'An ideal control system is the one that checks every bit of performance'. Do you agree with this statement? Give reasons to support your answer.
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Solution
This statement need not always be true because a manager should focus on key points only and should not waste his energy in checking every bit.
Management by Exception:
It is a system of identification and communication that signals the manager as to when and where his attention is needed. The main object of this system is to enable the manager to identify and isolate the problems that call for decision and action, and avoid or ignore or pay less attention to less critical problems which better be handled by his subordinates.
Under this system the manager should receive only condensed, summarized and invariable comparative reports covering all the elements, and he should have all the exceptions to the past averages or standards pointed out, both the specially good and the specially bad exceptions.
This gives him a full view of the progress in a few minutes of time. Thus by using the experience in a systematic way (i.e., having the knowledge of past attainments), a careful analysis is made with reference to existing records and standards of performances.