Explain the following as types of plans :
(i) Objectives
(ii) Policy
(iii) Programme
(i) Objectives
(ii) Policy
(iii) Programme
Solution and Explanation
Explanation of Types of Plans
Planning involves setting objectives and deciding in advance the appropriate course of action to achieve them. The following are different types of plans:
(i) Objectives:
Objectives are the end results which an organisation aims to achieve. They are specific and measurable goals set by top management. All other planning activities revolve around achieving these objectives.
Example: To increase sales by 20% in the next financial year.
(ii) Policy:
Policy is a general guideline that helps in decision-making. It defines the boundaries within which decisions can be made and ensures consistency in action. Policies are framed by the top management but implemented at all levels.
Example: A company policy of “no credit sales” to manage cash flow.
(iii) Programme:
Programme is a detailed plan of action for a specific activity. It includes objectives, policies, procedures, rules, and budgets to implement a particular course of action. Programmes are more comprehensive and task-oriented.
Example: Launching a new product involves a programme including market research, advertising, production, and sales promotion.
Conclusion: Objectives, policies, and programmes are essential components of planning that guide organisational efforts towards desired outcomes.
Top Questions on Planning
Match List I with List II.
- Arrange the steps of Planning Process in a proper order:
(A) Implementation of plan and follow-up action
(B) Developing Premises
(C) Identification and evaluation of alternative courses of action
(D) Setting up of objectives
(E) Selecting an alternative
Choose the correct answer from the options given below: - Which of the following is a principle by Fayol?
Match the features of planning in List I with their descriptions in List II
List I List II A. Planning is Pervasive I. It is required at all levels of management and in all departments of the organisation. B. Planning is Continuous II. It involves looking ahead and preparing for future events to the best advantage of an organisation. C. Planning is a Primary Function III. It lays down the base for other managerial functions. D. Planning is Futuristic IV. Plans are prepared for a specific period, and at the end of that period, new plans are drawn based on new requirements and future conditions. “Planning bridges the gap between where we are and where we want to go”. Identify the features of planning.