Question:

Explain the following limitations of planning function of management :
(i) Planning may not work in a dynamic environment.
(ii) Planning leads to rigidity.
(iii) Planning is time consuming.

Updated On: Jun 23, 2025
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Solution and Explanation

Limitations of Planning:
1. Dynamic Environment: Business conditions keep changing. Over-reliance on plans can lead to inefficiencies in unpredictable situations.
2. Planning Leads to Rigidity: Once a plan is made, managers may strictly adhere to it and not allow necessary flexibility.
3. Planning is Time Consuming: Detailed analysis and forecasting demand time and effort, which might delay immediate action.
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