TYPES O F PLAN S

Functional Area Plans

Plans with Time Horizon
Plans According to Frequency of Use
 FU N CTIO N AL AREA PLAN S
Plans classified in terms of functional areas
such as:

1. Marketing plan

. Written document or blueprint for

implementing and controlling an organizations
marketing activities related to a particular
marketing strategy.
FU N CTIO N AL AREA PLAN S
2. Production plan
Written document that states the quantity of
output a company must produce in broad
terms and by product family.
FU N CTIO N AL AREA PLAN S
3. Financial plan
A document that summarizes the current
financial situation of the firm, analyzes
financial needs, and recommends a direction
for financial activities.
FU N CTIO N AL AREA PLAN S
4. Human resource management
plan
Document that indicates the human resource
needs of a company detailed in terms of
quantity and quality and based on the
requirements of the companys strategic plan.
 PLAN S W ITH TIM E H O RIZO N
1. Short-range plans
Plans intended to cover a period of less than
one year.
First-line supervisors are mostly concerned
with these plans.
PLAN S W ITH TIM E H O RIZO N
2. Long range plans
Plans covering a time span of more than one
year.
These are mostly undertaken by middle and
top management.
PLANS ACCORDING TO FREQUENCY OF USE

Standing plans
Single-use plans
PLAN S ACCO RD IN G TO FREQUENCY O F USE

Standing Plans
plans used again and again, and
they focus on managerial situations
that recur repeatedly.
PLAN S ACCORDING TO FREQ UEN CY O F USE

Classification of Standing Plans

1. Policies they are broad guidelines to

aid managers at every level in making
decisions about recurring situations or
function.
PLAN S ACCO RD IN G TO FREQ UEN CY O F USE

Classification of Standing Plans

2. Procedures they are plans that

describe the exact series of actions to be
taken in a given situation.
PLAN S ACCO RD IN G TO FREQ UEN CY O F USE

Classification of Standing Plans

3. Rules they are statements that

either require or forbid a certain
action.
PLAN S ACCORDING TO FREQ UEN CY O F USE

Single-Use Plans
plans specifically developed to
implement courses of action that
are relatively unique and are
unlikely to be repeated.
PLAN S TO FREQ U EN CY O F U SE
ACCORDN
IG

Classification of Single-use Plans

1. Budget

A plan which sets forth the projected

expenditure for a certain activity and
explains where the required funds will
come from.
(Weston and Brigham)
PLAN S ACCO RD IN G TO FREQ UEN CY O F USE

Classification of Single-use Plans

2. Program

- designed to coordinate a large set

of activities
PLAN S ACCO RD IN G TO FREQ UEN CY O F USE

Classification of Single-use Plans

3. Project

- A single use plan that is usually

more limited in scope than a
program and is sometimes prepared
to support program.
PARTS O F TH E VARIO US FUN CTIO N AL AREA
PLAN S
PARTS O F TH E VARIO US FUN CTIO N AL AREA
PLAN S
The Contents of the Marketing Plan
William Cohen maintains that the following must be
included in the marketing plan;

1. The Executive Summary

2. Table of Contents
3. Situational Analysis and Target Market
4. Marketing Objectives and Goals
5. Marketing Strategies
6. Marketing Tactics
7. Schedules and Budgets
8. Financial Data and Control
PARTS O F TH E VARIO US FUN CTIO N AL AREA
PLAN S

The Contents of the Production Plan

1. The amount of capacity the company

must have
2. How many employees are required
3. How much material must be purchased
PARTS O F TH E VARIO US FUN CTIO N AL AREA
PLAN S

The Contents of the Financial Plan

1. An analysis of the firms current financial

condition
2. A sales forecast
3. The capital budget
4. The cash budget
5. The set of pro forma (projected) financial
statements
6. The external financing plan
PARTS O F TH E VARIO US FUN CTIO N AL AREA
PLAN S

The Contents of the Human Resources

Plan

1. Personnel requirements of the

company
2. Plans for recruitment and selection
3. Training plan
4. Retirement plan
PARTS O F TH E STRATEG IC
PLAN
The strategic plan must contain the
following:

1. Company or corporate mission**

2. Objectives or goals
3. Strategies

** refers to the strategic statement that identifies why an

organization exists, its philosophy of management, and its
purpose as distinguished from other similar organizations in
terms of products, services, and markets.