2. Planning functions

Planning performs several functions:

  • Management function. Planning is the first and most important management function, providing the foundation for other management functions, i.e., organizing, staffing, directing, and controlling, since they are carried out according to the established plans.

  • Goal orientation. It is focused on setting organizational goals, determining alternative courses of action, and adopting the appropriate action plan required to achieve those goals.

  • Wide application. Planning is widely applicable in the sense that it exists in all segments and is needed at all levels of the organization. Although the scope of planning differs at different levels and divisions.

  • Continuous process. Plans are made for specific periods, such as a month, quarter, year, etc. After this period ends, new plans are made, taking into account the current and future requirements and conditions of the organization. Therefore, it is a continuous process as plans are made, executed, and after completion, another plan is prepared.

  • Intellectual process. It is a mental process that requires using the mind, thinking, forecasting, creatively imagining, innovating, and so on.

  • Futuristic process. When planning, we look into the future. It involves looking at the future, analyzing it, and forecasting it, so the organization can effectively address future challenges.

  • Decision-making. Decisions are made by choosing alternative courses of action that can be taken to achieve the goal. The selected alternative should be the best of all, with the least number of negative and the greatest number of positive outcomes.

Planning is related to setting goals, objectives, and creating a plan to achieve them. Planning helps managers analyze the current state and determine ways to reach the desired future state. It is both an organizational need and the responsibility of managers.