Types of Planning (6)
Operational Planning: Operational planning, also known as tactical planning, is the
process of deciding the most effective use of the resources already allocated through strategic planning and to develop a control mechanism to ensure effective implementation of the actions so that organizational objectives are achieved. Usually
operational planning covers one year or so. It aims at sustaining the organization in its
production/generation and distribution of current products (goods and services) to the
existing markets. Operational planning answers the questions about a particular action as
(i) Why is the action required?
(ii) What action is to be taken?
(iii) What will the action accomplish?
(iv) What are the likely results of the action?
(v) What conditions must be met in putting the action in operation?
Operational planning is undertaken within the framework of the strategic planning.
Examples of operational planning are adjustment of production within given capacity,
increasing the efficiency of operating activities through analysis of past performance,
budgeting future costs, specific details of future short-term operations, and so on.