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Controlling

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Controlling
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  Controlling   Control can be defined as the process of monitoring activities to ensure that they are being accomplished as planned & of correcting any significant deviation.  All managers should be involved in the control function even if their units are performing as planned  An effective control system leads to attainment of goal . William G Ouchi the founder of Theory Z suggested that there are 3 different approaches to design control system.  a)Market Control:- In this approach the external market mechanism such as  Price  Market share are given importance .This type of control takes place when the firm’s products face a stiff competition in market place eg:- Matsushita  –  Divisions  –  Audio, Video, Home appliance, Industrial equipment etc.. On the basis of the profit contributed by each division resources are allocated to them b)Beauctratic Control :- Here the importance is given to the size of the organization , rules & regulation , procedure & policies .Here the control depend on the standardization of activities & exhibiting appropriate behavior & meeting performance standards eg- BP managers have full autonomy but have to stick to the budget    Clan Control :- Here employee behavior is regulated by shared values , norms, traditions, rituals, belief & other aspects of Org. Culture . Beauctratic Control is based on hierarchical mechanism where as clan control is based on individual & group behavior & performance. Features of Control 1.Control is looking forward because one can control future happening & not the past . 2.Control is continuous process 3.Control is a coordinated integrated system  Steps in Control Process   Establish Standards Measure Performance   Compare Performance against standards Determine need for corrective action Change standards Correct the deviation Maintain the status quo
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