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Sunday, April 20, 2014

controlling characteristics, limitations BBA

Question What is the meaning of term “controlling”? What are the characteristics of controlling .also explain the limitation of the controlling.
Answer:
Introduction:
Meaning of controlling:
Control, it is the last function of any management. The controlling function will be unnecessary to the management if other function of management is performed properly.
          According to Knootz & O’Donnell, “Controlling is the measurement of accomplishment against the standards and the correction of deviations to assure attainment of objectives according to plans.”
          G.R.Terry state that – “ Controlling is determining what is being accomplished, that is, evaluating the performance and if necessary, applying corrective measure so that the performance takes place according to plans.”
          Henry Fayol, “ Control consists in verifying whether everything occurs in conformity, is with the plans adopted the instructions issued and principles established. It has for its object to point out weaknesses and errors in order to rectify them and prevent recurrence.”
          According to Mc Farland, “ The presence in a business of that force which guides it to a pre-determined objective by means of pre-determined policies and decisions.”
The main scope of control is as follows
a)     Control over organization.
b)    Control over policies of the concern.
c)     Control over production.
d)    Control over public relations.
e)     Control over research & development.
f)      Control over tools & equipments.
Characteristics of Control are
1.     Control is a continuous process.
2.     It is a management process.
3.     It is embedded in each level of organizational hierarchy.
4.     It is forward looking.
5.     It is closely linked with planning.
6.     It is a tool for achieving organizational activities.
7.     Control is an end process.
Limitations of Controlling: controlling function in an organisation involves following difficulties/limitations
1. Difficulty in setting quantitative standards:
Control system loses its effectiveness when standard of performance cannot be defined in quantitative terms and it is very difficult to set quantitative standard for human behaviour, efficiency level, job satisfaction, employee’s morale, etc. In such cases judgment depends upon the discretion of manager.
2. No control on external factors:
An enterprise cannot control the external factors such as government policy, technological changes, change in fashion, change in competitor’s policy, etc.
3. Resistance from employees:
Employees often resist control and as a result effectiveness of control reduces. Employees feel control reduces or curtails their freedom. Employees may resist and go against the use of cameras, to observe them minutely.
4. Costly affair:
Control is an expensive process it involves lot of time and effort as sufficient attention has to be paid to observe the performance of the employees. To install an expensive control system organisations have to spend large amount. Management must compare the benefits of controlling system with the cost involved in installing them. The benefits must be more than the cost involved then only controlling will be effective otherwise it will lead to inefficiency.

Conclusion: controlling suffer from above limitations but it is consider as a base for setting future standards for an organisation. 

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