Resource planing at business level

Resource planing at business level consists of allocating resources to each strategic business unit.The corporate level resources plan serve as the blueprints for resources allocation to SBUs.Various methods are available for resource allocation to SBUs.

Approach to resource allocation :There are approaches for allocating resources to SBUs.

1. Top down approach :The top management at corporate level decides the requirements and allocates resources accordingly to SBUs.
   
2. Bottom up approach :The operating levels at SBU determine their resource requirements.They are aggregated.Resources allocation accordingly.
3. Mixed approach :It is a mix of top down and bottom up approaches.It involves an interactive form of decision making.A series of negotiations take place between corporate managers and SBU managers to make decisions about allocating resources to SBUs.