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Anneke Zwart Student (University), Netherlands
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Why Contingency Planning? Importance and Benefits
Simpkins (2009) argues that Contingency Planning (CP) is probably the most important topic of an organization’s overall strategic plan. The importance of preparing for any contingencies must not be underestimated. Contingency planning takes into account other outcomes than the expected and desired outcomes. And this is exactly what makes CP important.
Indeed, the world of today and its business environment is changing at fast pace. Every organizaton has to deal with continuous and fast changing internal and external environmental dynamics. Important changes today are technological changes, globalization, market transformations, democracy and more. Successful leaders should consider and prepare for those possible changes. Contingency planning enables leaders to mitigate the negative consequences of those transformations on their organizations.
Furthermore, CP makes leaders aware of and adapt to changes in consumers’ preferences. Every product goes through a product life cycle in which consumers’ preferences for certain products change over time. Contingency planning helps leaders to take into account those changing preferences and adapt to it. By continuously redesigning and reinventing products and services, products can become desired again for customers and stakeholders.
⇒ Do you have additional ideas why CP is important?
Source: Simpkins, R.A. (2009),"How Great Leaders Avoid Disaster: The Value of Contingency Planning", Business Strategy Series, Vol. 10 Iss. 2 pp. 104 - 108.
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Roland Alech Consultant, France
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Importance of Contingency Planning
HI! I agree fully. I add a few thoughts:
- CP mig...
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Kirk C. Heriot Professor, United States
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Why Contingency Planning is Important
As Master Kahn used to say in the "Kung Fu" TV Ser...
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SANAJI Teacher, Indonesia
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Benefits of Contingency Planning
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Tran le Phuong Teacher, Mongolia
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Preventive System
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Dr. Alan Williams Professor, Thailand
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Another Reason for Contingency Planning
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Gopalakrishnan Project Manager, Indonesia
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Why Contingency Planning in Project Management
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K.Narayana Moorthy HR Consultant, India
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Why Contingency Planning is Important?
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kipkosgei chepkiyeng Manager, Kenya
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Aims of Contingency Planning
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Bernhard Keim Business Consultant, Germany
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CP is Important, but not Enough to Handle Any Type of Catastrophe
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shachi kanta khuntia Interim Manager
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A Contingency Fund is also Important to Serve as a Cushion at Need
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Ramakrishnan Consultant, India
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Relevance of Contingency Planning
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Nasir Sajjad Consultant, Pakistan
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Contingency Planning for Bad Days
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Tito Rafael Hidalgo Barcia Strategy Consultant, Ecuador
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Contingence Planning Gives Confidence to an Institution
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Mark Wm. Cawman Student (Other)
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Contingency Planning - PACER
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Why Resiliency Management is Mandatory
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Guillermo Vasquez Business Consultant, Colombia
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Benefits of Contingency Planning
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Edy Khalife Manager, Lebanon
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Benefits of Contingency Planning
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