TAILIEUCHUNG - Lecture Management: A practical introduction: Chapter 16 - Kinicki, Williams

Major questions you should be able to answer: How do managers influence productivity? Why is control such an important managerial function? How do successful companies implement controls? How can three techniques balanced scorecard, strategy maps, and measurement management help me establish standards and measure performance? | Chapter Sixteen Control & Quality Control Improvement: Techniques for Enhancing Organizational Effectiveness McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved. Major Questions You Should Be Able to Answer How do managers influence productivity? Why is control such an important managerial function? How do successful companies implement controls? How can three techniques—balanced scorecard, strategy maps, and measurement management—help me establish standards and measure performance? Major Questions You Should Be Able to Answer What are the financial tools I need to know about? How do top companies improve the quality of their products or services? What are the keys to successful control, and what are the barriers to control success? Managing for Productivity Productivity outputs divided by inputs, where outputs are the goods and services produced, and inputs are labor, capital, materials, and energy Productivity is important because it determines whether a company will make a profit and affects a country’s standard of living Multimedia Lecture Support Package to Accompany Basic Marketing Lecture Script 6- Managing for Productivity and Results Figure Control: When Managers Monitor Performance Controlling defined as monitoring performance, comparing it with goals, and taking corrective action as needed Figure Controlling for Productivity What you as a manager do to get things done, with controlling shown in relation to the three other management functions. (These are not lockstep; all four functions happen concurrently.) Steps in the Control Process Figure Levels of Control Strategic control monitoring performance to ensure that strategic plans are being implemented and taking corrective action as needed Tactical control monitoring performance to ensure that tactical plans—those at the divisional or departmental level—are being implemented Levels of Control Operational control monitoring performance to ensure that operational plans—day-to-day goals—are being implemented and taking corrective action as needed Structural Area Bureaucratic control an approach to organizational control that is characterized by use of rules, regulations, and formal authority to guide performance Decentralized control an approach to organizational control that is characterized by informal and organic structural arrangements The Balanced Scoreboard Balanced scoreboard gives top managers a fast but comprehensive view of the organization via four indicators: (1) customer satisfaction, (2) internal processes, (3) innovation and improvement activities and (4) financial measures Types of Budgets Table Fixed Versus Variable Budgets Fixed budgets resources are allocated on a single estimate of costs Variable budgets resources are varied in proportion with various levels of activity The PDCA Cycle Figure Total Quality Management Total Quality Management (TQM) a comprehensive approach—led by top management and supported throughout the organization—dedicated to continuous quality improvement, training, and customer satisfaction

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