Concept and importance of controlling

Concept of Controlling

Controlling is an important managerial function. It is the process of measuring actual performance and comparing with standards to identify any deviation. The word control suggests checking, testing, regulating, verifying or adjusting. The control provides the basis for future action. It also helps in taking corrective action to meet the standards. Controlling is having a need to control other people's behavior. It discovers the deviations and takes the corrective measures. It reduces the chances of mistakes being repeated in future by providing preventive steps.

Controlling is the managerial functions of planning, staffing, organizing, implementing and directing. It helps to check the errors and take the corrective action, so it is known as an important function of management. The standard deviations are minimized and the desired goals of the organization are achieved in a desired manner. ( WIKIPEDIA [ The Free Encyclopedia])

In the words of Robbins and Coulter: " Control is the process of monitoring activities to ensure that they are being accomplished as planned and correcting any significant deviations."

Controlling is the process of assuring the performance as per standard. It is the comparison and verification process of the actual performance with the standard performance. It also analyzes whether the action taken are as planned and taking corrective action. It is known as the key to management for implementation of plan in actual field. It also prevents and corrects deviation from plans.

Importance of Controlling

Controlling is an important and indispensable part of management. Proper control makes smoothness in the working of the organization. Controlling helps in checking mistakes and tells us how new challenges can be met or faced. Without, proper mechanism of control, the management process will be incomplete. Control keeps the subordinate under check and brings discipline among them. It reduces the chances of mistakes that may be repeated in future by providing preventive steps. It is basically concerned with making sure that there is a proper accomplishment of functions. The various reasons for the importance of controlling are listed below:

1) Accomplishing organizational goals
The process of controlling helps in accomplishing organizational goals or objectives. The controlling guides the activities of subordinates in achieving the goals. It ensures the use of human and material resources in the best possible manner so that there may be pre-determined objectives of the organization.

2) Judging accuracy of the standards
A manager compares the actual work performance with the standards while performing the function of controlling. He tries to find out whether the accuracy of the standards is not more or less than the general standards. In case of the needs, they are redefined.

3) Improves efficiency
The organization sets the goal for future which is not certain. So, controlling is the way which focuses on uncertainty and to attain the goals. Regular control shows the deviation in plan and actual achievement which helps to keep the staffs on the right track.

4) Improve employee motivation
Motivation is defined as the process of inspiring someone for doing something. Controlling makes all the employees to work with complete dedication as they know that their work performance will be evaluated. Their identity will be established if the progress report is satisfactory in the organization.

5) Ensuring order and discipline
The implementation of controlling help to check all the undesirable activities like theft, corruption, delay in work and uncooperative attitude. Controlling ensures order and discipline, Ensuring order and discipline is also one of the importance of controlling.

6) Facilitate coordination
A good control system facilitates coordination among the departments and employees. Controlling facilitates coordination by providing the unity of direction. Controlling helps to secure co-ordination by avoiding the overlapping and duplication of works and promptly correcting the deviations.

7) Guides in achieving goals
The process of control provides standards or norms for appraisal and management of actual performance. The essence of control is adherence to planning. It provides feedback information for taking remedial actions. Through, controlling managers keep the organization on the right track and ensure attainment of planned goals.

8) Simplifies supervision
Controlling helps to simplify the task of the supervisor by printing out significant deviations from the standards of performance. It keeps the subordinates under check and facilitates to maintain and develop the discipline among them. Controlling helps to check and supervise the activity of the organization. Controlling makes the process of supervision easier.

9) Effective delegation of authority
The effective delegation of authority helps in the proper system of controlling. The delegation of authority will be meaningless without the adequate system of controlling. Therefore, management must develop the proper technique of controlling in the organization.

10) Corrective action
When the results do not match the objectives then corrective actions need to be taken to correct the weakness and problems. Since the corrective action is the essence of controlling. It is also one of the importance of controlling.

11) Smooth operation of the organization
The controlling is the means for implementing the activities of the organization. So, the controlling system is required for the smooth operation of the organization. Controlling helps to correct significant deviations and smoothens the overall performance.

13) Cost
Control ensures organizational efficiency and effectiveness. The Proper control system can make significant contribution to the reduction of operational costs as well as to the maximization of output. They eliminate waste and duplication of effort while lowering labor costs and increasing output quantity.

14) Better planning
Planning and controlling are the important managerial functions. Control is the only means to ensure that plans are being implemented in the real sense. It also provides information on the basis of which better plans can be formulated in future. Without controlling planning is meaningless. (Sarita Pujari)

The controlling helps to find out whether the production is being carried out with the orders received. If not, the causes of deviation are found out and corrective action is initiated in the organization. Therefore, the coordination between both the departments is established for proper functioning of the organization.

References

WIKIPEDIA [ The Free Encyclopedia]. Electronic. 14 06 2016. https://en.wikipedia.org/wiki/Control_(management)

Sarita Pujari, Business. Your Article Library.com. n.d. Electronic. 14 06 2016. http://www.yourarticlelibrary.com/business/what-is-the-importance-of-controlling-6-facts/1024/