Question

Explain the following limitations of planning function of management: (i) Planning may not work in a dynamic environment. (ii) Planning reduces…

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(i) Planning may not work in a dynamic environment. • The business environment is dynamic and constantly changing due to economic, political, physical, legal and social factors, so organisations have to continuously adapt themselves to changes. • Planning cannot foresee everything and thus, there may be obstacles to effective planning (ii) Planning reduces creativity: • Planning is mainly done by the top management and the middle management and other decision makers are neither allowed to deviate from plans nor are they permitted to act on their own. • Due to this, the initiative and creativity of employees gets lost or reduced as they only carry out orders and tend to think along the same lines, leaving little scope for new or innovative ideas. OR Q (b) Explain the following types of plans: (i) Policy (ii) Procedure (i) Policy: • Policy is a general statement that guides thinking and channelizes energies towards a particular direction. They are guides to managerial action and decisions in the implementation of strategy. • It defines the broad parameters within which a manager may function. The mangers may use his/her discretion to interpret / apply a policy. ii) Procedure: • Procedures are routine steps on how to carry out activities and specify the exact manner in which any work is to be performed. • They are specified in a chronological order to be carried out within a broad policy framework meant for insiders to follow.

Explain the following limitations of planning function of
management :
(i)
Planning may not work in a dynamic environment.
(ii)
Planning reduces creativity.

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(a)OR(b)Explain the following limitations of planning function ofmanagement :(i)Planning may not work in a dynamic environment.(ii)Planning reduces creativity.Explain the following types of plans :(i)Policy(ii)Procedure

Marking-scheme solution

More from Planning

Explain the following limitations of planning function of
management :
(i)
Planning may not work in a dynamic environment.
(ii)
Planning reduces creativity.