Controlling is a systematic process involving sequential steps. Choose the correct sequence of Steps of Controlling Process.
(A) Analysing deviations
(B) Measurement of actual performance
(C) Setting performance standards
(D) Comparison of actual performance with standards
Choose the correct answer from the options given below:
(A) Analysing deviations
(B) Measurement of actual performance
(C) Setting performance standards
(D) Comparison of actual performance with standards
Choose the correct answer from the options given below:
- (A), (B), (C), (D)
- (A), (C), (B), (D)
- (B), (A), (D), (C)
- (C), (B), (D), (A)
The Correct Option is D
Approach Solution - 1
The controlling process in management involves a sequence of structured steps that ensure performance aligns with the desired standards. The correct order of these steps is essential to effectively monitor and guide organizational outcomes.
The steps include:
- Setting Performance Standards: This is the initial step where benchmarks or expectations are established, serving as a reference point for the subsequent performance measurement.
- Measurement of Actual Performance: This involves quantifying the actual outputs and results, using various tools and methods to ensure accuracy and reliability in assessing what has been achieved.
- Comparison of Actual Performance with Standards: The actual performance data is compared to the predetermined standards to identify any variances or deviations.
- Analysing Deviations: If there are discrepancies between actual performance and standards, this step involves a thorough investigation to understand their causes, which is crucial for preventing or correcting issues.
Thus, the correct sequence of the steps of the controlling process is (C), (B), (D), (A).
Approach Solution -2
The correct sequence of steps in the controlling process is:
(C) Setting performance standards: The first step, where standards are set for performance measurement.
(B) Measurement of actual performance: The second step, where actual performance is measured to compare against the standards.
(D) Comparison of actual performance with standards: The next step, where the measured performance is compared with the standards to assess performance.
(A) Analysing deviations: The final step, where deviations between actual and expected, performance are analyzed to identify areas for improvement.
This sequence ensures that performance is effectively monitored, and any discrepancies are addressed for better management.
Top Questions on Controlling
Piyush is the Production Manager of a shoe company called . He has 1000 workers working under him in his department. Piyush booked a special order for 300 pairs of gents shoes at an estimated cost price of Comforty < 500 per pair plus 20 percent profit margin. The order is to be completed within 10 days. After completion of the order, Piyush found out that the production cost of one pair of shoes was 600 Rupees. He tried to find out the reason but couldn't. He reported it to the Chief Executive Officer. The Chief Executive Officer appointed Abhay to find out the cause. Abhay was not only a specialized Cost Accountant, but also a qualified Human Resource Manager. After two days, Abhay reported that the set targets could be completed with the help of only 800 workers, which revealed that there was overmanning in the organization. The organization was not utilizing the human resources optimally, which had led to higher labour cost. The above case highlights one of the points of importance of an important function of management.
(i) Identify the function of management.
(ii) State any two points of importance of the function of management identified in part (i), except the one discussed in the above case.- Statement I : Controlling ensures that activities in an organization are performed as per the plans. Statement II : Controlling function of a manager is a pervasive function. Choose the correct option from the options given below :
- Sohan, Sales Manager of ‘Kriti Ltd’ is a good efficient manager who always motivated his team to perform to their best ability. Till the year 2023, he and his team were exceeding the targets. However, since the last six months, they were unable to meet their targets. On investigation it was found out that one of his team members had left the job and was offering the competitors’ product to some of the clients of ‘Kriti Ltd.’ at lesser price.
- Identify the function of management being referred to in the above case.
- Identify the step in the process of the above function of management which helped the management to find out the fall in performance.
- Suggest any 2 ways which can help management to achieve the desired target in future.
- ______ is the step in the controlling process where standards may have to be revised in case the deviation can not be corrected through managerial action.
- Nishtha runs a chain of famous restaurants, ‘Indian Kitchen’, in different parts of Delhi. The restaurant chain was known for good quality food and quick service. ‘Indian Kitchen’ was generating good revenue and had goodwill in the market. Nishtha would take a weekly report from all the Restaurant Managers and take necessary action to resolve the problems, if any. Nishtha noticed a sudden decline in sales in one of the restaurants. She questioned the Restaurant Manager who mentioned that the restaurant is seeing a gradual decrease in the number of customers, but could not provide a clear explanation for it. So, Nishtha formed a team to find out the causes of the declining customers as this is the key area for restaurant business and is critical to the success of business. By doing this, Nishtha is performing a step of the process of a function of management.
- [(i)] Identify and explain the function of management discussed above.
- [(ii)] Explain the step of the function identified in (i) above, followed by Nishtha to find out the causes of declining revenue.
- [(iii)] Explain the step Nishtha will take after she gets the report from the team formed to find out the causes of declining revenue.
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