Management Control Systems (MCS) as defined by Anthony (cited by LangfieldSmith, 1997) is the process by which managers ensure that

resources are obtained and used effectively and efficiently in the accomplishment of the organization s objectives .

world-class companies such as Dell Computer, Walmart, Cisco Systems, New York Times, Emerson Electric, Lincoln Electric, Worthington industries, 3M Corporation, Nucor Corporation, Analog Devices and so on. Their long-term success is not just because they have developed good strategies; but also designed systems and processes that energize their employees to execute those strategies; more importantly, they have designed systems and processes that energize their employees to execute those strategies effectively.

(1) Reduces Risk: Control eliminates the risk of non-conformity of actual performance with the main goals of the organisation. Control is the function which regulates the operation to ensure the attainment of the set objectives. (2) Basis for future action: Control provides the information and facts to the management for planning and organising when the work is completed and the result is evaluated. In fact, evaluation of results helps the management replant for non-repetitive operations and rewarding, punishing and discipline the workers. (3) Size of the business: In large scale business in the modem times it is quite impossible to work without proper policies, procedures and quality of different varieties of goods. That is why in a large scale organisation there is always the need of a scientific system of control to solve the day to day problems. (4) Indicator for managerial weakness: In the organisation there will be certain unforeseen and unknown problems which cannot be traced out by mere planning, organising and staffing efforts. It is the control process that can trace these out. That is why it is known as an indicator of the managerial weakness. (5) Facility of coordination:

Management and coordination of the business activities and workers is a very important role. It binds all the workers and their activities and motivates them to move towards the common objectives through coordination. (6) Simplifies supervision: A systematic system of control helps in finding out the deviation existing in the organisation which also simplifies the task of the supervisor in managing his subordinates. So through control its becomes simpler for the supervisor to supervise and guide the workers to follow the right track and fulfill the required goals. (7) Extension of decentralisation: Control system helps the top management to extend the frontiers of decentralisation without the loss of control. When proper procedures, policies, targets, etc, are clearly communicated to the subordinates, they develop self-confidence and need not always refer to their supervisors with the problems.