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FOUNDATIONS OF CONTROL,Chapter 11,11-1,1. What Is Control? P526 2. Why Is Control Important? P528 3. The Control Process P529 4. Types Of Control P538,Outline,11-2,Teaching Objectives,1. Define control 2. Describe the control process 3. Contrast feedforward, concurrent, and feedback controls,11-3,Focal and Difficult Points,1. The control process 2. Three types of control,11-4,Lead-in Case,西湖公司的控制方法 西湖公司是由李先生靠3千元创建起来的一家化妆品公司。李先生于2004年高薪聘请雷先生接替自己的职位,担任董事长。 雷先生上任以后,采取一系列措施,推行李先生为公司制定的进入医疗卫生行业的计划;与此同时,他在全公司内建立了一个严格的控制系统:要求各部门制定出每月的预算报告,要求每个部门在每月初都要对本部门的问题提出切实的解决方案,要求每月定期举行一次由各部门经理和顾客参加的管理会议。要求各部门经理在会上提出自己本部门在当月的主要工作目标和经济来往数目。同时他特别注意资产回收率、销售边际及生产成本等经济动向。他也注意人事、财务收人和降低成本费用方面的工作。,11-5,1. What Is Control?,Controlling The process of monitoring activities to ensure that they are being accomplished as planned and of correcting any significant deviations. The Purpose of Control To ensure that activities are completed in ways that lead to accomplishment of organizational goals.,11-6,2. Why Is Control Important?,Control is the Final Link in the Management Process -provides the critical link back to planning -only way managers know whether organizational goals are being met,11-7,The Planning-Controlling Link,11-8,3. The Control Process,The Process of Control Measuring actual performance. Comparing actual performance against a standard. Taking action to correct deviations or inadequate standards.,11-9,3.The Control Process,11-10,3.The Control Process (cont.),11-11,3.1 Measuring: How and What We Measure,Sources of Information (How) Personal observation Statistical reports Oral reports Written reports,Control Criteria (What) Employees Satisfaction Turnover Absenteeism Budgets Costs Output Sales,3. The Control Process (cont.),11-12,Exhibit 184 Common Sources of Information for Measuring Performance,3. The Control Process (cont.),3.2 Comparing Determining the degree of variation between actual performance and the standard. Significance of variation is determined by: The acceptable range of variation from the standard . The size (large or small) and direction (over or under) of the variation from the standard.,11-13,Defining The Acceptable Range Of Variation,11-14,Sales Performance Figures For July, Eastern States Distributors,Brand Heineken Molson Irish Amber Victoria Bitter Labatts Corona Amstel Light Dos Equis Tecate Total cases,* hundreds of cases,11-15,3. The Control Process (cont.),3.3 Taking Managerial Action Courses of Action “Doing nothing” Only if deviation is judged to be insignificant. Correcting actual (current) performance Immediate corrective action to correct the problem at once. Basic corrective action to locate and to correct the source of the deviation. Revising the standard Examining the standard to ascertain whether or not the standard is realistic, fair, and achievable.,11-16,Managerial Decisions in the Control Process,11-17,4. Types Of Control,Feedforward Control A control that prevents anticipated problems before actual occurrences of the problem. Concurrent Control A control that takes place while the monitored activity is in progress. Direct supervision: management by walking around. Feedback Control A control that takes place after an activity is done. Corrective action is after-the-fact, when the problem has already occurred. Advantages of feedback controls: Provide managers with information on the effectivene

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