With the impact of the covid pandemic and the global economic
crisis, the only reason any enterprise will remain in business is if
they are proactive in their planning.

Proactive planning is the most common way of budgeting and
forecasting in light of the ongoing economic situation and
available market data.

It includes imagining the way the economy wants to take, figuring
out what will be required by the organization and individual to
meet those objectives, and looking at various situations connected
with the ongoing industry climate.

What is proactive and reactive planning?
Proactive planning centers around taking care of issues before
they appear, and reactive planning depends on answering
occasions after they have occurred.

The contrast between these two methodologies is the point of view
everyone gives in evaluating activities and occasions.
Is proactive a planned strategy?

Proactive planning includes planning an ideal or desirable future
and inventing ways of making that perfect future a reality.
Not only will the future be favorable, but also the organization will
be able to control the result effectively. Planning effectively shapes
the future, which is beyond their control.

Importance of Proactive Planning

Be Ready. Proactive planning prevents chaos tomorrow by
considering the future today.

Proactive entrepreneurs are less likely to get caught unaware by
unfavorable events that could harm their business.
Achieve New Innovation. Planning can assist you with taking
the actions expected to situate your business at the very front of
the development.

This is one motivation behind why few organizations lead
innovations that disrupt the status quo.

Save Time and Money

Addressing the issue beforehand is
better than addressing any aftermath later.

Attempting to take care of an issue sometime later is often more
inefficient for organization assets, and a slight interest in planning
can be worth millions in harm control.

Road-mapping the future. Proactive organizations can
anticipate and construct their desired future instead of looking
out for outside powers to figure out which bearing they ought to
head down.

Elements of Proactive Planning

Predict
One of the critical elements in proactive planning is prediction.
An organization or individual should be able to predict the future
by creating it.

One of the ways an organization can predict the future is to invest
and engage in activities that will lead them to a desirable future.

Prevent

Prevention, they said, is better than cure. An organization that
wants a desirable future is to put a mechanism in place that will
prevent the occurrence of unfavorable events.

A mechanism like financial Literacy for the owner of the business,
because People and organizations with sound financial Literacy
are most likely to survive in a bad economy and be less vulnerable
to fraud.

With sound financial Literacy, you are expected to know how to
manage your resources and prevent loss of assets.

Plan
Making a spending plan permits you to decide ahead of time
whether you will have sufficient cash to do all the things you want
to do.

Budgeting properly is a way of offsetting your expenditures with
your income.

A proper budget helps achieve financial stability and also helps you
to pay your bill on time, build, save cash for an emergency, and
live a debt-free life.

Participate
To be proactive, you should participate. You need to take a step
and be a part of the situation. Know that you are part of the
solution and that you can make an impact on the economy.
Knowing that the activity of others can impact you or your
business, try not to respond to them. Draw in with them. Apply
your impact and commit.

Tax literacy also helps taxpayers participate in the economy
and detect areas where they can take advantage of laws regarding
tax avoidance. This method helps reduce your tax liability and
increase your income after tax.

Perform
Take responsibility for execution and consider yourself
responsible. Stand behind your choices.
Being proactive means taking cautious, smart moves toward
picking the proper way; you’re not simply responding rashly to
your current circumstance.

In an economic uncertainty, an organization or individual who
wants to thrive mustn’t be idle or not planning. It would be best if
you were not caught unaware.

Final Thought
Proactive planning is a marathon, not a sprint, and must be an
ongoing strategy.

Any organization must continuously plan as the business and
economy are not static, so you must be dynamic in your planning.
In designing the proactive plan, you must be very strategic and
dynamic and place the goal and objective.

The importance of proactive planning cannot be overemphasized,
as it determines and guarantees any organization’s survival and
profitability.