Types of enterprise planning, classification and methods

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

It's hard to imagine any activity without planning. And even more so in the case of commercial structures. But for many, the secret is that planning is divided into types. They depend on the goals pursued, coverage and many other points. So what types of enterprise planning exist?

General information

Let's start with terminology. Planning means the development and establishment by the management of the enterprise of certain qualitative and quantitative indicators, which determine the pace and trends of development in the current and future periods. What is its role? Planning is the central link in the economic mechanism of production management. There are several methods for its implementation. They are more about the essence of planning. The methods will be briefly reviewed to get a better idea. But the essence and types of planning in the enterprise will receive the main attention. How is division and differentiation carried out in this case? The emphasis is on deadlines. TotalThere are three types of planning in the enterprise: operational-production, current and prospective. In general, they are all interconnected and form an integral system. In addition, there are several additional classifications, which we will definitely talk about. By the way, it may be that many types of enterprise planning are used, and not just one.

About Methods

What are they? Speaking about the types and methods of planning in the enterprise, it should be noted that they are complementary. That is, one without the other is impossible. So there are:

1. Balance method. Engaged in establishing links between sources of resources and needs for them. Links the production program with the available capacities, estimating the labor intensity and the number of employees. As part of the compilation, work time balances are created, material, energy, financial, and so on.
2. Calculation and analytical method. It is used to generate plan indicators, analyze their factors and dynamics, which is necessary to ensure the required quantitative level. This method is used to determine the base value of key indicators. Indices of their changes are also calculated.
3. Economic and mathematical method. Used to develop a dependency model of indicators when changes in quantitative parameters are detected compared to the main factors.
4. Graphoanalytical method. It provides the ability to display results withusing an image. So, economic analysis is displayed by graphical means. Thus, it is possible to identify a quantitative relationship between the associated indicators.
5. Program-targeted methods. What is their feature? These methods make it possible to present the plan as a program, that is, in the form of a set of tasks and activities that are united by one goal and are timed to specific dates. Their characteristic feature is their focus on achieving specific final results. The core of the programs are the general goals. They are concretized in the form of specific tasks that must be solved. They are achieved by certain performers who are endowed with all the necessary resources.

Types and methods of planning in the enterprise are closely interrelated. Without the second, it is difficult to imagine the first.

About species diversity

First of all, it should be noted that everything depends on what is taken as the basis for classification. So, if deadlines act as a support, then there will be operational-production, current and long-term planning. This is perhaps the most famous division. But besides him, there are also a number of others. For example, we can think of indicative and strategic planning. We can also mention Akoff's developments, which are widely used abroad. According to him, planning can be reactive, inactive, preactive and interactive. In addition, the classification can be carried out on the basis of functional purpose, management level, objects, and manyother specific points on which a lot depends, although their application is rather highly specialized. It should be noted that the types of plans and forms of economic planning are complementary and flow smoothly into each other. Therefore, many moments will be similar or even partially repeated. After all, the content and types of planning in the enterprise as a whole are created to form an integral system that will provide the most accurate information about the direction of development of the commercial structure. But it requires good coordination.

On the elements of the planning system and factors of negative influence

So, the essence of the topic under consideration is the specification of development goals for a certain period, when economic tasks and means of achieving them are determined, as well as the timing and sequence of implementation. At the same time, it is necessary to take care of the availability of financial, labor and material resources that are needed. In this case, it is necessary to take into account the following elements:

1. Planning horizon. This is a specific calendar period of time. That's what plans are made for. It can be a decade, year, month, week, day, shift, hour, and so on.
2. Scheduling interval. This is the minimum calendar period of time, in the context of which certain activities are envisaged (year, quarter, month).
3. Subject of planning. This is a structural unit or a responsible official who develops all the necessary measures orresponsible for their implementation.
4. Planned indicators. This is the information that will accompany the event (cost items, inventory item, and so on).

They are all part of an integrated system that determines what will be the sequence of achieving agreed specific goals. At the same time, the possibilities of efficient use of available resources are taken into account. At the same time, one has to deal with factors that negatively affect the formation of plans:

1. Unsatisfactory initial state. This refers to poorly structured information, difficulties in defining and measuring indicators.
2. Unsatisfactory end state. A large number of targets, a strong influence of external factors, conditions of instability.
3. A large number of people who take part in planning.
4. Uncertainty about available alternatives.
5. Responsibility issues when plans are made by some employees and others are responsible.
6. Imperfection of the chosen tools.
7. Problems of control at the stages of drafting, approval, implementation and adjustment.

About long-term, current and operational production planning

They all depend on the period for which the planning is carried out. The perspective is based on forecasting. Thanks to him, what will be the situation in the future. Allocate long-term (up to 15 years) and medium-term (3-5 years) planning. In the firstcase, one has to speak about the program-target nature of developments. Thus, an economic strategy of activity is formed for a significant period, during which the expansion of the boundaries of existing markets, as well as the development of new ones, is taken into account. The goals and objectives of this plan are being concretized in the medium term. Here, attention is paid to the organizational structure, production capacity, capital investment, financial requirements, development and research, and the like.

Ongoing planning is developed as part of the medium-term plan (in annual terms) and is used to refine its indicators. Attention is paid to the structure and characteristics of the activities of factory, shop, brigade sections.

Operational and production planning is used for clarifications on short time periods, such as a month, a week, a shift, an hour, and for individual departments (workshop, team, workplace). All this is used to ensure the rhythmic release of products and the measured functioning of the enterprise. Operational and production planning brings tasks to the direct executors.

All three types considered now form a single complex system. It should be noted that it affects many aspects. For example, attention is paid not only to production, but also to the types of financial planning in the enterprise. After all, materials and raw materials must be purchased for something.

Strategic and tactical planning

What are they? Strategic planning sets goals and worksover the means to achieve them. At the same time, the main directions of development are highlighted. There are such types of strategic planning in the enterprise:

1. Long term. It reflects the main goals and the general strategy of action. Alternatives may be developed that are not included in the plan. But they are reflected in applications. They include generalized indicators (most often financial). Developed for up to 10 years.
2. Mid-term. They are based on the real demand for products created by the organization. It provides for the possibility of changing the characteristics that it possesses, adjusting production technology, financial constraints, market conditions, and so on. Developed for a period of one to five years. Separately, it is worth remembering the types of financial planning in the enterprise, which are guided precisely by such time periods.
3. Short term. It covers a period of several months or even weeks. This type of planning aims to ensure that the current use of available resources is regulated. It is implemented through the preparation of calendar programs for production, as well as monitoring them, managing inventories and raising funds.
4. Operational. His tasks include overseeing the daily loading of equipment, compliance with the sequence of operations, the placement of employees and the like.

Tactical is distinguished from strategic planning. It includes medium and short term periods. Tasks of tactical planning -contribute to the implementation of specific problems of economic development of the enterprise. The operational is under the jurisdiction of the lower management staff, for example, foremen. It can be seen that the types of planning in the enterprise in terms of timing and strategic planning are very similar. It really is. It must be remembered that the divisions depend on what exactly is taken as the basis. Therefore, it is not surprising that many species overlap.

About foreign approaches

There is one interesting approach that is very popular in science and practice. But not here, but abroad. It's called beat-mining. Initially, it was formed as a kind of technical and economic planning. But in the conditions of the market constantly expanded. And in the end it became an independent species. In addition, we can recall Ackoff's classification:

1. Reactive planning. It is based on the implementation of the analysis and extrapolation of past experience. It is carried out from the lower levels of the enterprise and gradually rises up.
2. Inactive planning. The focus is on maintaining the current state of the enterprise in order to stabilize and survive the commercial structure.
3. Proactive (proactive) planning. Based on forecasts that take into account future changes. It is implemented from the top down by optimizing the decisions made.
4. Interactive planning. Its essence lies in the design of the future, when the emphasis is on increasing the efficiency of the enterprise development, andalso the quality of people's work.

Directive and indicative planning

Now let's look at it in terms of the commitment to accept and then complete the tasks. And here there are directive and indicative types of plans. Planning the activities of the enterprise in the first case is characterized by the obligatory acceptance and subsequent fulfillment of the assigned tasks. It, for example, permeated all levels of the economic system of the Soviet Union. It should be noted that from time to time it fettered the initiative of enterprises. In a market economy, this approach is used only within commercial structures when developing current plans. But this applies more to the private sector.

Indicative planning is a form of state regulation of the level of production through its influence on prices and tariffs, tax rates, minimum wages and other indicators. Reliance in this case is made on the parameters that characterize the state, as well as the direction of economic development, which are developed by government bodies. They are called indicators. They can be mandatory (but this is limited) or advisory in nature (most often practiced). Although indicator planning can be implemented in private structures, it still applies to developing a perspective.

Short other classifications

Now let's look at other types of enterprise planning that exist, but arepretty specific. So, depending on the functions of their purpose, they determine:

1. Production plans. It considers what and how will be created. All types of production planning at the enterprise rely on meeting the need for material and labor resources to complete the tasks.
2. Commercial. They provide for the sale of finished products, as well as meeting the requirements for the logistics of enterprises.
3. Investment. This includes plans for technical re-equipment, as well as the development of the enterprise.
4. On labor and wages.
5. Other plans for functional purposes.

Depending on the level of enterprise management, they distinguish:

1. Generic.
2. Plans of structural divisions.
3. Functional departments (accounting, personnel).
4. Work plans for brigades and sections.

Depending on objects:

1. By activity.
2. For specific goods, works, services.
3. On the release of new products.
4. By product types being developed or mastered.

Besides, do not fall under certain limits:

1. Sequential planning. This means that a new set of measures is being developed after the previous one has expired.
2. Rolling planning. In this case, it is envisaged that as part of the complex of measures is completed, its revision is carried out, and the remaining period is reviewed taking into account the actualdata.
3. Flexible planning. Revised subject to ambiguous conditions or sudden expenses.

That's the whole widely used classification of types of planning in the enterprise. All other developments have not yet received mass recognition.

Conclusion

Here, planning at the enterprise, types of plans and their specific points were considered. Of course, this is not all information. You can additionally consider the types of operational planning at the enterprise, consider the work of teams and shifts by the hour … But this will be redundant. In addition, there are many points that are of interest to a limited circle of people. For example, types of enterprise profit planning - this information is necessary only for employees of analytical services and senior management. Whereas for the foreman of the site it is not needed.