Strategic ControlIt takes into account the changing assumptions that determine a strategy, continually evaluate the strategy as it is being implemented, and take the necessary steps to adjust the strategy to the new requirement.It is early warning systems and differ from post action controls which evaluate only after the implementation has been completed.
Types of strategic control1. Premise control2. Implementation control3. Strategic surveillance4. Special controlThe basic theme of strategic control is to continually assess the changing environment to uncover events that may significantly affect the course of an organization’s strategy.
Premise ControlPremise control is necessary to identify the key assumptions, and keep track of any change in them so as to assess their impact on strategy and its implementation.Premise control serves the purpose of continually testing the assumptions to find out whether they are still valid or not. It helps in the strategists to take corrective action at right time.Premise control responsibility can be assigned to corporate planning staff.
Implementation controlThe implementation of a strategy results in a series of plans, programmes, and projects.Resource allocation plays important role.Implementation control may leads into strategic rethinking.Implementation control can be implemented by identifying and monitoring strategic requirement with respect to market success. It also helps in determining whether to go for diversification or not.It can also be carried out through identifying critical points in terms of events, substantial resource allocation, or significant end-time.
Strategic surveillanceIt is generalized aimed at designed to monitor a board range of events inside and outside the company that are likely to threaten the course of firm’s strategy.It can be done through a broad based, general monitoring on the basis of selected information sources to uncover that are likely to affect the strategy of an organization.
Special ControlIt is based on trigger mechanism for rapid response and immediate reassessment of strategy in the light of sudden and unexpected events.Crises and critical situations that occur unexpectedly and threaten the course of a strategy
Operation ControlIt is aimed at the allocation and use of organizational resources through an evaluation of the performance of organizational units.It is concerned with action or performance.The evaluation process for operation control deals with – a. Setting standards for performance b. Measurement of performance c. Analysis variances d. Taking corrective action