The term efficient incorporates the concept of economical performance. Effective control is present when management directs systems in such a manner as to provide reasonable assurance that the organization's objectives and goals will be achieved. Authorizing includes initiating or granting permission to perform activities or transactions. Authorization implies that the authorizing authority has verified and validated that the activity or transaction conforms with established policies and procedures. Monitoring encompasses supervising, observing, and testing activities and appropriately reporting to responsible individuals.
Monitoring provides an ongoing verification of progress toward achievement of objectives and goals.
Periodic comparison of actual to planned performance enhances the likelihood that activities occur as planned. A control is any action taken by management to enhance the likelihood that established objectives and goals will be achieved. Management plans, organizes, and directs the performance of sufficient actions to provide reasonable assurance that objectives and goals will be achieved. Thus, control is the result of proper planning, organizing, and directing by management. These variants differ primarily in terms of the objectives to be achieved.