A Plan (Part I of II)
A plan is a program of action. It is a step-by-step method of running a business to realize the accomplishment of certain goals and objectives.
A plan will provide for various contingencies. If we have so much in sale and make so much profit, we will build a new plant, buy new machinery, hire more people, etc. If we do not realize this goal, we will be forced to lay off this many people, or cut back on this new product, or even go out of business.
There are very few successful businesses that left growth to chance. A plan requires that it be reviewed every so often and determine if objectives are being met, and if not, what must be done to get back on the track. A review will also determine if the plan needs to be updated and new goals established. The plan should be reviewed at every fiscal quarter.
Come back next time for Part II!
#39
