List of top Business Studies Questions on Controlling

Explain any four points of importance of controlling function of management.

‘DF Telecom Ltd.’, which produces a range of mobile phones for the Indian market, set a target to produce 30,000 units of mobile phones in the month of December 2025. This was the benchmark against which actual performance would be measured. At the end of the month, it was found that only 27,000 units were produced.
Concerned with the shortfall, the General Manager asked the Production Manager to find out and resolve the problem.
State the steps related to the process of one of the functions of management which the Production Manager has to take to find out and resolve the problem.

What is meant by budgetary control?

What is Controlling? Explain its importance.

______ is the step in the controlling process where standards may have to be revised in case the deviation can not be corrected through managerial action.

Nishtha runs a chain of famous restaurants, ‘Indian Kitchen’, in different parts of Delhi. The restaurant chain was known for good quality food and quick service. ‘Indian Kitchen’ was generating good revenue and had goodwill in the market. Nishtha would take a weekly report from all the Restaurant Managers and take necessary action to resolve the problems, if any. Nishtha noticed a sudden decline in sales in one of the restaurants. She questioned the Restaurant Manager who mentioned that the restaurant is seeing a gradual decrease in the number of customers, but could not provide a clear explanation for it. So, Nishtha formed a team to find out the causes of the declining customers as this is the key area for restaurant business and is critical to the success of business. By doing this, Nishtha is performing a step of the process of a function of management.

[(i)] Identify and explain the function of management discussed above.
[(ii)] Explain the step of the function identified in (i) above, followed by Nishtha to find out the causes of declining revenue.
[(iii)] Explain the step Nishtha will take after she gets the report from the team formed to find out the causes of declining revenue.

Inspired by the success of Chandrayaan-3, the Chief Scientist at ‘Space Rover’ a private research group, decided to send some innovative ideas regarding the mission to the Chief Scientist of Chandrayaan-3. The Chief Scientist at ‘Space Rover’ formed four groups for the same. As it was an intellectual activity of thinking rather than doing, these four groups started interacting with each other and friendships developed. On the basis of their interaction and friendship, some members from each group formed ‘Entertainment Through Reading’ group which showed conformity in terms of their interest. ‘Entertainment Through Reading’ group had no written rules, was unstable in form and scope and had no fixed lines of communication. The members of this group enhanced the morale of each other, enjoyed drinking coffee together, read books, served different issues of their work areas and provided support to each other. Ultimately this group developed some innovative ideas which were sent by ‘Space Rover’ to the Chief Scientist of Chandrayaan-3. Though this group was formed for recreation but it contributed towards fulfillment of organisational objectives.
(a) Identify the function of management. Quoting the lines from the above para, explain the steps of the process of the function of management discussed.
(b) Also explain any two points of importance of the function of management identified in (a).

'Memo Builders' was constructing a five star hotel for a leading hotel chain. The hotel had to be given possession by next year but the construction of the hotel was running six months behind schedule. The Chief Executive Officer of 'Memo Builders' was concerned as Memo Builders was known for its quality and timely completion of projects. He asked Nitin, the senior of the Project Head for a thorough investigation. Nitin investigated and reported to the Chief Executive Officer that inspite of huge absenteeism of workers, additional workers were not called. Nitin also reported to the Chief Executive Officer that three of the ten machines being used by the workers were defective. Nitin ordered for repair of the machines and asked the Project Head to appoint additional workers with attractive wages to ensure that the deadline is met.
(a) Identify the function of management. Quoting the lines from the above para, explain the steps of the process of the function of management discussed.
(b) Also explain any two points of importance of the function of management identified in (a) above.

State any four points of importance of the controlling function of management.

Which of the following is not a protective function of Securities and Exchange Board of India?

"Some times targets are set too high and can’t be achieved in current circumstances. Controlling helps in reviewing and revising them." Identify the importance of Controlling from the above statement.

Controlling is a systematic process involving sequential steps. Choose the correct sequence of Steps of Controlling Process.
(A) Analysing deviations
(B) Measurement of actual performance
(C) Setting performance standards
(D) Comparison of actual performance with standards

Choose the correct answer from the options given below:

"Only a 5% increase in labor cost may be more troublesome than a 15% increase in postal charges."Identify the concept pointed out in the statement.

Identify the correct sequence of Controlling process:
(A) Analysing deviations
(B) Measurement of actual performance
(C) Setting up standards
(D) Comparison of actual performance with standards

Which of the following is not a limitation of Controlling?

‘Planning and controlling are inseparable twins of management’. Explain with the help of any three points.

is the step in the controlling process where standards may have to be revised in case the deviation cannot be corrected through managerial action.

State any three points of importance of the function identified in (i) above.

Piyush is the Production Manager of a shoe company ’Comforty’. He has 1000 workers under him in his department. Piyush booked a special order for 300 pairs of gents shoes at an estimated cost price of |500 per pair plus a 20% profit margin. This order is to be completed within 10 days. After completion of the order, Piyush found out that the production cost of one pair of shoes was |700. He tried to find out the reason but he couldn’t. He reported it to the Chief Executive Officer. For this the Chief Executive Officer appointed Abhay, who was not only a specialized Cost Accountant, but also a qualified Human Resource Manager. After two days, Abhay reported that the set target could have been completed by only 800 workers. This revealed that there was overmanning in the organization, The organization was not utilizing the human resources optimally which had led to high labour cost. The above case highlights an important function of management.
(i) Identify the function of management discussed above.