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Chapter 9The System and Process of Controlling BrainstormingSaurashtra is a company involved in the export of indigenous food products like chutneys and pickles. It has tied up with the small farmers in various states for sourcing of fruits and vegetables.In this way it helps the small farmers to sell their products at reasonable rates. The company follows a practice where only significant deviations from a budget or plan are brought to the attention of management.Thinking and Discussion In context of the above case, can you identify the principle of management control adopted by the company?Please list any two values that the company wants to communicate to the society.Text AThe Control Function of ManagementWhat is needed is a broader perspective on control as a management function: this article addresses such a perspective. The first part summarizes the general control problem by discussing the underlying reasons for implementing controls and by describing what can realistically be achieved. In the second part, the various types of controls available are identified. The last part discusses why the appropriate choice of controls is and should be different in different settings.Why Are Controls Needed? One important class of problems against which control systems guard may be called personal limitations.Even if employees are properly equipped to perform a job well, some choose not to do so, because individual goals and organizational goals may not coincide perfectly. In other words, there is a lack of goal congruence.Why Are Controls Needed? If nothing is done to protect the organization against the possible occurrence of undesirable behavior or the omission of desirable behavior caused by these personal limitations and motivational problems, severe repercussions may result.What Is Good Control? Perfect control, meaning complete assurance that actual accomplishment will proceed according to plan, is never possible because of the likely occurrence of unforeseen ev
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