Question

Why do business fail to begin the planning process? list a few examples and explain

Answer 1

Solution:

Many of the businesses today fail to begin the planning process is not because of their capabilities but because of a lack of concrete objectives and goals that are not set by these businesses. Most of the organizations do not have strict goals which they need to accomplish in a certain duration. Organizations keeping pace with the markets try to change their goals most of the time and thus it results in the poor objective definition which further impacts the planning process.

Another reason for the planning process failing to start promptly is because of poor strategic developments. The lack of knowledge of the aim of the process, with it, becomes difficult to match the resources accurately with processes to generate certain outcomes that are desirable. With a poor and faint understanding of objectives, the initiation of the planning process becomes difficult and the allocation of resources along with budgeting is poorly defined.

Budget is another reason why planning does not begin. This is because many budgets are very poorly defined and are not accurately accounted for. Because of such floating budgets it becomes difficult to allocate the resource. The amount of buffer resources decrease thus increasing the risk of the project.

Hence, these are some of the reasons why businesses fail to begin the planning process.