Learning Outcomes:

• Describe control as a managerial function.
• Describe the steps in the control process and types of control.
• Discuss ways that managers can control an organization.

12.2 Action Required:

Controlling is the fourth management function, along with planning, organizing, and leading and its purpose is plain: to make sure that performance meets objectives. Control is making something happen the way it was planned to happen.

Financial controls are especially important for the organization, which include budgets, financial statements and audits.

12.3 Test your Knowledge (Question):

Discuss Controlling. Discuss the importance of two basic types of financial statements.