The manager is performing the controlling function of management by reviewing the performance, expenditures, and quality indicators to ensure that everything aligns with the organization's goals.
When a manager reviews annual performance, checks unexpected expenditures, such as the cost of agency nurses, and shares quality indicators with the staff, they are performing the management function of controlling. Controlling involves monitoring activities to ensure they are being accomplished as planned and correcting any significant deviations. This function is essential in ensuring that organizational goals are met and includes activities like performance appraisals and financial reviews.