Target Exam

CUET

Subject

Business Studies

Chapter

Controlling

Question:

Read the following passage and answer the question.

Raj is working on the post of manager in a big company of Pune. He has fixed standards for all the workers in his department. All the workers know the basis on which their future promotion will be done. For higher chances of promotion, they continue make efforts to give better performance. Raj personally observe the subordinates to evaluate the performance. When Raj was controlling his department, he was aware that controlling all the activities was neither easy nor economical. So, he focussed his attention only on the key result areas. After measurement of performance of all departments, his department performance turned out to be the best of all. The company honoured Raj for his good performance.

All the workers know the basis on which their future promotion will be done. For higher chances of promotion, they continue make efforts to give better performance.

Which point of importance of controlling is highlighted in the given statement?

Options:

Ensuring order and discipline

Judging accuracy of standards

Improving employee motivation

Making efficient use of resources

Correct Answer:

Improving employee motivation

Explanation:

The correct answer is option 3- Improving employee motivation.

Improving employee motivation is highlighted in the given statement as employees know well in advance what they are expected to do and what are the standards of performance on the basis of which they will be appraised.

Improving employee motivation: A good control system ensures that employees know well in advance what they are expected to do and what are the standards of performance on the basis of which they will be appraised. It, thus, motivates them and helps them to give better performance.

 

OTHER OPTIONS

  • Judging accuracy of standards: A good control system enables management to verify whether the standards set are accurate and objective. An efficient control system keeps a careful check on the changes taking place in the organisation and in the environment and helps to review and revise the standards in light of such changes.
  • Making efficient use of resources: By exercising control, a manager seeks to reduce wastage and spoilage of resources. Each activity is performed in accordance with predetermined standards and norms. This ensures that resources are used in the most effective and efficient manner.
  • Ensuring order and discipline: Controlling creates an atmosphere of order and discipline in the organisation. It helps to minimise dishonest behaviour on the part of the employees by keeping a close check on their activities.