Question

Which of the following is a limitation of controlling?

• A. It ensures continuous improvement
• B. It focuses on future performance
• C. It is time-consuming
• D. It provides immediate feedback

Hint:

While controlling provides crucial feedback, it can consume a lot of time and resources to maintain and ensure effective oversight of organizational performance.

Answer 1

The Correct Option is C

In the context of business studies, controlling is one of the essential management functions. It involves monitoring and analyzing performance against predetermined objectives and implementing necessary corrective actions. However, like any management process, controlling has its limitations.

The limitation highlighted in this scenario is:

• It is time-consuming

This limitation can be understood as follows:

Controlling involves collecting and analyzing data, identifying discrepancies between actual and desired performance, and taking corrective actions. These steps require significant time and resources, especially in large organizations where data must be collected from various departments and levels of operation. This time-intensive nature of controlling can delay decision-making and response actions, which might hinder the agility of an organization.

Other options mentioned do not represent limitations of controlling:

• It ensures continuous improvement: This is viewed as a benefit because controlling allows for the identification of performance gaps and the implementation of measures to improve processes continually.
• It focuses on future performance: Controlling not only evaluates current performance but also sets the stage for future improvements, ensuring objectives align with future strategies.
• It provides immediate feedback: Effective controlling can offer real-time data and insights that allow managers to make informed decisions quickly.