Terms, such as single-use plans, continuing plans, policy, procedure and rule, will also be defined.
Have you ever heard the saying 'Those who fail to plan, plan to fail'?
So much so, that planning is one of the four major functions of management.
Managers find themselves planning for all sorts of things.Top-level managers, such as Tommy, develop the organizational objectives so that middle- and lower-level managers can create compatible plans aligned with those objectives.Now that you have a general idea for how organizational planning evolves, let's look at the next level of planning, known as tactical planning.Operational plans are necessary to attain tactical plans and tactical plans lead to the achievement of strategic plans.Then, in true planning fashion, there are also plans to backup plans that fail. To better understand how each type of plan is used by managers, let's take a look at an example from Nino's Pizzeria and how Tommy, Martha and Frank carry out their planning responsibilities. Business strategic planning focuses on establishing a solid underlying framework for business management activities through organizing, directing and controlling the business implementation.As a rule, it’s the matter of a company’s top management to build a successful strategy for business management and control the implementation.For example, when Martha, the middle-level manager at Nino's, learns about Tommy's strategic plan for increasing productivity, Martha immediately begins to think about possible tactical plans to ensure that happens.Tactical planning for Martha might include things like testing a new process in making pizzas that has been proven to shorten the amount of time it takes for prepping the pizza to be cooked or perhaps looking into purchasing a better oven that can speed up the amount of time it takes to cook a pizza or even considering ways to better map out delivery routes and drivers.Strategic plans, provided by top-level managers, serve as the framework for lower-level planning. As a top-level manager, Tommy must use strategic planning to ensure the long-term goals of the organization are reached.For Tommy, that means developing long-term strategies for achieving growth, improving productivity and profitability, boosting , improving customer service and finding ways to give back to the community in which it operates.