Definition оf controlling. The Control Process

Controlling is one of the four management functions. Control begins with objectives and standards. Control measures actual performance. Control compares results with objectives and standards. Control takes corrective action as needed. Control focuses on work inputs, throughputs, and outputs.

Controlling:

A process of monitoring performance and taking action to ensure desired results.

It sees to it that the right things happen, in the right ways, and at the right time.

Done well, it ensures that the overall directions of individuals and groups are consistent with short and long range plans.

It helps ensure that objectives and accomplishments are consistent with one another throughout an organization.

It helps maintain compliance with essential organizational rules and policies.

Cybernetic Control System

¨ One that is self-contained in its performance monitoring and correction capabilities. (thermostat)

¨ The control process practiced in organizations is not cybernetic, but it does follow similar principles.

The Control Process

ü Establish objectives and standards.

ü Measure actual performance.

ü Compare results with objectives and standards.

ü Take necessary action.

Establish Objectives and Standards. Measuring Actual Performance

The control process begins with planning and the establishment of performance objectives. Performance objectives are defined and the standards for measuring them are set. There are two types of standards:

¨ Output Standards - measures performance results in terms of quantity, quality, cost, or time.

¨ Input Standards - measures work efforts that go into a performance task.