Different kinds of PLANS

06/03/26 Fri 18:26pm

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02/05/2026

Strategy

A strategy is a complete and all-inclusive plan for achieving said objectives. A strategy is a plan that has three specific dimensions

Types:

1. Tactical
2. Strategic
3. Operational

Forming strategy is generally reserved for the top level of management.

Policy

Policies are also plans in that they are general statements or understanding which guide or channel thinking in decision making.

Not all policies are statements, they are often merely implied from the actions of managers.

Policies define an area within which a decision is to be made and ensure that the decision will be consistent with and contribute to the objective.

Procedures

They are a step-wise guide for the routine to carry out the activities. These step-wise sequences are to be followed by all the employees so the activities can be fulfilled in an organised manner. THE PROCEDURES ARE DESCRIBED IN A CHRONOLOGICAL ORDER.

Rules

Rules are very specific statements that define an action or non-action. Also, rules allow for no flexibility at all, they are final. All employee of the organisation must compulsorily follow and implement the rules.

• Not following rules can have severe consequences.

• They are the simplest type of plan.

• They guide actions without specifying time sequence.

• May or may not be part of procedure.

Programs

programs are a complex mesh of all different kinds of Plans together

Budgets

they are the statement of expected results expressed in numerical terms, referred as numbered programs.

Can be in terms of number of labour hours, units of production, financial terms, machine-hours etc.

Budgets usually implements a program: it may in itself be a program.

• variable or flexible budgets
• program budgets
• zero based budgets

Planning

• level
  • corporate
  • business
  • Functional
• Importance
  • strategic
  • tactical
  • operational
• Breadth
  • strategic
  • tactical
• Time frame
  • long term
  • short term
• Specificity
  • directional
  • specific
• Frequency of use
  • single use plans
    • programs
    • budgets
    • projects
  • standing plans
    • policies
    • procedures
    • rules

Steps In Planning

1. Being aware of opportunities
2. setting objectives and goals
3. considering planning premises
4. identifying alternatives
5. comparing the alternatives in the light of the goals sought
6. choosing an alternative
7. formulating the supporting plans
8. numberiszing the plans by making budgets.‘

Objectives

SMART

Specific
Measurable
Achievable
Realistic
Time bound

Management By Objectives