ControllingControllingIt is the process of monitoring organizational activities to ensure that they are being accomplished as they planned and taking corrective actions if there are significant deviations

Controlling is checking current performance against predetermined standards contained in the plans with a view to ensure satisfactory performance

Characteristics Of Controlling

• Forward looking• Continuous process• Exercised at all levels• Identified with individuals • End function

Importance Of ControllingImportance Of Controlling

• Ensures better performance• Helps in coordination• Efficiency and Effectiveness• Managerial Responsibility• Source of motivation• To identify potential of the organization

Control ProcessControl Process

MeasurePerformance

Does it matchStandard performance

EstablishStandards

Do Nothing

Take CorrectiveAction

No

Yes

Feedback

Stages of ControlsStages of Controls

• Preliminary or Feed forward Control ( These controls are based upon the future )• Screening or Concurrent Control( These are the controls which are being done

when the activities are performed )• Post Action or Feedback Control( Analyses of the final output )

Levels of ControlsLevels of Controls

• Strategic Control(Long term control , corporate level )• Tactical Control( Intermediate control , Middle level )• Operational Control( Short term control , Lower level control )

Barriers to ControlBarriers to Control

• System Barriers

• Behavioral Barriers • Political Barriers

Controlling Techniques

Budgetary Control / Traditional Budgeting ( preplanned expenditure )Cost Control ( control key resources )Production Planning & ControlInventory ControlBreakeven AnalysisProfit & Loss ControlStatistical Data Analysis

Controlling Techniques

Non Budgetary Control / Modern Return On Investment (ROI) PERT ( Programme Evaluation & Review

Technique ) MISManagement Audit