1. Organizational Control
What is control?
The process of taking the necessary preventive and corrective actions to ensure that the organization’s mission and objectives are accomplish as effectively and efficiently as possible (Kreitner, 2000).
A systematic process through which managers regulate organizational activities to make them consistent with the expectations established in plans and to help the achieve all predetermined standards of performance(Lewis, 2000).

2. Organizational Control
What is control?
The process of monitoring activities to ensure that goals are being accomplished as planned and correcting any significant deviations. (Robbins,2000)

3. Organizational Control
Controlling
It helps maintain compliance with essential organizational rules and policies.
What do managers Control?
Quantity
Quality
Time use
Cost

4. The Control Process Establish objectives and standards.
Measure actual performance.
Compare results with objectives and standards.
Take necessary action.

5. The Control Process

6. Establish Objectives and Standards
The control process begins with planning and the establishment of performance objectives.
Performance objectives are defined and the standards for measuring them are set.

7. Establish Objectives and Standards
There are three types of standards:
Output Standards - measures performance results in terms of quantity, quality, cost, or time.
Input Standards - measures work efforts that go into a performance task.
Standards of conduct – moral and ethical criteria that shape the behavioural climate at the work place

8. Examples of Statandards
Profitability standards
Market position standards
Productivity standards
Product leadership standards
Personnel development standards
Employee attitude standards
Social responsibility standards

9. When measuring standards …
…managers must ask questions. For example …
Is the firm efficiently converting inputs into outputs?
Are units of inputs and outputs measured accurately?
Is product quality improving?
Is the firm’s quality competitive with other firms?
Are employees responsive to customers?
Are customers satisfied with the services offered?
Are our managers innovative in outlook?
Does the control system encourage risk-taking?

10. Measuring Actual Performance
Measurements must be accurate enough to spot deviations or variances between what really occurs and what is most desired.
Without measurement, effective control is not possible.

11. Comparing Performance to Standards
The comparison of actual performance with desired performance establishes the need for action.

12. Taking Corrective Action
Managers can choose among three courses of action
Do nothing
Correct actual performance
Modify standard

13. Taking Corrective Action

14. Taking Corrective Action
Checklist may suggest some general areas for corrective action
Revise the standard
Revise the objective
Revise the strategies

15. Types of Control Feed-forward
Sometimes called preliminary control, pre-control or preventive control. They are accomplished before a work activity begins.
They make sure that proper directions are set and that the right resources are available to accomplish them.

16. Types of Control Concurrent
Focus on what happens during the work process. Sometimes called steering controls, they monitor ongoing operations and activities to make sure that things are being done correctly.

17. Types of Control Feedback
Sometimes called post-action controls, they take place after an action is completed. They focus on end results, as opposed to inputs and activities.

18. Types of Control

19. Methods of Control Disadvantages Subjective Lacks objectivity
Personal Control
Involves direct personal contact and supervision of employees
Disadvantages
Subjective
Lacks objectivity
De-motivate employees
Costly
Breaks down as organizations expand

20. Methods of Control
Bureaucratic Control
Aim at ensuring that employees exhibit appropriate behaviours that meet performance standards
Relies on
Rules
Policies
Supervision
Reward systems

21. Methods of Control Control through incentives
Incentives are a means of encouraging and rewarding employee behaviour. They are tied to employee behaviour.

22. Methods of Control Clan Control
This represents cultural values, beliefs, corporate culture, shared norms and informal relationships to regulate employee behaviours and facilitate reaching organizational goals.

23. Requirements of an Effective Control System
Targets must be realistic
Performance standards
Linking activity to objectives
Employees must understand
Measurement
System must be acceptable to the entire workforce
Feedback and reporting

24. Information and Control
Sources of information
Observation
Oral reports
Written reports
Statistical data