COMPARING ACTUAL
PERFORMANCE TO OBJECTIVES
AND STANDARDS
Once actual performance has been
determined, this will be compared
with what the organization seeks to
achieve.
Actual production output will be
compared with the target output.
TAKING NECESSARY ACTION
Hire additional personnel
Use more equipment
Require overtime
TYPES OF CONTROL
Feed forward Control
undertaken when management
anticipates problems and
prevents their occurrence
Concurrent Control
undertaken when operations
are already ongoing and
activities to detect variances
are made
Feedback Control
undertaken when information
is gathered about a completed
activity and in order that
evaluation and steps for
improvement are derived
COMPONENTS OF
ORGANIZATIONAL CONTROL
SYSTEM
Strategic Plan
it provides the basic control
mechanism for the
organization
When there are indications that
activities do not facilitate the
accomplishment of strategic
goals, these activities are
either set aside, modified or
expanded.
Long-Range Financial Plan
Engineering firms will require
longer term financial plans due
to the long lead times needed
for capital projects.
Financial plan recommends a
direction for financial activities.
Operating Budget
indicates the expenditures,
revenues, or profits planned for
some future period regarding
operations
Performance Appraisal
measures employee
performance and provides
employees with a guide on how
to do their jobs better in the
future
functions as effective checks
on new policies and programs
Statistical Reports
pertain to those that contain
data on various developments
within the firm
Contains the following
information:
Labor efficiency rates
Quality control rejects
Accounts receivable
Accounts payable
Sales report
Accident reports
Power consumption
report
Policies and Procedures
Policies -refer to the framework
within which the objectives of the
organization must be pursued.
Procedure- is a plan that
describes the exact series of
actions or steps to be taken in a
given situation