Organizing Role In Management
Essay by 24 • November 12, 2010 • 1,096 Words (5 Pages) • 2,303 Views
There are many different types of control that can be established in an organization depending its goals and objectives. There are many different approaches to the management controlling function. Some of these control systems are bureaucratic control, market control and clan control. All of these control systems focuses on a different part of the business depend ending the necessities of the organization in that moment. All of the control systems have their advantages and disadvantages.
The controlling function is defined as any process that directs the activities of
individuals toward the achievement of organizational goals*. The controlling function is the one that set the game rules. This function set the organizational standards rules and norms. The controlling function works hand to hand with the planning function because the controls are the ones that ensure that the plans are fulfilled. The established controls must go in coherence with the plans because the success of each will depend on the other. The control function not only control the personnel it also control things as , budget, organizational resources, machinery, materials or components, physical structure and more. The control process must set performance standards, measure performance, compare performance with the standards; and take corrective action if needed in order to be effective
One of the most used control systems is the bureaucratic control system. The bureaucratic control system Bureaucratic control is defined as the use of rules, regulations, and formal authority to guide performance*. The bureaucratic control system is a very rigid and formal one. This system establishes a well defined set of rules and procedures in order to achieve the organizational goals and objectives. This system is based on hierarchy
were roles and authority has been well defined. This control system involves personnel close monitoring, supervision and direction of subordinates by superiors. The bureaucratic control different uses tools as budget as a control device, management audits, external audits, and internal audits.
The market control system is based on the use of pricing mechanisms and economic information to regulate activities within organizations*. This control system is based in external factors that affects an organization rather than the internal factors.
The clan control system is defined as a control system based on the norms, values,
shared goals, and trust among group members. This kind of control system offers empowerment to the employee; it also provides the employee with a sense of ownership of his work and environment. All of these ends up in the creation of an entrepreneur culture that is defined by the values shared of the members of the organization.
As all managerial function approaches these three systems have their advantages and disadvantages. These three systems differ in the approach of control. Some of these systems use their internal environment as the based and others use their external environment.
Some of the advantages of the bureaucratic control system are Provides a way to manage a large diversified organization. Better decisions can be made at the local level. Provides incentives to department managers and individuals to optimize their individual performances. Provides managers with the freedom to make local decisions and this will help the top management with more time to make policy decisions and engage in strategic planning. It provides the individual with explicit rules and regulations. The bureaucracy provides a low cost search acquisition and training of employees. Select employees with little screening and design a system to instruct, monitor and evaluate them. It has Greater Labor pool to select from, increased evaluation measures,
The bureaucratic controlling system has its disadvantages also. Some of the disadvantages of the bureaucratic control system lack flexibility and the mechanical structure they have. The supervision cost is higher. It also tends to produce many specialties and sub-specialties to reduce the interdependence. Rules and close surveillance are required for each specialty and sub-specialty.
The clan controlling system has its advantages and disadvantages too. The advantages are higher commitment by employees and lower evaluation
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