Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Controlling

Question:

"A good control system ensures that employees know well in advance what they are expected to do".

Identify the importance of controlling highlighted by the statement.

Options:

Ensuring order and discipline

Making efficient use of resources

Improving employee motivation

Judging accuracy of standards

Correct Answer:

Improving employee motivation

Explanation:

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.

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.

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.