Under critical point control, what happens if anything goes wrong at the critical points?
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → The entire organisation suffers.
Option (1) The routine work of the subordinates is held up. — Incorrect. Holding up routine work is a small effect. Critical points are key areas, and a fault there harms far more than routine work.
Option (2) The department concerned fails to meet its target. — Incorrect. The harm does not stop at one department. A critical point is critical to the success of the whole organisation.
Option (3) The standards of that area must be revised at once. — Incorrect. Standards are revised only when a deviation cannot be corrected through managerial action. A fault at a critical point first calls for corrective action.
Option (4) The entire organisation suffers. — Correct. Critical points are the key result areas (KRAs) on which the success of the organisation depends. So if anything goes wrong there, the entire organisation suffers.
NCERT (2026-27 Edition): “1. Critical Point Control: It is neither economical nor easy to keep a check on each and every activity in an organisation. Control should, therefore, focus on key result areas (KRAs) which are critical to the success of an organisation. These KRAs are set as the critical points. If anything goes wrong at the critical points, the entire organisation suffers. For instance, in a manufacturing organisation, an increase of 5 per cent in the labour cost may be more troublesome than a 15 per cent increase in postal charges.” |