Chapter 9 Example Question
The somewhat eccentric President of your company seems genuinely convinced that something called clan control is the best thing for your firm. The company is pretty big and composed of several divisions: Food Products, Transportation and Electronic
Gaming. The Gaming division in which you work is pretty small and people seem to get along well without having to go through the channels to their boss every time something comes up – which it often does given the technology in this industry! Something else that you like about this business is the opportunity every year to kick the other divisions’ butts. Things aren’t always as stable in your industry as theirs and their overall revenues dwarf yours, but you still post a better ROI year in and year out. You just wish that headquarters could figure out some way to make the competition meaningful instead of just adding more paperwork and procedures to your life.
What advice would you give the President concerning the appropriate control system: a) for the company ? b) for your division ?