Resource Allocation - Strategic Planning

Strategic Planning

In strategic planning, resource allocation is a plan for using available resources, for example human resources, especially in the near term, to achieve goals for the future. It is the process of allocating resources among the various projects or business units.

The plan has two parts: Firstly, there is the basic allocation decision and secondly there are contingency mechanisms. The basic allocation decision is the choice of which items to fund in the plan, and what level of funding it should receive, and which to leave unfunded: the resources are allocated to some items, not to others.

There are two contingency mechanisms. There is a priority ranking of items excluded from the plan, showing which items to fund if more resources should become available; and there is a priority ranking of some items included in the plan, showing which items should be sacrificed if total funding must be reduced.

Read more about this topic:  Resource Allocation

Famous quotes containing the words strategic and/or planning:

    The strategic adversary is fascism ... the fascism in us all, in our heads and in our everyday behavior, the fascism that causes us to love power, to desire the very thing that dominates and exploits us.
    Michel Foucault (1926–1984)

    Few men in our history have ever obtained the Presidency by planning to obtain it.
    James A. Garfield (1831–1881)