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Importance of business planning for the survival of the firm
What is the importance of business plan
Importance of planning in an organization
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Introduction Management is important in all organizations either it is big or small. Without management no any organization achieve their goals. The functions of organization are “planning, organizing, leading and controlling” (Robbins, DeCenzo, Coulter, and Anderson, 2015, p.2). All these function work step by step for achieving a goal of an foundation. These function gives a direction to all the employees and helps in doing systemic work. In an organization, to work effectively and efficiently planning plays a significant role and helps the employees to move forward to complete the mission and vision of the organization (Sophia and Owuor, 2015).
Foremost Step Planning Planning is the foremost step of any organization. This is the base on which next step formed in an institute. Without planning does not decide anything. It includes resources, strategies, goals, objectives, needs, set standards and so on. Planning provides a direction to the manager, reduce waste from work
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Goal is the target that achieve by everyone (Tredgo, 2018). It is possible only if goal is clearly defined while planning. Secondly, it also focuses on the reduction of “uncertainty” (Robbins, DeCenzo, Coulter, and Anderson, 2015, p.44) because alternatives plan always prepared because if any situation arise then these plan is useful. Because future is unpredictable about the risks. Thirdly, it also helps during decision making because while planning many alternatives plan formed, after that best plan chosen by a company boss or manager (Tredgo, 2018). This helps in facilitating decision making. Fourthly, planning is also aid for organizing. Because planning gives an idea about the resources that are required and when needed it. Last but not the least, increases efficiency of the organization. Best planning always helps the company employees to work efficiently and effectively. So, that overall growth and development occur of an institute (Sophia and Owuor,
According to the Food and Agriculture Organization of the United Nations (2014), “Planning is the process of setting goals, creating organizational strategies and/or outlining tasks and innovative ways to accomplish the goals you have set in order to be a successful organization.” In the world of management or healthcare management planning is a vital importance in that it helps to focus, prepare and clarify the daily projects and assignments that may help an organization become a successful entity. Planning can also be very important in many other ways such as, saving time...
Murray and Dicroce (2003) suggest that management is a process that uses resources to achieve specific goals effectively; basic management functions including planning, organising, coordinating, directing and controlling. The term of manager can be appointed to the person to plan, organise, coordinate, supervise, negotiate, evaluate and use resources available in the best way possible to achieve the best service. Alternativ...
Planning is a way to respond to the changes occurring in the environment around a person systematically. Planning is an approach towards the problem solving rationally. It can be taken as a remedial tool for creating change in the current situation in systematic and efficient way.
They also have to maintain planning ,controlling and coordinating function .In maintain the planning ,managers must be selecting some staff who are skilled and experience and some staff for handling any kind of situation ,Finally ,they set the plan .
“Our plans miscarry because they have no aim. When a man does not know what harbor he is making for, no wind is the right wind” a famous quote about our goal by Seneca. It is a metaphor about the achievement goal and objectives by good planning skills. One has to plan for what one wants to achieve and where one wants to go. One of the most important things is to have good planning, before taking any project the first think you should do is to create project plan. Planning can be defined as preparing a sequence of action to achieve specific goals and objectives. According to Kerzner (2009), “project planning is desirable that the project manager is involved from project conception through execution. It must be systematic, flexible to handle, closely disciplined through reviews and control and capable of accepting multi functional inputs (pg. 412)”. The importance of planning a project is to describe the work so that it will be easily identifiable to the project team member.
Planning aims to reduce uncertainty. It does this by forcing managers to look ahead, anticipate change, consider the impact of change and develop appropriate responses. (Robbins 2012) Through attempted monitoring of conditions in a changing environment, one is able to respond quicker to new information and new circumstances, thereby becoming more flexible. In addition, having the environment under constant observation enables managers to analyse how the organisation will differentiate itself from its competitors, therefore facilitating more chan...
An organisation is a deliberate arrangement of team consisting different personal identities to accomplish some specific goals and managers are the ones who hold the responsibility of mastering and placing them together to strive for that purpose (Robbins, Bergman, Stagg, and Coulter, 2008). Robbins et al. (2008) have stated that managers are people who coordinate and oversee the work activities of others so that the goal is accomplished effectively and efficiently. Managers usually possess qualities such as having strong communication skills, flexibility, imagination, enthusiasm, problem solving skills, and of course the desire to be a great leader (Phdinmanagement.org, 2014). The structure of management conducted by a manager is often influenced by the four functions introduced by Henri Fayol (planning, organising, leading, controlling); how Henry Mintzberg’s management roles play in the organisation and also the three essentials management skills proposed by Robert L. Katz (Robbins et al., 2008).
We will first start by looking at the planning aspect of management. Our book indicates that planning is the process of setting goals for the company, by looking at both internal and external environments, deciding which goals are the most important and need to be accomplished now, deciding what the company’s strategy will be to reach said goals, and allotting the resources needed to pursue these goals (Dr. Michael Reilly, 2011).
Plans are used to achieve your organizational goals or vision. The goals are usually long term and are made by upper management, who then pass it down to lower management, it is then passed on to other employees. Goals involved everyone in the company and everyone must do their part to achieve the goal. The goal must specify what the objectives are, it must also be measurable to know how much you will be gaining in the end of the plan towards the goal, measuring the progress helps the team stay focused and on track to achieve its goal, goals must be attainable and realistic, while a team will have to work harder and more hours to achieve it. The goal must not be unattainable and must be relevant to the company and employees, so you will receive
As Schermerhorn states in Management planning, organizing, leading, and controlling are the tools needed by managers to accomplish performance goals. It is crucial that managers be able to recognize and act upon problems or opportunities as they arise. Planning is perhaps the cornerstone of the four processes. All good processes were at some point given great detail so as to anticipate possible problems and solutions to those problems. When the Honda Motor Company decided it needed to refine its inventory they didn't just jump at the first idea that was proposed; they first set their objectives and discussed ways to meet those objectives. After giving careful consideration to processes and the streamlining of those processes human error rose as the top need for change. Sounds simple you might respond; in reality it is much more complicated.
"In everyday language usage, management refers to the people in organizations who manage, and to the activities they perform." (Fulop, Frith, Hayward 1992 p. 187) To be more specific, management is the process of organizing work activities with and through people to ensure the activities are completed efficiently and effectively (Robbins, Bergman, Stagg, Coulter 2006, p. 9). Through management, the goals of the organization or business are to be achieved. Henri Fayol, one of the most influential contributors to modern concepts of management, proposed that there are five primary functions for management, which consist of planning, organizing, commanding, coordinating and controlling. Nonetheless, the functions of commanding and coordinating have metamorphosed into leading (Crainer 2003).
Planning and organizing is another vital quality needed for managers. If manager can do effective planning he can really contribute in the long term progress and development of his organization. Proper planning helps in useful and efficient use of the existing resources of the organization. After planning if you are not able to organize the things, this can really worsen your planning.
The first function of management is planning. "Planning is systematically making decisions about the goals and activities that an individual, a group, a work unit, or overall organization will pursue." (Bateman & Snell) In my organization, planning takes up the most time. Objectives must be laid out, potential products must be examined and the timing and type of marketing must all be planned out before we provide our product to our customers. This function should be first and foremost to all individuals involved in the organization. Poor planning will result in your organizations demise.
Strategic planning has a focus on stabilizing the current environment, and it also support the organization's business plans and goals. Strategic planning helps to implement new projects, new technology, consolidation of data centers, data warehouses, exponential data growth, cost of ownership, and resources available in an organization to assess the future requirements. Strategic planning analyzes the business plan, potential blockage or other issues in the current architecture, processes and their implementation in new initiatives, and processes. Strategic planning helps to formulate the ideas about the key factors that are affecting the present and future development of the organization and the opportunities offered by the environment and the competence of the organization.
The first function of management is planning. Planning is a process that managers use to identify and involve goal setting and decide the best way to achieve the goal.(Bartol 2007) Planning connect the gap between where we do, where we intend to go. It predict the possible things to happen which would not otherwise happen (MSG 2012). There are several steps to the planning process, which are determine the goals of the organisation, evaluate the current position, consider possible future conditions, identify possible alternative actions and choose the best. Planning is the criteria thinking through goals and making decision to achieve the goal of the organisation’s objective, which requires a systematic way. Also objectives focus the managers how to achieve the final result as managers have to predict anything will happen, avoid the problem and fight back to competitors. An example of planning, which is the President Canon Inc Tsuneji Uchida and lead Canon Company become the no.1 in the global business (Canon.Inc 2011). Tsuneji Uchida has to understand what is the company objective and goal. First, make decision to protect the position and the aim of canon, improve the operation more diversity. Second, he creates the new design of camera and new technology, he plan to do these things to maximise profit.