in accordance with the plans and noting down the experience benefited for achieving forth coming goals.