Question

'Planning and controlling are complementary processes.'

Hint:

{Simple Relationship:}

• {Planning = Setting the destination} (where to go)
• {Controlling = Checking if you're on the right path} (and adjusting)
• Both need each other to reach goals effectively

Answer 1

Planning and Controlling are Complementary Processes

The statement "Planning and controlling are complementary processes" highlights the interdependent and mutually reinforcing relationship between these two important functions of management.

Explanation of Complementarity:

• Planning Provides the Basis for Controlling:
  • Planning establishes goals, objectives, and performance standards.
  • Without plans, there are no standards to compare actual performance.
  • Controlling measures actual performance against these standards.
  • Example: A sales target of $10{,}000$ units becomes the benchmark for evaluating sales performance.
• Controlling Provides Feedback for Planning:
  • Controlling identifies deviations between actual and planned performance.
  • This feedback helps in revising and improving future plans.
  • Without controlling, managers cannot judge the effectiveness of plans.
  • Example: If actual sales are $8{,}500$ units instead of $10{,}000$, future planning may include better marketing strategies.
• Planning is Meaningless Without Controlling:
  • Plans remain mere intentions unless monitored.
  • Controlling ensures plans are implemented properly.
  • It helps in taking corrective action when necessary.
• Controlling is Blind Without Planning:
  • Without predetermined standards, performance cannot be evaluated.
  • Controlling has no direction without clear plans.
• Cyclical Relationship:
  • $\text{Planning} \rightarrow \text{Implementation} \rightarrow \text{Controlling} \rightarrow \text{Feedback} \rightarrow \text{Revised Planning}$
  • This cycle continues continuously, making both functions interdependent.

Illustration of Complementarity:

• Planning sets goals and standards.
• Controlling measures performance against standards.
• Planning decides what to do.
• Controlling ensures it is done properly.
• Planning is future-oriented.
• Controlling is present and past-oriented.

Example:

• A company plans to produce $10{,}000$ units per month (Planning).
• Actual production is $8{,}500$ units (Measurement).
• Controlling identifies a shortfall of $1{,}500$ units.
• Analysis finds machine breakdowns as the cause.
• Future plans include preventive maintenance (Revised Planning).

Conclusion:
Planning and controlling are inseparable functions of management. Planning sets the direction, while controlling ensures that activities remain on track. Both functions support and strengthen each other, making effective management possible.