Controlling
Control is a primary goal-oriented function of management in an organisation. It is a process of comparing the actual performance with the set standards of the company to ensure that activities are performed according to the plans and if not then taking corrective action.
Controlling determines what is being accomplished — that is, evaluating the performance and, if necessary, taking corrective measures so that the performance takes place according to plans.
Controlling can also be viewed as detecting and correcting significant variations in the results obtained from planned activities.
Features of Controlling
- An effective control system has the following features:
- It helps in achieving organizational goals.
- Facilitates optimum utilization of resources.
- It evaluates the accuracy of the standard.
- It also sets discipline and order.
- Motivates the employees and boosts employee morale.
- Ensures future planning by revising standards.
- Improves overall performance of an organization.
- It also minimises errors.
Importance of Controlling in Management
Planning without controlling is useless.Undoubtedly, controlling also helps managers monitor environmental changes and the effects of these changes on the organizations’ progress.
Coping with changes
Each and every modern organization has to cope with changes in the environment.New products and technologies emerge, government regulations are too often amended or enacted, and competitors change their strategies.The control function helps managers to respond to these environmental changes as and when necessary.
Creating better quality
Modern industries follow total quality management (TQM) which has led to dramatic improvements in control. Under it, process flaws are spotted, and the process is purged of mistakes.
Employees are empowered to inspect and improve their own work and this also helps change their attitudes and approaches to achieving effective control.
Creating faster cycles
Control helps to speed up the cycles involved in creating and then delivering new products and services to customers.
Speed is essential in complying with customers’ orders.But modern marketing managers must remember that today’s customers expect not only speed but also customized products and services.
Adding value
An organization that strives to survive through competition should be able to “add value” to products or services so that customers prefer them to those offered by the organization’s rivals.
Very often this added value takes the form of above-average quality achieved through exacting control procedures.
Facilitating delegation and teamwork
Modern participative management has changed the nature of the control process. Under the traditional system, the manager would specify both the standards for performance and the methods for achieving them.
Under a new participative system, managers communicate the standards, but then let employees, either as individuals or as teams, use their own creativity to decide how to solve certain work problems.
Process of Controlling
Control process involves the following steps as shown in the figure:
Controlling is a backwards-looking function which brings the management cycle back to the planning function.
