Effective Planning And Organizational Goal Attainment
How To Plan A business Effectively
In order to attain the goal of business which is to make much profit as possible , managers must perform certain functions. Management functions are those activities that characterise the manager's job, one of which include planning.
Planning is the intellectual process that preceeds the activities being planned (prof. E.J Etuk). It is a process recognizing resources with objectives and opportunities by selecting a given path to the future from posssible alternatives. Planning , therefore, involves selecting the best course of action from the alternatives available. Every line manager has some planning job to irrespective of the level at which he operates and the level of his activities. The foreman operating at the lower rung of the production ladder, the nature of his planning tends to be characterised by the longer time span. Thus the chairman of the board of directors who occupies the highest position in the organizational hierarchy often engages himself in long range planning. Thus , planning usually involve a time span ranging from two to five or more years.
Planning is a continuing activityof management. In order to plan well . a manager must know what the objective of his organization are and also be aware of and able to accurately identify the planning premises.
Ability to premise, that is, make specific assumption about event in the environment, depend to a great extent on the manager's ability to predict what will happen in the future.
Planning Effectively : Planning effevctively by an organization towards goal attainment requires comprehensive or corporate planning approach.In this connection , effective planning in an organization means that for an organization to attain her goal, she has to llok beyond the confines of a single department or activity and integrate the different plans together to form a total planning system.
The process of developing an organization (e.g a small business firm) plan begins with forecast made for the company. The forecast itself will be based on macro-economic data, field estimate and other relevant indices. The forecast is first passed to the top management - who in turn direct it to the functional areas of operations for their comments. The marketing , engineering , production, finance and personnel departments are consulted for their own contribution vis - a -vis resources available.
The CEO may approve of the plan especially where it allows the realization of business objectives. If the plan is does approved, it is forwarded to the organization's board of directors - who will give their official authorization for the department to proceed with their responsibilitie s and budget. Eventually, the departmental plans are returned to planning department where the "jig saw" is completed into a master plan for the organizational goal objectives.
Strategic Planning : Strategic planning areas in a business, be it small or big, include personnel, marketing , production, and finance. In marketing the emphasis is laid on generating the targeted sales, while production planners ensure the availability of the desired stock at the right time and at a minimum cost.
In Personnel Mnagement, there is the process of attracting, holding and motivating people. It is a process in which all managers both line and staff, are explicitly involved. Also, finance is a part managerial activity which is concerned with the planning , coordination and control of the firm's financial resouces.
Planning has been described as the intellectual process of looking ahead. It is concerned with the future. Its basic aim is to provide an appropriate framework now, that will ensure the attaimnment of some goals later. It should be emphasized that the success of the business depends on the degree and quality of planning which has been undertakened.