Steps in the Process of Controlling

1 Mark Questions

1. Give the meaning of 'critical point control'. (Foreign 2014)

Ans. Control should focus on Key Result Areas (KRAs). Which are critical to the success of an organisation. Therefore, each and every activity should not be controlled and only focus should be on critical points.

1. What is meant by 'management by exception' in the process of controlling?

(Compartment 2014)

Ans. 'Management by exception' is an important principle of control, which propagates that only significant deviations which goes beyond the permissible limit should be brought to the notice of management, as an attempt to control everything, results in controlling nothing.

1. What should be done while 'taking corrective actions' in the process of

controlling when especially in the important areas, deviations go beyond the acceptable range? (Delhi 2013)

Ans. Immediate managerial attention is required if the deviations go beyond the acceptable range in important areas. After the analysis of deviations and their causes, the task is to remove the hurdles from the actual work plan. The purpose of this step is to bring the actual performance upto the level of expectations by opting corrective measures.

1. What is important while analysing deviations in controlling? (Delhi 2011)

Ans. While analysing deviations, it is important to determine the acceptable range of deviations/KRA (Key Result Areas).

1. What should be the focus point for a manager while controlling, as controlling

at each and every step is not possible?(All India 2011)

Ans. Focus on Key Result Areas (KRAs), which are critical to the success of an organisation.

1. Why is actual performance compared with standards in the process of controlling? (Delhi 2010; All India 2010,2009)

Ans. While performing the function of controlling, a manager compares the actual work

performance with the standards. He tries to find out whether the actual performance is more or less than the standards and find out the deviations, if any.

4 / 5 Marks Questions

1. Controlling is a systematic process involving a series of steps. State the steps

involved in the process. (Compartment 2014; All India 2014, 2011, 2008) or

Explain the various steps involved in the process of controlling. (Delhi 2011 c) or

Explain the process of controlling. (Delhi 2010)

Ans. Controlling is measuring and correcting the activities of subordinates to ensure that events confirm to plans. It is a systematic process involving a series of steps, which are as follows:

Setting performance Taking corrective Identifying and

standards action analysing deviations

Measurement of Comparison of actual actual performance performance with standards

1. Setting performance standards The first step in the controlling process is to set the performance standards. Standards are those criterias, on which the actual performances are measured. These standards serve as a benchmark towards which an organisation strives to work.
2. Measurement of actual performance After the establishment of standards, the next step is measuring the actual performance with the set standards. This can be done by opting several methods like personal observation, sample checking, performance reports, etc.
3. Comparison of actual performance with standards In this step, the actual performances are compared with the established standards. Such comparisons reveal the deviation between planned and actual results.
4. Analysing deviations At this stage, acceptable and non-acceptable deviations areanalysed where following things are noticed:

• Critical point control It means keeping focus on key result areas where deviations are not acceptable and it should be attended on the priority basis.