Planning and Decision Making

You would have read such statements. 

In the year 04-95, our company has exported fifty percent of annual production In the year 95-96, we have fixed export target of seventy percent. 

                                                                                                 Managing Director of company A

By 2000 AD, we will have turnover of 1200 crores. 

                                                                                                 Managing Director of company B

Because of recession in the market demand for products has not increased as expected. 

                                                                                                 Marketing Manager of company C 

What these statements indicate. In summary these statements indicate goals of organisation. All organisations have some material and human resources and certain goals to achieve. Therefore, managers have to decide how these goals are to be achieved. Planning is a means to achieve goals of organisation. 

Planning refers to a group of managerial activities which are designed to prepare the organisation for future challenges and ensure that decisions regarding application of men and machine should lead to achievement of goals.