Strategic Plans
• plans that establish the organization’s
overall goals and apply to the entire firm;
they are broad in scope and are the
responsibility of the CEO, president, and
general manager of the company.
Operational Plans
• plans that apply to a particular unit area
only; their scope is narrow; achievement of
company goals may not be achieved if
operational plans are not clear.
Long-term Plans
• plans that go beyond three years; everyone
must understand the organization’s long-
term plans to avoid confusion that may
divert the organization members’
attention.
Short-term Plans
• plans that cover one year or less; such plans
must lead toward the attainment of long-
term goals and are the responsibility of the
unit/department heads.
Directional Plans
• plans that are flexible or give general
guidelines only; although flexible and
general, these plans must still be related to
the strategic plans
Specific Plans
• plans that are clearly stated and which
have no room for interpretation; language
used must be very understandable
Single-use Plans
• plans used or stated once only as this
applies to the entire organization; refer to
the operational plans of the firm
Standing Plans
• plans that are ongoing; provide guidance
for different activities done repeatedly; refer
to the identified activities of operational
plans.
• Managers in different hierarchical levels of the
organization may contribute their ideas or
suggestions in developing the strategic plan, a
task originally assigned to the senior executives.
• frontline managers may make decisions that
could influence strategy formulation in the
higher levels. All plans, however, must be
directed toward the achievement of the
organization’s strategic goals.