Class notes
CCT112 - Week 10 Notes
- Course
- Institution
- Book
Notes for Week 10 of CCT112
[Show more]
Connected book
Book Title:
Author(s):
- Edition:
- ISBN:
- Edition:
More summaries for
-
CCT112 - Week 1 Notes
-
CCT112 - Week 2 Notes
-
CCT112 - Week 3 Notes
Seller
Follow
thekrakenmid
Reviews received
Content preview
Week 10 NotesMarch 22, 2023 11:08 AM
Chapter 17 monitoring and controlling
What is controlling and why is it important
Controlling
• The process of monitoring activities to ensure that they are being accomplished as planned,
correcting any significant deviation, where neccessary modifying the plan
Why is control important
• It is the final link in the four management functions
• It is the only way managers know whether organizational goals are being met and if not, the
reasons why
The Control Process
Control Process
A three step process
1. Measuring actual performance
2. Comparing performance
Control Process
Step 1 - measuring performance
• How we measure - four sources of information frequently used by managers to measure actual
performance are
○ Personal observations
○ Statistical reports
○ Oral reports
○ Written reportsz
What we measure: what we measure is probably more critical to the control process than how we
measure
• The selection of the wrong criteria can result in serious dysfunctional consequences
Step 2 - Comparing Performance against a standard
, • Comparing requires determining the degree of variation between actual performance and the
standard
• Significant Variation is determined by
○ The acceptable range of variation from the standard (forecast or budget)
○ The size (large or small) and direction (over or under) of the variation from the standard
• Range of variation
○ The acceptable degree of variation between actual performance and standard
Step 3 - taking managerial action
• Doing nothing
○ Only if deviation is insignificant
• Correcting actual (current) performance
○ Immediate or basic corrective
○ Immediate corrective action
Corrective action that correct problems at once to get performance back on track
○ Basic corrective action
Corrective action that looks at how and why performance deviated and then proceeds
to correct the source of deviation
• Revising the standard
○ Determine whether the standard is realistic, fair and achievable
○ In some cases, variance may be a result of an unrealistic standard-- a goal that's too low or
too high, in this case, the standard-- not the performance-- needs corrective action
Measuring organization and employee performance
Performance standard
• Performance
○ The end result of an activity
• Organizational performance
○ The accumulated results of all the organizations work activities
Measures of organizational performance
• Productivity
○ Is the over all output of goods and/or services divided by the inputs need to generate that
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller thekrakenmid. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $8.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
50064 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now