What are the advantages and disadvantages of a planned system?
Planned systems are those where goals, objectives or targets are fixed after planning, along with a plan for achieving them. Planning ensures that everything is planned and fixed and this ensures maximum efficiency, less idle time (of both machines and men) and higher productivity. Planning ensures that hasty decisions and ad-hocism is not exercised. If properly announced, planning makes everyone feel involved (since every employee's role is pre-defined) and motivated. It also helps the business save on the cost of material procurement and storage (through optimization and better deals) and helps it achieve set deadlines. The problem with the planning process is that it is costly and time consuming and if not implemented, it results in waste of resources. Planning everything keeps everything fixed and this is not conducive to innovation and independent decision-making. An organization should also exercise extreme caution to ensure that planning does not become too complex.