Organisations are not always able to accomplish all their objectives due to the following reasons.

1. Planning leads to Rigidity: In an organisation, a well defined plan is drawn up with specific goals to be achieved, within a specific time frame. These plans then decide how the work will progress in the future and managers may not be in a position to change it. This creates a problem as flexibility is very important. Adhering to the plan may not always give us the desired results.

2. Planning may not work in a Dynamic Environment: The business environment is dynamic, nothing is constant. The business environment is a totality of external forces, wherein some changes or the other keep on taking place. Plans decide in advance, what has to be done in future. Planning cannot foresee everything and thus there may be obstacles to effective planning.

3. Planning reduces creativity: Planning is generally done by top management. Usually the rest of the members just implement these plans. As a consequence, middle management and other decision makers are neither allowed to deviate from plans nor are permitted to act on their own. Thus, planning in a way reduces creativity since people tend to think along the same lines as others, there is nothing new or innovative.

4. Planning involves huge cost: Planning involves huge cost in their formulation. These may be in terms of time and money. The costs incurred sometimes may not justify the benefits derived from plans.

5. Planning is a time consuming process: Sometimes plans so drawn take up so much of time, that there is not much time left for their implementation and the objectives to be achieved.

6. Planning does not guarantee success: Any plan needs to translated into action or it becomes meaningless. Managers have a tendency to rely on previously tried and tested successful plans. It not always true just because a plan has worked before, it will work again.