Relationship between planning and controlling

Correct answer: A. Planning gives standards and controlling compares with them

Planning and controlling are connected because planning establishes objectives, schedules and standards, whereas controlling evaluates actual performance against those predetermined points. A control process cannot meaningfully identify a deviation unless a plan has first stated what should happen. For instance, if planned sales are 1,000 units and actual sales are 900 units, controlling detects a shortfall of 100 units and encourages corrective action. Planning may then be revised in light of feedback from control. Staffing is concerned with people, directing with guidance, and neither explains the standard-comparison relationship. Thus option A correctly states both the sequence and the interdependence of the two functions.