When you want to do something new, then the two questions strike in your mind. These are what to do and how to do it.
Planning is the act of decision-making. So, the foremost question is what to do to make a future-oriented plan.
Every great manager follows some logical steps to plan anything. These create differences between great and average.
There are some major processes in planning.
Let’s dive in.
8 Important Processes of Planning
1. Perception of Opportunities:
Understanding the opportunities is not directly connected with planning. But the knowledge of opportunities is the beginning point of planning.
It gives the crystal clear vision to take a primary look of the future opportunities.
So, the beginning of the planning process you have to understand the opportunities.
2. Setting Objectives:
After the perception of the opportunities, you have to set your goals or objectives. Every business, enterprise, and company must have a specifics objective.
The top-level managers set the primary or main objectives of an organization but the objectives of each department set by middle and low-level managers.
Goals or objectives will decide the work and impact in the external market. For example, the total revenue of an organization increased by 10% that is also the objective of the organization.
How to accomplish pre-determined objectives or goals by every individuals and departments?
When managers set an objective, then they state very well for all workers. They also give direction to all individuals and departments.
It also helps to get rid of misunderstanding, coordination problems in co-workers.
3. Developing Premises:
We all plan for the future but the future is uncertain, so planning is full of uncertainty. Any good or bad planner plan for the future, they predict what is happening in the future.
Therefore, managers are not far from it, they also assume about the future to analyze the previous facts. These assumptions or predictions are called premises.
These assumptions and predictions are always the same for all and every person in an organization gives permission to them.
Successful planning is not successful without a proper predication.
4. Identifying Alternatives Courses of Action:
If objectives are set, the work of the assumption is over. Then, you have to act according to the predication.
There are various alternative courses of action to achieve goals or objectives. This course of action is taken by some innovative people and sharing their ideas.
If the overall task is important, then more alternatives are discovered and viewed by the managers of the organization.
5. Evaluating Alternative Courses:
Then the next step is to analyze the advantages and disadvantages of each alternative course. Every course of action has some variables which are against each other.
You have to choose every course after the deep research and analyze what is perfect for the situation.
The evaluation of alternatives has happened by various factors (likewise – cash inflow and outflow, risks, limited resources, expected payback, etc.
The alternatives make a way to get our objectives at lower price and higher revenue.
6. Choosing the Right Alternatives:
The renowned proverb ‘Choice is to the key to success. I think that is absolutely right. So, choosing the alternatives is the real exam of your decision-making quality.
How can you find an ideal plan? There are some key topics is here which help you to find the right ones. The right alternatives would be most practical, profitable with less negative impact.
7. Implementing the Plan:
In this step, all functions of management came into the picture. It is all about implementing the plan into action.
For example – if you want to increase your production level of an organization, then you will have more labor, machinery. It also involves staffing, organizing, and directing to the labor and buy machinery.
8. Follow-up Action:
You must have to see the implemented plans and activities are performed according to the plan. This is also a part of the planning process.
Monitoring the planned activities is same important than the goals and objectives are achieved.
What did you think of this? Do I miss something? Come on! Let us know if you want to add something to the list.
Processes of Planning FAQ:
These are the 8 major processes of planning (1) Perception of Opportunities, (2) Setting Objectives, (3) Developing Premises, (4) Identifying Alternatives Courses of Action, (5) Evaluating Alternative Courses, (6) Choosing the Right Alternatives, (7) Implementing the Plan, (8) Follow-up Action.