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Elements of Planning

Elements of Planning

Planning process formulates an overall operating plan for the organization. This plan further split into department, sectional, or individual plans. There are called derivative plans. These derivative plans are subject to the overall plan both must work together for consistency or results. Any complete and through the planning must provide for the following elements:-

1.       Forecasting: it is the projection of present trend into the future.

2.       Objectives: these are the ends towards which activities are aimed. All future actions are directed towards objective.

3.       Policies: these are the general statements or understandings, which provide guideline in decision making. They may be written or real. Policies are restricted as well as permissive.

4.       Procedures: these indicate as to how a particular activity is to be performed. It determines the course of action and spots out the sequence of actions.

5.       Programmes: these are laid down within the framework of the plans. Different plans are integrated together for their proper implementation.

6.       Rules: rules are prescribed guides to action. They offer no direction to employers. They specify what should be done and what should not be done.

7.       Budgets: they are numerical statements prepared for a particular period. Budgets are generally prepared in terms of money but other units may also be used.

8.       Strategies: these are modified plans or policies to meet a particular situation, particularly a competitive situation in the market.

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