How is the finance raised for expansion and/or modernisation of the business? Eval­uation is not an easy process because alternatives have so many variables and limitations. The moment there appears to be changes in the assumptions on which the plans are based; there should be corresponding changes in the plans also. The very fact of achievement of goals is required to be evaluated, by seeing whether these goals are accomplished. 5. Plans and subsidiary plans are first used on trial basis to the possibility of their success. (c) To work along with the major plan to reach the same objective. In other words, it is decided as to who will do a particular job and at what time. He proposed this process to ensure a higher success rate for planning. Further, there will be constraints like Government Control which affect the plans. The strategic planning process helps an organization fill the gap between its current state and the desired state. Define a High-Level Vision. Forecasting will reveal those areas where control is lacking. For Example—for effective operation of the basic production plan, a number of secondary plans for purchasing basic production plan, a number of secondary plans for purchasing of raw materials acquisition of plan and machinery, training of workers arranging for adequate finance, etc., have to be prepared for the successful operation of the basic plan. Goals are a thread which bind the whole company. By this, the management can notice short comings in time and can also take immediate suitable corrective actions. It means that the actual performance is compared with the planning and then corrective action is taken if there is any deviation. Formulating Derivative Plans 8. Future in form at in is nothing but logical anticipation of near as well as distant future. The steps involved in planning process are: 1. Hence, the process of controlling is a critical part of any plan. The objectives should be for the enterprise as a whole and then they must be broken down into departmental and sectional objectives. Planning premises are vital to the success of planning as they supply economic conditions, production costs and prices, probable competitive behaviour, capital and material availability, governmental control, and so on. Following steps are taken in planning process: 1. Budgets are generally financial, though they may be expressed in other terms also such as labour hours. Objectives can be long term and short term as well. Before actual planning is initiated relevant facts and figures are collected. (d) By effectivating the plan, what benefit will the organisation get? The objectives are the end products and all energies are diverted to achieve these goals. Numberizing Plans by Budgeting 9. Marketing Planning includes specific, market precise, or company-wide policy that describes actions involved in achieving a particular objective that is set within a selected timeframe for the biz. It is essential to identify the assumptions on which the plans will be based. Past information related to past objectives, courses of action being adopted, its effect and probability of achievement of objectives that can assess the effectiveness of current courses of action. In case the future forecast proves wrong and the first alternative course fails, the reserved one can immediately be brought into operation and failure can be averted. iii. These organizational goals are made by senior level managers after reviewing numerous objectives. An appropriate time schedule has to be prepared and detailed instructions are written for communication of the plan. 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