PLANNING PRACTICE TEST Very Short Answer Questions 1 Give the meaning of Policy as a type of plan 2 Give the meaning of Objective as a type of plan 3 Define Planning 4 Give the meaning of Programme as a type of plan 5 Give the meaning of Method as a type of plan Short Answer Questions 1 Define Planning Explain the first two steps in the process of planning 2 State any three features of Planning 3 Explain any three points of importance of planning function of management 4 Explain any three limitations of planning function of management 5 How is planning a pervasive function of management Explain 6 Give the meaning of Strategy and Rule as types 7 Give the meaning of Policy and Budget as types of plans of plans 8 Give the meaning of Objectives and Procedure 9 Give the meaning of Procedure and Method as as types of plans type of plans Long Answer Questions 1 Two years ago Madhu completed her degree in food technology She worked for sometime in a company manufacturing chutneys pickles and murabbas She was not happy in the company and decided to have her own organic food processing unit for the same She set the objectives and the targets and formulated action plan to achieve the same One of her objectives was to earn 10 profit on the amount invested in the first year It was decided that raw materials like fruits vegetables spices etc will be purchased on three months credit from farmers cultivating organic crops only She also decided to follow the steps required for marketing of the products through her own outlets She appointed Mohan as a Production Manager who decides the exact manner in which the production activities are to be carried out Mohan also prepared a statement showing the number of workers that will be required in the factory throughout the year Madhu informed Mohan about her sales target for different products area wise for the forthcoming quarter While working on the production table a penalty of 100 per day for not wearing the caps gloves and apron was announced Quoting lines from the above para identify and explain the different types of plans discussed 2 Matta Auto Ltd Is manufacturing different types of commercial vehicles Their sales were rupees two hundred crores in the previous year The company decided to increase sales by 20 during the current year It conducted internal as well as external audits for the same Through internal audit they analysed the strengths and weaknesses of the business across all departments External audit focused on the opportunities and the threats in the constantly changing business environment Thus a comprehensive plan was prepared taking into consideration the business environment and the necessary resources were allocated achieve the target The company directed its offices throughout the country to follow the plan The company s commitment to develop effective plans to achieve a consistent increase in sales has ensured its continual growth over the past one decade Identify and explain the two types of plans discussed above