Page 2 - Microsoft Word - Home assignment 19 Directing Meaning Importance

such deviations and attempts to take corrective actions based on the

same. This process helps in formulation of future plans in the light of

the problems that were identified and, thus, helps in better planning in

the future periods. Thus, controlling only completes one cycle of

management process and improves planning in the next cycle.

Importance of Controlling:

Control is an indispensable function of management. Without control

the best of plans can go awry. A good control system helps an

organization in the following ways:

(i) Accomplishing organizational goals: The controlling function

measures progress towards the organizational goals and brings to light

the deviations, if any, and indicates corrective action.

It, thus, guides the organization and keeps it on the right track so that

organizational goals might be achieved.

(ii) Judging accuracy of standards: A good control system enables

management to verify whether the standards set are accurate and

objective. An efficient control system keeps a careful check on the

changes taking place in the organization and in the environment and
helps to review and revise the standards in light of such changes.

(iii) Making efficient use of resources: By exercising control, a manager
seeks to reduce wastage and spoilage of resources. Each activity is

performed in accordance with predetermined standards and norms.

This ensures that resources are used in the most effective and efficient

manner.