It is difficult to overemphasize the importance of the material covered in this chapter for managers. Control is a fundamental task of management. Without adequate control systems in place, an organization can drift from its goals and will not attain a satisfactory level of performance. Without adequate control systems in place, managers will not know how well the organization is actually operating, what is working and what is broken, or whether employees are complying with critical standards. It is not enough, however, just to put any old control systems in place: Managers must put the right systems in place. As we have seen in this chapter, the wrong systems can have unintended consequences. They can produce dysfunctional behavior, stifle employee initiative with too much bureaucracy, and inhibit needed cooperation. Managers can choose a number of different metrics and control methods; the best choice depends on the strategy of the firm and its organization structure. Strategy, structure, and controls must be matched. A business operating in a stable environment may require very different control systems from a dynamic enterprise based in a rapidly changing environment. Deciding which methods are best, and what criteria to use to judge the performance of the organization, is one of the most challenging tasks of management—and one of the most critical. |