MGB1010 · Introduction To Management
Planning and Control
Planning (the P) and controlling (the C) are two ends of one loop, so the subject teaches them together. Planning is defining goals, setting strategy and developing plans — the four reasons to plan are: it coordinates effort, reduces uncertainty, cuts wasteful overlap, and sets the standards controlling later checks against (the direct link to C). Plans are classified by breadth, time frame, use and specificity; goals are the foundation, operationalised through MBO (jointly set, periodically reviewed) and scanned with SWOT (internal Strengths/Weaknesses, external Opportunities/Threats — the half PESTLE feeds). Controlling is measure → compare against the standard → act (do nothing, correct the deviation, or revise the standard). Controls are typed by timing — feedforward (before), concurrent (during), feedback (after). The big idea: P and C form one circular loop — a plan without control is a hope; control without a plan is busywork.
What this chapter covers
- 016.1 Why plan? The four reasons (and the criticisms)
- 026.2 Types of plans — breadth, time, use, specificity
- 036.3 Goals & MBO — ties P and C together
- 046.4 SWOT — internal S/W vs external O/T
- 056.5 Strategy basics — where PESTLE lands
- 066.6 The control process — measure, compare, act
- 076.7 Three controls by timing — feedforward / concurrent / feedback
- 086.8–6.9 Performance measures & the P–C loop
Worked example: sort the SWOT factors, then close the control loop
- +1(a) Internal → S and W. A loyal customer base is a Strength; ageing IT systems are a Weakness — both inside the firm.
- +2(a) External → O and T. Growing online shopping is an Opportunity; the new low-cost competitor is a Threat — both outside. (Calling the competitor a “weakness” is the classic dropped mark.)
- +1(b) From PESTLE. The external half — the Opportunity and Threat — comes from the Week 3 PESTLE / task-environment scan; SWOT is where PESTLE lands.
- +1(c) Control options 1–2. Measure actual vs the standard, then either do nothing (within tolerance) or correct the deviation (fix performance).
- +1(c) Control option 3. Or revise the standard — the target itself may have been unrealistic. All three are valid responses to a deviation.
Key terms
- The four reasons to plan
- Planning coordinates effort (a shared direction), reduces uncertainty (forces managers to anticipate change), reduces overlapping and wasteful activity, and sets the goals/standards used in controlling — the direct link to the C of POLC. The textbook also lists criticisms: planning can create rigidity and can't replace intuition.
- MBO (Management by Objectives)
- A process where managers and employees jointly set specific, measurable goals, then periodically review progress and reward on results. The joint setting builds commitment; the review feeds straight into controlling. MBO is the planning–controlling loop in one tool: goal-setting is planning, periodic review is controlling.
- SWOT
- Matching the firm's internal capabilities against its external conditions: internal Strengths and Weaknesses, external Opportunities and Threats. Internal/external is the whole trick — S/W are inside (resources, skills), O/T come from outside (the PESTLE and task environment). PESTLE generates the external half.
- The control process
- Three steps: measure actual performance, compare it against the standard/goal set during planning, then act on any deviation — with three valid choices: do nothing (within tolerance), correct the deviation (fix performance), or revise the standard (the goal was wrong). Controlling is meaningless without a standard from planning first.
- Feedforward / concurrent / feedback control
- The three control types by timing. Feedforward acts before the activity to prevent problems (checking inputs); concurrent acts during to correct in real time (supervision, mid-draft review); feedback acts after to learn for next time (the returned mark and comments). Mnemonic: before / during / after.
Planning and Control FAQ
What are the four reasons to plan?
Planning coordinates effort (gives everyone a shared direction), reduces uncertainty (forces managers to anticipate and respond to change), reduces overlapping and wasteful activity, and sets the goals and standards used in controlling. That last one is the direct link to the C of POLC — you can't control without a standard, and planning is what supplies it. The textbook also lists criticisms (rigidity, can't replace intuition), which the quiz wants you to recognise as criticisms, not benefits.
How do I sort factors into the SWOT boxes?
Strengths and Weaknesses are internal — inside the firm, its resources and skills. Opportunities and Threats are external — from outside, the PESTLE and task environment. The classic dropped mark is mis-sorting: calling a new competitor a “weakness” instead of a threat. PESTLE (Week 3) generates the external half, so route any macro-environment factor through the O/T boxes first.
What are the three responses to a control deviation?
When actual performance misses the standard, the manager does not automatically “fix the worker.” The three valid options are: do nothing (the deviation is within acceptable tolerance), correct the deviation (fix the performance), or revise the standard (sometimes the target itself was unrealistic). The quiz tests that all three are legitimate.
What are the three types of control by timing?
Feedforward control acts before the activity to prevent problems (checking inputs — reading the brief, planning, gathering sources). Concurrent control acts during the activity to correct in real time (supervisor feedback, a mid-draft self-review). Feedback control acts after to learn for next time (the returned mark and comments). The unit's mnemonic maps it to writing an assignment: before / during / after.
Exam move
Treat P and C as one loop, because the unit does. For planning, recall the four reasons and the criticisms, classify a plan on its dimension (strategic/operational, long/short, single-use/standing, specific/directional), and know MBO (jointly set + reviewed) and SWOT cold — the internal-vs-external sort is a favourite trap, so a new competitor is always a Threat. Remember SWOT is where PESTLE lands (it feeds the O/T half). For controlling, drill the process (measure → compare → act) and the three valid responses to a deviation, plus the three controls by timing (feedforward / concurrent / feedback — before / during / after). The headline: no standard, no control — which is exactly why reason #4 to plan is “sets the standards used in controlling.”
