Standards are the plans or the targets which have to be achieved in the course of business function. They can also be called as the criterions for judging the performance. Standards generally are classified into measurable or tangible and non-measurable or intangible. The second major step in controlling is to measure the performance. Measurement of tangible standards is easy as it can be expressed in units, cost, or productivity. Qualitative measurements become difficult when the performance of manager has to be measured. Once the deviation is identified, a manager has to think about the cause which has led to deviation. Once the causes and extent of deviations are known, the manager has to detect those errors and take remedial measures to rectify the situation.
By Nathan Phillips Follow @nxphil13