Concept and importance of controlling

Subject: Business Studies

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Overview

Control in management means setting standards, measuring actual performance and taking corrective action. It is the process of comparing actual performance with standards, identifying and analyzing deviations and taking corrective actions to meet the set standards. Control keeps the subordinates under check and brings discipline among them.

Concept and importance of controlling

Concept of Controlling

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Controlling is an important managerial function. It is the process of measuring actual performance and comparing it with standards to identify any deviation. The word control suggests checking, testing, regulating, verifying or adjusting. The control provides the basis for future action. It also helps in taking corrective action to meet the standards. Controlling is having a need to control other people's behavior. It discovers the deviations and takes corrective measures. It reduces the chances of mistakes being repeated in the future by providing preventive steps.

Controlling is the managerial functions of planning, staffing, organizing, implementing and directing. It helps to check the errors and take corrective action, so it is known as an important function of management. The standard deviations are minimized and the desired goals of the organization are achieved in the desired manner. ( WIKIPEDIA [The Free Encyclopedia])

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In the words of Robbins and Coulter: "Control is the process of monitoring activities to ensure that they are being accomplished as planned and correcting any significant deviations."

Controlling is the process of assuring the performance as per standard. It is the comparison and verification process of the actual performance with the standard performance. It also analyzes whether the action taken is as planned and taking corrective action. It is known as the key to management for the implementation of the plan in the actual field. It also prevents and corrects deviation from plans.

Importance of Controlling

 

(source:www.yourarticlelibrary.com)
(source:www.yourarticlelibrary.com)

Controlling is an important and indispensable part of management. Proper control makes smoothness in the working of the organization. Controlling helps in checking mistakes and tells us how new challenges can be met or faced. Without, proper mechanism of control, the management process will be incomplete. Control keeps the subordinate under check and brings discipline among them. It reduces the chances of mistakes that may be repeated in the future by providing preventive steps. It is basically concerned with making sure that there is a proper accomplishment of functions. The various reasons for the importance of controlling are listed below:

  1. Accomplishing Organizational Goals
    The process of controlling helps in accomplishing organizational goals or objectives. The controlling guides the activities of subordinates in achieving the goals. It ensures the use of human and material resources in the best possible manner so that there may be pre-determined objectives of the organization.

  2. Judging Accuracy of the Standards
    A manager compares the actual work performance with the standards while performing the function of control. He tries to find out whether the accuracy of the standards is not more or less than the general standards. In case of the needs, they are redefined.

  3. Improves Efficiency
    The organization sets the goal for the future which is not certain. So, controlling is the way that focuses on uncertainty and to attain the goals. Regular control shows the deviation in plan and actual achievement which helps to keep the staff on the right track.

  4. Improve Employee Motivation
    Motivation is defined as the process of inspiring someone for doing something. Controlling makes all the employees work with complete dedication as they know that their work performance will be evaluated. Their identity will be established if the progress report is satisfactory in the organization.

  5. Ensuring Order and Discipline
    The implementation of control helps to check all the undesirable activities like theft, corruption, delay in work and uncooperative attitude. Controlling ensures order and discipline in an organization. Ensuring order and discipline is also one of the importance of control.

  6. Facilitate Coordination
    A good control system facilitates coordination among the departments and employees. Controlling facilitates coordination by providing the unity of direction. Controlling helps to secure co-ordination by avoiding the overlapping and duplication of works and promptly correcting the deviations.

  7. Guides in Achieving Goals
    The process of control provides standards or norms for appraisal and management of actual performance. The essence of control is adherence to planning. It provides feedback information for taking remedial actions. Through, controlling managers keep the organization on the right track and ensure the attainment of planned goals.

  8. Simplifies Supervision
    Controlling helps to simplify the task of the supervisor by printing out significant deviations from the standards of performance. It keeps the subordinates under check and facilitates to maintain and develop the discipline among them. Controlling helps to check and supervise the activity of the organization. Controlling makes the process of supervision easier.

  9. Effective Delegation of Authority
    The effective delegation of authority helps in the proper system of control. The delegation of authority will be meaningless without an adequate system of control. Therefore, management must develop the proper technique of controlling the organization.

  10. Corrective Action
    When the results do not match the objectives then corrective actions need to be taken to correct the weakness and problems. Since the corrective action is the essence of controlling. It is also one of the importance of control.

  11. Smooth Operation of the Organization
    Controlling is the means of implementing the activities of the organization. So, the controlling system is required for the smooth operation of the organization. Controlling helps to correct significant deviations and smoothens the overall performance.

  12. Cost
    Control ensures organizational efficiency and effectiveness. The proper control system can make a significant contribution to the reduction of operational costs as well as to the maximization of output. They eliminate waste and duplication of effort while lowering labor costs and increasing output quantity.

  13. Better Planning
    Planning and controlling are important managerial functions. Control is the only means to ensure that plans are being implemented in the real sense. It also provides information on the basis of which better plans can be formulated in the future. Without controlling planning is meaningless. (Sarita Pujari)

The controlling helps to find out whether the product is being carried out with the orders received. If not, the causes of deviation are found out and corrective action is initiated in the organization. Therefore, the coordination between both the departments is established for the proper functioning of the organization.

 

 

 

 

 

 

 

References

WIKIPEDIA [ The Free Encyclopedia]. Electronic. 14 06 2016. https://en.wikipedia.org/wiki/Control_(management)

Sarita Pujari, Business. Your Article Library.com. n.d. Electronic. 14 06 2016. http://www.yourarticlelibrary.com/business/what-is-the-importance-of-controlling-6-facts/1024/

 

 

 

 

 

 

Things to remember
  1. Controlling ensures organizational efficiency and effectiveness. Controlling refers to having the power to control how something is managed.
  2. Controlling is giving one the power to control how something is managed or done. 
  3. Controlling is having a need to control other people's behavior.
  4. The controlling process is implemented to take care of the plans. 
  5. Control is the only means to ensure that plans are being implemented in the real sense. 
  6. The proper control system can make a significant contribution to the reduction of operational costs as well as to the maximization of output.
  • It includes every relationship which established among the people.
  • There can be more than one community in a society. Community smaller than society.
  • It is a network of social relationships which cannot see or touched.
  • common interests and common objectives are not necessary for society.
Questions and Answers

Controlling is an important managerial function. It is the process of measuring actual performance and comparing with standards to identify any deviation and taking corrective action to meet the standards. The word control suggests checking, testing, regulation, verification or adjustment. The control provides the basis for future action. It is concerned with seeing whether the performance is according to the standards or not.

Controlling is the managerial functions of planning, staffing, organizing, implementing and directing. It helps to check the errors and take the corrective action, so it is known as an important function of management. It is necessary to ensure that the desired results are achieved. Controlling  reduces the chances of mistakes being repeated in future by providing preventing steps.

In the words of Robbins and Coulter, " Control is the process of monitoring activities to ensure that they are being accomplished as planned and correcting any significant deviations."

Controlling is the process of measuring actual performance and comparing with standards, identifying and analyzing deviation if any and taking corrective action to meet the standards. It prevents and corrects deviations from plans. It is known as the key to management for implementation of plans in actual fields.

Controlling is an important and indispensable part of management.  It reduces the chances of mistakes that may be repeated in future by providing preventing steps. It is basically concerned with making sure that there is a proper accomplishment of functions. The various reasons for the importance of controlling are listed below:

1) Accomplishing organizational goals
The process of controlling helps in accomplishing organizational goals or objectives. It facilitates to achieve overall goals of the organization. It ensures the use of human and material resources in the best possible manner so that there may be pre-determined objectives of the organization.

2) Judging accuracy of the standards
A controlling compares the actual work performance with the standards. Controlling finds out whether the accuracy of the standards is not more or less than the general standards. In case the of needs, they are redefined.

3) Improves efficiency
The organization sets the goal for future which is not certain. So, controlling is the way which focuses on uncertainty and to attain the goals. Controlling minimizes wastages and losses by preventing misuse of resources and ensure proper utilization. 

4) Improve employee motivation
Motivation is defined as the process of inspiring someone a reason for doing something. Controlling makes all the employees to work with complete dedication as they know that their work performance will be evaluated. Their identity will be established if the progress report is satisfactory in the organization.

5) Ensuring order and discipline
An effective system of control creates an atmosphere of order and discipline in the organization. Evaluation of performance against predetermined standards induces employees to do things in a proper manner. It promotes them to perform well and to achieve the rewards.

6) Facilitate coordination
A good control system facilitates coordination among the departments and employees. Controlling facilitates coordination by providing the unity of direction. Controlling helps to coordinate all the activities and efforts of the organization. It also plays the role of between different levels of authority.

7) Guides in achieving goals
The process of control provides standards or norms for appraisal and management of actual performance. The essence of control is the adherence to planning. It provides feedback information for taking remedial actions. Thus, control guides activities of subordinates in achieving goals. 

8) Simplifies supervision
Controlling helps to simplify the task of the supervisor by printing out significant deviations from the standards of performance. Controlling keeps the subordinates under check and facilitates to maintain and develop the discipline among them.

9) Effective delegation of authority
The effective delegation of authority helps in the proper system of controlling. Management must keep control in its hands to know whether the authority is being used properly. Without adequate control, delegation cannot succeed.

10) Corrective action
The corrective action is the essence of controlling. After comparing the result the error/problem is identified if any and the controlling takes corrective action to correct weakness and problems. It is also one of the importance of controlling.

11) Smooth operation of the organization
The controlling is only the means for plans that are being implemented. So, the controlling system is required for the smooth operation of the organization. Controlling helps in the smooth operation of the organization.

13) Costs
Control ensures organizational efficiency and effectiveness. The Proper control system can make a significant contribution to the reduction of operational costs as well as to the maximization of output. Controlling prevent leakage and wastage which helps in reduction of cost.

14) Better planning
Planning and controlling are the important managerial functions. Control is the only means to ensure that plans are being implemented in the real sense. It helps in planning by identifying the areas and problems. Without controlling planning is meaningless. It provides the basis for the future course of action.

 

Controlling is an important managerial function. It is the process of measuring actual performance and comparing with standards to identify any deviation and taking corrective action to meet the standards. The word control suggests checking, testing, regulation, verification or adjustment. The control provides the basis for future action. It is concerned with seeing whether the performance is according to the standards or not.

Controlling is the managerial functions of planning, staffing, organizing, implementing and directing. It helps to check the errors and take the corrective action, so it is known as an important function of management. It is necessary to ensure that the desired results are achieved. Controlling  reduces the chances of mistakes being repeated in future by providing preventing steps.

In the words of Robbins and Coulter, " Control is the process of monitoring activities to ensure that they are being accomplished as planned and correcting any significant deviations."

Controlling is the process of measuring actual performance and comparing with standards, identifying and analyzing deviation if any and taking corrective action to meet the standards. It prevents and corrects deviations from plans. It is known as the key to management for implementation of plans in actual fields.

Any 8 importance of controlling are as follows:

1) Accomplishing organizational goals
The process of controlling helps in accomplishing organizational goals or objectives. It facilitates to achieve overall goals of the organization. It ensures the use of human and material resources in the best possible manner so that there may be pre-determined objectives of the organization.

2) Judging accuracy of the standards
A controlling compares the actual work performance with the standards. Controlling finds out whether the accuracy of the standards is not more or less than the general standards. In case the of needs, they are redefined.

3) Improves efficiency
The organization sets the goal for future which is not certain. So, controlling is the way which focuses on uncertainty and to attain the goals. Controlling minimizes wastages and losses by preventing misuse of resources and ensure proper utilization. 

4) Improve employee motivation
Motivation is defined as the process of inspiring someone a reason for doing something. Controlling makes all the employees to work with complete dedication as they know that their work performance will be evaluated. Their identity will be established if the progress report is satisfactory in the organization.

5) Ensuring order and discipline
An effective system of control creates an atmosphere of order and discipline in the organization. Evaluation of performance against predetermined standards induces employees to do things in a proper manner. It promotes them to perform well and to achieve the rewards.

6) Facilitate coordination
A good control system facilitates coordination among the departments and employees. Controlling facilitates coordination by providing the unity of direction. Controlling helps to coordinate all the activities and efforts of the organization. It also plays the role of between different levels of authority.

7) Guides in achieving goals
The process of control provides standards or norms for appraisal and management of actual performance. The essence of control is the adherence to planning. It provides feedback information for taking remedial actions. Thus, control guides activities of subordinates in achieving goals. 

8) Simplifies supervision
Controlling helps to simplify the task of the supervisor by printing out significant deviations from the standards of performance. Controlling keeps the subordinates under check and facilitates to maintain and develop the discipline among them.

 

1) Guides in achieving goals
The process of control provides standards or norms for appraisal and management of actual performance. The essence of control is the adherence to planning. It provides feedback information for taking remedial actions. Thus, control guides activities of subordinates in achieving goals. 

2) Simplifies supervision
Controlling helps to simplify the task of the supervisor by printing out significant deviations from the standards of performance. Controlling keeps the subordinates under check and facilitates to maintain and develop the discipline among them.

3) Effective delegation of authority
The effective delegation of authority helps in the proper system of controlling. Management must keep control in its hands to know whether the authority is being used properly. Without adequate control, delegation cannot succeed.

4) Corrective action
The corrective action is the essence of controlling. After comparing the result the error/problem is identified if any and the controlling takes corrective action to correct weakness and problems. It is also one of the importance of controlling.

5) Smooth operation of the organization
The controlling is only the means for plans that are being implemented. So, the controlling system is required for the smooth operation of the organization. Controlling helps in the smooth operation of the organization.

6) Costs
Control ensures organizational efficiency and effectiveness. The Proper control system can make a significant contribution to the reduction of operational costs as well as to the maximization of output. Controlling prevent leakage and wastage which helps in reduction of cost.

 

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