What is Action Plan and how important is it?

What is Action Plan and how important is it? Today, I’m going to introduce a tool that every organization can use to create consistent planned activities or tasks at all levels. This tool is called the ‘Action plan’.

What is Action Plan?

Action plan is the plan prepared by the administrations when necessary in cooperation with the relevant institutions and organizations, in which the budget, time, human resources and institutional capacities, organizations and other stakeholders, of the interrelated works and actions such as transformation, implementation, infrastructure, for the realization of the plans are determined.

It is a map that helps to walk the right path to reach the main goal. It is also defined as a strategy that seeks to provide assistance in finding solutions to problems, enhancing employee skills and increasing their focus.

Purpose of an Action plan

The purpose of an Action plan is to help formulate a strategy for your business. It also provides insight into the steps to be taken, the resources required to achieve your business goals, and the timeline for expected results.

It is a tool used to measure and monitor the performance of each step of the project.

The question is, how do we know that the work of all the parties can bring the organization to the profit target? Or what tools are needed to check the work of the members to be consistent?

Elements of a good Action Plan include:

Title – Select an appropriate name for the plan because it is impossible for each organization to have any one plan to work on. Clearly specifying the name of the program will help everyone involved in the program implement it properly.

Process – The process for working on a project task where the main steps must be identified and outlined, from the first process to the last.

Activity – An activity is a breakdown of what needs to be done at each step of the plan, to make the operations go in the same direction

Deadline – To check the success of each activity before starting the subsequent activity. Deadlines specify when each event must begin or end.

Risk – Risk that may occur in activities at each stage of the project.

Backup Plan – A backup plan is important in the event that the original plan has problems and obstacles. Therefore, there must be a backup guideline in order to achieve the project’s main goal.

Budget – Any planned program needs to take into account the set budget in order to minimize the damage that may occur in the project work.

Project Owner – the person responsible for the project to supervise or monitor the work to be in accordance with the established plans.

How important is Action Plan?

Before we get into the importance of it, I would like you to take a look at your current working situation in your responsibilities and answer the following questions.

#1 Do you clearly understand the goals or objectives of the project?

#2 Do you really know how to act in each activity?

#3 You know if the project has a problem or obstacle. How to fix it?

#4 How well do you know each step of the process?

#5 If you find that you’ve been working on the plan for a while and you’re having trouble. Or know that there is a problem with the original plan, which direction must the plan be adjusted in?

If you find that your answer is ‘No’ to just one of them. Or, most troublingly, not having a single ‘yes’ , will make you realize the importance of the Action Plan. Because an ‘action plan’ refers to the tool you can use to complete the tasks that need to be accomplished according to the set goals.

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Have you seen the captain of the ship sailing the ship with many lives and a lot of goods and merchandise of very important financial value, crossing it from one port to another without signs that his ship is advancing on the right track? It would be insane to sail the high seas without course markers, performance indicators and progress markers. The same applies to the plane. Before flying, there are several procedures that the captain takes, the most important of which is setting the road map and reviewing the reference points that assure him while he is flying high that he is in the right direction

Not having an Action Plan is like walking without direction. If you encounter an obstacle, you don’t know how to get rid of it. But if an Action Plan has been made, we will know the route to the destination faster

How to write an action plan that actually works?

Now that we know the importance of Action Plans, I would like to encourage you to write an Action Plan. Writing an effective and practical Action Plan is based on the Deming Cycle, commonly known as the PDCA Cycle. The PDCA process is as follows:

P –

Plan or Planning: is to set project goals and create work processes to achieve the goals. Activities include – setting project objectives / scope of work / limitations of work / evaluating options and then writing it out as an action plan.

D –

Do: It is the act of doing or performing the tasks and testing the plan. This step includes finding weaknesses or areas in the operation that can be improved, as well as setting guidelines for solving immediate problems in cases recorded for future guidance.

C –

Check or Audit: means monitoring and auditing work in order to find ways to improve work processes in different stages.

A –

Action: It is the process of analyzing and evaluating all the information obtained in order to improve or modify the plan in the next step. Suggestions for solutions may also be written in this section.

Benefits of preparing an Action plan

The Action plan is the path to the success of any existing or new project, and here are the most prominent things that advance planning can offer:

Helps in Making Critical Decisions: The primary importance of a Action plan is that it helps business owners to take better decisions.

Resolving issues: Developing an action plan requires managers to ask themselves a lot of tough questions and take the time to come up with well-thought-out answers.

Avoid Big Mistakes: There are many causes of failure of small and big businesses, which can be prevented when addressed objectively in action plans.

Establishing Better Goals and Standards Without an action plan, goals often become haphazard. Having an action plan can help make those benchmarks more achievable and productive.

Communicating goals and standards to the work team: You can rely on the clearly written work plan to act on your behalf as the work manager, and help the work team in understanding the goals and work strategies. You will not always be there to answer all the questions, the action plan does that for you.

Obtaining project financing from investors: Accurately written business plans increase the confidence of project financiers, bringing them closer to the project owner’s vision and goal.

Understand the broader scene more accurately: No matter how much the owner of the project seems to be in control of the situation, writing an action plan opens windows to a more comprehensive vision.

Reducing the risks: Risks become significantly more manageable once tested against a well-crafted action plan. Establishing revenue and expense forecasts, developing logistical and operational plans, and understanding the market and competitive landscape can help reduce various risks for the business.

Writing an Action plan is the first and crucial step for successful organisations to check the viability of the business before investing in it, with a lot of time or money and both are equally important.

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