CUET UG Business Studies Booster Test 2 Steps of Controlling Process -

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CUET UG Business Studies Test 2 Steps of Controlling Process

⏱️ 30 Minutes

❓ 20 Questions

📌 Answers are locked once submitted — results and explanations appear at the end.

CUET UG Business Studies Test 2 Steps of Controlling Process

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QUESTION 1 OF 20

📄 Passage

Category: Standards Passage for Q1 & Q2: It is important that standards should be flexible enough to be modified whenever required. Due to changes taking place in the internal and external business environment, standards may need some modification to be realistic in the changed business environment. Once performance standards are set, the next step is measurement of actual performance.

Based on the passage, why might performance standards require modification?

Answer Review

📄 Passage

Based on the passage, why might performance standards require modification?

A Because workers generally resist control

B To make them completely rigid

C Due to changes in the internal and external business environment

D To avoid the measurement of actual performance

💡 Short Explanation

Business environments are dynamic and constantly shifting. Standards must be flexible to remain realistic. The passage explicitly links modification to environmental changes.

✅ Correct Answer Explanation

According to the passage, standards are not static. They must be flexible enough to be modified because the internal and external business environment is subject to change (e.g., new technology, government policy, or resource availability). If standards remain rigid while the environment changes, they become unrealistic and lose their value as a basis for control.

❓ Why Other Options Are Incorrect

Option A → While workers might resist control, the passage specifically cites environmental changes as the reason for modification.
Option B → Modification is intended to ensure flexibility, which is the opposite of making them "completely rigid."
Option D → Modification is done to improve the quality of control, not to "avoid" the measurement step.

🎯 Strategy

Used: Contextual/Tonal Matching

Application: The answer is found directly in the second sentence of the provided passage.

Final Logic: Match the reason for modification to the environmental factors mentioned in the text.

🧠 Memory Trick

Change in Environment = Change in Standards (C-E-S).

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 1)

📄 Passage

According to the passage, once these benchmarks or standards are securely set, what action must management take next?

A Measure actual performance

B Focus on critical point control

C Terminate inefficient employees

D Detect significant deviations immediately

💡 Short Explanation

Control follows a logical sequential order. After defining "what should be" (standards), we find "what is" (measurement). The passage explicitly states this is the "next step."

✅ Correct Answer Explanation

The passage follows the standard NCERT sequence for the controlling process. It concludes by stating that once performance standards are set, the next step is measurement of actual performance. This allows the manager to gather data that will eventually be compared against those standards to identify any gaps.

❓ Why Other Options Are Incorrect

Option B → This is part of the "Analyzing Deviations" step, which occurs much later.
Option C → Termination is a potential corrective action (the final step) and is not the immediate successor to setting standards.
Option D → Deviations can only be detected after measurement and comparison have taken place.

🎯 Strategy

Used: Sequential Logic

Application: Use the text's direct instruction: "Once... standards are set, the next step is..."

Final Logic: The sequence is always Standards →Measurement.

🧠 Memory Trick

Set the Goal, then Measure the Mile.

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process

3 Consider the following statements:
Statement I: A manager should try to set standards in precise quantitative terms to make comparison with actual performance easier.
Statement II: Whenever qualitative standards are set, an effort must be made to define them in a manner that would make their measurement easier.

A Statement I is correct, but Statement II is incorrect.

B Statement I is incorrect, but Statement II is correct.

C Both statements are correct.

D Both statements are incorrect.

💡 Short Explanation

Quantitative standards (numbers) provide the highest precision. Qualitative standards (feelings/perceptions) should be translated into observable indicators. Both statements align with NCERT's guidelines for effective standard setting.

✅ Correct Answer Explanation

Both statements reflect best practices in management. Statement I is correct because numerical (quantitative) standards reduce subjectivity and make the comparison step straightforward. Statement II is correct because for areas where numbers are hard to assign (like customer service), defining specific observable benchmarks (like "waiting time") makes measurement more objective and easier to handle.

❓ Why Other Options Are Incorrect

Options A, B, & D → Both statements are conceptually sound according to NCERT; therefore, any option suggesting one is incorrect is false.

🎯 Strategy

Used: Option Grouping

Application: Both statements advocate for "Clarity" and "Ease of Measurement," which are core tenets of the control process.

Final Logic: Precision in both types of standards is the ideal managerial goal.

🧠 Memory Trick

Quantify when you can; Define when you can't.

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 1)

4 A fast-food chain measures customer satisfaction by checking the time taken by a customer to wait for a table. In this case, the fast-food chain is attempting to measure a:

A Quantitative standard converted into a benchmark

B Qualitative standard defined for easier measurement

C Critical point without acceptable limits

D Deviation caused by environmental factors

💡 Short Explanation

"Customer satisfaction" is inherently qualitative (subjective). "Wait time" is a measurable proxy (indicator). This follows the rule of making qualitative goals measurable.

✅ Correct Answer Explanation

Customer satisfaction is a qualitative standard because it is an intangible feeling. However, to control it effectively, the chain uses "waiting time" as a measurable indicator. This is a classic example of taking a qualitative goal and defining it through a quantitative metric to make measurement and comparison objective.

❓ Why Other Options Are Incorrect

Option A → Satisfaction isn't inherently quantitative; it is a qualitative concept being tracked via a number.
Option C → There is no evidence that they are ignoring acceptable limits; "wait time" is the limit being used.
Option D → Wait time is an internal process metric, not necessarily a deviation caused by external factors.

🎯 Strategy

Used: Contextual/Tonal Matching

Application: Identifying that satisfaction = quality, while time = measurement.

Final Logic: Translating an intangible feeling into a tangible number.

🧠 Memory Trick

Satisfaction (Quality) →Seconds (Measurement).

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 1)

5 Match the following operating areas with how their actual performance progress is measured.

List 1	List 2
1. Marketing	A. Gross profit ratio and net profit ratio
2. Production efficiency	B. Number of pieces produced and number of defective pieces
3. Safety in manufacturing	C. Number of units sold and increase in market share
4. Finance	D. Continuous monitoring of gas particles in the air

A 1-B, 2-D, 3-A, 4-C

B 1-C, 2-B, 3-D, 4-A

C 1-A, 2-C, 3-B, 4-D

D 1-D, 2-A, 3-C, 4-B

💡 Short Explanation

Marketing = Sales/Market Share (1-C). Production = Pieces/Defects (2-B). Safety = Monitoring hazards (3-D). Finance = Profit Ratios (4-A).

✅ Correct Answer Explanation

The measurement technique must match the functional area: 1. Marketing is measured by the output of sales and market reach (1-C). 2. Production efficiency is checked by total output vs. defect rates (2-B). 3. Safety is monitored in real-time through environmental sensors like gas detectors (3-D). 4. Finance uses periodic accounting ratios like Gross/Net profit to measure health (4-A).

❓ Why Other Options Are Incorrect

Options A, C, & D → These misalign the metrics (e.g., matching Finance with units sold or Safety with profit ratios).

🎯 Strategy

Used: Option Grouping

Application: Pair the "Department" with its most logical "Yardstick."

Final Logic: Logical consistency between functional goals and their metrics.

🧠 Memory Trick

Market-Sales, Prod-Pieces, Safety-Gas, Finance-Profit.

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Measurement)

6 In large organizations, checking each piece produced is not always possible. Which reliable method is utilized to measure quality instead?

A Personal observation

B Budgetary control

C Sample checking

D Complete standard revision

💡 Short Explanation

Total inspection (checking every piece) is too costly and slow for high-volume firms. "Sample checking" involves inspecting a representative group. If the sample is good, the batch is assumed good.

✅ Correct Answer Explanation

For large-scale manufacturing, sample checking is the standard reliable method. It involves taking a random selection from a production batch and inspecting it for quality. This saves time and resources compared to a 100% inspection while still providing a statistically accurate picture of total production quality.

❓ Why Other Options Are Incorrect

Option A → Personal observation is good for morale and general flow but is not a precise way to check quality for thousands of pieces.
Option B → Budgetary control is a financial tool, not a physical quality inspection tool.
Option D → Revision is a response to deviation, not a method of measuring performance.

🎯 Strategy

Used: Contextual/Tonal Matching

Application: Identifying the most efficient way to handle "Large-scale" volume.

Final Logic: Check the few to judge the many.

🧠 Memory Trick

Sample for Speed and Scale.

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 2)

7 Which of the following is NOT an actual measurement tool or technique mentioned for checking performance?

A Sample checking

B Personal observation

C Performance reports

D Benchmark omission

💡 Short Explanation

"Omission" means leaving something out or failing to do it. Omission of benchmarks would make control impossible. Options A, B, and C are explicitly listed in NCERT as measurement techniques.

✅ Correct Answer Explanation

The question asks for the technique that is NOT a measurement tool. Benchmark omission means failing to use or discarding standards, which is the opposite of a control technique. NCERT lists Personal observation, Sample checking, and Performance reports as the three primary methods for Step 2 of the controlling process.

❓ Why Other Options Are Incorrect

Option A → Correctly identified as a measurement technique for high-volume items.
Option B → Correctly identified as a first-hand measurement technique.
Option C → Correctly identified as a documentation-based measurement technique.

🎯 Strategy

Used: Odd One Out

Application: Options A, B, and C are active methods of gathering info. Option D is a failure of the process.

Final Logic: Omission is a lack of control, not a technique for it.

🧠 Memory Trick

Omission = Oops! (Not a tool).

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 2)

8 If management calculates Return on Investment (ROI) at periodic intervals, they are primarily using which method of measurement?

A Financial ratio reports

B Direct observation method

C Exception principle

D Standard revision mechanism

💡 Short Explanation

ROI is a specific accounting ratio. Ratios are calculated using data from financial statements/reports. This is a quantitative, periodic measurement technique.

✅ Correct Answer Explanation

ROI (Return on Investment) is a financial ratio. Management uses periodic accounting data to generate Financial ratio reports that measure how effectively the company is using its capital to generate profit. This is a primary tool for measuring the overall financial performance of an organization.

❓ Why Other Options Are Incorrect

Option B → You cannot "observe" ROI visually; it requires numerical calculation.
Option C → The Exception principle is for analyzing results, not for the initial measurement (calculation) of the ratio.
Option D → Revision happens after results are analyzed; calculation of ROI is the measurement phase.

🎯 Strategy

Used: Contextual/Tonal Matching

Application: ROI is a math-based financial metric, which aligns with "Financial ratio."

Final Logic: Calculating a ratio involves using a ratio report.

🧠 Memory Trick

ROI = Ratio.

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Measurement)

9 Why is measuring the performance of a worker in terms of units produced in a week recommended?

A Because qualitative standards cannot exist for workers

B It makes comparison easier against the standard output for the week

C It automatically identifies the cause of the deviation

D It helps avoid critical point control

💡 Short Explanation

"Units produced" is a quantitative measure. Quantitative measures allow for precise math (Actual - Standard). This simplifies the comparison step of the control process.

✅ Correct Answer Explanation

Measuring in units produced provides a clear, numerical value. When management has a set "standard output" for the week, having a numerical "actual output" makes the comparison step objective and instantaneous. This precision is why quantitative measurement is preferred wherever possible in a production environment.

❓ Why Other Options Are Incorrect

Option A → Qualitative standards (like "safety awareness") can and do exist for workers.
Option C → Measurement only shows that a gap exists; it does not explain why it happened.
Option D → Measurement is used to feed into Critical Point Control, not avoid it.

🎯 Strategy

Used: Contextual/Tonal Matching

Application: Numerical data leads to easy comparison.

Final Logic: Numbers facilitate the math of control.

🧠 Memory Trick

Units = Uncomplicated comparison.

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 3)

10 Arrange the following actions in the logical process sequence for evaluating work:
1. Determining acceptable range of deviations
2. Comparison of actual performance with standard
3. Revealing the deviation between desired and actual results

A 1, 2, 3

B 2, 3, 1

C 3, 2, 1

D 2, 1, 3

💡 Short Explanation

First, you physically compare the two numbers (2). That physical comparison reveals the gap/result (3). Finally, you check if that gap is "acceptable" or needs action (1).

✅ Correct Answer Explanation

The logical flow within the comparison and analysis steps is as follows: You must first perform the Comparison of actual performance with standard (2). This comparison automatically reveals the deviation or gap (3). Once the deviation is known, the manager evaluates its significance by determining if it falls within the acceptable range of deviations (1).

❓ Why Other Options Are Incorrect

Options A, C, & D → These place the steps out of order (e.g., trying to determine if a deviation is acceptable before you even know what the deviation is).

🎯 Strategy

Used: Sequential Logic

Application: You can't reveal a deviation (3) without comparing first (2), and you can't judge a deviation (1) without revealing it first (3).

Final Logic: Action →Result →Judgment.

🧠 Memory Trick

Compare, Reveal, Range (C-R-R).

📚 Batch 2: Questions 11–20

11 Assertion (A): Comparison becomes easier when standards are set in qualitative terms.
Reason (R): Precise quantitative measurement easily shows the performance gap between actual and desired results.

A Both (A) and (R) are true and (R) explains (A).

B Both (A) and (R) are true but (R) does not explain (A).

C (A) is true but (R) is false.

D (A) is false but (R) is true.

💡 Short Explanation

Assertion (A) is false because quantitative terms make comparison easier, not qualitative. Reason (R) is true because numbers provide a precise, objective gap. This is a fundamental distinction in control theory.

✅ Correct Answer Explanation

Assertion (A) is false because qualitative standards (like "be polite") are subjective and difficult to compare accurately. It is quantitative standards (like "answer calls within 10 seconds") that make comparison easier. Reason (R) is true and actually contradicts (A) by stating that precise numerical (quantitative) measurement is what clearly shows the performance gap.

❓ Why Other Options Are Incorrect

Options A, B, & C → All assume (A) is true, but (A) incorrectly identifies qualitative terms as the "easier" path for comparison.

🎯 Strategy

Used: Substitution

Application: Replace "qualitative" with "quantitative" in (A). The statement then becomes true.

Final Logic: Qualitative = Harder; Quantitative = Easier.

🧠 Memory Trick

Qualitative is Questionable; Quantitative is Quick.

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 3)

12 What concept establishes that minor performance gaps should not trigger a major management reaction?

A Benchmark setting

B Acceptable range of deviations

C Immediate correction

D Performance standards

💡 Short Explanation

No process is 100% perfect. Managers shouldn't waste time on tiny errors. This "range" filters out the noise from the actual problems.

✅ Correct Answer Explanation

The acceptable range of deviations is the boundary within which performance is considered "close enough" to the plan. It acknowledges that minor fluctuations are normal and do not require managerial intervention. This allows management to save time and focus only on deviations that fall outside this "safe zone."

❓ Why Other Options Are Incorrect

Option A → This is just setting the target (the "bullseye"), not defining the "safe zone" around it.
Option C → This is the opposite; it implies reacting to every error immediately.
Option D → These are the targets themselves, not the rules for when to react to a gap.

🎯 Strategy

Used: Contextual/Tonal Matching

Application: "Minor gaps" and "no reaction" logically connect to the idea of "Acceptance."

Final Logic: If it's in the range, it's acceptable.

🧠 Memory Trick

Acceptable = Allowable error.

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 3)

13 A company focuses its attention strictly on deviations in key result areas, ignoring slight variations in postal expenses. This decision applies which concept?

A Management by exception

B Critical point control

C Benchmark setting

D Standard revision

💡 Short Explanation

Postal expenses are usually non-critical. "Key result areas" (KRAs) are the critical points. Focus on the location of the error (Where) = CPC.

✅ Correct Answer Explanation

Critical Point Control involves identifying and focusing on Key Result Areas (KRAs) that have a significant impact on the whole organization. While an increase in production costs (a KRA) is a major issue, a slight increase in postal expenses is relatively minor and doesn't affect the company's overall success. Therefore, management focuses on the "critical points" only.

❓ Why Other Options Are Incorrect

Option A → Management by Exception focuses on the size of the deviation (the "Exception") across any area, whereas this question specifically highlights focusing on Key Areas.
Option C → This is just the initial step of setting goals.
Option D → This is a corrective action, not a focus-setting technique.

🎯 Strategy

Used: Contextual/Tonal Matching

Application: Match "Key Result Areas" with "Critical Points."

Final Logic: Controlling the critical 20% that produces 80% of the results.

🧠 Memory Trick

KRA = Critical Point.

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 3)

14 What advantage accrues when a manager utilizes critical points efficiently?

A It guarantees an increase in external competition

B It focuses managerial attention on important areas, allowing better utilization of resources

C It creates completely unrealistic standards

D It prevents any deviation from ever occurring

💡 Short Explanation

Managerial time is a scarce resource. CPC prevents "information overload." It ensures resources go where they matter most.

✅ Correct Answer Explanation

By using Critical Point Control, a manager avoids wasting time and energy on insignificant details. Instead, they focus their attention on important areas (KRAs). This lead to better utilization of managerial resources and ensures that major problems are identified and solved before they can damage the organization.

❓ Why Other Options Are Incorrect

Option A → Internal control techniques do not "guarantee" external competition increases.
Option C → CPC is meant to make control more realistic and efficient, not unrealistic.
Option D → No system can "prevent any deviation from ever occurring."

🎯 Strategy

Used: Contextual/Tonal Matching

Application: Identifying the "Efficiency" benefit of the technique.

Final Logic: Focus on the big things for big results.

🧠 Memory Trick

Critical = Concentrated Effort.

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 3)

15 Consider the statement: "An attempt to control everything results in controlling nothing." This phrase fundamentally supports which controlling principle?

A Measurement by Observation

B Causes identification

C Management by exception

D Quantitative standards

💡 Short Explanation

A manager's attention is finite. Spreading it too thin (controlling everything) makes it ineffective. Therefore, only "exceptions" should trigger management action.

✅ Correct Answer Explanation

This famous management quote is the foundational logic of Management by Exception (MBE). It suggests that if a manager tries to monitor every single minor detail and deviation, they will be so overwhelmed that they will fail to notice the truly significant problems. By only intervening when results are "exceptional" (outside the limit), they maintain effective control over the organization.

❓ Why Other Options Are Incorrect

Option A → Observation is a measurement tool, not a principle of delegation/focus.
Option B → Identifying causes happens after you've decided a deviation is worth noticing.
Option D → While MBE works best with quantitative data, the phrase specifically supports the principle of selective focus.

🎯 Strategy

Used: Contextual/Tonal Matching

Application: This exact quote is used in NCERT to introduce the concept of MBE.

Final Logic: Control by exception to avoid being overwhelmed.

🧠 Memory Trick

Control Everything = Control Nothing (E-N).

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 3)

16 Under the exception principle, which type of performance gaps save the time and efforts of managers when ignored?

A Significant deviations

B Minor deviations within permissible limits

C Major structural drawbacks

D Defective processes crossing critical points

💡 Short Explanation

"Permissible" means allowed. If it's allowed, management doesn't need to see it. This filters out 90% of daily "noise."

✅ Correct Answer Explanation

The Exception Principle (MBE) states that only significant deviations should be reported. Therefore, minor deviations that stay within permissible limits are handled at lower levels or ignored. By ignoring these small gaps, the manager saves a massive amount of time and effort, allowing them to focus on "the exceptions" that truly matter.

❓ Why Other Options Are Incorrect

Option A → These must be seen by managers; they don't save time by being ignored—they cause disasters.
Option C → Structural drawbacks are major issues that require top-level attention.
Option D → Anything "crossing critical points" is by definition significant and must be addressed.

🎯 Strategy

Used: Contextual/Tonal Matching

Application: Identifying what can be safely "Ignored."

Final Logic: Ignore the small (minor) to manage the big (significant).

🧠 Memory Trick

Minor = Minimal attention.

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 3)

17 If a project is missing its deadlines and running significantly behind schedule, management analyzing the lack of resources is executing what subtopic?

A Standard revision

B Causes identification

C Acceptable limits

D Reliable methods

💡 Short Explanation

Identifying the problem (behind schedule) is the first part. Figuring out "why" (lack of resources) is the second part. This is "Analysing Deviations" or "Causes Identification."

✅ Correct Answer Explanation

In the controlling process, once a significant deviation (like a project delay) is found, the manager must figure out why it happened. In this scenario, by identifying "lack of resources" as the reason, the manager is performing Causes identification. This step is vital because the corrective action (e.g., hiring more people or buying more tools) depends on this specific diagnosis.

❓ Why Other Options Are Incorrect

Option A → Standard revision might be the result of this analysis, but the act of looking for "lack of resources" is the analysis itself.
Option C → Acceptable limits are set before identifying that the project was "significantly" behind.
Option D → This refers to measurement techniques (like sample checking).

🎯 Strategy

Used: Contextual/Tonal Matching

Application: "Analyzing the lack of..." is a direct search for a "Cause."

Final Logic: Find the "Why" before you apply the "How."

🧠 Memory Trick

Lack of resources = Cause of trouble.

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 3/4)

18 Unrealistic standards, inadequacy of resources, and structural constraints are all classified under which phase of the controlling process?

A Setting standards

B Comparing performance

C Measurement

D Analysing deviations

💡 Short Explanation

These are all potential "reasons" for failure. Reasons are identified during the "Analysis" phase. This step determines if the problem is in performance or in the plan itself.

✅ Correct Answer Explanation

When actual results don't match the plan, the manager must look for the "why." NCERT lists unrealistic standards, inadequacy of resources, and structural constraints as common causes that are uncovered during the Analysing deviations phase. Knowing whether the deviation is due to an internal failure or a flawed plan is essential for taking the right corrective action.

❓ Why Other Options Are Incorrect

Option A → This is when standards are created, not when they are found to be "unrealistic."
Option B → This just shows the gap, not the reason for it.
Option C → This is the collection of data.

🎯 Strategy

Used: Contextual/Tonal Matching

Application: These are all "reasons/causes," and causes are always part of "Analysis."

Final Logic: Analysis is the "Diagnosis" phase.

🧠 Memory Trick

Reasons = Analysis.

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 3/4)

19 If a production target could not be met due to a lack of skills among workers, what immediate corrective action does the text suggest?

A Setting qualitative standards

B Terminating the workers

C Training of employees

D Revising the standards downwards

💡 Short Explanation

The cause is "lack of skills." The logical cure for a lack of skills is education/training. This is a standard NCERT example of corrective action.

✅ Correct Answer Explanation

Corrective action must match the cause of the deviation. If the cause is a lack of skills among the workforce, then the most effective immediate corrective action is the training of employees. Terminating them is extreme, and revising standards downwards doesn't solve the skill gap—it just hides it.

❓ Why Other Options Are Incorrect

Option A → Changing the type of standard doesn't fix a worker's skill level.
Option B → Termination is usually a last resort, not the "immediate" suggestion for a fixable skill gap.
Option D → You only revise downwards if the standard was "unrealistic"; here, the problem is clearly identified as a "lack of skills."

🎯 Strategy

Used: Contextual/Tonal Matching

Application: Skill Gap →Training. This is a direct logical pairing.

Final Logic: Match the cure to the disease.

🧠 Memory Trick

Skill gap = Schooling (Training).

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 4)

20 What is the required sequence of steps when a deviation crosses limits and cannot be resolved by assigning additional equipment or overtime?

A Analyze deviation -> Revise standards

B Revise standards -> Compare performance

C Observe method -> Set acceptable limits

D Immediate correction -> Management by exception

💡 Short Explanation

First, figure out why equipment/overtime isn't working (Analyze). If the problem is that the goal is simply impossible, change the goal (Revise). Analysis always precedes revision.

✅ Correct Answer Explanation

If standard corrective actions (like more equipment or overtime) fail, it usually means the standard itself was the problem. The manager must first Analyze the deviation to confirm this fact. Once they are certain that the goal is unattainable under current conditions, the final necessary step is to Revise the standards to make them realistic.

❓ Why Other Options Are Incorrect

Option B → You can't revise standards before comparing and knowing there is a problem.
Option C → These are early-stage control steps, not a solution for a major deviation.
Option D → These are mixed concepts, not a logical sequence for solving a specific deviation.

🎯 Strategy

Used: Sequential Logic

Application: When the "Work" is fine but the "Gap" remains, the "Goal" must change.

Final Logic: Diagnose (Analyze) →Change Goal (Revise).

🧠 Memory Trick

Analyze before you Adjust.

📚 Class XII – Business Studies – Chapter: Controlling – Topic: Controlling Process (Step 3 & 4)

CUET UG Business Studies Test 2 Steps of Controlling Process

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