Planning is the primary function of management. Its purpose is to ensure optimum utilisation of human and economic resources in the business processes. It precedes all other activities of the business undertaking. It is the process of charting out the path for attaining the ultimate purpose of business operations by outlining the sequence of events forecast with reasonable degree of [...]
Some frequently asked exam questions on strategic planning are as follows: Q.1. Give the meaning and definition of strategic planning. Ans. Strategic Planning is basically a policy-making function. It is concerned with: (i) Defining the corporation's purpose, (ii) Defining the composition of its business mix, and (iii) Defining the qualitative and quantitative projection of its achievement (i.e., short-and long-term corporate [...]
Fundamentally, there are four different approaches to do formal strategic planning. The approaches are:- 1. Top-Down Approach 2. Bottom-Up Approach 3. Mixture of the Top-Down and Bottom-Up Approaches 4. Team Approach. 1. Top-Down Approach: In a centralised company, such planning is done at the top of the corporation and the departments and outlying activities are advised straightway what to do. [...]