The the EYFS framework, which every years setting should

The observation, assessment and planning cycle is
part of the EYFS framework, which every years setting should follow as it
enables practitioners to track children’s progress regarding their areas of
development and learning through this process. It should be followed
continuously in where observation is the starting point, then assessments and
lastly planning. The starting point that is the carrying out observations is important, as it is a key factor when
understanding children’s needs, and interests. It helps practitioners to find
out more about children as individuals. There are many things practitioners
need to identify when observing an individual child for example, their actions,
behaviours, their interactions with other adults and children their
communication and social skills, and what their interests are. There are many several
type of observational methods that practitioners should use, such as taking
photographs/videos, narrative, snap shot, checklists, target child etc.

Carrying out assessments is the second part of
the cycle, making assessments is the process of analyzing and reviewing what
practitioners know about children’s development and learning for example what
has be observed about the child’s. Practitioners will need to gather the
different types of observations they have made and any other evidences such as
examples of the child’s mark-making, information from parents, or
photographs/video recordings. Practitioners should identify what this
information tell them about the child’s learning and development was there
something they had not observed before. This should be done regularly, as it
will enable practitioners to keep a track of children’s progress over time and
gain insights into children’s learning, development and their needs. An
assessment should involve evaluation or decisions about the child’s progress
and their learning and development needs as it will provide the information
that is needed to plan for the next steps. This is called assessment for
learning: it is the formative assessment, based on observations, which informs
or guides everyday planning. Another form of assessment is summative
assessment. This is a summary of all the formative assessment carried out over
a long period and makes statements about the child’s progress.

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Planning is the
next step of the cycle in which practitioners should use previous observations
to make the planning more effective. This is because practitioners will be able
to plan the next steps of a child by looking at the observations, as it may
include information about what area of development or learning the child has
showed  or gained. Practitioners should
refer to developmental matters when planning activities, as they will be able
to plan appropriately in relation to a child’s stage of development as well as
their specific needs and interests.