Scribd
Upload
283 views2 pages

Chapter 9

Controlling is an important management function that complements planning, organizing, and directing. It involves determining if objectives are being met and providing means to achieve them if not. Establishing clear performance objectives and standards facilitates the control process by allowing progress to be measured. There are three types of control: feedforward ensures resources are in place, concurrent makes adjustments to ensure compliance, and feedback validates objectives and standards. Strategic plans and policies provide frameworks to determine if activities are facilitating goals or need modifying. Financial statements and ratios analyzed by managers provide insights into a company's performance and areas needing attention. Idle facilities or personnel could indicate inadequate control, but identifying the underlying problem is crucial to deriving effective solutions.

Uploaded by

Mark Anthony Mores Falogme
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
283 views2 pages

Chapter 9

Controlling is an important management function that complements planning, organizing, and directing. It involves determining if objectives are being met and providing means to achieve them if not. Establishing clear performance objectives and standards facilitates the control process by allowing progress to be measured. There are three types of control: feedforward ensures resources are in place, concurrent makes adjustments to ensure compliance, and feedback validates objectives and standards. Strategic plans and policies provide frameworks to determine if activities are facilitating goals or need modifying. Financial statements and ratios analyzed by managers provide insights into a company's performance and areas needing attention. Idle facilities or personnel could indicate inadequate control, but identifying the underlying problem is crucial to deriving effective solutions.

Uploaded by

Mark Anthony Mores Falogme
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 2

1.Why is controlling is very important management function?

Controlling is important because it complements the other management functions.

2.What is controlling? Is it applicable to the day-to-day activities of the engineer manager?

Controlling is one of the main function of management. It comes after planning, organizing, and
directing. Controlling is aimed at determining whether objectives were realized or not, and if not, by
providing means for achievement.

3.Why is the establishment of performance objectives and standards an important step in the control
process?

Once objectives and standards are stablished the measurement of performance will be facilitated.
Standards differ among various organizations. In construction firms, project completion date s re useful
standards. In chemical manufacturing firms, certain pollution measures form the basis for standard
requirements.

4.Compare and contrast the three distinct types of control.

Feedforward control this type of control provides the assurance that the required human and
nonhuman resources are in place before operations begin.

Concurrent control is always possible that the deviations from standards will happen in the production
process. When such deviations occur, adjustments are made to ensure compliance with requirements.
Information on the adjustments are also necessary inputs in the pre-operation phase.

Feedback Control validates objectives and standards. If accomplishments consists only of a percentage
of standard requirements, the standard may be too high or inappropriate.

5.How do strategic plans provide a basis for control?

A strategic plans provides the basic control mechanism for the organization. When there are
indications that activities do not facilitate the accomplishment of strategic goals, these activities are
either set aside, modified or expanded.

6.What are policies? In what ways do they facilitate control?

Policies refers to the framework within which the objectives must be pursued.

Whenever two or more activities compete for the company’s attention, the client takes priority.

7.When the engineer manager reviews the financial statements of the company under his supervision,
what benefits those he derive?

A review of the financial statements will reveal important details about the company’s performance.
The balance sheet contains information about the company’s assets, liabilities and capital accounts.
Comparing the current balance sheet with previous ones may reveal important changes, which, in turn,
provide clues to performance.

8.What are financial ratios? How may they be categorized?


Is a more elaborated approach used in controlling activities. Under this method, one account
appearing in the financial statement is paired with another to constitute a ratio.

Financial ratios may be categorized into the following types. Liquidity, efficiency, financial leverage
and profitability.

9.What is measured in the debt to total assets ratio? How may it be computed?

Debt total assets ratio shows how much of the firms assets are financed by debt. It may be computed
by using the following formula.

Debt to total assets ratio=total debt/total assets.

10.Do you consider idle facilities or personnel as a symptoms of inadequate control? Why or why not?

Yes, but it must be noted that behind every symptoms is a problem waiting to be solved. Unless this
problem is clearly identified, no effective solution may be derived. Nevertheless, problems are easily
recognized if adequate control measures are in place.

You might also like