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1、CHAPTER14FOUNDATIONSOFCONTRO1.1.EARNINGOUTCOMESAfterreadingthischapter,Studenlxshouldbeableto:14-1.ExplainIhCnatureandimporianceofcontrol.14-2.DescribethethreestepsintheComrOlprocess.14-3.Discussthelypesofcontrolsorganizationsandmanagersuse.14-4.DiscussConteniporarjissuesinConlrO1.ManagementMythMYTH
2、:Alackofemployeeturnoverisasignofagoodmanager.TRUTH:1.owturnoverisnotnecessarilythegoal.ItcanIneanacomplacentmanager,onewhoiswillingtoacceptmediocreemployeeperformance.TcaChingTips:Everyonehasexperiencedsituationsinwhichsomeoneonalearnisnotpulling(heirweighl.AskstudentsIothinkaboutajobtheyhavehadOra
3、lhleticoracademicteamswheresomeindividualsweremarginalcontributors.HowmightthingshavebeendifferentifIheweakInembeNhadbeenreplaced?I. VVHATISCONTRO1.ANDWHYISITIMPORTANT?A. WhatisControl?1. COntrOliSthemanagementfunctioninvolvingtheprocessofmonitoringactivities(oensurethattlwyarebeingaccomplishedaspla
4、nnedandcorrectinganysignificantdeviations.a) Aneffectivecontrolsystemensuresthatactivitiesarecompletedinwaysthatleadto(heattainmentoftheorganization,sgoals.b) Tlieeffectivenessofacontrolsystemisdeterminedbyhowwellitfacilitatesgoalachievement.AQUCStionCfEthieSIfscalledthe“walkofshame.*Marchingemploye
5、esthroughstoresinhandcuffsldiscouragetheflandotherinfractions.AtaTargetstoreinPasadena,California,anemployeewhowassubjectedIo(hewalkofshamewasreleasedandneverchargedwithacrime.However,heemotionaldistressoftheincidentledtotheindividuallatercommittingsuicide.Aftertheincidentwentpublic,otherTargetemplo
6、yeesinotherstorestoldofheirexperienceseitherwitnessingorexperiencingthewalkofshame.TargeiCorxrationdeniesthatithasanysuchpolicy.Thecompanyalsodidnote!alx)ra(eonwhatguidancei(givesmanagersonhowohandlesuspectedemployeetheftorotherworkviolationsthatcouldxtentiallyinvolvelawenforcement.DiscussThis:c) Wl
7、iatdoyouthinkofthissupposed“practicepositivealnegative?Discuss.d) Howcouldanorganizationmakesureit,sbeingethicalincontrollingemployeesbehaviorsandstillachievingorganizationalgoals?TCnChinRTips:Trytogetstudentstoconsiderboththepositiveandnegativesofthisissue.Companiesaretryingtodetertheft.However,ift
8、hepracticeviolatesourbasicrightsofbeinginnocentuntilprovenguilty,shouldcompaniesbepermittedtouseit?SupposeTargetpostsasignindicatingthatitwillusethewalkoshameagainstanemployeethoughttobestealing.Ifyou.asanemployeeacceptthetermsofemploymentincludingthewalkofshame,isitethical?Discuss.B. WhyisControlIm
9、portant?1. Thereisnoassurance(hatactivitiesaregoingasplannedandthatthegoalsmanagersareseekingarc,infact,beingattained.2. ConlrolistheIlnallinkinthefunctionalchainofnanagenent.(SecExhibit14-1.)3ThevalueofControlIicSpredominantlyinplanning,empoweringemployees,andPrOteClingtheworkplace.II. VVHATTAKESP1
10、.ACEASMANAGERSCONTRO1.?A. Introduction1. ThecontrolprocesshasIhreeseparateanddistinctsteps:(1)measuringactualperformance.(2)comparingactualperformanceagainstastandard,and(3)takingmanagerialactiontocorrectdeviationsorinadequatestandards.(SeeExhibit142.)B. WhatIsMeasuring?1. Howdomanagersmeasure?a) Fo
11、urcommonSoUrCeSofinformationfrequentlyusedbymanagerstoIneaSUreactualperformanceareersonalobservation,statisticalreports,oralreports,andwrittenreports.b) Personalobservationprovidesfirsthand,intimateknowledgeoftheactualactivity.(1) IliSnotfilteredbyothers.(2) hpenniesintensivecoverage.(3) hprovidesop
12、portunitiesforthemanagerto“readbetweenthelines/(4) Managementbywalkingaround(MBVVA)usedtodescribewhenamanagerisou(intheworkarea,inieractingdirectlywithemployees,andexchanginginf11nationaboutwhai*sgoingon.(5) Personalobservationisoftenconsideredaninferiorinformationsource.(a) IiissubjecttoPerCePIUalb
13、iases.(b) Personalobservationalsoconsumesagooddealofii11e.(c) Itsuffersfromobtrsivcncss.c) Statisticalreports(computeroutputs,graphs,barcharts,etc.)providemanagersinformationaboutactualperformance.(1) Itiseasytovisualizeandiseffectiveforshowingrelationships.(2) Itprovideslimitedinformationaboutanact
14、ivityandgenerallyonlyreportsonafewkeyareas.d) Informationcanalsobeacquiredthroughoralreportsthatis.throughconferences,meetings,onc-on-oncconversations,ortelephonecalls.Theadvantagesanddisadvantagesaresimilarto(hoseofpersonalObSCrVation.Theinformationisfiltered.(3) Itisfastandallowsforfeedback.(4) 1(
15、permitsexpressionandtoneofvoice,aswellaswordsthemselvestoconveymeaning.(5) Oneofthemajordrawbacksoforalreportshasbeentheproblemofdocumentinginformationforlaterreferencestechnologicalcapabilitiestoefficientlytapeandprovidepermanentrecordovercomesthisdrawback.e) Actualperformancemayalsobemeasuredbywri
16、ttenrexnts.(1) Theyaresloweryetmoreformal.(2) Formalitygivesthemgreatercomprehensivenessandconciseness.(3) Wriitenreportsareusuallyeasytocaialogandreference.f) Comprehensivecontroleffortsbymanagersshoulduseallfourmeasurementtechniques.2. WhatdoManagersMeasure?a) WhatismeasuredismorecriticaltoIheConlrOlProCesSt
