Principles of Management CLEP Practice Exam 2026 - Free Management Practice Questions and Study Guide

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1 / 400

Which of the following describes a control system in an organization?

A tool for performance evaluation only

A method for maintaining resource efficiency

The description of a control system in an organization is best represented by a method for maintaining resource efficiency. Control systems are integral to management because they help organizations monitor their operations and ensure that resources, including time, money, and personnel, are being used effectively and efficiently. By implementing a control system, management can set performance standards, measure actual performance, compare it with the standards, and take corrective actions when necessary. This process helps organizations to maximize their productivity and effectiveness, aligning with the broader goals of the organization.

In contrast, while performance evaluation is an aspect of control systems, limiting the definition to just a tool for evaluation does not capture the broader scope and purpose. Furthermore, guidelines for employee discipline can be part of the control mechanisms but do not encompass the entirety of control systems. Similarly, a strategy for competitive analysis relates to understanding market positions rather than internal organization controls. Thus, the focus on maintaining resource efficiency accurately reflects the essential role of control systems in an organization.

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A guideline for employee discipline

A strategy for competitive analysis

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