Systematic Planning of Resource Requirements - Advantages and Limitations
|Plans are more likely to be implemented rather simply shelved.
Resource estimates force the planner to consider alternatives some of which may be quite innovative.
The likelihood of getting plans approved is far higher if realistic resource estimates are attached to the plans.
The full implications of the plans are more likely to be known once the resource requirements have been assessed.
Optimisation approaches, including shifting between resources, can ensure that innovative plans remain “.
|There are different ways in which the budgets can be presented: performance budgets or composite/cost account budgets. They may not always be compatible.
Budget restrictions maybe so severe that the implementation of the plan becomes impossible.
Not all data and figures may be available thus requiring that estimates are made, these maybe inflated or unrealistic.
It is not always clear whether everything in the public sector has to be or should be valued in monetary terms, especially cost of civil servants and other public sector employees.
Decision makers maybe shocked when they see what the plan is likely to cost and may thus abandon the ideas rather than getting the planners to develop realistic alternatives.