RBSE SS Business Studies study materials
RBSE SS Business Studies study resources

RBSE SS Business Studies: Controlling

RBSE SS Business Studies · Work through your exam, one topic at a time.

All guide sections

Controlling

What the domain tests

Controlling is measuring performance against standards and correcting deviations. RBSE tests features, importance, relationship with planning, and the control process. It also tests critical point control and management by exception.

Core rules

  • Control is goal-oriented, continuous, forward-looking, and both ends and means oriented.
  • Process: set standards, measure actual performance, compare with standards, analyse deviations, take corrective action.
  • Planning and controlling are inseparable: planning provides standards; controlling verifies plans. Planning is prescriptive; controlling is evaluative.
  • Critical point control focuses on key result areas. Management by exception attends to significant deviations, not every small difference.
  • Corrective action may change standards, methods, incentives or training; it is not only punishment.

Worked example

A fan unit sets a monthly standard of 5,000 units with a 3% acceptable rejection rate. Actual output is 4,700 units and rejection is 7%. Comparison shows both a quantity shortfall and a quality deviation. Because rejection is a critical quality point, the manager investigates the motor-fitting step and retrains two workers. If a minor stationery cost rises by ₹200, management by exception may ignore it. The reasoning must move from standard to deviation to cause to action.

Traps

Do not say controlling comes before planning; planning is primary, but they are interdependent. Do not treat every deviation as requiring action-only significant ones. Standards can be qualitative, not only numeric. Control is not restraint; it can be supportive. Avoid writing “corrective action means firing employees” as the default.