Controlling

Control is the fifth and final principal

element of the managerial process. This
function intends to ensure that
everything occurs in conformity with
the plans and predetermined goals are
successfully achieved .Thus, this
function aims to make things happen in
order to achieve goals.
 Characteristics

•MANAGEMENT PROCESS
•GOAL-ORIENTED FUNCTION
•PERVASIVE FUNCTION
•DYNAMIC PROCESS
•FORWARD LOOKING
 Purpose Of Controlling

Control is the process by which the manager

ensure the performance is in conformity with
the plans and goals. it involves setting of
standards ,measuring actual performance and
correcting the performance if it deviates from
the standards.
The basic purpose of controlling is to ENSURES
ACTIONS and BEHAVIOUR in line with the
desired results.
 Objectives
TO DIRECT ACTIVITIES ACCORDING TO PLAN
ESTABLISH COORDINATION IN ACTION
TO PREVENT DISHONESTY AND ESTABLISH
ORDER AND DISCIPLINE
TO STOP WASTAGE AND MINIMISE THE
COST
TO MOTIVATE EMPLOYEES
Relationship Between Planning
and Controlling
•MEANING

•PLANNING AND CONTROLLING ARE INTERDEPENDENT

AND INTERLINKED

•PLANNING AND CONTROLLING ARE BOTH BACKWARD

LOOKING AS WELL AS FORWARD LOOKING
Importance On Controlling
•SMOOTH FUNCTIONING OF THE
ORGANISATION
•ENSURES SUCCESS OF PLANNING
•ACHIEVEMENT OF ORGANISATIONAL
GOALS
•FACILITATES DECISION MAKING
•ADAPTING TO CHANGING
ENVIRONMENT
Process Of Controlling
•Establishment of Standards
•Measurement of Performance
•Comparison of Performance with
the Standard
•Taking Corrective Action
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 Establishment Of Standards
The first step in the process of control is the
establishment of standards of performance. It may be
noted that the standards are the objectives or plans
against which actual performance can be measured.
Standards means target or yardstick against which the
actual performance is measured. The standards
become basic for the comparison and the manager
insists on following of standards. The standards must
be achievable, very high standards which can't be
achieved are of no use. Standards must be set up
keeping in mind the resources of the organisation as
far as possible standard must be set in numerical or
measurable terms.
Measurement Of Performance
The next step in the process of control is the
measurement of actual performance. Actual
performance may be measured through
personal observation, samples, reports ,
accounting statements ,etc. But managers
should carefully select the method and time
measurement. Measurement methods may
be quantitative as well as qualitative or
combination both.
Comparison Of Performance
With Standards
The third step of process of control is the
comparison of the actual performance with the
standards. After measuring the actual
performance the manager compares the actual
performance with the planned performance and
standards. But if there is mismatch or deviations
then the manger tries to find out the extent of
deviations. If the deviations are minor then it
should be ignore. But if deviations are major then
timely actions must be taken.
 Taking Corrective Actions

The forth and the final step in the process of

control is to take corrective actions .On
comparing the actual performance , the
manager will come to know about the
deviations between the plan and actual
performance. Then the next step is to know the
reason for such deviations and trying to
remove this deviations in future .The managers
take managers to bring back everything on the
track i.e., according to the plan.
 Taking Corrective Actions
The forth and the final step in the process of
control is to take corrective actions .On
comparing the actual performance , the
manager will come to know about the
deviations between the plan and actual
performance. Then the next step is to know the
reason for such deviations and trying to remove
this deviations in future .The managers take
managers to bring back everything on the track
i.e., according to the plan.
 Principles Of Controlling
•PRINCIPLES OF OBJECTIVE
•PRINCIPLES OF STANDARD
•PRINCIPLE OF INDIVIDUALITY OF
CONTROL
•PRINCIPLES OF EFFICIENCY OF
CONTROL
•PRINCIPLES OF ORGANISATIONAL
SUITABILITY
 Essentials For Effective
Controlling System
•GOAL-ORIENTED
•FLEXIBLE AND FORWARD LOOKING
•ECONOMICAL
•CORRECTIVE ACTION
•UNDERSTANDABLE
 Techniques Of Controlling
Techniques of control are the techniques which
are used by the manager for the effective and
efficient control in the organisation. Techniques
of control are divided into traditional techniques
and modern techniques. This techniques help
the manager and give him the idea about what
is going in the organisation and how thee things
are to be tackle. It helps the manager to know
the what corrective actions are to be taken and
how are to be taken to overcome the deviations.
 Branch
TRADITIONAL TECHNIQUES: Traditional techniques are the
techniques which are commonly used by various companies,
although in the present environment these have become outdated
but still many companies use them for effective and efficient control.
The traditional techniques includes personal observation, statistical
data, disciplinary system , break-even analysis, and budget/
budgetary control etc

MODERN TECHNIQUES: Modern techniques are the

techniques of control which are used now a days and
preferred by companies. This includes return on investment
, management audit, ratio analysis, management
information system, PERT and CPM, etc.
 Traditional Techniques
•PERSONAL OBSERVATION
•STATISTICAL DATA
•DISCIPLINARY SYSTEM
•BREAK EVEN ANALYSIS
•BUDGET/BUDGETARY CONTROL
 Modern Techniques
RETURN ON INVESTMENT
MANAGEMENT AUDIT
RATIO ANALYSIS
MANAGEMENT INFORMATION SYSTEM
NETWORK TECHNIQUE (PERT & CPM)
Thank You