Control Process

Strong & Smith (1968) proposed that control is needed to ensure that organisation achieves its objectives. If effective control process is not existing our efforts of organising planning may not be successful. 

Definition 

Management control is systematic effort to set  performance standards with planning objectives to design information  feedback systems, to compare actual performance with those  standards, to determine whether there are any visitations and to measure their significance, and to take action required to ensure that all corporate resources are being used in the most effective way possible in achieving corporate objectives. 

                                                                                                                             - Mocker (1972) 

According to this definition control has following basic steps : 

1. The first step is to establish standards and methods for measurement of performance. 
2. The second step is measurement of actual performance of organisation. 
3. The third step is the comparison of performance against startling which are determined at step one. 
4. The last step is to assess if there is a need for corrective action to ensure performance. If so what corrective action should be taken. 

It should be noted that management is an integrated process combining leading, planning, organising and controlling. Planning determines the goals which organisation will achieve. Controlling determines whether these goals have been achieved or not. How far they have been achieved. What is the discrepancy between stated goal and actual performance. Suppose a company decides that it will achieve.achieve. Mover of 100 crores by exporting its product in two years. After two years figure are available for actual export. Suppose, it is 60 crores. A comparison of stated objectives, i.e. 100 crores and actual performance, i.e. 60 Crores indicates that company has not been able to achieve 40 crores. This is the discrepancy. What corrective action should be taken to fill the gap is the actual purpose of controlling.