A loop in control engineering if you are talking about closed loop consists of a process to be controlled, in my example one process could be the valve that modulates the steam flow, controller itself and measuring equipment. It's rather simply really.
Here is a schematic of a classic feedback closed loop. The set point or a reference point in it would be desired flow, the controller be in most cases what is called PID controller, the process would be the valve, and you would have some measuring device, that informs you of flow value after the valve. That way if your measuring device is fast you can almost immediately see if you control action is doing what it should be doing or not.