Explainthe

natureandimportanceofcontrolDescribethe

threestepsinthecontrolprocessExplainhow

organizationalperformanceismeasuredDescribetools

usedtomeasureorganizationalperformanceDiscusscontemporaryissuesincontrolWhatIsControl?Controlling-theprocessofmonitoring,comparing,andcorrectingworkperformance.ThePurposeofControlToensurethatactivitiesarecompletedinwaysthatleadtotheaccomplishmentoforganizationalgoals.WhyIsControlImportant?Asthefinallinkinmanagementfunctions:PlanningControlsletmanagersknowwhethertheirgoalsandplansareontargetandwhatfutureactionstotake.EmpoweringemployeesControlsystemsprovidemanagerswithinformationandfeedbackonemployeeperformance.ProtectingtheworkplaceControlsenhancephysicalsecurityandhelpminimizeworkplacedisruptions.Exhibit18-1:Planning-ControllingLinkWhatistheControlProcess?Controlprocess-athree-stepprocessofmeasuringactualperformance,comparingactualperformanceagainstastandard,andtakingmanagerialactiontocorrectdeviationsorinadequatestandards.TheControlProcessTheProcessofControlMeasuringactualperformanceComparingactualperformanceagainstastandardTakingactiontocorrectdeviationsorinadequatestandardsExhibit18-2:TheControlProcessMeasuring:HowandWhat

WeMeasureSourcesofInformation(How)PersonalobservationStatisticalreportsOralreportsWrittenreportsControlCriteria(What)EmployeesSatisfactionTurnoverAbsenteeismBudgetsCostsOutputSalesExhibit18-3:SourcesofInformation

forMeasuringPerformanceComparingActualPerformance

AgainsttheStandardDeterminingthedegreeofvariationbetweenactualperformanceandthestandardRangeofvariation-theacceptableparametersofvariancebetweenactualperformanceandthestandard.Exhibit18-4:Acceptable

RangeofVariationTakingManagerialActionImmediatecorrectiveaction-correctiveactionthatcorrectsproblemsatonceinordertogetperformancebackontrack.Basiccorrectiveaction-correctiveactionthatlooksathowandwhyperformancedeviatedbeforecorrectingthesourceofdeviation.Exhibit18-5:GreenEarthGardening

Supply—JuneSalesExhibit18-6:ManagerialDecisions

intheControlProcessWhatIsOrganizationalPerformance?Performance-theendresultofanactivity.Organizationalperformance-theaccumulatedresultsofalltheorganization’sworkactivities.MeasuresofOrganizationalPerformanceProductivity-theamountofgoodsorservicesproduceddividedbytheinputsneededtogeneratethatoutput.Organizationaleffectiveness-ameasureofhowappropriateorganizationalgoalsareandhowwellthosegoalsarebeingmet.Exhibit18-7:PopularIndustryandCompanyRankingsExhibit18-7:PopularIndustryand

CompanyRankings(cont.)TypesofControlFeedforwardcontrol-controlthattakesplacebeforeaworkactivityisdone.Concurrentcontrol-controlthattakesplacewhileaworkactivityisinprogress.TypesofControl(cont.)Managementbywalkingaround-atermusedtodescribewhenamanagerisoutintheworkareainteractingdirectlywithemployees.Feedbackcontrol-controlthattakesplaceafteraworkactivityisdone.Exhibit18-8:TypesofControlFinancialControlsTraditionalControlsRatioanalysisLiquidityLeverageActivityProfitabilityBudgetAnalysisQuantitativestandardsDeviationsExhibit18-9:PopularFinancialRatiosExhibit18-9:PopularFinancialRatios(cont.)WhatistheBalancedScorecard?Balancedscorecard-aperformancemeasurementtoolthatexaminesmorethanjustthefinancialperspective.Measuresacompany’sperformanceinfourareas:FinancialCustomerInternalprocessesPeople/innovation/growthassetsInformationControlsManagementinformationsystem(MIS)-asystemusedtoprovidemanagementwithneededinformationonaregularbasis.Data-anunorganizedcollectionofraw,unanalyzedfacts(e.g.,anunsortedlistofcustomernames).Information-datathathasbeenanalyzedandorganizedsuchthatithasvalueandrelevancetomanagers.BenchmarkingofBestPracticesBenchmarking-thesearchforthebestpracticesamongcompetitorsornon-competitorsthatleadtotheirsuperiorperformance.Benchmark-thestandardofexcellencetomeasureandcompareagainst.Exhibit18-10:Suggestionsfor

InternalBenchmarkingWorkplaceConcernsEmployeetheft-anyunauthorizedtakingofcompanypropertybyemployeesfortheirpersonaluse.Exhibit18-11:ControllingEmployeeTheftExhibit18-11:Controlling

EmployeeTheft(cont.)Exhibit18-12:ControllingWorkplaceViolenceExhibit18-12:Controlling

WorkplaceViolence(cont.)CustomerInteractionsServiceprofitchain-theservicesequencefromemployeestocustomerstoprofit.Corporategovernance-thesystemusedtogovernacorporationsothattheinterestsofcorporateownersareprotected.TermstoKnowcontrollingmarketcontrolbureaucraticcontrolcontrolprocessrangeofvariationim