During , managers identify important factors in the environment and then forecast a range of alternative responses to the most likely high-impact contingencies, focusing on the worst case.

Contingency planning

Explanation: Contingency planning could be described as alternative arrangement or plan which is devised or put in place to take care or handle the outcome of a future event. Contingency plan is usually different from the actual plan or strategy devised to tackle or mange a situation or condition,rather, the Contingency plan is devised to handle the possible failure of the actual plan or handle one of different possible outcome of a future event, placing greater value or energy on the worst possible outcome.

In management, Contingency planning involves deliberation on the important environmental factors and identify range of possible responses to the most likely high impact options or scenario placing greater emphasis on the worst case.

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