Planning and Controlling

Structural categories

Project planning



Everybody knows what controlling is, the problem is only that everybody know something different. In fact the definition of controlling is everything else then straight forward. Nevertheless its part in a companies setup is undisputedly necessary.

A helpful definition pointing in the right direction is:
"Controlling is a means of steering cross-functionally, supporting the entrepreneurial Decision and steering process of the  Company with target-oriented information processing and information development."

In essence it is about providing guidance by means of information

The Controlling Lifecycle

During the lifecycle of controlling there are several phases which are to be take care of:

Planning, Defining, Implementing, Monitoring and Reviewing.

At this point it makes sense to split the general "Planning" in a "What is to be planned" and "how is it to be realized" topic.

The Planning ("What") take several input factors and translates it into a Strategy. The Defining ("How") Takes the strategy and translates it into a Program. The output of both these phases are reflected in the respective fiscal year's budget.

The implementation is the translation of the Operational program into Projects, Initiatives, Concepts and Operational activities. In the Monitoring phase Budgets are compared to Actuals and their results are reflected in the respective fiscal period forecast. The Review finally leads to the determination of reasons for deviations and respective mitigative corrective actions.

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Functions of controlling

The controlling functions which come up along the lifecycle of Controlling are numerous, but in generally they revolve around the following topics:

Identification and documentation:
- Identification of the degree of performance of the Accounting
- Establishment of a responsibility accounting
- Implementation of changes in Accounting/Controlling aspects
- Special analysis such as profitability calculations, investment
  calculations, benchmarking ..

Planning and Advice
- Establishment of the overall commercial plan
- Support an advice in the development of achievable, realistic but still
   challenging targets
- Coordination of the individual sup-plans
- Observation of external trends and external influences on the

Specification and Guidance:
- Plan target specifications
- Initiation of countermeasures on identified deviations
- Initiation of innovations
- Directives on Reporting
- Analysis

- Plan execution monitoring
- Performance monitoring
- Deviation monitoring and Root cause analysis


The establishment of a controlling function is vital for every company, yet its implementation is not straight forwards.

In order not to get sidetracked it is advisable to get external support coaching you through the establishment process.

AgooThai can provide to you this service
( Contact us)