Answer:
Planning is the first and basic function of management. It means deciding in advance what to do, how to do it, when to do it and who is to do it. Its importance:
- Provides direction: Planning sets clear objectives and the course of action, so everyone knows what is to be done.
- Reduces uncertainty and risk: It forecasts future changes and prepares the organisation to face them.
- Avoids wastage and overlapping: Activities are decided in advance, so duplication and wastage of resources are reduced.
- Promotes innovative ideas: Managers think of new ideas and better methods while planning.
- Facilitates decision making: Planning involves choosing the best alternative among many, which helps quick and sound decisions.
- Establishes standards for controlling: Plans set the targets against which actual performance is measured; without planning, control is not possible.
- Basis of other functions: Organising, staffing, directing and controlling are all carried out according to the plans.
