Planning and Development in India

Planning bridges the gap from where we are to where we want to go. It includes the selection of objectives, policies, procedures and programmes from various alternatives. It is an intellectual process characterised by thinking before doing. Planning is the primary function of management.

Meaning and Definition of Planning

Planning is the process of deciding in advance what is to be done, who is to do it, how it is to be done and when it is to be done. It is a higher order mental process requiring the use of intellectual faculties, imagination and foresight and sound judgement. In other words, a process which involves anticipation of future course of events and deciding the best-course of action. It is a process of thinking before doing.

Mc Farland has defined planning as “a concept of executive action that embodies the skills of anticipating, influencing and controlling the nature and direction of change.”

Peter Drucker defined planning as “a continuous process of making present entrepreneurial decisions systematically and with best possible knowledge of their futurity and organising systematically the efforts needed to carry out these decisions and measuring the results of these decisions against the expectation through organised systematic feedback.”

Koontz and O’Donnell defined “Planning is deciding in advance what to do, how to do it, when to do it, and who is to do it. Planning bridges the gap between where we are and where we want to go.”

Types of Planning

The process of planning may be classified into different types on the following basis

On the Basis of Nature:

• Operational Plan It is concerned with the day to day operations of the organisation/ country. It is detailed and specific, covers functional aspect such as production, finance, etc.
• Tactical Plan It is the plan which deals with the integration of various units and ensures implementation on day to day basis.
• Strategic Plan It is the plan formulated by the top level for a long period of time at 5 years or more.

On the Basis of Level:

• Top Level Plans These plans are formulated by people sitting at the top in hierarchy.
• Middle Level Plans These plans are formulated by official at the middle level in hierarchy.
• Lower Level Plans It conceived at the bottom in the hierarchy.

On the Basis of Time:

• Long Term Plan Time period of long term plan is generally 5 years or more than 5 years:
• Intermediate Plan These plans ranges between 1 to 2 years.
• Short Term Plan It involves plans for a week or at most a year.

Characteristics of Planning

The following are characteristics of planning

• Planning is goal-oriented.
• Planning is looking ahead.
• Planning is an intellecutal process.
• Planning involves choice and decision-making.
• Planning is a continuous process.
• Planning is all pervasive.
• Planning is designed for efficiency.
• Planning is flexible.

Relationship between Planning and Development:

Planning is pre-requisite for the development in efficient and inclusive manner within a certain time limit. Without good plans it would be difficult to achieve desired target. (In context of our country which has numerous problem planning become necessary). Whether any task is small or big if planning is added then the process will become smooth.

Decentralised Planning

Decentralised planning is a kind of percolation of planning activities or process from the centre to the sub-state levels, i.e. district, sub-division, block and village level. The importance of decentralised planning was emphasised in order to achieve active people’s participation in the planning process.

Under decentralised planning emphasis has been given on the introduction of district planning, sub-divisional planning and bloc-level planning so as to reach finally the village level planning successfully.

Importance of Decentralised Planning

Importance of decentralised planning can be enumerated below

• Better linkages between the villages and small towns.
• Planning becomes realistic and flexible.
• Development of agriculture.
• Promote people’s participation.
• Minimising wastage of resources.
• Trickle down effects.
• Social services.

Objectives of Decentralised Planning

Following are the three important objectives of decentralised planning

1. Effective implementation of poverty eradication programmes.

2. Ensuring balanced regional development for meeting minimum needs of the people.

3. Ensuring active public participation in the development process of different sectors.

Decentralised Planning in India

During the British rule, most of the things were carried out in centralised manner. So, in the early decade of 1950s and 60s centralised planning and development model was followed. This model had its own limitation, desired objective of development were not able to achieved. The concept of ‘one size fits all was a big failure. The Government of India and the State Government constituted commission to look into affairs of decentralisation over the period of time. Multi-level planning evolved in country as a result of enaction of 73rd and 74th Constitutional Amendment Act.

In India following five stages of multi-level planning have been recognised. These include

(i) National Level-sectored cum inter-state/inter-regional planning. (ii) State Level-sectored cum inter-district/ inter-regional planning.

(iii) District/Metropolitan Level-regional planning.

(iv) Block Level-area planning

(v) Panchayat Level-village planning. These also denote five different phases of change in the policy of planning in the country.

It is pertinent to note that before 1993, the Indian Constitution did not specifically recognise district as a third level of planning.

Planning in India

The Constitution of India has divided power between the centre and state. The 7th Schedule of Constitution contains three lists, the Union List (containing 99 items, Previously 97 items, the State List (containing 61 items) Previously 66 items and the Concurrent List (containing 52 items) (Previously 47 items). Both the state and centre have power to make laws in the items of the Concurrent list but the centre has more role in the Concurrent list.

The Concurrent list includes social and economic planning, which means that it is a concern of both the governments but subjects like public health, education, roads, agriculture, land, forest are found in the State list. These subjects are in the State list means that the primary responsibility for their proper administration lies with the states.

The Five Year Plans of the Government of India seems to ignore this division of powers and starts with the assumption that apart from any legal considerations, the centre is as much concerned with the administration of subjects in the state list as the State Government themselves in order to assure planned progress in all directions.

The First Five Year Plan stated, “It is obvious that without complete coordination of policies and timely concerned action, there is a danger of waste and misdirection of effort. which may have consequences extending far beyond the area of responsibility of any single authority and thus, it must be recognised by placing special responsibility on the centre.” About 70% of the total expenses of planning in the Ist plan and 65% in the 2nd plan pertained to matter which are in the state list.

Significance of consultation between states and centre. Tarlok Singh points out that National planning widen the distinction between central and state responsibilities while proceeding to a large extend through consultation.

The reasons given by him for this are

• Planning determines the direction, in which the central as well as the state resources are to be used.
• In joining with the states to prepare a national plan, the centre accepts some obligation for its implementation.
• The centre inspires the states with new ideas and impulses for national development programme. A
• In India, planning has been introduced at the executive level and has no legal basis.

K Santhanam rightly points out “Planning for purpose of economic development practically superseded the Federal Constitution so far as states were concerned, but this super session was not legal or constitutional, but was by agreement and consent”.

Five Years Plan in India

Note: In 2014, National Democratic Alliance formed the government at Union level It took bold decisions to abolish the Planning Commission and replace it with the NITI Aayog. With this change Five Year Plans were also disbanded and ‘Three Year Action Agenda’ plan was formulated.