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Program planning begins with problem definition and ends with planning for action. The key products that result from the problem definition, value system design, and system synthesis steps are discussed and interrelated through the use of interaction matrices. Particular emphasis is given to defining objectives and to defining a set of measures on the objectives by which to determine their attainment. Interaction matrices relate objectives measures to objectives and link activities and measures of their accomplishment to the attainment of objectives. A major consequence of program planning is the choice of a program to pursue, and identification of the projects that will be carried out as a part of a selected program. Selecting the set of projects is discussed in terms of consistency with corporate or agency policy, and the economics, risk, and potential benefits associated with each project. A criterion function that incorporates the latter three factors is described and proposed as a practical way of evaluating the relative merits of projects.