Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Planning

Question:

Every March, Meena Ltd. conducts its Annual Management Programme, where the top managerial personnel gather to formulate plans for the upcoming year. Their goal is to analyze and predict the future, enabling the organization to effectively navigate forthcoming events. Given their responsibility for steering the organization, these managers meticulously verify facts using scientific calculations. Thorough discussions with professional experts contribute to the preparation of detailed plans, and preliminary investigations are conducted to assess plan viability. Since this is an intellectual undertaking demanding intelligent imagination and sound judgment, it is primarily undertaken by the top management. The implementation of plans is generally carried out by the remaining team members, with middle-level managers expected to adhere to the plans without deviation or independent action. The top management oversees the entire process, ensuring that the expenses incurred in formulating the plans are justified by the benefits derived from them. This approach maintains a strategic and thoughtful approach to planning and execution within Meena Ltd.

Since this is an intellectual undertaking demanding intelligent imagination and sound judgment, it is primarily undertaken by the top management. The implementation of plans is generally carried out by the remaining team members, with middle-level managers expected to adhere to the plans without deviation or independent action.

Which limitation of planning is discussed in the above lines?

Options:

Planning is a time-consuming process

Planning involves huge costs

Planning reduces creativity

Planning does not guarantee success

Correct Answer:

Planning reduces creativity

Explanation:

The correct answer is option 3 i.e. Planning reduces creativity.

Here top management makes the plan and middle level management just follow them.

Planning reduces creativity: Planning is an activity which is done by the top management. Usually the rest of the members just implements these plans. As a consequence, middle management and other decision makers are neither allowed to deviate from plans nor are they permitted to act on their own. Thus, much of the initiative or creativity inherent in them also gets lost or reduced. Most of the time, employees do not even attempt to formulate plans. They only carry out orders. Thus, planning in a way reduces creativity since people tend to think along the same lines as others. There is nothing new or innovative.