Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Controlling

Question:
Which of the following is applicable in respect of Controlling function of management?
Options:
Controlling is backward looking.
Controlling is Forward looking
Both 1 and 2
None of the above
Correct Answer:
Both 1 and 2
Explanation:
It is often said that planning is looking ahead while controlling is looking back. However, the statement is only partially correct. Plans are prepared for future and are based on forecasts about future conditions. Therefore, planning involves looking ahead and is called a forward-looking function. On the contrary, controlling is like a postmortem of past activities to find out deviations from the standards. In that sense, controlling is a backward looking function. However, it should be understood that planning is guided by past experiences and the corrective action initiated by control function aims to improve future performance. Thus, planning and controlling are both backward-looking as well as a forward-looking function.