The Importance of Planning

Planning is very important if we are to develop a clear sense of what we wish to achieve and how we hope to get there. We must plan to ensure that we have the necessary resources (people, finance, time, etc.) and that they will be available when needed. Planning something thoroughly does not guarantee its success but it certainly increases the chances that it will be successful.

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Some of the benefits of planning are:

Direction and Teamwork: People need clear goals and guidance on how to achieve these goals. They need to know their roles within the organisation.

Preventing Problems: A major benefit of planning is that potential problems can be anticipated, and steps taken.

Better Decision-Making: Knowing where you are going, and what you need to do to get there, will help you to make the best decision!

Efficiency: Planning establishes coordinated efforts. It reduces overlapping and wasteful activities. Quite simply, the better you plan, the more efficient you will be.

Control: Planning establishes objectives or standards that facilitate control. Through planning we can compare actual performance against the objectives, identifying any significant deviations and take the necessary corrective action. It is easier to implement control measures if each step of the way has been planned beforehand.

Reduced Uncertainty: Planning reduces uncertainty by forcing managers to look ahead, anticipate change, consider the impact of change, and develop appropriate responses,. It also clarifies the consequences of the actions that managers might take in response to change.