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Thus, for example, control of a production department cannot be considered good unless all the major performance dimensions, including quality, efficiency, and asset management, are well controlled.
If a manager makes all the decisions in certain areas, those areas cease to be control problems in a managerial sense because no other persons are involved.
A third avoidance possibility is risk-sharing with an outside body, such as an insurance company.
What is needed is a broader perspective on control as a management function: this article addresses such a perspective.
The first part summarizes the general control problem by discussing the underlying reasons for implementing controls and by describing what can realistically be achieved.
In other words, there is a lack of goal congruence.
Steps must often be taken either to increase goal congruence or to prevent employees from acting in their own interest where goal incongruence exists.
and plans are made, management's primary task is to take steps to ensure that these plans are carried out, or, if conditions warrant, that the plans are modified.
This is the critical control function of management.
First, control is future-oriented: the goal is to have no unpleasant surprises in the future.
The past is not relevant except as a guide to the future, Second, control is multidimensional, and good control cannot be established over an activity with multiple objectives unless performance on all significant dimensions has been considered.