Page 17 - F2 - MA Integrated Workbook STUDENT 2018-19

Accounting for management

4.2 Levels of planning

Organisations are generally split into three levels: strategic, managerial/tactical and
operational/functional.

Strategic

Tactical

Operational

Managers at different levels make different types of plans:

At strategic level, planning:

 will have a large impact on the whole organisation.

 will be long term

 tend to be unstructured.

At tactical level, planning:

 will have a medium impact on the whole organisation

 will be medium-term

 will act as a bridge between the strategic and operational levels.

At operational level, planning:

 will normally only affect one business unit or department

 will be short-term

 tend to be highly structured.

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