Management control system

1. MANAGEMENT CONTROL SYSTEM
Management control system is defined a ‘A set
of policies and procedures desigined to keep
operations going on according to the plan.

2. MANAGERIAL CONTROL SYSTEM
DEFINE STANDARDS
MEASURE PERFORMANCE
TAKE ACTIONS

3. Define
Standards
Measure actual
performance
Compare
performance
against
standards
Job Discription.
Standard
Operation
Procedure
Task, Duties,
Responcibilities
Knowledge,
Skills, Abilities.
Annual
confidential
Check if
stanndards met
or not.

4. Standard not met Standard Exceeded
Rare case Frequent Case
Ignore Traning.
Rare Case
Case
Recongnise
Redefine
Performance
Standards

5. MANAGERIAL CONTROL METHOD
Top Middle Lower
Feedback Financial
control
Concurrent Budgeting
Control
Quality Control
Feedforward Inventory
Control

6. MANAGERIAL CONTROL METHOD
Input
(Feedforward
Control)
Transformation
(Concurrent
Output
(Feedback Control)
Regulate Input to
ensure that they met
standards necessary
for production
process.
Regulates on going
activities to ensure
conformance
standard.
Ensures Final output
met stadards.