Meaning of Controlling Part III

Instruments for strategic controlling

The tasks of strategic controlling clearly differ from operational controlling. That’s why you have to use other instruments here as well.

SWOT analysis

With the instrument of the SWOT analysis , a situation analysis for finding a strategy is created. The opportunity-risk analysis and the strength-weakness analysis are combined here. In pairs, Strength , Weaknesses , Opportunites and Threats form four strategies.

Product portfolio analysis

This instrument is used to map portfolio matrices . This allows the entire company, but also certain business areas. Map and assess product groups or individual products in relation to a strategic position.

Competitive Intelligence

This particular tool is used to collect and evaluate information about competitors in the market. In this way, strategies can be adapted to changed competitive situations at an early stage.

Six Sigma

If you want to survive in the market, you have to be a leader in terms of quality . Customer loyalty and customer acquisition is only possible through high quality. This instrument is suitable for ensuring quality.

Stakeholder analysis

The stakeholder analysis is a systematic identification of stakeholders . It is an extension of the environmental analysis.

Strategic planning

According to Foodanddrinkjournal, this instrument represents a sub-area of a company’s planning system. The aim here is long-term planning for the company’s development.

Competitive analysis

This instrument consists of three individual analyzes. These are the competition analysis, the competitive structure analysis and the market analysis.


Benchmarking is an instrument with which a company compares its own processes, procedures, products, values and techniques with the standard values or the values of its competitors .

Which controlling key figures are there?

In controlling, key figures play an important and significant role. With key figures it is possible to carry out a measurement of certain facts of a company. The key figures represent an important basis so that the controlling department can fulfill its information obligation. Only through the key figures and their evaluation is it possible for a company to have the controlling department quantify the statuses and thus make an assessment of them. Key figures are needed in both operational and strategic controlling. It is entirely possible for a company to define a large number of key figures. However, it is recommended that you only specify those who are really important for the company, if possible.

You can divide key figures for controlling into certain groups. Nevertheless, it is important that all figures are not included in the analysis in isolation. Below is an overview of the most important key figures and their description.

Balance sheet ratios

The meaningfulness of balance sheet ratios almost always lies in a comparison between time and industry . The current assets can be covered by short-term funds, whereas the fixed assets should be financed in the long term. In addition, it must be ensured that the capital structure is balanced between equity and debt .

Success metrics

In this group, all key figures are recorded that have relevant aspects for the company . These can also be very simple key figures, such as the annual profit . This group also includes cash flow as a key figure so that a company’s profitability can be determined.

Liquidity ratios

A distinction is made between three degrees of liquidity. It is very good for liquidity if the current assets are higher than the short-term liabilities.

Key figures for personnel controlling

It is important to determine the wage quota, the quota for absenteeism, rates for fluctuation or figures for the average personnel expenditure.

Key figures for logistics and production

How long is the storage period? How is the inventory turnover rate? Does the current procurement system fit? How high are the key figures in the area of productivity?

Key figures for sales and marketing

Values such as sales per customer and sales per employee in sales are of particular interest in sales. It is also important to know where the break-even point is and what proportion of sales are made by products or services.

Controlling objectives

Controlling must always aim to secure the company through the controls, analyzes it carries out and the recommendations for measures derived from them. The security here primarily relates to profitability, economic stability and competitiveness. In addition to this security, controlling also aims to improve the company’s legal position. Controlling is an important organ in order to provide management with information that will help you to make correct and realistic decisions.

Conclusion: what is the significance of controlling?

The importance of controlling has changed significantly in recent years. For example, if you told someone back then that you worked in controlling, you were only associated with numbers. Collecting data and figures every day and creating incomprehensible tables with them. But controlling now plays an important role in every company. The collection of data and information is left to IT.

In fact, controlling itself has developed into the right hand of management. Controlling examines every area of a company in detail. There are always areas where you can save money. But there are also areas that are worth promoting in order to generate more profit. In addition, controlling plays a central role when it comes to ensuring that a company achieves its goals.

Controlling 3

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