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CSEET · Business Laws and Management · Principles of Management and Modern Approaches

At Sundaram Textiles, the production target for March was 10,000 metres, but only 8,200 were produced because of a machine breakdown. The manager studied the shortfall, repaired the machine and added a maintenance schedule so that the problem would not recur. Which step of the controlling process does the maintenance schedule mainly represent?

The maintenance schedule represents taking corrective action. The target was the standard, the output was the measured performance, and the shortfall was the deviation whose cause was found. Repairing the machine and scheduling maintenance are steps to remedy the deviation and prevent recurrence, which is the final step of controlling.

  1. ASetting performance standards
  2. BMeasurement of actual performance
  3. CTaking corrective actionCorrect
  4. DAnalysing deviations

Explanation

The target of 10,000 metres was the standard, 8,200 was the measured performance, and the gap of 1,800 was the deviation. Repairing the machine and introducing a maintenance schedule are actions taken to correct the deviation and prevent recurrence, so this is corrective action. Analysing deviations would be finding the cause only.

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