ANUSHREE RUNTA

ROLL NO.-38

RELATIONSHIP BETWEEN PLANNING AND CONTROLLING
Planning and Controlling are inter-related within any organization. Planning sets
the goals for the organization and controlling ensures its accomplishment.
Planning decides the control process and controlling provides sound basis for
planning. In simple words, planning and controlling are basically dependent on
each other. The relationship between them is explained as under:

1. Planning Originates Controlling: In planning process, the objectives or
targets are to be set, and to achieve those goals, control process is required. So we
can say that Planning precedes control.

2. Control sustains planning: Controlling directs the course of planning.
Controlling spots the areas where planning is required.

3. Controlling provides information for planning: In controlling, the
performance is compared with standards and deviations, if any, are to be
recorded. The information collected during any type of control, is used for
planning also.

4. Planning and control are inter-related: Planning is the initial step and
controlling is in the process and required at every step. For the same both are
dependent upon each other and inter-related.

5. Both are forward looking: Planning is always for the future and control is
forward looking. No one has the control on past, it is only the future, which can
be controlled.

ANUSHREE RUNTA
ROLL NO.-38

Planning and Controlling are concerned with the achievement of business goals.
Their combined efforts are to achieve maximum output with minimum cost effect.
Planning and controlling are inseparable twins of management. A system of
control presupposes the existence of certain standards. These standards of
performance are provided by 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. Thus,
planning without controlling is meaningless, and controlling is blind without
planning.
Planning is an intellectual process involving thinking, articulation analysis to
discover and prescribe an appropriate course of action for achieving objectives.
Controlling, checks whether decisions have been translated into desired actions.
Planning is prescriptive and controlling is evaluative.
Planning and controlling are interrelated and, in fact, reinforce each other in the
sense that:
Planning based on facts makes controlling easier and effective; and
Controlling improves future planning by providing information derived
from past experience.