Organizationa/人B Control and Culture OThe McGraw-Hill Companies. Inc, 2000
9-1 Irwin/McGraw-Hill ©The McGraw-Hill Companies, Inc., 2000 Organizational Control and Culture 9
9-2 Organizational control o Managers must monitor evaluate Are we efficiently converting inputs into outputs? Must accurately measure units of inputs and outputs Is product quality improving? o Are we competitive with other firms? Are employees responsive to customers customer service is increasingly important Are our managers innovative in outlook? Does the control system encourage risk-taking " win/MeGraw-HHill CThe McGraw-Hill Companies, Inc, 2000
9-2 Irwin/McGraw-Hill ©The McGraw-Hill Companies, Inc., 2000 Organizational Control ⚫Managers must monitor & evaluate: ◼ Are we efficiently converting inputs into outputs? ◆ Must accurately measure units of inputs and outputs. ◼ Is product quality improving? ◆ Are we competitive with other firms? ◼ Are employees responsive to customers? ◆ customer service is increasingly important. ◼ Are our managers innovative in outlook? ◆ Does the control system encourage risk-taking?
9-3 Control Systems Formal, target-setting, monitoring, evaluation and feedback systems to provide managers with information to determine if strategy and structure are working effectively and efficientl oA good control system should be flexible so managers can respond as needed provide accurate information about the organization provide information in a timely manner. " win/MeGraw-HHill CThe McGraw-Hill Companies, Inc, 2000
9-3 Irwin/McGraw-Hill ©The McGraw-Hill Companies, Inc., 2000 Control Systems Formal, target-setting, monitoring, evaluation and feedback systems to provide managers with information to determine if strategy and structure are working effectively and efficiently. ⚫A good control system should: ◼be flexible so managers can respond as needed. ◼provide accurate information about the organization. ◼provide information in a timely manner
9-4 Three Types of Control Figure 9.1 Conversion Inputs Process Outputs Feedforward Concurrent Feedback Control Control Control (anticipate (manage problems (manage problems problems) as they occur) after they occur " win/MeGraw-HHill CThe McGraw-Hill Companies, Inc, 2000
9-4 Irwin/McGraw-Hill ©The McGraw-Hill Companies, Inc., 2000 Three Types of Control Inputs Outputs Conversion Process Feedforward Control (anticipate problems) Concurrent Control (manage problems as they occur) Feedback Control (manage problems after they occur) Figure 9.1
9-5 Control Types Feedforward: use in the input stage of the process a Managers anticipate problems before they arise a Managers can give rigorous specifications to suppliers to avoid quality Concurrent: gives immediate feedback on how inputs are converted into outputs a Allows managers to correct problems as they arise a Managers can see that a machine is becoming out of alignment and fix it Feedback: provides after the fact information managers can use in the future a Customer reaction to products are used to take corrective action in the future " win/MeGraw-HHill CThe McGraw-Hill Companies, Inc, 2000
9-5 Irwin/McGraw-Hill ©The McGraw-Hill Companies, Inc., 2000 Control Types ◼ Feedforward: use in the input stage of the process. ◼ Managers anticipate problems before they arise. ◼ Managers can give rigorous specifications to suppliers to avoid quality ◼ Concurrent: gives immediate feedback on how inputs are converted into outputs. ◼ Allows managers to correct problems as they arise. ◼ Managers can see that a machine is becoming out of alignment and fix it. ◼ Feedback: provides after the fact information managers can use in the future. ◼ Customer reaction to products are used to take corrective action in the future