Thursday, September 6, 2012

Control and the importance of standards in Planning


Some people have a knee jerk reaction of "management control" phrase. The word has a negative connotation to many, for example, may seem dominant, coercive and heavy. It seems that the experts "management" now prefer the use of the term "coordination" rather than "control".

In the planning process, a manager must carefully define the mission of his / her own, continuing the vital work, and specific measurable results he / she undertakes to accomplish.

The control process does not begin after the end of the whole planning process, as most managers believe that occurs during the planning phase. Consequently, they often leave the control as an after thought or ignore it all together. Too often, standards of control systems are derived from previous year budgets, rather than the current targets of the company includes The result is that employees at lower levels are simply given "to make the numbers" on the basis of factors they have little knowledge and over which they have virtually no influence.

In this case, the manager can achieve the desired results only if certain other people to fulfill the responsibilities they were committed. When these other people do not fulfill their responsibilities for their share of work, the manager who is responsible for the overall work is not able to meet him / her. Thus, managers need a way to ensure that the contributions of all taxpayers have the time and budget. This is only accomplished through the work of control.

Functions of key management

One of the most common management is planning. Namely, the planning is to determine the direction of something - a system - and then the guidance system to follow the direction. There are many types of planning in organizations. In short, planning is the selection of priorities and outcomes (goals, objectives, etc.) and how these results will be achieved. Planning typically includes identifying goals, objectives, methods, resources needed to carry out methods, responsibilities and dates for completion of tasks.

Control is one of the managerial functions like planning, organization, staffing and directing. This is an important function because it helps to check for errors and take corrective measures so that the deviation from standards are minimized and stated goals of the organization are made as desired. According to modern concepts of management in the day, the control is seen as an expected action, while the concept of previous management control was used only when errors were detected.

"Control" implies a comparison with pre-set standards, the standards must be established before control can be effective. In the absence of "standard", "control" is reduced to opinion of one person versus another person's opinion, with all the arguments and bitterness that often generate such comparisons.

Setting Performance Standards

Performance standards may be set by staff or managers, executives and staff, or managers with input from employees whose performance is being measured. The last method is considered the best method because it involves employees many of whom believe that the line and staff did not have enough information on the conditions of different jobs to set realistic standards.

Managers must ensure that the objectives and standards are measurable and that individuals are held accountable for their achievement. The level of difficulty should be challenging, but within the capabilities of the worker. A standard set too low is usually accomplished, but rarely exceeded, while the standard too high, generally demotivate the employee fail to help the employee to reach the goal. The standards must be expressed in simple terms that relate to the job and are significant for all affected employees.

Many inexperienced managers who continually seek a magic number that will tell them how well the company is doing or how their employees are performing. This number does not exist because there are too many variables on which performance is determined.

Conclusion

Management control is based on creating a proper plan, and creating the proper plan is to have a clear understanding of what it takes to achieve that control. Effective control, therefore, depends on the proper execution of key management activities such as planning, estimating, organization, communication, measurement, monitoring, reporting and documentation. Correct execution depends on the correct definition of performance standards and then hold people responsible for the conduct of such rules.

There is no substitute for proper planning. Without it, an organization can not exist for long. The modern management concepts focus heavily on planning, but tend to ignore the important role of management control. In today's politically correct climate, the control seems to have become taboo. The term "offensive" was changed to "coordinate". That led organizations mismanaged and lack luster performance.

Today there is a huge cry of responsibility, but out of the performance standards and appropriate control structures, accountability is simply immeasurable responsibility. To this end, ineffective CEOs continue to be paid high salaries, despite poor performance, and companies continue to struggle for survival .......

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