Planning to Plan
Have you ever heard the saying 'Those who fail to plan, plan to fail'? While I can't speak to all facets of life, this is certainly true in business. Managers find themselves planning for all sorts of things. So much so, that planning is one of the four major functions of management. In doing so, a manager can be certain that he or she is working toward some organization goal.
There are three main types of plans that a manager will use in his or her pursuit of company goals, which include operational, tactical and strategic. If you think about these three types of plans as stepping stones, you can see how their relationship to one another aids in the achievement of organizational goals. 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. These are known as contingency plans. 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.
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