Behaviour-control and output-control are opposing methodologies managers employ in control-systems. Organizational requirements are determined by size, goals and other variables. Control-systems are mechanisms “for adjusting course if performance falls outside acceptable boundaries” (Davidson & Griffin, 06), allowing adaptation to change. They include procedures for “monitoring, directing, evaluating and compensating employees”, and influencing behaviors with the objective of having the best impact on both firms and employees’ (Anderson & Oliver, 87).
Control-systems are divided into those monitoring outcomes, and those monitoring the individual stages of a process (behaviors), “many sales-force systems are a mix of behavior and outcome-based control”. Choosing a system is dependent on “the relative costs of measuring behavior versus outcomes and the various forms of uncertainty that creates risk in the environment” (Anderson & Oliver, 87). “Organizations can choose to screen employees at the gate, incur high screening and staffing costs, and then rely on output controls. Or, organizations can be less selective in choosing employees, and rely on behavior controls by investing heavily in monitoring and training systems” (Challagalla & Shervani, 97). Different systems have their own relative impacts on organizations.
Managers monitor employee behaviors, directing and evaluating based on subjective measures of abilities and activities; not just outcomes. The manager makes sure that employee input and behavior reflects his expectations. Results should be at a certain level, long term, if the employee is deemed to be following the defined behaviors of the firm. “To ensure cooperation the firm pays largely on a fixed basis (salary). The firm assumes risk to gain control” (Anderson & Oliver, 87). This attracts the risk-averters who are contented with a secure source of income and happy to follow direction and have performance reviews. Along with this shelter and security comes employee loyalty and commitment to firms.
Managers make decisions to increase or decrease salaries, promote or sanction employees’ using “more complex, subjective” evaluations based on behaviors not measurable outcomes (Anderson & Oliver, 87). Managers dictate the level of performance required, not market pressures. Management cost increases because more monitoring is required. In
...mployees turnover (increase in cost of recruitment, training and retraining), increase sick pay, higher grievance and litigation/compensation costs, etc. These will influence numerous budgetary issues among employees (Vokic 2007). Managers can apply Equity Theory. Equity Theory suggests that an individual's inspiration relies on what he or she considers being fair when contrasted with others (Redmond 2010). Managers should give benefits by award the employees with enough pay, security and protection so employees feel safe to work, and give advance promotion based on how motivated or experience they are. For example; Coca-Cola Company is functioning towards a world-class wellbeing status in its assembling and deals operations by developing a safety program and give fairness in wage to encourage its employees to live positively and diminish their stress (Kini 2012).
The foundation for effective job performance and compensation system can be traced to effective job analysis process. Fundamentally, a job analysis should consist of a thorough examination of the job 's duties and knowledge, skills, abilities, and qualities that are required in order to be successful in a specific position, upon which appropriate rewards or compensation can be determined. For many perspectives, jobs are usually made up of requirements and rewards, where rewards may be regarded as a major recruitment strategy for motivating potential employees in order to influence them to stay the organization for a longer period as well as enhance their performance. The most common or basic form of rewards which attracts employees is extrinsic
Controlling in management is a function of management that is concerned with making sure that all other functions of the management are put in place and operated effectively. Controlling ensures that it has taken into consideration the monitoring of the output of the employees as well as the establishing standards of performance that will guarantee that the performance of the will always meets the set standards (Spellman,
In controlling, organization has lots of risk factors .Manager take some employee who is able to control and handling risk factors.
Staff behaviors control the performance and capabilities of an organization. Most workers display productive or counterproductive productive behaviors that have effect on workers, clients, and programs. The ability to control these behaviors is a necessary part of delivering exceptional services. Many workers automatically adopt behaviors that fit in with the best interest of the organization. Although these behaviors are common, some employees fail to follow order and create havoc for others around them. Productive behavior allows workers to perform daily functions whereas counterproductive behaviors develop issues that are costly. Good behavior contributes to goals and objectives set by the organization (Britt & Jex, 2008).
“Controlling: monitors progress and implements necessary changes where needed. Monitoring is an essential aspect of control” (Bateman & Snell, 2004, p. 18).
According to the control processes are set of principles that has been considered as one of the crucial components of effective management in an organization. Effective control processes are essential to an organization. As they allow managers so that they can have confidence while implementing the process and procedures that can contribute significantly to the management of the organizations resources.
The mission, vision and operating principles are keys in guiding, directing, and leading an organization. Organizations have changed throughout history; however, since the introduction of global markets, competition to reach and retain consumers increases daily. Therefore, management must breakdown those guiding principles into tangible, realistic and measurable goals and objectives. Managers must then orchestrate all areas within the organization to ensure its success. Managers must rapidly change (improve) and utilize functional tools to give the organization a competitive advantage or edge. Management must become adept to changing markets, consumer requirements, and concepts used to effectively and efficiently manage an organization.
As the public administrator moves forward from the postmodern to the modern era of public administration, there is a greater need to maintain responsible conduct within public organizations. The reasoning behind this as we move through the modern times, this era itself is beginning to change, into the Praetorian Time, which is a time of major transition from old to new. These times signify that not only has change come, within public organizations, the conversion from postmodern, modern towards the Praetorian Times resulted in throwing out the old ways of handling organizations and establishing a complete new set of rules. The question remains for the public administrator, with all these changes occurring internally and externally, what,
Management is all about watching and caring about what you employees are doing. In this class I have learned to see more about what my employee are doing than just tell them to do it. This help to understand to job at and and what they may need to help create an...
Controlling is the fourth management function and its purpose is straightforward- to make sure that actual performance meets or surpasses objectives. It is well used for decision making and problem solving. Effective control depends on other management functions and it gives feedback to them. These functions are planning, organizing and leading. Planning sets directions and allocates resources. Organizing puts people and material resources together in working combinations. Leading motivates people to use these resources in the best way. Basically, the function of controlling is to make sure that the right things happen in a right time and in the right way.Control helps that overall directions of individuals and groups are consistent with short-range and long-range organizational plans. Also, it helps to ensure that objectives and accomplishments are coherent with one another throughout an organization. Moreover, it helps maintaining fulfillment with essential organizational rules and policies. Good example where we can see role of control is in helping to protect individual rights to become equivalent with employment opportunities at work. The control process practiced by managers includes four steps: 1) establish objectives and standards 2) measure actual performance 3) compare results with objectives and standards and 4) take actions if necessary1. The controlling process starts with establishing performance objectives and standards which means that the controlling process begins with planning. Performance objectives should be defined and associated with specific measurement standards for determining how well they are accomplished. Standards are the targets of performance. The next step of the control process would be measur...
An employee will always act in a specific way according to the way they are being measured. In the case you aren’t being measured you will never perform as well as than when you are. Most people behave in line with the way they are being measured. For example, if the performance of an employee or a supply chain is measured by having the lowest unit cost they will act in a way that gets the lowest unit cost. This means that they will start running machinery at capacity. Then you run into the problem of never ending inventory as well as a decrease in cash available. People believe that the savings of driving down unit cost will be shown on the bottom line. The truth is that those savings don’t show up on the bottom line, instead the savings are shown in the excess amount of inventory it took to drive the cost down in the first
Felstead, Jewson and Walters (2003) conclude that managerial control is directly related to the visibility and presence of employees in the office because it enables managers to ascertain that employees are actually working and enables managers more discretion on how the job is completed and an ease in monitoring the productivity levels of employees. When these control strategies are linked back to managerial prerogative it is easy to see that managers’ discretion is increased because the decisions relating to tasks in the workplace are decided on without consultation with employees or unions. This is because the employment contracts do not establish the details relating to the completion of tasks in the organisation. (Bray, Waring and Cooper, 2011)
The Feedback after applied and executed is the most important of the process of control, Outcome controls are judge by the result of the organization’s activity. The behavior control involves manufacturing to know how the members are doing and behave in a daily base. The financial control in the process execute by monitoring costs and expenditure. The financial control can monitor intangiveis like customer satisfaction and employee morale.
The article written by Marcus Buckingham talks and elaborates about ways to make full use of an employee’s skills and performance. It talks about steps on how managers make sure that employees are fully utilized to reach organization’s maximum profits. In the article, average managers were assumed and seen as to be playing the game of checkers while great managers plays the game of chest. When