Is planning worth huge costs involved? Explain.
Is planning worth huge costs involved? Explain.
Planning is deciding in advance what to do, how do and by whom. It bridges the gap between 'where we are' and 'where we want to go'. Yes, planning is worth huge costs as it is an important function of management, because of the following reasons:
(i) Planning provides direction: By stating in advance how work is to be done in future, planning provides direction for action. It clearly defines what the employees have to do, when to do, how to do and for whom to do. When employees are aware of what they have to do, departments and individuals are able to work in coordination.
(ii) Planning reduces the risk of uncertainties: It is an activity, which enables a manager to look ahead and anticipate changes. By deciding in advance, planning shows the way to deal with changes and uncertain events. Such changes can only be anticipated but not eliminated altogether.
(iii) Planning reduces overlapping and wasteful activities : With planning, various activities of different departments and divisions are carried on in an effective manner, which reduces the overlapping and wasteful activities. It ensures clarity in thought and action and work is carried on smoothly by reducing useless and redundant activities.
(iv) Planning promotes innovative ideas : It is an intellectual process, which involves finding better ideas and methods to perform a particular job. In planning, new ideas can take the shape of concrete plans.
(v) Planning facilitates decision-making: It helps the manager to look into the future and choose amongst the various alternative courses of action, in order to find out the most viable, economical and suitable plan.
(vi) Planning establishes standards for controlling: It provides the standards against which actual performance is measured. It helps in finding deviations between desired and actual results, and take corrective action depending upon the level and type of deviations. Thus, planning facilitates controlling.
Planning is deciding in advance what to do, how do and by whom. It bridges the gap between 'where we are' and 'where we want to go'. Yes, planning is worth huge costs as it is an important function of management, because of the following reasons:
(i) Planning provides direction: By stating in advance how work is to be done in future, planning provides direction for action. It clearly defines what the employees have to do, when to do, how to do and for whom to do. When employees are aware of what they have to do, departments and individuals are able to work in coordination.
(ii) Planning reduces the risk of uncertainties: It is an activity, which enables a manager to look ahead and anticipate changes. By deciding in advance, planning shows the way to deal with changes and uncertain events. Such changes can only be anticipated but not eliminated altogether.
(iii) Planning reduces overlapping and wasteful activities : With planning, various activities of different departments and divisions are carried on in an effective manner, which reduces the overlapping and wasteful activities. It ensures clarity in thought and action and work is carried on smoothly by reducing useless and redundant activities.
(iv) Planning promotes innovative ideas : It is an intellectual process, which involves finding better ideas and methods to perform a particular job. In planning, new ideas can take the shape of concrete plans.
(v) Planning facilitates decision-making: It helps the manager to look into the future and choose amongst the various alternative courses of action, in order to find out the most viable, economical and suitable plan.
(vi) Planning establishes standards for controlling: It provides the standards against which actual performance is measured. It helps in finding deviations between desired and actual results, and take corrective action depending upon the level and type of deviations. Thus, planning facilitates controlling.
