What role does planning play in controlling?
Answer and explanation
Correct answer: Provides a basis for comparison
Planning sets objectives, standards and expected performance. In the controlling process, actual performance is compared with these predetermined standards; therefore, planning provides the basis for comparison. Planning does not remove standards; it establishes them. Exam tip: Remember the link—planning sets standards, while controlling compares actual performance with them.
Frequently asked questions
What is the correct answer to this question?
Provides a basis for comparison
Why is this the correct answer?
Planning sets objectives, standards and expected performance. In the controlling process, actual performance is compared with these predetermined standards; therefore, planning provides the basis for comparison. Planning does not remove standards; it establishes them. Exam tip: Remember the link—planning sets standards, while controlling compares actual performance with them.
Which subject and chapter does this question cover?
This is a Class 12 Business Studies question. Chapter: Planning. Topic: Importance of planning.
