6 Importance of Control

Importance of Control

Organizations try to achieve their objectives through various actions. From this point of view, all the objectives lead to the achievement of organizational objectives. However, organizations must also monitor whether they are achieving their objectives.

Thus control is an integrated action of an organization or manager. It offers help in the following directions:

1. Adjustments in Operations
2. Policy Verification
3. Managerial Responsibility
4. Psychological Pressure
5. Coordination Inaction
6. Organizational Efficiency and Effectiveness

Adjustments in Operations

A control system acts as an adjustment in organizational operations. Every organization has certain objectives to achieve which becomes the basis for control. It is not only sufficient to have objectives but also to ensure that these objectives are being achieved by various functions.

The control provides this clue by finding out whether plans are being observed and suitable progress towards the objectives is being made, and acting, if necessary, to correct any deviation. This may result in taking actions more suitable for the achievement of organizational objectives.

Policy Verification

Various policies in the organization generate the need for control. For organizational functioning, managers set certain policies and other planning elements, which later become the basis and reason for control.

They become the basis in the sense that organizational performance is reviewed in these lights. They also become the reason for control because, through these, an organization tries that its various individuals to adhere to such a framework. In this process, the organization and its management can verify the quality of various policies.

Managerial Responsibility

In every organization, managerial responsibility is created through the assignment of activities to various individuals. This process starts at the top level and goes to the lower levels.

Psychological Pressure

The control process puts psychological pressure on the individuals for better performance. The performance of the individuals is evaluated in the light of targets set for them. A person is likely to put better performance if he is aware that his performance will be evaluated.

He may feel pressure to achieve the results according to the standards fixed for him. This is further complemented by the reward and punishment based on the performance. Since performance measurement is one of the basic elements of the control process, it ensures that every person in the organization contributes to his maximum ability.

Coordination Inaction

Though coordination is the essence of management and is achieved through the proper performance of all managerial functions, control affects this aspect significantly. Control systems are designed in such a way that they focus not only on the operating responsibility of a manager but also on his ultimate responsibility.

This forces a manager to coordinate the activities of his subordinates in such a way that each of them contributes positively towards the objectives of the superior. Since this follows throughout the organization, coordination is achieved in the organization as a whole.

Organizational Efficiency and Effectiveness

Proper control ensures organizational efficiency and effectiveness. Various factors of control, namely, making managers responsible, motivating them for higher performance, and achieving coordination in their performance, control ensures that the organization works efficiently.

The organization also moves towards effectiveness because of the control system. The organization is effective if it is able to achieve its objectives. Since control focuses on the achievement of organizational objectives, it necessarily leads to organizational effectiveness.

Looking into the various roles that control system plays in the organization, the management should devise a control system that effectively meets the demands of the organization: The manager can do this if he is aware of the essential features of an effective control system.

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