This essay will critically discuss the different types of controls in three sections. This essay aims to analyze the different types of control systems as well as their effectiveness, their advantages and their disadvantages. It will also focus on Tightness and costs.
Management Control Systems (MCS) vary considerably among different organisations. There are several different forms of action control.
Management control choices are based on many factors. The effectiveness, tightness and costs of the different types of controls vary in any single situation and organisation. Hence, managing and implementing MCS is quite challenging.
Inhaltsverzeichnis (Table of Contents)
- 1 Introduction
- 2 Types of controls
- 3 Effectiveness and advantages/disadvantages
- 4 Tightness and costs
- 5 Conclusion
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This essay critically discusses different types of management control systems (MCS) and their effectiveness. It aims to provide an overview of various control mechanisms, their advantages and disadvantages, and their impact on employee behavior and organizational outcomes.
- Types of Management Controls
- Effectiveness of Different Control Mechanisms
- Advantages and Disadvantages of Control Systems
- Impact of Controls on Employee Behavior
- Relationship between Control Systems and Organizational Goals
Zusammenfassung der Kapitel (Chapter Summaries)
1 Introduction: This introductory chapter sets the stage for the essay by highlighting the variability of Management Control Systems (MCS) across different organizations. It lays the groundwork for a critical discussion of various control types that will be explored in subsequent sections.
2 Types of controls: This chapter delves into the different types of action controls as defined by Merchant and Van der Stede (2017), including behavioral constraints, preaction reviews, action accountability, and redundancy. It explores the implementation challenges and potential drawbacks of each, such as the difficulty of making behavioral constraints foolproof and the potential for unintended consequences when using results controls (as exemplified by the Wells Fargo scandal). The chapter also touches upon the complexities of measuring performance, particularly the challenges of defining the right performance dimensions and the risks of focusing solely on easily quantifiable metrics. The discussion extends to personnel controls, outlining methods for selection, training, and job design, as well as the role of culture in shaping organizational behavior.
3 Effectiveness and advantages/disadvantages: This chapter analyzes the effectiveness of different control types, focusing on the conditions necessary for success and the potential pitfalls. It explores the effectiveness of results controls in relation to controllability, the importance of setting challenging yet attainable goals, and the potential for unintended consequences when goals are prioritized over ethical considerations. The chapter further discusses the benefits of group rewards in fostering cooperation and commitment, contrasting these with the limitations and potential downsides of overly prescriptive or narrowly focused control systems. The analysis considers the complexities of measuring performance in dynamic environments, emphasizing the need for adaptation and relevance to current issues. The chapter concludes by hinting at the interplay between different types of controls and the need for a balanced approach.
Schlüsselwörter (Keywords)
Management Control Systems (MCS), action controls, results controls, personnel controls, behavioral constraints, preaction reviews, action accountability, redundancy, performance measurement, employee behavior, organizational commitment, controllability, Wells Fargo scandal, unintended consequences, organizational culture.
Frequently Asked Questions: A Comprehensive Language Preview
What is the overall topic of this document?
This document provides a comprehensive preview of an essay that critically discusses different types of management control systems (MCS) and their effectiveness. It covers various control mechanisms, their advantages and disadvantages, and their impact on employee behavior and organizational outcomes.
What are the main sections covered in the essay preview?
The preview includes a table of contents, objectives and key themes, chapter summaries, and keywords. The chapter summaries offer detailed insights into the introduction, different types of controls (including action controls and personnel controls), the effectiveness and advantages/disadvantages of these controls, and a concluding chapter.
What types of management controls are discussed?
The essay explores various types of action controls as defined by Merchant and Van der Stede (2017), such as behavioral constraints, preaction reviews, action accountability, and redundancy. It also covers personnel controls, encompassing selection, training, and job design methods.
What are the key themes explored in the essay?
Key themes include the effectiveness of different control mechanisms, advantages and disadvantages of various control systems, the impact of controls on employee behavior, and the relationship between control systems and organizational goals. The essay also emphasizes the importance of considering controllability, setting appropriate goals, and avoiding unintended consequences.
What are the advantages and disadvantages of different control systems discussed?
The preview highlights both the benefits and drawbacks of various control types. For example, it mentions the potential for unintended consequences with results controls (illustrated by the Wells Fargo scandal), the challenges of creating foolproof behavioral constraints, and the complexities of performance measurement, particularly in dynamic environments.
What is the significance of the Wells Fargo scandal in the context of this essay?
The Wells Fargo scandal serves as a case study to illustrate the potential for unintended negative consequences when using results controls, particularly when the focus on easily quantifiable metrics overshadows ethical considerations.
How does the essay address the impact of controls on employee behavior and organizational outcomes?
The essay examines how different control systems influence employee behavior and organizational commitment. It explores the roles of group rewards in fostering cooperation, the limitations of overly prescriptive controls, and the importance of organizational culture in shaping behavior.
What are the key takeaways from the chapter summaries?
The chapter summaries provide a concise overview of each section. Chapter 1 sets the stage, Chapter 2 details various control types, Chapter 3 analyzes their effectiveness and potential pitfalls, and Chapter 5 concludes the discussion. The summaries emphasize the importance of a balanced approach to management control systems.
What are the keywords associated with this essay?
Keywords include Management Control Systems (MCS), action controls, results controls, personnel controls, behavioral constraints, preaction reviews, action accountability, redundancy, performance measurement, employee behavior, organizational commitment, controllability, unintended consequences, and organizational culture.
- Arbeit zitieren
- Anonym (Autor:in), 2019, Management Control Systems, München, GRIN Verlag, https://www.grin.com/document/498218
