Explain, in brief, any three types of Plans.
Answer – A single-use plan serves a particular non-recurring project, such as a programme or budget. A standing plan guides recurring activities, such as a policy, procedure, method or rule.
Plan | Meaning and example |
Objective | Desired end result; increase annual sales by 10%. |
Strategy | Comprehensive direction combining long-term objectives, a course of action and resource allocation; enter a new market through local distributors. |
Policy | General guideline for decisions; give preference to internal promotion where suitable candidates exist. |
Procedure | Ordered sequence of steps for recurring work; receive application, verify documents, approve and record. |
Method | Prescribed way of performing a particular task; a specified inspection or training technique. |
Rule | Precise instruction allowing no discretion in its application; no smoking in the factory. |
Programme | Detailed plan integrating objectives, policies, procedures, tasks, resources and schedules for a project. |
Budget | Numerical statement of expected results; a cash, sales, production or expenditure budget. |
Budgets connect planning and control. Sales budgets estimate revenue, production budgets estimate output, purchase budgets estimate materials and cash budgets estimate receipts, payments and cash balances.