Planning is a crucial function of management that helps in setting objectives and outlining the course of action to achieve them. Below are 30 important questions along with their answers to assist in revision and exam preparation.
Topics Discussed
Planning Class 12 Important Questions
1. What is Planning?
Answer: Planning is the process of setting objectives and determining the best course of action to achieve them efficiently.
2. What are the features of Planning?
Answer:
- Goal-oriented – Focuses on achieving objectives.
- Continuous Process – Plans need regular updates.
- Pervasive – Applied at all levels of management.
- Futuristic – Focuses on future activities.
- Decision-making – Involves choosing the best alternative.
- Primary Function – Basis for all other managerial functions.
3. What are the different types of Planning?
Answer:
- Strategic Planning – Long-term planning for overall growth.
- Tactical Planning – Medium-term planning at departmental levels.
- Operational Planning – Short-term planning for day-to-day operations.
4. Why is Planning important?
Answer: It helps in:
- Providing direction
- Reducing risks and uncertainties
- Enhancing efficiency
- Facilitating decision-making
- Establishing control mechanisms
5. What are the limitations of Planning?
Answer:
- Rigidity – May not adapt to dynamic environments.
- Time-consuming – Requires detailed analysis and decision-making.
- Costly Process – Involves financial and human resources.
- May not work in uncertain situations – Sudden changes can make plans ineffective.
- Resistance to Change – Employees may resist new plans.
6. What are the steps in the Planning Process?
Answer:
- Setting objectives
- Developing premises
- Identifying alternative courses of action
- Evaluating alternatives
- Selecting the best alternative
- Implementing the plan
- Monitoring and reviewing the plan
7. What is meant by setting objectives in Planning?
Answer: Setting objectives means defining the desired goals that an organization aims to achieve through planning.
8. What are Planning Premises?
Answer: Planning premises are assumptions about future conditions that affect planning, such as market trends, economic conditions, and technological advancements.
9. Why is it necessary to evaluate alternatives in Planning?
Answer: Evaluating alternatives helps in selecting the most effective and feasible plan by analyzing its pros and cons.
10. What is the significance of decision-making in Planning?
Answer: Decision-making is crucial in Planning as it involves choosing the most suitable course of action from multiple alternatives.
11. How does Planning help in reducing uncertainty?
Answer: Planning anticipates future challenges and prepares the organization to handle uncertainties effectively.
12. What is Contingency Planning?
Answer: Contingency Planning involves preparing backup plans to deal with unexpected situations or crises.
13. What is the relationship between Planning and Controlling?
Answer: Planning sets the standards for performance, while Controlling ensures that activities align with the planned objectives.
14. What is Single-use Planning?
Answer: Single-use Planning is designed for one-time projects or activities, such as event planning or launching a new product.
15. What is Standing Planning?
Answer: Standing Planning includes policies, procedures, and rules that provide a consistent framework for decision-making.
16. Why is Planning considered a primary function of management?
Answer: Planning is the foundation of all other management functions, such as organizing, staffing, directing, and controlling.
17. How does Planning improve efficiency?
Answer: Planning ensures optimal use of resources, minimizes waste, and enhances productivity.
18. What are the key differences between Strategic and Tactical Planning?
Answer:
| Basis | Strategic Planning | Tactical Planning |
|---|---|---|
| Timeframe | Long-term | Medium-term |
| Focus | Organization-wide goals | Department-specific goals |
| Flexibility | Less flexible | More flexible |
19. What is SWOT Analysis in Planning?
Answer: SWOT Analysis evaluates Strengths, Weaknesses, Opportunities, and Threats to make informed planning decisions.
20. How does Planning aid in decision-making?
Answer: Planning provides a structured approach to evaluating alternatives and selecting the best course of action.
21. What is Corporate Planning?
Answer: Corporate Planning focuses on long-term strategies and objectives for the entire organization.
22. What is Growth Planning?
Answer: Growth Planning involves strategies for business expansion, diversification, and increasing market share.
23. What is Financial Planning?
Answer: Financial Planning involves budgeting, investment decisions, and forecasting financial needs for future growth.
24. What is Manpower Planning?
Answer: Manpower Planning ensures that an organization has the right number of employees with the required skills at the right time.
Planning Class 12 Notes Business Studies
25. What is Operational Planning?
Answer: Operational Planning focuses on short-term, day-to-day business activities and their execution.
26. What is the role of top management in Planning?
Answer: Top management sets organizational goals, formulates strategies, and ensures alignment of business plans.
27. What are some common barriers to effective Planning?
Answer:
- Lack of accurate information
- Resistance to change
- Uncertainty about the future
- Limited resources
- Poor coordination
28. How can businesses overcome Planning limitations?
Answer: By adopting flexible plans, improving forecasting techniques, and ensuring employee participation in planning processes.
29. How do external factors affect Planning?
Answer: Economic conditions, government regulations, competition, and technological changes can impact Planning decisions.
30. Why is flexibility important in Planning?
Answer: Flexibility allows businesses to adapt to changing environments and unforeseen challenges effectively.
Final Thoughts
These important questions cover key aspects of Planning in Class 12 Business Studies. Mastering these concepts will help students develop a strong foundation in management principles. Keep practicing and stay prepared!