The correct answer is option 2- A-III, B-I, C-II, D-IV.
List I
(Indicative explanation) |
List II
(Features and importance of planning)
|
| A. Involves looking ahead |
III. Futuristic |
| B. Anticipate changes |
I. Reduces the risk of uncertainty |
| C. Activity of thinking rather than doing |
II. Mental exercise |
| D. Encourages new ideas |
IV. Innovative |
A. Involves looking ahead- III. Futuristic.
Planning is futuristic: Planning essentially involves looking ahead and preparing for the future. The purpose of planning is to meet future events effectively to the best advantage of an organisation. It implies peeping into the future, analysing it and predicting it. Planning is, therefore, regarded as a forward looking function based on forecasting. Through forecasting, future events and conditions are anticipated and plans are drawn accordingly.
B. Anticipate changes- I. Reduces the risk of uncertainty.
Planning reduces the risks of uncertainty- Planning is an activity which enables a manager to look ahead and anticipate changes. By deciding in advance the tasks to be performed, planning shows the way to deal with changes and uncertain events. Changes or events cannot be eliminated but they can be anticipated and managerial responses to them can be developed.
C. Activity of thinking rather than doing- II. Mental exercise.
Planning is a mental exercise: Planning requires application of the mind involving foresight, intelligent imagination and sound judgement. It is basically an intellectual activity of thinking rather than doing, because planning determines the action to be taken. However, planning requires logical and systematic thinking rather than guess work or wishful thinking.
D. Encourages new ideas- IV. Innovative.
Planning promotes innovative ideas: Since planning is the first function of management, new ideas can take the shape of concrete plans. It is the most challenging activity for the management as it guides all future actions leading to growth and prosperity of the business. | 
