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What Is Control? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],Figure 14.1 Adapt to environmental change Limit the accumulation of error Control helps the organization Cope with organizational complexity Minimize costs
[object Object],Figure 14.3 Establish standards Measure performance Compare performance against standards Maintain the status quo Correct the deviation Change standards Determine need for corrective action 2 1 4 3
The Nature of Control (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The Nature of Control (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Comparing ,[object Object],[object Object],[object Object],[object Object]
Sales Performance Figures for July, Eastern States Distributors Exhibit 18.6
Defining the Acceptable Range of Variation Exhibit 18.5
Controlling for Organizational Performance ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Organizational Performance Measures  ,[object Object],[object Object],[object Object],[object Object],[object Object]
Measuring: How and What We Measure ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Common Sources of Information for Measuring Performance Exhibit 18.4
Types of Control Exhibit 18.9
[object Object],Figure 14.4 Preliminary control Focuses on inputs to the organizational system Inputs Transformation Outputs Screening control Focuses on how inputs are being transformed into outputs Postaction control Focuses on outputs from the organiza- tional system Feedback
Tools for Controlling Organizational Performance ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Tools for Controlling Organizational Performance (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Taking Managerial Action ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Taking Managerial Action (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object]
Managerial Decisions in the Control Process Exhibit 18.7
Financial Control ,[object Object],[object Object]
Financial Control (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object]
Financial Control (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Financial Control (cont’d) ,[object Object],Table 14.1a
Financial Control (cont’d) ,[object Object],Table 14.1b
Financial Control (cont’d) ,[object Object],Table 14.1c
Tools for Controlling Organizational Performance: Financial Controls ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Popular Financial Ratios Exhibit 18.10a
Popular Financial Ratios Exhibit 18.10b
Benchmarking of Best Practices ,[object Object],[object Object],[object Object],[object Object]
PERT AND CPM   ,[object Object],[object Object],[object Object],[object Object],[object Object]
The Planning–Controlling Link Exhibit 18.2
The End
 
L E A R N I N G  O U T L I N E  ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Designing Control Systems ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Organizational Performance Measures  ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Organizational Effectiveness Measures ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Popular Industry and Company Rankings Exhibit 18.8
Controlling Organizational Performance ,[object Object],[object Object],[object Object]
Tools for Controlling Organizational Performance: Financial Controls (cont’d) ,[object Object],[object Object],[object Object],[object Object]
Tools for Controlling Organizational Performance: Financial Controls (cont’d) ,[object Object],[object Object],[object Object],[object Object]
Information Controls ,[object Object],[object Object],[object Object],[object Object]
Steps to Successfully Implement an Internal Benchmarking Best Practices Program ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Exhibit 18.11
Contemporary Issues in Control ,[object Object],[object Object],[object Object],[object Object]
Contemporary Issues in Control (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Types of Workplace Monitoring by Employers Exhibit 18.12 Internet use  54.7% Telephone use  44.0% E-mail messages  38.1% Computer files  30.8% Job performance using video cameras  14.6% Phone conversations  11.5% Voice mail messages  6.8% Source:   Based on S. McElvoy, “E-Mail and Internet Monitoring and the Workplace: Do Employees Have a Right to Privacy?”  Communications and the Law , June 2002, p. 69.
Control Measures for Employee Theft or Fraud Exhibit 18.13 Sources:   Based on A.H. Bell and D.M. Smith. “Protecting the Company Against Theft and Fraud,”  Workforce Online  ( www.workforce.com ) December 3, 2000; J.D. Hansen. “To Catch a Thief,”  Journal of Accountancy , March 2000, pp. 43–46; and J. Greenberg, “The Cognitive Geometry of Employee Theft,” in  Dysfunctional Behavior in Organizations: Nonviolent and Deviant Behavior , eds. S.B. Bacharach, A. O’Leary-Kelly, J.M. Collins, and R.W. Griffin (Stamford, CT: JAI Press, 1998), pp. 147–93.
Workplace Violence Exhibit 18.14 Witnessed yelling or other verbal abuse 42% Yelled at co-workers themselves 29% Cried over work-related issues 23% Seen someone purposely damage  machines or furniture 14% Seen physical violence in the workplace 10% Struck a co-worker 2% Source:   Integra Realty Resources, October-November Survey of Adults 18 and Over, in “Desk Rage.”  BusinessWeek , November 20, 2000, p. 12.
Control Measures for Deterring or Reducing Workplace Violence Exhibit 18.15 Sources:  Based on M. Gorkin, “Five Strategies and Structures for Reducing Workplace Violence,”  Workforce Online  ( www.workforce.com ). December 3, 2000; “Investigating Workplace Violence: Where Do You Start?”  Workforce Online  ( www.forceforce.com ), December 3, 2000; “Ten Tips on Recognizing and Minimizing Violence,”  Workforce Online  ( www.workforce.com ), December 3, 2000; and “Points to Cover in a Workplace Violence Policy,”  Workforce Online  ( www.workforce.com ), December 3, 2000.
Contemporary Issues in Control (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The Service Profit Chain Exhibit 18.16
L E A R N I N G  O U T L I N E  (cont’d)  Follow this Learning Outline as you read and study this chapter. ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
L E A R N I N G  O U T L I N E  (cont’d)  Follow this Learning Outline as you read and study this chapter. ,[object Object],[object Object],[object Object],[object Object],[object Object]
The Control Process ,[object Object],[object Object],[object Object],[object Object]
The Control Process Exhibit 18.3
Why Is Control Important? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The Nature of Control ,[object Object],[object Object],[object Object],[object Object]

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Managerial Control

  • 1.  
  • 2.
  • 3.
  • 4.
  • 5.
  • 6.
  • 7.
  • 8. Sales Performance Figures for July, Eastern States Distributors Exhibit 18.6
  • 9. Defining the Acceptable Range of Variation Exhibit 18.5
  • 10.
  • 11.
  • 12.
  • 13. Common Sources of Information for Measuring Performance Exhibit 18.4
  • 14. Types of Control Exhibit 18.9
  • 15.
  • 16.
  • 17.
  • 18.
  • 19.
  • 20. Managerial Decisions in the Control Process Exhibit 18.7
  • 21.
  • 22.
  • 23.
  • 24.
  • 25.
  • 26.
  • 27.
  • 28. Popular Financial Ratios Exhibit 18.10a
  • 29. Popular Financial Ratios Exhibit 18.10b
  • 30.
  • 31.
  • 34.  
  • 35.
  • 36.
  • 37.
  • 38.
  • 39. Popular Industry and Company Rankings Exhibit 18.8
  • 40.
  • 41.
  • 42.
  • 43.
  • 44.
  • 45.
  • 46.
  • 47. Types of Workplace Monitoring by Employers Exhibit 18.12 Internet use 54.7% Telephone use 44.0% E-mail messages 38.1% Computer files 30.8% Job performance using video cameras 14.6% Phone conversations 11.5% Voice mail messages 6.8% Source: Based on S. McElvoy, “E-Mail and Internet Monitoring and the Workplace: Do Employees Have a Right to Privacy?” Communications and the Law , June 2002, p. 69.
  • 48. Control Measures for Employee Theft or Fraud Exhibit 18.13 Sources: Based on A.H. Bell and D.M. Smith. “Protecting the Company Against Theft and Fraud,” Workforce Online ( www.workforce.com ) December 3, 2000; J.D. Hansen. “To Catch a Thief,” Journal of Accountancy , March 2000, pp. 43–46; and J. Greenberg, “The Cognitive Geometry of Employee Theft,” in Dysfunctional Behavior in Organizations: Nonviolent and Deviant Behavior , eds. S.B. Bacharach, A. O’Leary-Kelly, J.M. Collins, and R.W. Griffin (Stamford, CT: JAI Press, 1998), pp. 147–93.
  • 49. Workplace Violence Exhibit 18.14 Witnessed yelling or other verbal abuse 42% Yelled at co-workers themselves 29% Cried over work-related issues 23% Seen someone purposely damage machines or furniture 14% Seen physical violence in the workplace 10% Struck a co-worker 2% Source: Integra Realty Resources, October-November Survey of Adults 18 and Over, in “Desk Rage.” BusinessWeek , November 20, 2000, p. 12.
  • 50. Control Measures for Deterring or Reducing Workplace Violence Exhibit 18.15 Sources: Based on M. Gorkin, “Five Strategies and Structures for Reducing Workplace Violence,” Workforce Online ( www.workforce.com ). December 3, 2000; “Investigating Workplace Violence: Where Do You Start?” Workforce Online ( www.forceforce.com ), December 3, 2000; “Ten Tips on Recognizing and Minimizing Violence,” Workforce Online ( www.workforce.com ), December 3, 2000; and “Points to Cover in a Workplace Violence Policy,” Workforce Online ( www.workforce.com ), December 3, 2000.
  • 51.
  • 52. The Service Profit Chain Exhibit 18.16
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  • 54.
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  • 56. The Control Process Exhibit 18.3
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  • 58.