Topic 9 Study Question 1: Why and how do managers control?
Bureaucratic control
Controlling
influences behavior through authority, policies, procedures, job
descriptions, budgets, and day-to-day supervision
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The process of measuring performance and taking action
to ensure desired results.
Has a positive and necessary role in the management
process.
Ensures that the right things happen, in the right way, at
the right time.
Organizational learning and after-action review.
Figure 17.1 The role of controlling in the management process.
Clan control
influences behavior through norms and expectations set by the
organizational culture.
Study Question 2: What are the steps in the control process?
 Steps in the control process:
Step 1 — establish objectives and standards.
Step 2 — measure actual performance.
Step 3 — compare results with objectives and standards.
Step 4 — take corrective action as needed.
Figure 17.3 Four steps in the control process
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Feedforward controls
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Employed before a work activity begins.
Ensures that:
Objectives are clear.
Proper directions are established.
Right resources are available.
Focuses on quality of resources.
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Concurrent controls
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Focus on what happens during work process.
Monitor ongoing operations to make sure they are being
done according to plan.
Can reduce waste in unacceptable finished products or
services.
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Feedback controls
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Take place after work is completed.
Focus on quality of end results.
Provide useful information for improving future
operations.
Figure 17.2 The role of feedforward, concurrent, and feedback
controls in organizations.
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Step 1 — establishing objectives and standards
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Output standards
Measure performance results in terms of quantity, quality,
cost, or time.
Input standards
Measure effort in terms of amount of work expended in
task performance.
Step 2 — measuring actual performance
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Goal is accurate measurement of actual performance
results and/or performance efforts.
Must identify significant differences between actual
results and original plan.
Effective control requires measurement.
Step 3 — comparing results with objectives and standards
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Internal and external control
Internal control
Allows motivated individuals and groups to exercise self-discipline in
fulfilling job expectations.
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Need for action reflects the difference between desired
performance and actual performance
Comparison methods:
Historical comparison
Relative comparison
Engineering comparison
Step 4 — taking corrective action
External control
Occurs through personal supervision and the use of formal
administrative systems.
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Taking action when a discrepancy exists between desired
and actual performance.
Management by exception
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Giving attention to situations showing the greatest need
for action.
Types of exceptions
Problem situation
Opportunity situation
Figure 17.5 CPM/PERT
Study Question 3: What are the common control systems
and techniques?
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Employee discipline systems
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Discipline is the act of influencing behavior through
reprimand.
Discipline that is applied fairly, consistently, and
systematically provides useful control.
Progressive discipline ties reprimands to the severity and
frequency of the employee’s infractions.
Progressive discipline seeks to achieve compliance with
the least extreme reprimand possible.
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To be effective, reprimands should
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Project Management
Be immediate.
Be directed toward actions, not personality.
Be consistently applied.
Be informative.
Occur in a supportive setting.
Support realistic rules.
Topic 10 Study Questions
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Study Question 1: How do individual needs
influence motivation?
Types of content theories:
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Overall planning, supervision, and control of projects.
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Projects – unique one-time events that occur within a
defined time period
Gantt chart – graphic display of scheduled tasks required
to complete a project
CPM/PERT – combination of the critical path method and
program evaluation and review technique
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Basic Financial Ratios
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Liquidity
The ability to generate cash to pay bills.
Leverage
The ability to earn more in returns than the cost of debt.
Asset management
The ability to use resources efficiently and operate at
minimum cost.
Profitability
The ability to earn revenues greater than costs.
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Balanced Scorecard
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Factors used to develop scorecard goals and measures:
Financial performance
Customer Satisfaction
Internal process improvement
Innovation and learning
Figure 17.4 Gannt chart
How do individual needs influence motivation?
What are the process theories of motivation?
What role does reinforcement play in motivation?
What are the alternative approaches to job design?
Hierarchy of needs theory
ERG theory
Two-factor theory
Acquired needs theory
Motivation and individual needs
Motivation—the forces within the individual that account for
the level, direction, and persistence of effort expended at work.
Needs
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Unfulfilled physiological and psychological desires of an
individual.
Explain workplace behavior and attitudes.
Create tensions that influence attitudes and behavior.
Good managers and leaders facilitate employee need
satisfaction.
Figure 13.1 Opportunities for satisfaction in Maslow’s
hierarchy of human needs.
Study Question 2: What are the different types of
individual needs?
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Hierarchy of needs theory
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Developed by Abraham Maslow.
Lower-order and higher-order needs affect workplace
behavior and attitudes.
Lower-order needs:
Physiological, safety, and social needs.
Desires for physical and social well being.
Higher-order needs:
Esteem and self-actualization needs.
Desire for psychological growth and development.
ERG theory
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Existence needs — desires for physiological and material
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Relatedness needs — desires for satisfying interpersonal
relationships.
Growth needs — desires for continued psychological growth
and development.
Frustration-regression principle.
An already satisfied lower-level need becomes reactivated when
a hTwo-factor theory
Developed by Frederick Herzberg.
Hygiene factors:
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Elements of the job context.
Sources of job dissatisfaction.
Satisfier factors:
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Elements of the job content.
Sources of job satisfaction and motivation.igher-level
need is frustrated
Figure 13.2 Herzberg’s two-factor theory.
Developed by David McClelland.
People acquire needs through their life experiences.
Needs that are acquired:
Three need levels:
Any/all needs can influence behavior at one time.
Developed by David McClelland.
People acquire needs through their life
experiences.
Needs that are acquired:
Developed by Clayton Alderfer.
well-being.
Acquired needs theory
Need for Achievement (nAch)
Need for Power (nPower)
Need for Affiliation (nAff)
Need for Achievement (nAch)
o Desire to do something better or more
efficiently, to solve problems, or to master
complex tasks.
People high in (nAch) prefer work that:
o Involves individual responsibility for results.
o Involves achievable but challenging goals.
o Provides feedback on performance
Need for Power (nPower)
o Desire to control other persons, to influence
their behavior, or to be responsible for other
people.
o Personal power versus social power
People high in (nPower) prefer work that:
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Involves control over other persons.
Has an impact on people and events.
Brings public recognition and attention
Process theories of motivation …
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How people make choices to work hard or not.
Choices are based on:
Individual preferences.
Available rewards.
Possible work outcomes.
Types of process theories:
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Equity theory.
Expectancy theory.
Goal-setting theory.
Equity theory
Developed by J. Stacy Adams.
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When people believe that they have been treated
unfairly in comparison to others, they try to eliminate
the discomfort and restore a perceived sense of equity
to the situation.
Perceived inequity.
Perceived equity.
People respond to perceived negative inequity by
changing …
Work inputs.
Rewards received.
Comparison points.
Situation.