Interrelationship Between Management Functions

Concept and Nature of Planning

Definition of planning.

According to Killen. “Planning is the process of deciding in advance what is to be done, who is to do it, how it is to be done and when it is to be done”. It is the determination of the course of action to achieve the desired results. It bridges the gap from ‘where we are' to ‘where we want to go'. It makes it possible for things to occur which would not otherwise happen. Planning is a mental process requiring the use of intellectual faculties, imagination, foresight and sound judgment. In the words of Koontz, O'Donnell and Weihrich. “Planning is an intellectually demanding process; it requires the conscious determination of courses of action and the basing of decisions on purpose, knowledge and considered estimates.”

Panning involves anticipation of future course of event and deciding the best course of action. It is basically a process of thinking before doing is a deliberate and conscious research used to formulate the design and orderly sequence of actions through which it is expected to reach the objectives. Thus, we can say that planning is a systematic attempt to decide a particular course of action for the future. It leads to determination of objectives of the group activity and the steps necessary to achieve them.

Nature of Planning

The nature of planning can be highlighted by studying the following characteristics:

i. Planning is an Intellectual Activity: Planning involves vision and foresightedness to decide the things to be done in future. It bridges the gap between where we are and where we want to go. It is not a simple process. It involves use of mental skills for the achievement of group objectives.

ii. Planning Involves Selection Among Alternatives: Planning is a choice activity. The planning process involves finding of alternatives and selection of the best alternative to achieve the specified objectives. Thus, decision-making is an integral part of planning. Every manager finds himself surrounded by many alternatives. He has to pick up the best one.

iii. Planning is Forward Looking: Planning means looking ahead. It is carried out to achieve some objectives in future. It may involve forecasting of future events, such as customers' demand, competition, government policies, etc. In other words, the manager attempts to handle future events effectively through the process of planning. Thus, planning is futuristic in nature.

iv. Planning is Related to Objectives: Every plan specifies the objectives to be attained in the future and the steps necessary to reach them. As Billy E. Goetz said, “Pans forecast which actions will tend towards the ultimate objectives... Managerial planning is seeks to achieve a consistent, coordinated structure of operations focused on desired ends.”

v. Planning is the Most Basic of All Management Functions: Since managerial operations in organizing, staffing, leading, and controlling are designed to support the accomplishment to enterprise objectives, planning logically precedes the execution of all the managerial functions.

vi. Planning is a Pervasive Function of Management: Planning is a function of all managers, although the character and breadth of planning will vary with their authority and with the nature of policies and plans outlined by their superiors.