What is the first step in the management control cycle?

The first step in the management control cycle is to design the plan. This phase involves setting objectives, determining the resources required, and creating a roadmap for achieving the desired outcomes. By establishing a comprehensive plan, organizations can clarify their goals and the strategies needed to reach them. This step is crucial, as it informs subsequent actions and helps to ensure that all stakeholders are aligned in their efforts.

Following the design phase, the process continues with the implementation of the plan, monitoring results, and evaluating those results to understand performance against the initial objectives. Proper planning establishes a strong foundation for effective management control, making it essential to begin with this step before moving to execution and assessment.