(a)OR(b)

‘Planning and controlling are inseparable twins of management’.

Explain with the help of any three points.

Planning and controlling are inseparable twins of management 1. Planning without controlling is meaningless and Controlling is blind without planning Once a plan becomes operational, controlling is necessary to monitor the progress, measure it, discover deviations and initiate corrective measures to ensure that events conform to plans. So, Planning without controlling is meaningless. A system of control presupposes the existence of certain standards which are provided by planning. Therefore, controlling is blind without planning 2. Planning is a prerequisite for controlling while controlling seeks to compel events to conform to plans Without planning there is no predetermined understanding of the desired performance while controlling seeks to compel events to conform to plans 3. Planning is prescriptive while controlling is evaluative Planning is basically an intellectual process involving thinking, articulation and analysis to discover and prescribe an appropriate course of action for achieving objectives. Controlling, on the other hand, checks whether decisions have been translated into desired action. 4. Planning is forward-looking while controlling is looking back Planning involves looking ahead as plans are prepared for future and are based on forecasts about future conditions. On the contrary, controlling is like a postmortem of past activities to find out deviations from the standards. In that sense, controlling is looking back. 5. Controlling is forward-looking while planning is looking back The corrective action in controlling seeks to improve the performance in the future or to revise future plans. So, controlling is also forward looking. 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 is also looking back. Q. (b) Explain 'Critical point control' and 'Management by exception' as discussed in the controlling process. 1. Critical Point Control: Control should 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. 2. Management by Exception: Management by exception, also known as control by exception, is based on the belief that an attempt to control everything results in controlling nothing. Thus, only significant deviations which go beyond the permissible limit should be brought to the notice of management.