Class 12 Business Studies Chapter 8 Controlling NCERT Solutions
This chapter delves into the crucial management function of Controlling for Class 12 Business Studies. The NCERT Solutions provide a detailed explanation of how controlling helps in achieving organizational objectives by monitoring progress and taking corrective actions. It highlights the role of controlling in boosting employee morale by setting clear expectations and ensuring the accuracy of performance standards. The solutions also clarify that controlling is a dual-faceted process, looking both backward to analyze past performance and forward to guide future actions. These solutions are designed to help students grasp the core concepts of controlling, understand its importance in the management cycle, and prepare effectively for their examinations.
Quick info
| Board | CBSE |
|---|---|
| Class | Class 12 |
| Subject | Business Studies |
| Session | 2026 |
| Language | English |
| Type | NCERT Solutions |
| Chapter | Chapter 8 |
Chapter summary
Chapter 8 of Class 12 Business Studies focuses on the Controlling function of management. The NCERT Solutions explain the process of controlling, its importance in achieving organizational goals, and its impact on employee morale and standard setting. It clarifies that controlling involves comparing actual performance with standards, identifying deviations, and taking corrective actions, making it both a backward-looking and forward-looking activity. These solutions cover the essential aspects of controlling for students' understanding and exam preparation.
Learning outcomes
- Understand the meaning and importance of the controlling function in management.
- Identify how controlling helps in achieving organizational objectives.
- Explain the role of controlling in boosting employee morale.
- Analyze the process of judging the accuracy of standards through controlling.
- Recognize controlling as both a backward-looking and forward-looking function.
Topics covered
Paper topics
- Controlling function of management
- Importance of controlling
- Achieving organizational objectives
- Boosting employee morale
- Judging accuracy of standards
- Backward-looking nature of controlling
- Forward-looking nature of controlling
- Corrective actions in management
Important topics
- Meaning and Importance of Controlling
- Controlling as a Forward and Backward Looking Function
- Role of Controlling in Achieving Objectives
- Impact of Controlling on Employee Morale
PDF preview
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Questions and Solutions
Question 1
- Accomplishing organisational objectives
- Boosting employee morale
- Judging accuracy of standards
- All of the above
An efficient controlling system is instrumental in achieving all the listed objectives. Controlling is the management process that involves evaluating the progress of current activities and tasks against established standards to ensure that organizational goals are met. An effective control system closely monitors work progress towards organizational objectives and facilitates the implementation of necessary corrective actions. It also helps in identifying changes within the organization and the external business environment, which in turn aids in assessing the accuracy of the set standards. Furthermore, by clearly communicating expectations and performance requirements, controlling can significantly boost employee morale and motivation.
Question 2
- Forward looking
- Backward looking
- Forward as well as backward looking
- None of the above
The controlling function of management is both forward-looking and backward-looking. It acts as a backward-looking function because it involves reviewing past performance and analyzing any deviations from the established standards. Based on this analysis, corrective measures are identified and implemented. In this sense, it guides the future course of action and aims to improve future performance, thus also serving as a forward-looking function. Therefore, controlling is best described as a function that looks both backward to assess what has happened and forward to guide what should happen.
Common mistakes
- Confusing controlling with only backward-looking analysis.
- Underestimating the impact of controlling on employee morale.
- Failing to connect controlling with the achievement of organizational objectives.
Revision tips
- Focus on the dual nature of controlling (backward and forward-looking).
- Relate the controlling process to real-world business scenarios.
- Understand how controlling ensures that plans are executed effectively.
- Review the link between controlling and other management functions.
Practice MCQs
Q1. What is a primary benefit of an efficient control system in an organization?
Explanation: An efficient control system directly contributes to achieving organizational objectives by monitoring progress and ensuring actions align with goals.
Q2. How does controlling contribute to employee morale?
Explanation: Controlling boosts employee morale by clearly communicating expectations and performance standards in advance, reducing uncertainty.
Q3. Which statement best describes the controlling function?
Explanation: Controlling involves reviewing past performance to identify deviations and then using this information to guide future actions and improve performance.
Q4. An efficient control system helps in judging the accuracy of:
Explanation: Controlling involves comparing actual performance against established standards, thereby helping to assess the accuracy and effectiveness of those standards.
Frequently asked questions
What is the primary role of the controlling function in management?
The primary role of controlling is to ensure that organizational activities are performed according to plans and standards, by monitoring progress, identifying deviations, and taking corrective actions.
How does controlling help in achieving organizational objectives?
By setting standards, measuring actual performance, comparing the two, and taking corrective actions, controlling ensures that the organization stays on track to achieve its objectives.
Is controlling only about finding faults?
No, controlling is not just about finding faults. It involves assessing performance, identifying deviations, and implementing measures to improve future performance, making it both a backward and forward-looking process.
How can controlling boost employee morale?
Controlling can boost morale by clearly defining expectations and standards, providing feedback on performance, and ensuring fairness in evaluation, which helps employees understand what is expected of them.
Why is controlling considered both backward-looking and forward-looking?
It is backward-looking because it analyzes past performance against standards. It is forward-looking because the insights gained are used to guide future actions and improve future performance.
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