{"id":19588,"date":"2022-05-31T17:23:25","date_gmt":"2022-05-31T11:53:25","guid":{"rendered":"https:\/\/scholarsclasses.com\/blog\/?p=19588"},"modified":"2025-01-06T12:23:57","modified_gmt":"2025-01-06T06:53:57","slug":"what-is-the-importance-of-planning","status":"publish","type":"post","link":"https:\/\/scholarsclasses.com\/blog\/what-is-the-importance-of-planning\/","title":{"rendered":"What is the Importance of Planning? | Free Management Blogs"},"content":{"rendered":"\n<h2 class=\"has-text-align-center has-black-color has-text-color wp-block-heading\">What is the Importance of Planning?<\/h2>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" width=\"1024\" height=\"576\" data-src=\"https:\/\/scholarsclasses.com\/blog\/wp-content\/uploads\/2022\/05\/What-is-the-Importance-of-Planning-1024x576.webp\" alt=\"What is the Importance of Planning?\" class=\"wp-image-19602 lazyload\" title=\"\" data-srcset=\"https:\/\/scholarsclasses.com\/blog\/wp-content\/uploads\/2022\/05\/What-is-the-Importance-of-Planning-1024x576.webp 1024w, https:\/\/scholarsclasses.com\/blog\/wp-content\/uploads\/2022\/05\/What-is-the-Importance-of-Planning-300x169.webp 300w, https:\/\/scholarsclasses.com\/blog\/wp-content\/uploads\/2022\/05\/What-is-the-Importance-of-Planning-768x432.webp 768w, https:\/\/scholarsclasses.com\/blog\/wp-content\/uploads\/2022\/05\/What-is-the-Importance-of-Planning-1536x864.webp 1536w, https:\/\/scholarsclasses.com\/blog\/wp-content\/uploads\/2022\/05\/What-is-the-Importance-of-Planning.webp 1920w\" data-sizes=\"(max-width: 1024px) 100vw, 1024px\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" style=\"--smush-placeholder-width: 1024px; --smush-placeholder-aspect-ratio: 1024\/576;\" \/><figcaption><strong>What is the Importance of Planning?<\/strong><\/figcaption><\/figure>\n\n\n\n<h3 class=\"has-base-3-background-color has-background wp-block-heading\">Meaning of Planning<\/h3>\n\n\n\n<p>Planning is the basic function of management. Every function of management is based on&nbsp;planning. It includes deciding the things to be done in advance. <\/p>\n\n\n\n<p>Planning is an intellectual process of&nbsp;logical thinking and rational decision making. It focuses on organization&#8217;s objectives and develops&nbsp;various courses of action. <\/p>\n\n\n\n<p>Designing a proper planning and implementing accordingly is the key of&nbsp;achieving the objectives of an organization.<\/p>\n\n\n\n<p><strong>According to Koontz and O&#8217;Donnell:&nbsp;<\/strong><br><em><strong>&#8220;Planning is deciding in advance what to do, how to do it, when to do&nbsp;it, and who is to do it. Planning bridges the gap from where we are and where we want to go it makes&nbsp;possible things to occur which would not otherwise occur.&#8221;<\/strong><\/em><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong><a href=\"https:\/\/scholarsclasses.com\/blog\/nature-of-principle-of-management\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/nature-of-principle-of-management\/\">Nature of Principle of Management<\/a><\/strong><\/li><li><a href=\"https:\/\/scholarsclasses.com\/blog\/importance-of-principles-of-management\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/importance-of-principles-of-management\/\"><strong>Importance of Principles of Management<\/strong><\/a><\/li><li><strong><a href=\"https:\/\/scholarsclasses.com\/blog\/henri-fayol-14-principles-of-management-with-examples\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/henri-fayol-14-principles-of-management-with-examples\/\">Henri Fayol 14 Principles of Management<\/a><\/strong><\/li><li><strong><a href=\"https:\/\/scholarsclasses.com\/blog\/scientific-principles-of-management\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/scientific-principles-of-management\/\">Scientific Principles of Management<\/a><\/strong><\/li><li><strong><a href=\"https:\/\/scholarsclasses.com\/blog\/scientific-techniques-of-taylor\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/scientific-techniques-of-taylor\/\">Techniques of Scientific Management<\/a><\/strong><\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">What is the Importance of Planning in Management?<\/h3>\n\n\n\n<p><strong>1) Helps to set clear objectives<\/strong><\/p>\n\n\n\n<p>Planning is concerned with setting objectives, targets, and formulating plans to achieve them.&nbsp;It helps managers to analyze the present condition of the organization and on that basis to&nbsp;identify the ways of attaining the desired position in future.<\/p>\n\n\n\n<p><strong>2) Provides path of action<\/strong><\/p>\n\n\n\n<p>Planning ensures that the goals or objectives are clearly stated. They act as a guide and they&nbsp;provide direction for doing the right things at the right time with right way. It helps employees&nbsp;to know what organization has to do and what they must do for achieving the goals.<\/p>\n\n\n\n<p><strong>3) Planning improves performance<\/strong><\/p>\n\n\n\n<p>It helps managers to improve future performances of employees by establishing objectives and&nbsp;selecting a course of action. Planning leads to efficient&nbsp;working of the employees. Due to proper planning, the employees can work according to&nbsp;timely guidelines. This improvement in performances results into higher profitability of the&nbsp;organization.<\/p>\n\n\n\n<p><strong>4) Minimizes the risk<\/strong><\/p>\n\n\n\n<p>Planning is based on forecasting technique. It is the process of looking into the future and&nbsp;anticipating the future changes. By deciding in advance the tasks to be performed, planning&nbsp;shows the way to deal with changes and uncertain events. Changes or risks cannot be eliminated&nbsp;totally but they can be anticipated and can be tackled with preventive measures. It minimizes&nbsp;the risk of future or uncertainties of future.<\/p>\n\n\n\n<p><strong>5) Planning leads to optimum utilization of resources<\/strong><\/p>\n\n\n\n<p>Organizational plans are prepared by taking into consideration the availability of resources&nbsp;and proper allocation of resources for various activities. It also facilitates optimum utilization&nbsp;of resources which brings higher efficiency and better results. One can avoid wastage of&nbsp;resources by proper planning.<\/p>\n\n\n\n<p><strong>6) Helps in decision making<\/strong><\/p>\n\n\n\n<p>There are various alternatives in front of the management. For achieving goals planning&nbsp;helps the management to select the best alternative by considering all positive and negative&nbsp;outcomes of all the alternatives. Decisions are taken after selecting alternative courses of&nbsp;action to achieve a predefined goal.<\/p>\n\n\n\n<p><strong>7) Useful in setting the standards for controlling<\/strong><\/p>\n\n\n\n<p>Planning set out standards for controlling. So, the actual performance can be compared with&nbsp;the standards and managers can find out the deviation, if any between the actual and the&nbsp;standard performance. Such deviation can be bridged by taking controlling steps. Therefore,&nbsp;planning provides basis for control.<\/p>\n\n\n\n<p><strong>8) Facilitates Coordination of all activities<\/strong><\/p>\n\n\n\n<p>Planning facilitates the coordination of activities. It reduces overlapping among activities.&nbsp;All activities of business organization are closely linked with each other which is considered&nbsp;in the process of planning. Sound planning inter-relates all the activities and resources of an&nbsp;organization. Thus, various departments work as per the overall plan and coordination is&nbsp;achieved.<\/p>\n\n\n\n<p><strong>9) Facilitates other management functions<\/strong><\/p>\n\n\n\n<p>Every organisation functions towards achieving goal and goal is set at the planning stage.&nbsp;Unless the plan is ready, other management functions such as organizing, staffing etc. cannot&nbsp;be undertaken thus, planning facilitates all other functions of management.<\/p>\n\n\n\n<p><strong>10) Promotes innovative ideas<\/strong><\/p>\n\n\n\n<p>Planning is the basic function of management. It is a process of decision making which&nbsp;involves promotion of innovative ideas after critical thinking. Ultimately, these innovative&nbsp;plans result into attainment of the goals of the organization. It is the most challenging activity&nbsp;for the management as it guides all future actions leading to growth and prosperity of the&nbsp;organization.<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><a href=\"https:\/\/scholarsclasses.com\/blog\/importance-of-law-of-diminishing-marginal-utility\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/importance-of-law-of-diminishing-marginal-utility\/\" target=\"_blank\" rel=\"noreferrer noopener\">Importance of Law of Diminishing Marginal Utility<\/a><\/li><li><a href=\"https:\/\/scholarsclasses.com\/blog\/utility-in-economics-meaning-concepts\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/utility-in-economics-meaning-concepts\/\" target=\"_blank\" rel=\"noreferrer noopener\">Utility in Economics ( Concepts of Utility )<\/a><\/li><li><a href=\"https:\/\/scholarsclasses.com\/blog\/features-of-utility\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/features-of-utility\/\" target=\"_blank\" rel=\"noreferrer noopener\">Features of Utility<\/a><\/li><li><a href=\"https:\/\/scholarsclasses.com\/blog\/types-of-utility\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/types-of-utility\/\" target=\"_blank\" rel=\"noreferrer noopener\">Factors Influencing the Elasticity of Demand<\/a><\/li><li><a href=\"https:\/\/scholarsclasses.com\/blog\/importance-of-organizing\/\">Importance of Organising<\/a><\/li><\/ul>\n","protected":false},"excerpt":{"rendered":"<p>&#46;&#46;&#46;<\/p>\n","protected":false},"author":1,"featured_media":19602,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[10,1],"tags":[5076],"class_list":["post-19588","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-educational-blogs","category-misc","tag-what-is-the-importance-of-planning"],"_links":{"self":[{"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/posts\/19588","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/comments?post=19588"}],"version-history":[{"count":1,"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/posts\/19588\/revisions"}],"predecessor-version":[{"id":32962,"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/posts\/19588\/revisions\/32962"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/media\/19602"}],"wp:attachment":[{"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/media?parent=19588"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/categories?post=19588"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/tags?post=19588"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}