The Function Of Management Control

Management Controls are used to put procedures and policies into place that would allow an organization to be able to function in a secure manner from all of its levels, to include the ground floor to the top floor.

Control is typically last in the list of management functions and follows planmng, organi7ing, staffing, and directing. In many ways, controlling is the most important, but it cannot occur until the results of the first four have been implemented. Managers control to ensure that the expected results actually occur after a structure or task is integrated with technology or people. Control depends on information conveyed to managers who continuously monitor sensors to ensure that ind1\ 1dual work results are effective and desirable and that organization objective are accomplished within resource con traints. The management model in Figure 5.8 reflects these relationships. Control allows managers

Controlling is monitoring the performance of the organization, identifying deviations between planned and actual results, and taking corrective action when necessary. With all these four functions that are involved in the process of management, if all are followed correctly the organization will be properly ran and will have few complications.

Armesh et al (2010), state that a good management control system guarantees organizational success. Good management control means that employees are well connected to the organization and that they are confident to perform their tasks well (ICFAI University, 2006). In order for an organization to have a good management control system they should be oriented to the future, have clear objectives, minimize control losses and hire qualified employees.

Management in my mind and as the book reinforces the definition to be, to plan, to organize, to staff for the process, and to control the process to the end. These are consider the primary functions of the management role (p.8).

Abrams’ top management is satisfied with their management systems and performance measurement scheme but they notice three areas of concern.

In order to illustrate how internal and external factors impact the four functions of management -planning, organizing, leading, and controlling- our team has chosen General Electric (GE) Company as an example. GE has been in business since the year 1890, when the company began operating under Thomas Alva Edison (inventor of the incandescent light bulb). Since then GE has growth and mature as one of the greatest multi innovator firm in business history, in addition GE has become an international company expanding its products and services around the world.

Management can be understood in different views, and develop an important role on the development of an organisation. Furthermore a manger is responsible for control, organise, planning and ensure the organisation achieve their objectives within a target time set. The manager normally running staff recruitment process and have the responsibility for look after the team (Mackrory, 2009). Similarly Mullins (2006) explains that management is about following the organisation procedures and systems and ensure staffs make an effort to achieve the organisation goals.

Management Control Systems are systems that are put into place within organisations to help ensure that managers within organisation’s act

I’ve spent a year at my first job at a private equity firm (much like the one I interned in this summer), so I understand that my company places importance on a hierarchy--even all of the emails I send out must be addressed in descending order of positional importance. This established structure constantly reminds me that I am at the bottom of it, and hopefully with time and effort, I will work my way up to the top. To do so, I essentially need to do whatever I am told to ensure the CEO’s happiness, making sure all of our meetings with potential portfolio companies are run smoothly. The firm must give off a good impression to show them that we are trustworthy and responsible enough to manage them. Analysts like me are allowed to sit in on

According to modern concepts, control is a foreseeing action whereas earlier concept of control was used only when errors were detected. Control in management means setting standards, measuring actual performance and taking corrective action.

The corporation’s management role is to increase the firm’s value to its stockholders. Corporate finance handles the financial issues such as achieving the firm’s goal, how to raise, manage, and invest its monies. Corporate management has become sensitive to the creation of value for businesses due to the shifting from tangible assets to intangible assets. Although the intangible factors that drive value creation differ by firms, some of the major categories include technology, innovation, and employee and customer relations. Creating value helps customers by selling products and services. Value is when a business generates revenue that surpasses expenses. Understanding what creates value will help managers focus capital and talent

Standards are criteria against which results are measured. They are norms to achieve the goals. Standards are usually measured in terms of output. They can also be measured in non-monetary terms like loyalty, customer attraction, goodwill etc. Some of the standards are as.

This trend is the response on the requirement of the system. This is a collaborative approach

Management control is the process of ensuring that actual activities conform to planned activities. Control helps managers monitor the effectiveness of their planning their organizing and their activities