A production incharge has been given a target to produce 1000 pens in a day. After a month, the target was achieved due to application of a good control system. How does a good control system enable a manager to verify whether set standards are accurate and objective?

Explanation

Controlling ensures measurement of performance against the standards to analyse deviation and take corrective action for improvement. A sound controlling system helps the management to verify whether the standards are accurate and objective. It keeps a careful check on the changes which are taking place in the organisation and environment, thereby helping to review and raise the standards in the light of such changes.