Chapter 12 » Importance of Controlling | Business Studies – XII Content
Chapter 12 » Importance of Controlling | Business Studies – XII
Importance of controlling
1. Execution of plans– control helps in ensuring the performance of plans through regular examination and evaluation of performance of work that results the performance of activities for accomplishment of goals.
2. Helps in supervision– control helps in reducing deviation between standard performance and actual performance through effective control system established by the supervisor
3. Effective delegation and decentralization of authority – Controlling is that mechanism which monitor about authority issued that can help to delegate and decentralize the authority
4. Reduction of cost– when control is effective employees will have better performance, proper utilization of resources and prevention of leakage and wastage which helps in reduction of cost
5. Psychological pressure controlling affects the psychological pressure of employees. When the employees know that their performance and activities done will be evaluated and just than they naturally work hard and their performance will be increased.
6. Optimum utilization of resources– controlling plays a vital role for proper utilization of human, physical, and financial resources to ensure correct work performance with respect to cost, quality and time or not.
7. Helps in fulfillment of goals– control provide standard for approval of actual performance it helps to accomplish the plan and achieve goals.
8. Helps in coordination– an organization grows in size and diversity. They become complex and also have to develop various department and units. Therefore, controlling help to establish the coordination in different department and units.