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Coordination: Meaning and Definition permeate

Coordination as a function of management refers to the task of integrating the activities of separate units of an organization to accomplish the goals efficiently. It permeates all levels and all departments of management. Hence, it is regarded as the essence of management. According to Henri Fayol, Coordination harmonizes, synchronizes and unifies individual efforts for better action and for the achievement of the business objectives.

According to Mooney and Railey, Coordination is the achievement of orderly group efforts and unity of action in the pursuit of a common purpose.

According to Mcfarland, Coordination is as the process whereby an executive develops an orderly pattern of group efforts among his subordinates and secures unity of action in the pursuit of a common purpose.

According to George Terry, the orderly synchronization of efforts to provide the proper amount, timing, and directing of execution resulting in harmonious and unified actions to stated objective.

Nature of Coordination (1) (2) (3) (4) (5) It is a managerial activity. It is an orderly arrangement of group efforts. Its purpose is to secure unity of action towards common objectives. It is a continuous process. Coordination is needed at all levels of management. It is to be achieved by all managers. (6) Coordination is the essence of managing. Each of the functions of management is an exercise in managing.

Features of coordination
The foregoing description reveals the following features of coordination: (i) Coordination is not a distinct function but the very essence of management. (ii) Coordination is the basic responsibility of every manager and it can be achieved through the managerial functions. No manager can evade or avoid this responsibility. Coordination is essential whenever people work together to achieve some common objective.

(iii) Coordination does not arise spontaneously or by force. It is the result of conscious and concerted action by management. (iv)The heart of coordination is the unity of effort and action which involves fixing the time and manner of performing various activities so that individual efforts are blended into a productive team. (v) Coordination is a continuous, never ending or on-going process. It is also a dynamic process. Some amount of coordination exists in every organisation though it may not be adequate. (vi) Coordination is required in group efforts not in individual effort. It involves the orderly arrangement of group efforts. There is no need for coordination when an individual works in isolation without affecting anyone's functioning. Coordination becomes essential when people form organizations. (vii) The object of coordination is to lend unity of purpose to group efforts. Unity of effort requires an understanding of common purpose by all the members of the group. (viii) Coordination has a common purpose of getting organizational objectives accomplished. (ix) Balancing, timing and integrating are the three elements of coordination. Balancing is ensuring that enough of one thing is available to support or counter-balance the other. It implies creating a balance between the resources of different departments and individuals Timing means bringing together different activities under a common time schedule so that they support and reinforce each other. Integrating involves unification of diverse interests under the common purpose.

Meaning and definition of co-ordination: Although Henri Fayol, James Mooney, Ordway Tead, Lyndall F. Urwick, Luther Gullick and Louis A. Allen, all consider co-ordination as a separate function of management, it seems more accurate to treat co-ordination as the essence of managing because the achievement of harmony of individual efforts towards the accomplishment of group goals is the very purpose of management. Co-ordination is inherent in all managerial functions. Each of the managerial functions is an exercise in co-ordination. A manager achieves co-ordination through the management process and co-ordination is the outcome of managerial functions. In fact, coordination makes planning more purposeful, organization better-knit and control more regulative, it is the key to the process of management. Co-ordination is the result of the process of management. Co-ordination implies an orderly pattern or arrangement of group efforts to ensure unity of action in pursuit of common objectives. It involves and orderly synchronization of the efforts of individual components of an enterprise to provide the proper timing, amount, quality, place and sequence of efforts so that the stated objectives may be achieved with minimum of friction. Coordination requires unification of diverse and specialized activities. It is the task of blending the activities of individual and group efforts in order to maximize contribution towards the accomplishment of common goals. According to Henri Fayol, To co-ordinate is to harmonize all the activities of a concern so as to facilitate its working and its success. In a well-co-ordinate enterprise, each department or division works in harmony with others and is fully informed of its role in the organization. The working schedules of the various departments are constantly attuned to circumstances. The purpose of co-ordination is to secure harmony of action or team-work and concurrence of purpose.

In the words of Haimann, Co-ordination is the orderly synchronisation of efforts of the subordinates to provide the proper amount, timing and quality of execution so that their unified efforts lead to the stated objective, namely the common purpose of the enterprise. Mooney and Reiley have defined co-ordination as the arrangement of group effort, to provide unity of action in the pursuit of a common purpose. Nature and characteristics of co-ordination: The fore-going reveals the following features of co-ordination;
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Co-ordination is not a distinct function, but the very essence of management. It is inherent in the managerial job. Co-ordination is the basic responsibility of management and it can be achieved through managerial functions. No manager can evade or avoid this responsibility. Co-ordination does not arise spontaneously or by force. It is the result of conscious and concerted action by management. The heart of co-ordination is the unity of purpose which involves fixing the time and manner of performing various activities. Co-ordination is a continuous or on-going process. It is also a dynamic process. Co-ordination is required in group efforts not in individual effort. It involves the orderly pattern of group efforts. There is no need for co-ordination when an individual works in isolation without affecting anyones functioning. Co-ordination is the responsibility of each and every manager. Co-ordination has a common purpose of getting organizational objectives accomplished.

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According to Allen, A manager in managing must co-ordinate the work for which he is accountable by balancing, timing and integrating. Thus, balancing, timing and integrating are the three elements of co-ordination. Balancing is ensuring that enough of one thing is available to support or counterbalance the other. It implies creating a balance between the resources of different departments and individuals. Timing means adjusting the time schedules of different activities so that they support and reinforce each other. Integrating involves unification of the diverse interests under the common purpose. Need and importance of co-ordination: Co-ordination offers the following advantages. 1. Efficiency and effectiveness: Co-ordination helps to improve the efficiency of operations by avoiding the overlapping of efforts and duplication of work. Integration of

individual efforts leads to teamwork. Co-ordination makes a productive enterprise out of diverse activities and produces the total result which is greater than the sum of individual contributions. This is called synergy. The quality of co-ordination determines the effectiveness of organised efforts. Therefore, co-ordination is known as the first principle of organisation. 2. Unity of direction: Co-ordination helps to ensure unity of action in the face of disruptive forces and by welding different work groups it facilitates the stability and growth of an organisation. It provides unity of action and helps to avoid conflicts between line and staff elements. 3. Human relations: Co-ordination helps to improve team spirit and morale of employees. In a well-co-ordinated organisation, organisational goals and personal goals of people are reconciled and as a result employees derive a sense of security and job satisfaction. 4. Quintessence of management: Co-ordination is an all-inclusive concept and the end result of management process. According to Mary Parker Follett, The first test of effective administration should be whether you have a business with all its parts so coordinated, so moving together in their closely knit and adjusting activities, so interlocking that they make a working unit that is not a congenis of separate pieces, but a functional whole or integrated unit. Thus, co-ordination helps in the accomplishment of organisational goals. Effective techniques of coordination
The main-techniques of effective coordination are as follows: 1. Sound planning: Unity of purpose is the first essential condition of coordination. Therefore, the goals of the organization and goals of its units must be clearly defined. Every member of the organization must understand fully how his job contributes to the overall objectives. Planning is the ideal stage for coordination. Clear-cut objectives, harmonized policies and integrated procedures ensure uniformity of action. Various plans should be integrated properly. Precise policies and comprehensive programmers facilitate coordination of activities and individuals. Standard procedures and rules create uniformity in repetitive operations. 2. Simplified organization: A simple and sound organization is an important means of coordination. The line of authority and responsibility from top to the bottom of the organisation structure should be clearly defined. Clear-cut definition of authority and responsibility of ach department and individual helps to avoid conflicts. Clear-cut authority relationships help to reduce conflicts and to hold people responsible. Related activities should be grouped together and jobs should properly inter-related. Well-drawn organization charts, organizational manuals and proper allocation of work make for uniform action. In some cases, rearrangement of departments may be necessary to chief coordination of thought and action. 3. Effective communication: Open and regular communication is they to coordination. Effective inter-change of opinions and information helps in resolving differences and in creating mutual understanding. Personal or face-to-face contacts are the most effective means of communication and coordination. Committees help to promote unity of purpose and uniformity of action. They provide an opportunity for free and frank exchange of views. Coordination becomes easier when different functional groups are represented in the decision-making process. Committees are helpful in integrating the activities of different departments.

Committee decisions are collective decisions and such group decisions themselves provide coordination among different departments or functions in the enterprise. Personal or face-to-face communication may be supplemented by written communication. Informal communication can also be utilized for the purpose of coordination. 4. Effective leadership and supervision: Effective leadership ensures coordination of efforts both at the planning and the execution stage. A good leader can continuously guide the activities of his subordinates in the right direction and can inspire them to pull together for the accomplishment of common objectives. Sound leadership can persuade subordinates to have identity of interests arid to adopt a common outlook. Effective leadership reduces the dependence on such formal means of coordination as authority, rules and procedures. In fact, no technique of coordination can replace effective leadership. Personal supervision is an important method of resolving differences of opinion. It helps to ensure that work proceeds as planned. Coordination is a human task and a manager can accomplish it through interpersonal relations. Informal contacts with subordinates help to create climate of mutual trust and cooperation which is the foundation of coordination, Luther Gallic has called coordinating by ideas to describe the use of leadership in coordination. 5. Chain of Command: Authority is the supreme coordinating power in an organization. Exercise of authority through the chain of command or hierarchy is the traditional means of coordination. Chain of command brings together the different parts of an organization and relates them to a central authority. Coordination between interdependent units can be secured by putting them under one boss. Because of his organizational position, a superior has the authority to issue orders and instructions to subordinates. He can resolve inter-positional and intergroup conflicts. However, behavioral scientists have warned against over-dependence on chain of command. According to Chris Argyrols, the hierarchy technique of coordination makes individuals dependent upon and passive towards the leader. It is inconsistent with the needs of mature personality. The hierarchical structure may impair communication and decisionmaking. 6. Indoctrination and incentives: Indoctrinating organizational members with the goals and mission of the organization can transform a neutral body into a committed body. Similarly, incentives may be used to rebate mutuality of interest and to reduce conflicts. For instance, profit- haring is helpful in promoting team-spirit and cooperation between employers and workers. Such mutuality of interest reduces strife and insures better coordination. 7. Liaison departments: Where frequent contact between different organizational units is necessary, liaison officers may be employed. For instance, a liaison department may ensure that the production department is meeting the delivery dates and specifications promised by the ales department. Special coordinators may be appointed in certain asses. For instance, a project coordinator is appointed to coordinate the activities of various functionaries in a project which is to be completed it in a specified period of time. Liaison officers act as 'linking pins' in organization and compensate for lack of face-to-face contacts.' 8. General staff: In large organizations, a centralized pool of staff experts is used for coordination. A common staff group serves as the clearing house of information and specialized advice to all the departments of the enterprise. Such general staff is very helpful in achieving inter-departmental or horizontal coordination. 9. Voluntary coordination:

When every organizational unit appreciates the working of related units and modifies its own functioning to suit them, there is self-coordination. Self-coordination or voluntary coordination is possible in a climate of dedication and mutual cooperation. It results from mutual consultation and team-spirit among the members of the organization. It arises when every member of the group takes cognizance of the effects of his actions on others. Under self-coordination, members of an organization voluntarily adjust their behavior according to the needs of the situation. Self-coordination is the voluntary efforts of independent units or subunits of an organization to achieve the harmonious performance of their respective responsibilities. But self-coordination requires that individuals have sufficient knowledge of organizational goals, adequate information concerning the specific problem of coordination, and the motivation to do something on their own. Managers cannot rely on self-coordination as these conditions are not always fulfilled. Self-coordination cannot be a substitute for coordination from above. Managers have to make deliberate efforts to bring unity of purpose in the activities of subordinates. In the words of Harman, "neither the principle of self-coordination nor the concept of self-adjustment is a substitute for coordination. It takes the efforts of the leader or the manager to bring about coordination, and the goal of the enterprise cannot be successfully obtained without it."

Principles of Coordination
Mary Parker Follett gave four main Principles of Coordination. These four principles of co-ordination are called are Follett's Principles of Coordination. These four principles must be followed to make co-ordination effective.

According to this principle, coordination must start at an early stage in the management process. It must start during the planning stage. This will result in making the best plans and implementing these plans with success. If coordination is started early only then all the management functions will be performed successfully. Thus by initiating proper coordination the organisation will achieve all its objectives easily and quickly.

1. Principle of Early Stage

2. Principle of Continuity According to this principle, coordination must be a continuous process. It must not be a
one-time activity. The process of coordination must begin when the organisation starts, and it must continue until the organisation exists. Coordination must be done continuously during the management process. It must be done during planning, organising, directing and controlling.

3. Principle of Direct Contact According to this principle, all managers must have a Direct Contact with their
subordinates. This will result in good relations between the manager and their subordinates. This is because direct contact helps to avoid misunderstandings, misinterpretations and disputes between managers and subordinates. It enables the managers to coordinate all the different activities of their subordinates effectively and efficiently.

4. Principle of Reciprocal Relations The decisions and actions of all the people (i.e of all managers and
employees) and departments of the organisation are inter-related. So, the decisions and actions of one person or department will affect all other persons and departments in the organisation. Therefore, before taking any decision or action all managers must first find out the effect of that decision or action on other persons and departments in the organisation. This is called the Principle of Reciprocal Relations. Coordination will be successful only if this principle is followed properly.

5.Principle of Effective Communication Co-ordination will be successful only in the presence of an


effective communication. Good communication must be present between all departments, within employees themselves and even between managers and their subordinates. All communication barriers and gaps must be avoided and fixed. Good communication helps to avoid misunderstandings in the organisation. This overall helps in coordination.

6. Principle of Mutual Respect

Coordination will be successful only if there exist a mutual respect throughout the organisation. All managers working at different levels (top, middle or lower) must respect each other. Similarly, all employees must show a friendly attitude and should respect each other during interactions. There must also exist a feeling of brotherly hood among managers and employees. The managers must respect the feelings and emotions of the employees. On the other hand, employees too must understand and acknowledge their bosses. Without mutual respect, coordination may not survive, and it will eventually fail.

Co-ordination will be successful only if the organisation has set its clear objectives. Everyone in the organisation must know the objectives very clearly. No one must have any doubts about the objectives of the organisation. Clear objectives can be achieved easily and quickly.

7. Principle of Clarity of Objectives

8. Principle of Scalar Chain Scalar Chain is a line of authority. This line joins all the members (managers and
employees) from top to bottom. Every member must know who is his superior. He must also know who is his subordinate. Scalar Chain is necessary for good communication. Scalar Chain must not be broken in norm circumstances. However, if quick action is necessary, then this chain can be broken. This is done using "Gang Plank" / "Bridge" / "Direct Contact".

Scalar Chain is shown in diagram below with Gang plank as dotted line FP.

The Scalar Chain is shown by a double ladder A to G and A to Q. A is the head of the organisation. B and L are the next level, and so on. If quick action is necessary, then a "Gang Plank" "FP" is made. Now F and P can contact each other directly but they should inform E and O about their decisions.

Fayol's 14 Principles of Management

Henri Fayol, a French industrialist, is now recognised as the Father of Modern Management. In year 1916 Fayol wrote a book entitled "Industrial and General Administration". In this book, he gave the 14 Principles of Management. These 14 principles of management are universally accepted and used even today. According to Henri Fayol, all managers must follow these 14 principles.

Henri Fayol's 14 Principles of Management are briefly explained below.

1. Division of Work
The full work of the organisation should be divided among individuals and departments. This is because a division of work leads to specialisation, and specialisation increases efficiency, and efficiency improves the productivity and profitability of the organisation.

2. Discipline
Discipline means a respect for the rules and regulation of the organisation. Discipline may be Self-discipline, or it may be Enforced discipline. Self-discipline is the best discipline. However, if there is no self-discipline, then discipline should be enforced through penalties, fines, etc. No organisation can survive without discipline.

3. Authority and responsibility

According to Henri Fayol, there should be a balance between Authority (Power) and Responsibility (Duties). Authority must be equal to Responsibility. If the authority is more than responsibility then chances are that a manager may misuse it. If responsibility is more than authority then he may feel frustrated.

4. Subordination of Individual Interest to General Interest


In an organisation, there are two types of interest, viz., the individual interest of the employees, and the general interest of the organisation. The individual interest should be given less importance, while the general interest should be given most importance. If not, the organisation will collapse.

5. Remuneration
Remuneration is the price for services received. If an organisation wants efficient employees and best performance, then it should have a good remuneration policy. This policy should give maximum satisfaction to both employer and employees. It should include both financial and non-financial incentives.

6. Centralisation
In centralisation, the authority is concentrated only in few hands. However, in decentralisation, the authority is distributed to all the levels of management. No organisation can be completely centralised or decentralised. If there is complete centralisation, then the subordinates will have no authority (power) to carry out their responsibility (duties). Similarly, if there is complete decentralisation, then the superior will have no authority to control the organisation. Therefore, there should be a balance between centralisation and decentralisation.

7. Order

There should be an Order for Things and People in the organisation. Order for things is called Material Order. Order for people is called Social Order. Material Order refers to "a place for everything and everything in its place." Social Order refers to the selection of the "right man in the right place". There must be orderly placement of the resources such as Men and Women, Money, Materials, etc. Misplacement will lead to misuse and disorder.

8. Equity
The managers should use the equity while dealing with the employees. Equity is a combination of kindness and justice. Equity creates loyalty and devotion in the employees.

9. Initiative
Management should encourage initiative. That is, they should encourage the employees to make their own plans and to execute these plans. This is because an initiative gives satisfaction to the employees and brings success to the organisation.

10. Esprit De Corps


Esprit de Corps means "Team Spirit". Therefore, the management should create unity, co-operation and team-spirit among the employees. They should avoid the divide and rule policy.

11. Stability of Tenure


An employee needs time to learn his job and to become efficient. Therefore, he should be given time to become efficient. When he becomes efficient, he should be made permanent. In other words, the employees should have job security.

12. Unity of Direction


All activities which have the same objective must be directed by one manager, and he must use one plan. This is called Unity of Direction. For example, all marketing activities such as advertising, sales promotion, pricing policy, etc., must be directed by only one manager. He must use only one plan for all the marketing activities.

13. Scalar Chain


Scalar Chain is a line of authority. This line joins all the members (managers and employees) from top to bottom. Every member must know who is his superior. He must also know who is his subordinate. Scalar Chain is necessary for good communication. Scalar Chain must not be broken in norm circumstances. However, if quick action is necessary, then this chain can be broken. This is done using "Gang Plank" / "Bridge" / "Direct Contact".

Scalar Chain is shown in diagram below with Gang plank as dotted line FP.

The Scalar Chain is shown by a double ladder A to G and A to Q. A is the head of the organisation. B and L are the next level, and so on. If quick action is necessary, then a "Gang Plank" "FP" is made. Now F and P can contact each other directly but they should inform E and O about their decisions.

14. Unity of Command


According to this principle, a subordinate (employee) must have only one superior (boss or manager). A subordinate must receive orders from only one superior. In other words, a subordinate must report to only one superior. According to Fayol, if one subordinate receives orders from more than one superior then there will be disorder. This will affect the discipline, efficiency, productivity and profitability of the organisation.

Unity of Command is a very important principle of management. This principle is based on the rule "Too many cooks spoil the soup."

Controlling Definition
"Control refers to the task of ensuring that activities are producing the desired results. Control in this case is limited to monitoring the outcome of activities, reviewing feedback information about this outcome, and if necessary, taking corrective actions". - Reeves and Woodward

"Controlling is determining what is being accomplished - that is, evealuating performance and, if necessary, applying corrective measures so that performance takes place according to plans". Terry and Franklin.

Controlling : Meaning and Definition


Controlling is the process through which managers assure that actual activities conform to the planned activities. It is employed to make things happen in accordance with the plans and programmes and rules and procedures laid down.

According to George R. Terry, Controlling is determining what is being accomplished, that is, evaluating the performance and, if necessary, applying corrected measures so that the performance takes place according to plans.

According to Robert N. Anthony, Management control is the process by which managers assure that resources are obtained and used effectively and efficiently in the

accomplishment of an organizations objectives. According to Koontz ODonnel, Managerial control implies measurement of

accomplishment against the standard and the correction of deviations to assure attainment of objectives according to plans.

According to H. Koontz and ODonnell, Controlling is the measuring and correcting of activities of subordinates to ensure that events conform to plans.

Controlling consists of verifying whether everything occurs in confirmities with the plans adopted, instructions issued and principles established. Controlling ensures that there is effective and efficient utilization of organizational resources so as to achieve the planned goals. Controlling measures the deviation of actual performance from the standard performance, discovers the causes of such deviations and helps in taking corrective actions According to Brech, Controlling is a systematic exercise which is called as a process of checking actual performance against the standards or plans with a view to ensure adequate progress and also recording such experience as is gained as a contribution to possible future needs.

According to Donnell, Just as a navigator continually takes reading to ensure whether he is relative to a planned action, so should a business manager continually take reading to assure himself that his enterprise is on right course.
Controlling is one of the managerial functions like planning, organizing, staffing and directing. It is an important function because it helps to check the errors and to take the corrective action so that deviation from standards are minimized and stated goals of the organization are achieved in desired manner. According to modern concepts, control is a foreseeing action whereas earlier concept of control was used only when errors were detected. Control in management means setting standards, measuring actual performance and taking corrective action

Robert J. Mockler Management control can be defined as a systematic effort by business management to compare performance to predetermined standards, plans, or objectives in order to determine whether performance is in line with these standards and presumably in order to take any remedial action required to see that human and other corporate resources are being used in the most effective and efficient way possible in achieving corporate objectives Henri Fayol Control of an undertaking consists of seeing that everything is being carried out in accordance with the plan which has been adopted, the orders which have been given, and the principles which have been laid down. Its object is to point out mistakes in order that they may be rectified and prevented from recurring.
Features of Controlling Function

Following are the characteristics of controlling function of management1. Controlling is an end function- A function which comes once the performances are made in conformities with plans. 2. Controlling is a pervasive function- which means it is performed by managers at all levels and in all type of concerns. 3. Controlling is forward looking- because effective control is not possible without past being controlled. Controlling always looks to future so that follow-up can be made whenever required. 4. Controlling is a dynamic process- since controlling requires taking reveal methods, changes have to be made wherever possible.

5. Controlling is related with planning- Planning and Controlling are two inseparable functions of management. Without planning, controlling is a meaningless exercise and without controlling, planning is useless. Planning presupposes controlling and controlling succeeds planning.

Characteristics of Control
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Control is a continuous process Control is a management process Control is embedded in each level of organizational hierarchy Control is forward looking Control is closely linked with planning Control is a tool for achieving organizational activities

Process of Controlling
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Setting performance standards. Measurement of actual performance. Comparing actual performance with standards. Analyzing deviations. Correcting deviations.

Controlling as a management function involves following steps: 1. Establishment of standards- Standards are the plans or the targets which have to be achieved in the course of business function. They can also be called as the criterions for judging the performance. Standards generally are classified into twoa. Measurable or tangible - Those standards which can be measured and expressed are called as measurable standards. They can be in form of cost, output, expenditure, time, profit, etc. b. Non-measurable or intangible- There are standards which cannot be measured monetarily. For example- performance of a manager, deviation of workers, their attitudes towards a concern. These are called as intangible standards. Controlling becomes easy through establishment of these standards because controlling is exercised on the basis of these standards. 2. Measurement of performance- The second major step in controlling is to measure the performance. Finding out deviations becomes easy through measuring the actual performance. Performance levels are sometimes easy to measure and sometimes difficult. Measurement of tangible standards is easy as it can be expressed in units, cost, money terms, etc. Quantitative measurement becomes difficult when performance of manager has to be measured. Performance of a manager cannot be measured in quantities. It can be measured only by-

a. b. c. d.

Attitude of the workers, Their morale to work, The development in the attitudes regarding the physical environment, and Their communication with the superiors.

It is also sometimes done through various reports like weekly, monthly, quarterly, yearly reports. 3. Comparison of actual and standard performance- Comparison of actual performance with the planned targets is very important. Deviation can be defined as the gap between actual performance and the planned targets. The manager has to find out two things hereextent of deviation and cause of deviation. Extent of deviation means that the manager has to find out whether the deviation is positive or negative or whether the actual performance is in conformity with the planned performance. The managers have to exercise control by exception. He has to find out those deviations which are critical and important for business. Minor deviations have to be ignored. Major deviations like replacement of machinery, appointment of workers, quality of raw material, rate of profits, etc. should be looked upon consciously. Therefore it is said, If a manager controls everything, he ends up controlling nothing. For example, if stationery charges increase by a minor 5 to 10%, it can be called as a minor deviation. On the other hand, if monthly production decreases continuously, it is called as major deviation. Once the deviation is identified, a manager has to think about various cause which has led to deviation. The causes can bea. b. c. d. Erroneous planning, Co-ordination loosens, Implementation of plans is defective, and Supervision and communication is ineffective, etc.

4. Taking remedial actions- Once the causes and extent of deviations are known, the manager has to detect those errors and take remedial measures for it. There are two alternatives herea. Taking corrective measures for deviations which have occurred; and b. After taking the corrective measures, if the actual performance is not in conformity with plans, the manager can revise the targets. It is here the controlling process comes to an end. Follow up is an important step because it is only through taking corrective measures, a manager can exercise controlling. Features of Controlling
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One can control future happenings but not the happened. Hence in here all the past performance is measured for taking corrective actions for future periods.

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Every manager in an organization has to perform the control function. The control may be quality control, inventory control, production control, or even administrative control. Control is a continuous process, it follow a definite pattern and time-table, month after month and year after year on a continuous basis.

Importance of Controlling
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Control system acts as an adjustment in organizational operations. It mainly checks whether plans are being observed and suitable progress towards the objectives is being made or not, and if necessary any action to control the deviations. Policies and other planning elements set by the managers become the basis and reason for control. Through control it is monitored whether the individuals adhere to those frameworks or not so that organization and management can verify the quality of various policies. Exercising some authority and forming superior-subordinate relationship throughout the organization can be established through controlling. With the presence of authority or control the individuals will work properly and exhibit better performance to reach the targets set for them. Control system ensures the organizational efficiency and effectiveness. When Proper system exists the organization effectively achieves its objectives.

Advantages of controlling

1. Control improves Goodwill

Quality control improves the quality of the products. Cost control decreases the cost of the products. Therefore, the organisation can supply good quality products at lower prices. This increases the goodwill of the organisation.

Image Credits Gaelsapori - Advantages of Controlling.

2. Control minimizes Wastage

Control helps to reduce the wastage of human, material and financial resources. This increases the profits of the organisation.

3. Control ensures optimum utilisation of resources

Control helps the organisation to make optimum utilisation of the available resources. This also increases the profit of the organisation.

4. Control helps to fix responsibility

Control helps to fix responsibility of a particular job on a particular person or a particular department. So, if there are any mistakes then a particular person or a particular department will be held responsible for it.

5. Control guides operations

Control fixes certain standards. All the work has to be done according to these standards. So control, acts like a traffic signal. It guides all the operations of the organisation in the right direction.

6. Control motivates employees

In control, the employees' performances are evaluated regularly. Those who show good performances are rewarded by giving them promotions, cash prizes, etc. This motivates the employees to work hard, and it also improves their morale.

7. Control minimises deviations

Control minimises the deviations between a planned performance and actual performance.

8. Control facilitates Delegation

Control helps the superiors to evaluate the work of their subordinates. So, the superior can concentrate on the very important work, and they can delegate the less important work to their subordinates. Thus, it facilitates delegation.

9. Control facilitates Co-ordination

Control facilitates co-ordination between the different departments of the organization. Whenever, there are any deviations, different departments come together to take collective and corrective steps.

10. Control increases efficiency

Efficiency is the relation between returns and cost. If there is a high return at low cost then there is efficiency and vice-versa. Control leads to high returns and low cost. Therefore, it increases efficiency

Planning and controlling Planning and controlling are two separate functions of management, yet they are closely related. The scopes of activities if both are overlapping to each other. Without the basis of planning, controlling activities becomes baseless and without controlling, planning becomes a meaningless exercise. In absence of controlling, no purpose can be served by. Therefore, planning and controlling reinforce each other. According to Billy Goetz, " Relationship between the two can be summarized in the following points 1. Planning precedes controlling and controlling succeeds planning. 2. Planning and controlling are inseparable functions of management. 3. Activities are put on rails by planning and they are kept at right place through controlling.

4. The process of planning and controlling works on Systems Approach which is as follows : Planning Results Corrective Action

Planning and controlling are integral parts of an organization as both are important for smooth running of an enterprise. 5. Planning and controlling reinforce each other. Each drives the other function of management.

In the present dynamic environment which affects the organization, the strong relationship between the two is very critical and important. In the present day environment, it is quite likely that planning fails due to some unforeseen events. There controlling comes to the rescue. Once controlling is done effectively, it gives us stimulus to make better plans. Therefore, planning and controlling are inseparable functions of a business enterprise.

Difference between delegation and decentralization


Basis (i) Definition Delegation It refers to the of and a his Decentralization It refers to the of

entrustment responsibility authority superior from to

delegation

authority to a lower level in the

organization. Thus, it is totalistic.

subordinate. Thus, it is individualistic. (ii) Scope It is restricted from one person to

It takes place when delegation is made to all the employees at a number of levels.

another.

(iii) Control

The

person

who

Control is exercised in a general manner. The authority to

delegates

authority

keeps the power to control with himself.

control may also be

delegated lower levels. (iv) Compulsion Delegation compulsory executive if wants is an to

to

the

Decentralization optional. Management

is

may

get the help of others in getting things

not find it necessary to decentralize

done. (v) Relationship Delegation establishes superiorsubordinate relationship. Effective Vs. Efficient:

authority. Decentralization is a step towards creation of semi-autonomous units.

First of all if you look for both terms in most dictionaries youll find very similar definitions (which makes the matter even more confusing). Some dictionaries get it right, however. Here is the definition from Dictionary.com, which I like: Effective (adj.): Adequate to accomplish a purpose; producing the intended or expected result. Efficient (adj.) Performing or functioning in the best possible manner with the least waste of time and effort. If you want an easier way to memorize the difference, remember this sentence: Being effective is about doing the right things, while being efficient is about doing the things in the right manner. Lets use a practical example to illustrate the concepts. Suppose that two guys, Mark and John, are trying to change a flat tire on their cars (each one has his own car). Mark starts by taking out the jack and placing it under the car. He quite doesnt know where to position it, so he goes by trial and error and wastes a lot of time doing it. After 20 minutes he finally manages to fix it, so he proceeds to lift the car and change the tire. As you can see Mark was doing the right thing, but he was doing it poorly. We can say that he was being effective, but not efficient. John, on the other hand, starts by grabbing a towel and cleaning the tire. He wants to make the thing shiny before he changes it. And mind you he is very good and fast at cleaning every little detail of the tire. We can say that John is being efficient, because he is cleaning the tire fast and throughly, but he is not being effective, because cleaning is a step that is not required at all when changing a flat tire. Now if we had a third person, Peter, who could change the flat tire using the right steps and doing it quickly, we could say that he was both effective and efficient.

Efficiency is a productivity metrics meaning how fast one can do something. Hence Testing efficiency metric can be "No. of test cases executed per hour or per person day". This explains how efficient (i.e. fast) the person is at testing.

Effectiveness is a quality metrics meaning how good a person is at testing. Hence Testing effectiveness metrics can be "No. of bugs identified by a tester in a given feature / Total no. of bugs identified in that feature". Here the difference between total bugs and bugs

identified by the tester could be that some bugs must have been uncovered by the customer since the tester was not able to detect them during testing.

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