Wednesday, June 13, 2012

ESSENTIALS OF EFFECTIVE CONTROL SYSTEM


Control is necessary in every organization to ensure that everything is going properly. Every manager, therefore, should have an effective and adequate control system to assist him in making sure that events conform to plans.

In this tailoring of control system, there are certain requirements which should be kept in mind.

1.                  Reflecting Organizational Needs ;

All control systems and techniques should reflect the jobs they are to perform.

2.                  Forward Looking :

Control should be forward looking. Though many of the controls are instance, they must focus attention as to how future actions can be conformed with plans.

3.                  Promptness in Reporting Deviations

The success of a thermostat lies in the fact that it points the deviation promptly and takes corrective actions immediately.

4.                  Pointing out Exceptions at Critical points :

Control should point exception at critical points and suggest whether action is to be taken for deviations or not.

5.                  Objectives :

The control should be objective, definite and determinable in a clear and positive way.

6.                  Flexible

Control system should be flexible so that it remains workable in the case of changed plans, unforeseen circumstances or failures.

7.                  Economical

Control should be economical and must be worth its costs. Economy is relative since the benefits vary with the importance of the activity, the size of the operation the expense that might be incurred in the absence of control and the contribution the control system can make.
           
8.                  Simple
Control system must be simple and understandable so that all managers can use it effectively.

9.                  Motivating :
Control system should motivate both controller and controlled

10.              Reflecting Organizational Pattern:
The control should reflect organizational pattern by focusing attention on positions in organization structure through which deviations are corrected.
















1 comment:

  1. Controls at every level focus on inputs, processes and outputs. It is very important to have effective controls at each of these three stages. Effective control systems tend to have certain common characteristics.

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