This article speaks about the controlling function of a business management. It discusses the importance of controls in an organization in the attainment of business goals and objectives.
Every business wants to grow, succeed and survive for long. And in order that it may attain a sustainable development, it sets forth its own objectives to be pursued by delineating the responsibilities among the employees while directing and motivating them. However, after the plans being set and the responsibilities being delegated, it is not necessarily assured that the objectives may be achieved in a way as planned or wanted. There might be several reasons that a business may fail to achieve its intended objectives. It is here the controlling function of management becomes apparent while its importance is understood in terms of the results that are attained. Thus, controlling is an indispensable function of management.
Controlling as a function of management is of great value and importance in a business organization to ensure that the actual state of affairs of a business is along the lines of what is expected to be.
One of the most obvious benefits of controlling function is that it provides the accurate information which is what is wanted for effective decision making process as well as maintaining effective functioning state of a business.
Controlling is the process through which the activities are not only turned in to producing better results, but are also improved in a way to continue success while eliminating obstacles that get in way of business progress. In addition, controlling function has a great application during the times that demand immediate attention or action. If the timely action is not taken, there might be considerable loss to a business. Hence, in such times, controlling function is of great use to offer timely help and assistance to the key individuals of a business. Control is not just limited to determine whether or not the plans are being adhered to, but it also leads to identify the reasons of deviations and to take corrective actions accordingly.
Managers play a variety of roles in an organization. And one of the most important roles that they need to undertake is controlling which ensures work rules and discipline while it leads to get the things done in a manner which is expected of. However, this function should not be taken in isolation while there is a need to understand its functionality properly. It is aimed at improving effectiveness, efficiency of a business entity and achieving better results. It is therefore to be used to support the organization in achieving its objectives - not otherwise. It must be noted that an effective control system can bring better results while it can lead a business organization to succeed, survive and attain sustainable development.
Accounting is regarded as a Business Language. It is of great essence for a business to establish a good accounting system in order to keep track of every single business transaction or a business event and determine the profitability by dint of income statement and the status of a business with the help of balance sheet..
Accounting calls for scientific approach towards the recording and preparing the reports of innumerable business transactions. There are various accounting conventions, principles and concepts that are meant to serve as guidelines to the whole process of accounting of a business entity.
As college savings, healthcare balances and/or retirement plans are becoming a critical piece in investing, the creation of another type of investing called Variable Unit Links (VULs) are becoming ubiquitous for every investor. Let us have a look.