Importance of Controlling in a Small Business

Controlling is an essential function of management that ensures the achievement of organizational goals and objectives. In the case of Om Prakash's small manufacturing business, controlling plays a crucial role in ensuring the effective and efficient operations of the sales team and the overall success of the business. The importance of controlling can be demonstrated through the following points:

**1. Improving Employee Motivation:**
Controlling helps in improving employee motivation by setting clear performance standards and expectations. By monitoring and evaluating the sales team's performance in selling at least 200 units of detergent within a week, the management can identify the top performers and recognize their achievements. This recognition and acknowledgement of their efforts can boost employee morale and motivation, leading to increased job satisfaction and productivity. Additionally, controlling allows managers to provide timely feedback and coaching to underperforming employees, helping them improve their performance and motivation levels.

**2. Facilitating Coordination in Action:**
Controlling facilitates coordination in action by ensuring that all members of the sales team are working towards a common goal. Through controlling mechanisms such as regular sales meetings, performance reviews, and sales reports, the management can ensure that the team members are aligned with the overall sales targets and are working together to achieve them. It also enables the identification of any coordination issues or bottlenecks in the sales process, allowing for timely interventions and adjustments. Effective coordination in action results in improved collaboration, communication, and teamwork, leading to better sales outcomes.

**3. Efficient Use of Resources:**
Controlling ensures the efficient use of resources, including both financial and non-financial resources. By monitoring and controlling the sales team's performance, the management can identify any wastage or inefficiencies in the sales process. For example, if the team is not able to achieve the target of selling at least 200 units of detergent within a week, it may indicate a need for training or equipping the sales team with better tools and resources. Controlling helps in identifying such resource gaps and taking corrective actions to optimize resource allocation and utilization. This, in turn, leads to cost savings, improved productivity, and overall business efficiency.

In conclusion, controlling plays a vital role in Om Prakash's small manufacturing business by improving employee motivation, facilitating coordination in action, and ensuring the efficient use of resources. By implementing proper controlling mechanisms, the business can enhance sales team performance, achieve sales targets, and ultimately, drive the success of the business.

Option 3 is right