Controlling in Management | Definition, Limitation and Importance of Controlling

Controlling in Management

Controlling in Management:

Controlling is one of the important function of a manager. Controlling function of a manager is the most common function. Managers at all level of management – Top, middle and lower need to perform controlling function to keep control over activities in their areas.
In order to seek planned result from the subordinates, a manager needs to exercise effective control over the activities of subordinates. 
Thus, Controlling confirms the various plans which are made in the head office by the most experienced person in the company are implemented properly or not.
There is always a need for inputs, resources, gifts or various type of Customer Relationship Management (CRM) tools which are very important to achieve the desired goal of a business enterprise. An organisation generally invest huge money on these resources but it is a big challenge to ensure that all the resources are being utilized efficiently and effectively or not. In this case, Controlling plays a very crucial role. A manager can easily track the details of each resource by the controlling system.
Thus Controlling is a goal-oriented function. It is a function that brings back the management cycle to the planning function.

Importance of Controlling in Management:

How best your plan is? or how capable your employees are? WithoutControlling system the goals of an organization can never be achieved because you have to track each and every activity according to the predetermined plans. Therefore controlling is an essential function of management which can assists any organisation few of them are explained below.

1) Helps in achieving organisational goals:

As we knew above controlling function monitor each and every activity of employees to accomplish the organisational goals if any deviation occurs a manger correct it immediately. Thus Controlling directs and facilitates in accomplishing organisational goals.

2) Verify the accuracy of standards:

An effective control system continuously monitors the changes taking place in the organisation and in the environment that helps to review and revise the standards. The controlling system also justifies the accuracy of standards and norms which are set to achieve the organizational objectives.

3) Helps in use of resources efficiently:

A manager will be able to rectify by using the controlling system, whether inputs and resources are being used efficiently. A manager can correct immediately if any deflection seems. This ensures that resources are used in the most effective and efficient manner.

4) Motivate employees to give their best performance:

Controlling reduces the gap between the lower subordinates and superiors. It also increases telephonic conversation between the boss and executives. Thus every employee knows their target and criteria to earn incentives which motivate and insists them to give their best performance.

5)Maintain order and discipline in the organisation:

It is obvious when each and every activity of the employees will be monitored by their superior, there will generate an environment of honesty in the organisation. This helps a manager to manage and develop a goal-oriented team to accomplish the organisational goal. Controlling also develop an environment of order and discipline in the organisation.

6)Facilitating coordination among each department in the organisation:

Every department in an organisation is working simultaneously to accomplish the organisational goal. And an organisation prepares special operating procedure (SOP) or special norms and standards to function it properly which are well coordinated with each other. We can not ignore the role of Controlling in each department and hence it facilitates coordination among each department.
It provides direction to all activities for achieving the organisational goal.

Limitations of Controlling:


limitations of controlling
The controlling system in management has some following limitations.

Norms cannot be defined in quantitative terms:

Controlling loses its benefits where norms and standards cannot define in quantitative terms. The employee morale, job satisfaction and human behaviour are some areas where the controlling system is not effective.

Less control over external factor:

Any organisation is running in some of the other state of a country under the government policies which is uncontrollable by an enterprise. And also no organisation can control technical discovery, a new discovery in information technology and a big competitor enters the market etc.

Objection from employees:

When a manager applies to control to his lower subordinate, some of his colleagues may object to doing reporting according to the norms set by the manager or organisation. This usually happens due to over-controlling or miss communication. For example, field staff might object when their location is tracked by GPS or office staff are kept under CCTV surveillance.

Very expensive to install:

To establish an effective Controlling system is very expensive because an organisation has to appoint different level of managers. And some of the managers cost more to the company. Hence it is their moral responsibility to justify the cost of the control system by surpassing their sales target.

Over-controlling might increase the alteration rate:

Although, controlling help to enhance various performance yet if overcontrolled the employee might irritate and move to another company. In the current scenario, senior managers often call their subordinates multiple time to evaluate their activities in the field. This might be irritating for the lower subordinates especially in case of newcomers and hence leads to increase alteration rate of the organisation. 
Thus we have learned about Controlling Function of Management. We understood how important is Controlling Function for any organisation without this no standards can be implemented in a proper manner.

Source: Wikipedia 


Leave a Comment