Planning process :Steps in planning

The process of planning involves the following steps

  • Analysing environment. At the outset the internal and external environment is analyzed in order to identify company ;s strengths and weaknesses (in internal environment)and opportunities and threats (existing in the external environment) this is also known as SWOT (Strengths Weaknesses Opportunities and Threats ) analysis .

  • Establishing objectives or goals in the light of the environmental scanning (study)clear or probable opportunities that can be availed are identified in order to avail them objectives or goals are clearly defined in specific terms along with priorities in all the key areas of operations major problems associated with such objectives are also identified and defined ,so that there may be special emphasis on their planned solutions.

  • Seeking necessary Information :

All relevant data and facts are collected from internal and external sources such as Availability of supplies, physical and human recourses of the company , finance of disposal, relevant government policy etc then such collected information and factors are analyzed. These information can be used in two ways

  1. To make necessary modifications in objective and goals

  2. To take help them in premising assumption.

Establishing the planing premises

In order to develop consistent and coordinate plans ,it is necessary that planing is based upon carefully considered assumption and predictions

Identifying the alternative course of action.

After established the goals or objective and taking other related steps , feasible alternative programs or course of action are searched out . Impossible or highly difficult propositions are left out .

Evaluating the alternatives.

Problems consequences of each alternative course of action in terms of its pros and cons (eg Cost, benefits, risks etc) are assessed and then relative importance of each of them is found out by looking at their overall individual strengths and limitations especially in the light of present objective and the environment of the company.

Selecting the alternative or Course of action.

The alternative which appears to be most feasible and conducive to the accomplishment of company’s objective, is selecting the final plan of action as strategy.

16 Comments on "Planning process :Steps in planning"

  1. article is really good….n helped me a lot in my assignment.

  2. I am fawwad from Pakistan.

    AArohi can u help me in making an assignment on application of steps in planning, any example situation to implement steps of planning.

    My e mail id is fawwad06@gmail.com

    Hoping for your good response.

    Thanks and Regards

  3. Its really very nice and easy to understand….

  4. salam.plz can u help me in several topics regarding principles of management.i am concerning koontz book but its too difficult.ur notes are very easy to understand.my id is sarahafridi2009@gmail.com.
    plzzz am waiting 4 ur response.thanks

  5. can u send me a sample plan?(based on the steps given),,,,, sweet_yra21@yahoo.com

  6. Thanx. this is a good article. could you pliz help me with some notices on how to improve on sales revenue.romulusrk@yahoow.com

  7. Nice one

  8. I am a mir from sudan can u help me in making an assignment on how the planning process is carried out.
    E.mail : aboamar_411@yahoo.com

  9. please tell me what is “DEVELOPING DERIVATIVE PLAN”
    my e-mail id is luckysiddiqui_reloded@yahoo.com

  10. hey friends can any one of you let me know what is mean by ” Planning premises.’ i am preparing my assignments –desarajuravi07@gmail.com

  11. its good………….

  12. hyasinti manyahi | December 13, 2011 at 7:43 pm | Reply

    nic one, so ez in undrstndng.

  13. very useful buddy…tanx a lot..:)

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