**Fundamental Planning**

Planning is a crucial process that helps organizations set goals, allocate resources, and determine the actions needed to achieve desired outcomes. It involves analyzing the current situation, envisioning the future, and developing a roadmap to reach the desired state. While different types of planning exist, there is one particular type that serves as the foundation for all plans. This type of planning is known as **strategy**.

**Strategy as Fundamental Planning**

(a) **Strategy** is the type of planning that is fundamental to all plans. It provides a comprehensive framework that guides an organization's actions and decisions. Strategy involves analyzing the internal and external environment, setting objectives, and determining the best course of action to achieve those objectives. It is a long-term plan that outlines the organization's direction and the methods it will use to accomplish its goals.

**Objectives, Policy, and Budget**

While strategy serves as the foundation for all plans, other elements such as objectives, policy, and budget are essential components that support and align with the overall strategic plan.

(b) **Objectives** are specific, measurable goals that an organization aims to achieve. They are derived from the strategic plan and provide a clear focus for all activities. Objectives help guide decision-making and provide a benchmark for evaluating success.

(c) **Policy** refers to a set of guidelines or principles that govern decision-making within an organization. It provides a framework for consistent behavior and actions. Policies ensure that all activities align with the organization's strategy and objectives. They help maintain consistency, minimize risks, and facilitate effective decision-making.

(d) **Budget** is a financial plan that outlines the allocation of resources to support the organization's objectives. It provides a detailed breakdown of expected revenues and expenses for a specific period. Budgeting ensures that resources are allocated efficiently and effectively to support the strategic plan. It helps monitor financial performance, control costs, and make informed decisions regarding resource allocation.

**Conclusion**

While objectives, policy, and budget are vital components of planning, it is the strategic plan that serves as the fundamental basis for all types of planning. Strategy provides the overarching direction and framework that guides an organization's actions and decisions. It sets the stage for the development of objectives, policy, and budget, ensuring alignment and cohesiveness across all plans. By establishing a well-defined strategy, organizations can effectively plan and execute their activities to achieve their desired outcomes.