Elements Of Planning

Elements of Planning

According to the usage and nature of planning, components of planning or elements of planning are divided into the following categories –

1.     Purposes or Mission – Every company or a organized group activity has a purpose of business in generally the production and distribution of Economics goods and services. It is difficult to establish meaningful plans unless an organization has a clear and definite mission at a business. Every business system have a certain basic function or task’s is called mission.

2.     Objectives – The first important task of planning is to lay down objectives or goals. It represent the end towards which all other activities of management are directed. Objected must be clearly defined and properly communicated.

3.     Policies – Policies are guide to think in decision-making. It lays down the course of action selected to guide  & determine present and future decisions. Policy are great help in delegation of authority by a manager. And it should be periodically review and necessary changes be introduce in them which helps in achievement of goals.

4.     Procedures – Every plan must also lay down the procedures or way in which it is to be implemented, specifying the chronological sequence for the future activities. Rules are different from policies procedures than to policies as it signify some kind of regulation positive or negative & permit its wide application.

5.     Budgets – Budget is a dingle use plan containing expected results in the numerical terms. Budgets may be expression. Budget making is primarily a planning process where as its primarily a planning process where as its administration is part of controlling.