CONTROL PROCESS IN MANAGMENT

COURCE INSTRUCTOR: SIR SHUMAIL SARWAR

GROUP:
MUHAMMAD DANIYAL RAZA SP20-BSE-086 HASHAM AHMAD SP20-BSE-007

MUHAMMAD AHMAD AKHTAR SP20-BSE-095 AHMAD SHAHZAD SP20-BSE-023

ABDUL MUTEEN MASOOD SP20-BSE-085

Muhammad jahanzaib zahir sp20-bse-053

What is Control Process?
The control process is the careful collection of information about a
system, process, person, or group of people which is required to make necessary
decisions about each of the department in the process. Managers in the company
set up the control systems which consist of the four prior key steps which we will
discuss in the later section. 
The performance of the management control function is important for the success
of an organization. Management is required to execute a series of steps to ensure
that the plans are carried out accordingly. The steps that are executed in the control
process can be followed for almost any application, also for improving the product
quality, reduction of wastage, and increasing the sales.
For example:
For example, if a sales manager makes a target to make the sales of 5 million in
one quarter with five salespersons working in his team, then he will give the target
of 1 million to every salesperson and will control their actions to achieve the
desired results.

What is Controlling?
The Controlling process assures the management that the performance rate does
not deviate from its standards. The proper performance of the management control
function is critical to the success of an organization. After plans are set in place,
management must execute a series of steps to ensure that the plans are carried out.
The steps in the basic control process can be followed for almost any application,
such as improving product quality, reducing waste, and increasing sales. The basic
control process includes the following steps.
The following are the five basic controlling processes:
1. Setting performance standard.
Managers must translate plans into performance standards. These
performance standards can be in the form of goals, such as revenue from
sales over a period of time. The standards should be attainable, measurable,
and clear.
For example:
 For, improving customer satisfaction in a fast-food chain having self-
service, standards can be set in terms of time taken by a customer to wait for
a table, time taken by him to place the order, and time is taken to collect the
order.

2. Measuring actual performance.

The actual performance of the employee is then measured against the set
standards. With the increase in levels of management, the measurement of
performance becomes quite difficult. If performance is not measured, it cannot
be ascertained whether standards have been met.
For example:
 In the case of assembling tasks, each part produced should be checked before
assembling. Similarly, in a manufacturing plant, levels of gas particles in the air
could be continuously monitored for safety. The most effective course may be
prescribed by policies or maybe best left up to employees’ judgment and
initiative.

3. Comparing actual performance with standards or goals.

The actual performance of the employee is then measured against the set
standards. With the increase in levels of management, the measurement
of performance becomes quite difficult.

Measurement tools Of Actual performance

 Punctuality
 Quality of work
 Observe personal habits
 Review personal presentation
  Carry out a client survey

Examples of Comparing Actual performance with Standard or

goals:
 Improving the motivation level of employees.
 (b) Improving labor relations.
 (c) Improving the quality of products.
 (d) Improving goodwill etc.

4. Analyzing Deviation
Managers must determine why standards were not met. This step also
involves determining whether more control is necessary or if the standard
should be changed. Comparing the degree of difference between the actual
performance and the set standard. Also, deviations in key areas of business
need to be attended more urgently as compared to deviations in certain
insignificant areas.

 Critical Point Control

Also, deviations in key areas of business need to
be attended more urgently as compared to deviations in certain
insignificant areas.

 Management By exception

Management by exception, which is often referred to as control

by exception, is an important principle of management control based on the belief
that an attempt to control everything results in controlling nothing.

After identifying the deviations that demand managerial attention, these deviations
need to be analyzed for their causes. Deviations may have multiple causes for their
origin. These include unrealistic standards, defective process, inadequacy of
resources, structural drawbacks, organizational constraints and environmental
factors beyond the control of the organization

5. Take the Corrective Actions.

After the reasons for deviations have been determined, managers can then
develop solutions for issues with meeting the standards and make changes to
processes or behaviors. Managers must determine why standards were not
 met. Corrective action should be taken immediately, without any loss of
time. Corrective action may be improving the techniques, organizational
structure, proper selection, training, and remuneration of workers. This step
also involves determining whether more control is necessary or if the
standard should be changed.

Types of Controlling Process:

 Feedback Control
 Proactive Control
 Concurrent Control

Feedback Control: Feedback occurs after an activity or process is completed. It

is reactive. For example, feedback control would involve evaluating a team’s
progress by comparing the production standard to the actual production output. If
the standard or goal is met, production continues. If not, adjustments can be made
to the process or to the standard. This process involves collecting the information
on which the task is being finished, then assessing that information and
improvising the same tasks in the future.

Example: The sales manager of the company sets the target of the tram to sell 10,000
units of product in one month. There are 10 salesmen and each salesman is assigned the
responsibility to sell 1,000 units in a month and the target market were divided among
them. The first step of the process is completed for setting the goal. The second step starts
when after the month-end, the results are collected from team members and discovered
that the total sale of the units was 8,000. There was a shortage of 2,000 units in the
number of products sold.  The third stage starts where the manager calculates the
variance of each salesman and comes to know that four salesmen could not achieve the
desired target and the sale of each salesman was short by 500 units.
In the fourth stage, the manager interviews the sales manager and inquires the reasons for
not being able to achieve the target. The manager discovers that the time of visit for these
managers was at the peak hours of the market and the owners of the shops did not
entertain them as they were already busy with their customers.
So, the manager provided his feedback to align their time of visit with other salesmen that
were successful. Hence, the manager provided feedback to enhance the performance of
the sales team.
Proactive Control: Proactive control, also known as preliminary, preventive, or
feed-forward control, involves anticipating trouble, rather than waiting for a poor
outcome and reacting afterward. It is about prevention or intervention. An example
of proactive control is when an engineer performs tests on the braking system of a
prototype vehicle before the vehicle design is moved on to be mass produced.
Example: An example of proactive control is when an engineer performs tests on the
braking system of a prototype vehicle before the vehicle design is moved on to be mass
produced.

Concurrent Control: With concurrent control, monitoring takes place during

the process or activity. Concurrent control may be based on standards, rules, codes,
and policies.
Example:  Keen Media tries to reduce employee inefficiency by monitoring
Internet activity. In accordance with company policy, employees keep a digital
record of their activities during the workday. IT staff can also access employee
computers to determine how much time is being spent on the Internet to conduct
personal business and “surf the Web.”

Features of Controlling
 Controlling helps in achieving organizational goals.
 The process facilitates optimum use of resources.
 Controlling judges, the accuracy of the standard.
 The process also sets discipline and order.
 Controlling process motivates the employees and boosts the employee morale,
eventually, they strive and work hard in the organization.
 Controlling ensures future planning by revising the set standards.
 This improves the overall performance of an organization.
 Controlling minimises the commission of errors.

Advantages Of Controlling
 The Controlling Process saves time and energy.
 This allows the managers to concentrate on important tasks, and also allows
better utilization of the managerial resource.
 Assures timely and corrective action to be taken by the manager.