Comprehension
‘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.
Question: 1
Identify the function of management discussed in the given case. Quoting the lines from the case, explain the steps of the process of this function.
Identify the function of management discussed in the given case. Quoting the lines from the case, explain the steps of the process of this function.
Show Hint
Controlling ensures that organizational activities remain aligned with planned objectives, reducing inefficiencies and maximizing performance.
Updated On: Jan 13, 2026
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Solution and Explanation
Function of Management: Controlling
- Controlling involves monitoring performance, comparing it with standards, analyzing deviations, and taking corrective actions.
Steps of Controlling Process Discussed in the Case:
(i) Comparison of Actual Performance with Standards:
- Performance is measured against set benchmarks to identify deviations.
- Quoted Line: *"The hotel had to be given possession by next year but the construction of the hotel was running six months behind schedule."*
(ii) Analyzing Deviations:
- Causes of performance gaps are examined through techniques like Critical Point Control.
- Quoted Line: *"Nitin investigated and reported that despite huge absenteeism, additional workers were not called."*
(iii) Taking Corrective Actions:
- Corrective measures are taken to resolve performance deficiencies.
- Quoted Line: *"Nitin ordered for machine repairs and asked to appoint additional workers."*
- Controlling involves monitoring performance, comparing it with standards, analyzing deviations, and taking corrective actions.
Steps of Controlling Process Discussed in the Case:
(i) Comparison of Actual Performance with Standards:
- Performance is measured against set benchmarks to identify deviations.
- Quoted Line: *"The hotel had to be given possession by next year but the construction of the hotel was running six months behind schedule."*
(ii) Analyzing Deviations:
- Causes of performance gaps are examined through techniques like Critical Point Control.
- Quoted Line: *"Nitin investigated and reported that despite huge absenteeism, additional workers were not called."*
(iii) Taking Corrective Actions:
- Corrective measures are taken to resolve performance deficiencies.
- Quoted Line: *"Nitin ordered for machine repairs and asked to appoint additional workers."*
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Question: 2
Explain any two points of importance of the function of management identified in the above question.
Explain any two points of importance of the function of management identified in the above question.
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Controlling is essential for measuring performance, identifying deviations, and taking corrective actions to ensure efficiency and goal achievement.
Updated On: Jan 13, 2026
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Verified By Collegedunia
Solution and Explanation
Importance of Controlling:
(i) Accomplishing Organisational Goals:
- Controlling ensures that actual performance aligns with planned objectives.
- By identifying deviations and taking corrective actions, organizations can stay on track to achieve their goals efficiently.
(ii) Making Efficient Use of Resources:
- Controlling helps in optimizing the use of financial, human, and material resources.
- It minimizes wastage and ensures that resources are allocated efficiently to maximize productivity.
(i) Accomplishing Organisational Goals:
- Controlling ensures that actual performance aligns with planned objectives.
- By identifying deviations and taking corrective actions, organizations can stay on track to achieve their goals efficiently.
(ii) Making Efficient Use of Resources:
- Controlling helps in optimizing the use of financial, human, and material resources.
- It minimizes wastage and ensures that resources are allocated efficiently to maximize productivity.
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