a. Identify the step of controlling process applicable in the
following cases:
i) Mrs Betty is keenly observing the quantity of capsules produced
in a pharmaceutical company. She realizes that there is no need for
any action to be taken as the deviations are within the acceptable
limits. A day later when she comes to work she finds the situation
opposite to that of the previous day. This lime the deviation was
beyond the acceptable range and needed immediate action. She called
her subordinates and told them that this should not happen
again.
ii) Michel, who is the owner of a company has decided to focus only
on a few activities of his business. He considers that the rest of
all activities are not critical to the performance of his company.
One such area he finds is of labour. The labour cost recently went
up by 4% sending signals of coming danger. Now he will put his
efforts to control this variation by arranging labour at a cheaper
rate.
iii) In a company a manager is trying to find out the deviation
between the actual number of fans produced and the desired number.
He already knows about the standard as the company has assigned him
a definite quantity of fans to be produced.
iv) Karen a senior experience manager is concerned about the 2%
rise in the raw materials. However he knows that this is an
acceptable range. He tells his staff that if this rise goes beyond
2% it should be brought into the notice of management. Then he sets
a limit of 5% when the management should give it the priority over
other activities.
v) Alexander wants to ran his company in a different manner. He
wants to set standards to be achieved in both qualitative as well
as quantitative terms. He wants to judge the motivation, skill
levels and satisfaction of the employees. All these things will
require qualitative standards. On the other hand the company will
have to set quantitative standards for the number of units
produced.
vi) Some employees have been assigned the job of judging the output
of production in a neutral and reliable way. They are applying
different techniques for achieving this aim. Some of these are
personal observation, sample checking, etc. They are also keeping
the units of measurement same to that of the units of set
standards
The controlling process has 5 steps-
Step 1- Set standards
Step 2- Measure performance
Step 3-Compare performance to standards
Step 4- Determine the reasons for deviations
Step 5- Take corrective action as needed
Answer 1- 2) Measure performance
3) Compare performance to standards.
5) Take corrective action as needed.
Answer 2- 2) Measure performance
3) Compare performance to standards.
5) Take corrective action as needed.
Answer 3- 4) Determine the reasons for deviations.
Answer 4- 3) compare performance to standards
4) determine the reasons for deviations and then
Answer 5- 1) set standards
2) measure performance
Answer 6- 2) measure performance
3) compare performance to standards
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