Controlling
- 1. •Controlin management means setting standards measuring actual performance and taking corrective action •Itis important function because it help to check to check errors and to take the corrective action so that deviation from standard are minimized and stated goals of the organization are achieved in desired manner
- 2. •To maximize the use of scarce resources •To achieve purposeful behavior of organization members •Improves efficiency and effectiveness •Make plan effective •Control aid in decision making
- 3. TRADITIONAL MODERN Personal observation Management audit Break even analysis Return on investment Statistical report PERT&CPM Budgetary control Management information
- 4. •izes wastage •IIt ensures optimum utilization of resources •t helps to fix responsibility •It motivates employees •It minimizes deviation •It facilitates delegation
- 5. •Controllingmay lower the morale of the staff through bad supervision in the way of duties are delegated •Internal check system of instituted will frustrate employees •It is usually an expensive system to install and maintain •Itmay be rigidly designed and not suitable for the type of business and thus be difficult to sustain
- 6. Setting performance standards Measurement Correcting of actual deviation performance Comparing actual Analysing performance deviation with standard
- 7. •Physical standards •Cost standards •Capital standards •Revenue standards •Program standards •Intangible standards •Goals as standards •Strategic plans as control points for strategic control
- 8. Standards should be as precise as possible and communicated to all persons concerned. Moreover, communication alone is not sufficient; understanding is necessary. In human systems, standards tend to be poorly defined and the allowable range of deviation from standard also indefinite. For example, how many hours each day should a professor be expected to be available for student consultation? Or, what kind of behavior should be expected by students in the classroom?
- 9. TYPES OF CONTROL MECHANISM OF CONTROL Output control Financial measure of performance Organizational goal Operating budgets Behavior control Direct supervision Management by objective Rules and standard Operating procedures Organization culture control Values Norms Socialisation
- 10. Brig. (Dr.) R.S. Grewal Vice Chancellor, Chitkara University VIDEO1