CONTROLLING

One of the major functions of management is controlling. Controlling means ensuring that organization resource such as man, material, machinery etc are being used effectively and efficiently. It is an important managerial function which ensures that the work has been done as per the plans or not. The main function of controlling is to ensure actual progress with relevance to the predetermined goals and objectives.
Controlling is said to be forward looking and taking corrective steps so that deviations do not occur in future. Controlling is a pervasive function as it is performed in all types of organizations and at all levels that is top, middle and lower levels of management. Controlling measures the actual performance with the laid down standards by calculating certain ratios like gross profit ratio, net profit ration, current ratio etc.

Importance of Controlling
Controlling is an important function of management. Controlling evaluate past activities performed and detects the deviations and then the corrective actions are taken. The difference between the expected results and the actual results is reduced to minimum. An efficient control system helps management to judge whether the standards set are accurate or not. In case of changes in the organization and the environment, they are redefined. Controlling makes it possible to use human and physical resources efficiently. It checks the working of employees at each and every stage of operations which avoid wastage of resources. Controlling proves to be an effective medium to increase the motivation of employees to work with complete dedication. Systematic evaluation of performance and consequent rewards in the form of increment, bonus, promotion etc, motivate employees to put in their best efforts. It minimize dishonest behavior on the part of the employees which helps in maintaining order and discipline in the organization.

Limitations of Controlling
Controlling serves with some limitations also. Setting of standards is possible if the nature of work is quantitative but becomes very difficult to compare the work of qualitative nature especially in areas of job satisfaction, human behaviour and employee morale. A manager can control internal factors like manpower, machinery, material etc but it is impossible to control the external factors like government policies, technical changes etc. Controlling involves a lot of expenditure, time and effort so the small organizations cannot bear such expenditure. They are useful for only big organizations. Sometimes the cost of operating an effective control system is more than the benefits derived from it so it proves to be costly for the organization.

Controlling does not come to an end only with the implementation of corrective action but it has to be observed as to what effect it has created on the actual results and if the results again turn to be negative, corrective actions should again be taken.

Click here for government certification in Human Resources