The sales manager of a company has collected the monthly performance reports of all its sales-persons.
Which step of the controlling process should he carry out next?
Answer & explanation
Correct answer: option 3
The correct answer is Option (3) → Comparing actual performance with standards
Option (1) Analysing deviations — Incorrect. A deviation must be found before its causes can be analysed. So comparison has to come first.
Option (2) Taking corrective action — Incorrect. Corrective action is the last step. It is taken only after deviations are found and analysed.
Option (3) Comparing actual performance with standards — Correct. Collecting performance reports is measurement of actual performance, the second step. The next step is to compare it with the standards, which shows the deviation between actual and desired results.
Option (4) Setting performance standards — Incorrect. Standards are set in the first step, before any performance is measured. Here they already exist.
NCERT (2026-27 Edition):
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