CHAPTER-8
CONTROLLING
CONTROLLING: Controlling means ensuring that activities in an organisation are performed as per the
plans.
FEATURES:
1. Controlling function of a manager is a pervasive function.
2. Controlling should not be misunderstood as the last function of management: It is a function
that brings back the management cycle back to the planning function.
3. Continous process.
4. Goal oriented.
Importance of Controlling:
(i) Accomplishing organisational goals:
• Guides the organisation.
• keeps it on the right track so that organisational goals might be achieved.
• Without controlling, activities may not be carried out according to plans and targets
may be missed.
(ii) Judging accuracy of standards:
• An efficient control system keeps a careful check on the changes taking place in the
organisation and in the environment and helps to review and revise the standards in
light of such changes.
(iii) Making efficient use of resources:
• It seeks to reduce wastage and spoilage of resources in terms of quantity, quality
and cost.
(iv) Improving Employees Motivattion:
• It ensures that employees know well in advance what they are expected to do on
the basis of which they will be appraised.
• It helps them to give better performance.
(v) Ensuring order and discipline:
• It helps to minimise dishonest behaviour on the part of the employees by keeping a
close check on their activities.
(vi) Facilitating coordination in action:
• Each department and employee is governed by predetermined standards which are
well coordinated with one another. This ensures that overall organisational
objectives are accomplished.
Relationship between Planning and Controlling:
“Planning and controlling are inseparable twins of management”
“Planning without controlling is meaningless.”
Once a plan becomes operational, controlling is necessary to monitor the progress, measure it,
discover deviations and initiate corrective measures to ensure that events conform to plans.
“Controlling is blind without planning.”
