A PROPOSAL FOR A CORPORATE PLANNING SYSTEM IN A LOCAL COMPANY

Abstract

In this world of increasing turbulence and keen competition, companies find that they have to be flexible and innovative to compete effectively in the market. Studies showed that those companies that engaged in corporate planning have been more successful operating in today's environment. Corporate Planning is concerned with the appropriate use of all of a company's resources in ensuring its long-term success. Hence, an effective corporate planning system will help the company to thrive in a complex environment. The aim of this project is to design a corporate planning system for a large local multi-national corporation. The organisational culture and planning environment of the company was first assessed through interviews with various key staff of the company. Based on this assessment, the Lorange model, which had been identified as the most suitable model for the company, was operationalised to fit the company's requirements. This paper also suggests how the company can organise itself to embark on corporate planning, and highlights pertinent issues to be addressed by the company when designing the corporate planning system. Finally, it discusses various issues the company should address when implementing the system, and also points out the pitfalls the company should avoid when implementing it.