"Smoking is prohibited in the factory".

Which element of planning does it exemplify?

Rule

The correct answer is option 1 i.e. rule.

Rules are specific statements that inform what is to be done. They do not allow for any flexibility or discretion. It reflects a managerial decision that a certain action must or must not be taken. They are usually the simplest type of plans because there is no compromise or change unless a policy decision is taken.