CONTROLLING

 Refers to the process of ascertaining whether

organizational objectives have been achieved; if
not, why not; and determining what activities
should then be taken to achieve objectives better
in the future.

 It completes the cycle of management

functions. Objectives and goals that are set at
the planning stage are verified as to
achievement or completion at any given point in
the organizing and implementing stages.
 IMPORTANCE OF
CONTROLLING
 It will help the organization achieve its
goal in the most effective and efficient
manner possible if it is implemented properly.

 Proper control measures minimize the ill

effects of such negative occurrences.
 STEPS IN THE CONTROL
PROCESS
1. Establishing performance objectives and
standards.

2. Measuring actual performance

3.Comparing actual performance to objectives

and standards, and

4. Taking necessary action based on the

results of the comparisons.
 TYPES OF CONTROL
1. Feedforward control
 this type of control provides the assurance
that the required human and nonhuman
resources are in place before operations begin.

2. Concurrent control, and

 this type of control is when operations are
already ongoing and activities to detect
variances are made.

3. Feedback control
 this type of control is when information is
gathered about completed activity, and in order
that evaluation and steps for improvement are
derived.
 COMPONENTS OF
ORGANIZATIONAL CONTROL
SYSTEMS
1. Strategic plan

2. The long-range financial plan

3. The operating budget

4. Performance appraisals

5. Statistical reports

6. Policies and procedures

 STRATEGIC CONTROL SYSTEM

1. Financial Analysis
 It is a review of financial statement and
reveal important details about the company
performance.

2. Financial Ratio Analysis

 In this method one account appearing in
the financial statement is paired with another
to constitute a ratio.
 IDENTIFYING CONTROL
PROBLEMS
1. Executive Reality Check
 This problem is a complain by the employees
at the frontline to the management that imposes
certain requirements that are not realistic.

2. Comprehensive Internal Audit

 An internal audit is one undertaken to
determine the efficiency and effectivity of the
activities of an organization.

3. Symptoms of Inadequate Control