• Developed by Russell Ackoff, leading American management expert.
  • According to him the main value of planning is in the process of making them not in the plan as such.
  • Companies should minimize the need for retrospective planning (e.g. planning to eliminate deficiencies formed by previous decisions)in the future (certainty, uncertainty and ignorance)
  • Reasonably certain future – commitment planning
  • Uncertain future – Contingency planning
  • Ignorance in future – Responsiveness planning