Corporate policy and Planning

Aswathy Babu
SNMC
Maliankara
Corporate policy
Corporate policy is usually a documented set of
broad guidelines formulated after an analysis of
all internal and external factors that can affect a
firms objective ,operations and plans.
Importance
• Policies are necessary to perform the business activities
in a smooth way.
• Corporate polices offer clear cut courses for achievement
of organizational goals.
• policies promote delegation of the power of making
decisions.
• Properly formulated corporate policies give a direction in
which all management pursuits are targeted.
• Policies provide steadiness to the action of the members
of the organization.
Determination of corporate policy

Internal determinants External determinants

• Corporate mission • Industry structure
• Corporate objectives • Social Environment
• Resources • Political
• Management values • Economic
• Technology
Corporate planning
Corporate planning is a total system of
planning which involves the determination
of the objectives for the company as a
whole and for each department ;
formulation of strategies for the
attainment of these objectives
 Process
• Environmental analysis and diagnosis
• Determination of objectives
• Strategy formulation development of tactical
plans
• Implementation of tactical plans
• Follow-up action
Thank You