This document discusses controlling and the control process in an organizational context. It covers three main points: 1. Controlling is important for managers to monitor goals and performance, delegate authority, and protect the organization. The control process involves measuring actual performance, comparing it to standards, and taking corrective action. 2. There are three types of control - feedforward, concurrent, and feedback. Feedforward control prevents problems proactively. Concurrent control allows corrections during work. Feedback relies on past results. 3. Tools for measuring organizational performance include financial controls, balanced scorecards, information controls, and benchmarking best practices. Measures include productivity, output, effectiveness, and industry/company rankings.

1. www.monash.edu.au
MGF1010: Introduction to Management
Week 9:
Controlling

2. www.monash.edu.au
2
AIMS
• Explain why control is important and how
three different approaches can be used in
designing control systems.
• Describe the three steps in the control
process and why what is measured is more
critical than how it is measured.
• Contrast feedfoward, concurrent and
feedback control.

3. www.monash.edu.au
3
GROUP EXERCISE: How to prevent
academic dishonesty?
Scenario:
In the recently concluded Mid-semester exams across the
faculty 12 students were found cheating. Furthermore, the
percentage of students cheating in exams has been
increasing consistently over the last 3 years. The Dean has
asked you to look into the problem and suggest ways to
control student cheating.
In Groups of 4, identify atleast 4 suggestions.
Work Time: 5 minutes

4. www.monash.edu.au
4
RECOMMENDATIONS
Before academic dishonesty
occurs (PREVENTITIVE)
• State clear ramifications,
like failing, to all students
at the beginning of each
semester and make sure
to consistently uphold
those standards
• Change the tests every
year to nullify old tests
• Assign seats to prevent
friends cheating off friends
During assessment
• Give every other person tests
with the questions in a
different order
• Make people sit in different
seats to prevent friends
helping friends
• Do not allow hats to be worn
in the classroom
• Do not allow graphing
calculators, or electronic
devices such as mobile
phones, etc.
• Make people clear their desks
and close notes on the floor
• When possible, require
students to show their
workings for each problem,
not just the answer
After
• Adhere to your university’s
policy on academic integrity
• Consistently enforce the
ramifications

5. www.monash.edu.au
5
CONTROLLING AND ITS IMPORTANCE
• Control
– is the process of monitoring, comparing and correcting
work performance.
– ensuring that the goals set during planning have to be met.
Why?
– Controlling is the only way managers can know whether organisational
goals are being met and, if not, the reasons why.
– Controlling is also important in order for managers to delegate authority
and empower employees. If managers develop effective control
systems, it may lessen their resistance when it comes to delegating and
empowering employees.
– To protect the organisation and its assets. Given today’s environment of
heightened security alerts, the possibility of terrorist attacks and surprise
financial scandals, managers must have plans in place to protect the
organisation’s employees, data and infrastructure.

6. www.monash.edu.au
6
THE CONTROL PROCESS
(1) Measuring: measuring actual performance
through personal observation, statistical reports,
oral reports or written reports (What and How)
(2) Comparing: difference between actual
performance against a standard, and
(3) Taking Managerial action: correcting
deviations or inadequate standards.

7. www.monash.edu.au
7
Organisational Performance
Managers are concerned with organisational performance—
the accumulated end results of all the organisation’s work
activities.
Better asset management. Asset management is the process of
acquiring, managing, renewing and disposing of assets as needed and
designing business models to take advantage of the value from these
assets.
Increased ability to provide customer value—managers should
monitor how well they are providing customer value and they can do
that when they measure performance.
Impact on organisational reputation—the advantages of a strong
corporate reputation include greater consumer trust and the ability to
command premium pricing.
How do you monitor your own performance?

8. www.monash.edu.au
8
Measures of Organsational Performance
• Productivity
• is the overall output of
goods or services
produced divided by the
inputs needed to generate
that output. It is the
management’s job to
increase this ratio.
• Output
Input
• Effectiveness
• effectiveness is a
measure of how
appropriate
organisational goals are
and how well an
organisation is achieving
those goals.
Which Management theory are these derived from?
• Industry and
company rankings.

9. www.monash.edu.au
9
Controlling for employee performance.
• How do universities control student
performance?
• Delivering effective performance
feedback.
• Using disciplinary actions.

10. www.monash.edu.au
10
Controls for measuring organisational
performance
Feedforward
Control
is a type of control
that takes place
before a work activity
is done.
• Feedforward control is
the most desirable type
of control because it
prevents anticipated
problems, since it
takes place in advance
of the actual activity.
Concurrent Control
is enacted while the work
is being performed,
management can correct
problems before they
become too costly.
• The best known form of
concurrent control is direct
supervision. When managers
use management by walking
around—which is a term used
to describe a manager being
out in the work area,
interacting directly with
employees—they are using
concurrent control.
Feedback
Control
Feedback is the
most popular type
of control and it
relies on feedback.

11. www.monash.edu.au
11
Tools for measuring organisational
performance
Managers might use any of the following
types of performance control tools:
• financial controls
• balanced scorecard approach
• information controls
• benchmarking of best practices

12. www.monash.edu.au
12
Reflection
• Which of these controls and tools have
you been used on you as a university
student.
• University control on Teachers through
SETU Evaluations.
• Please fill these out.
• Thank you!

13. www.monash.edu.au
13
CHALLENGES
• Workplace privacy (e.g. Social media)
• Employee theft (e.g. Subway)
• Workplace and occupational violence.

14. www.monash.edu.au
14
Group Work
• Disciplining employees is one of the
least favourite tasks of managers, but is
something that all managers have to do
as part of controlling. What do you see
as the most difficult things involved in
disciplining employees? Why?

15. www.monash.edu.au
15
Breach of company policy (pg. 370)
When cashiers pass along free goods to friends, it is called
‘sweethearting’. For organisations, it is difficult to keep track
of this form of pilfering, so retailers are using technology to
better detect it. Surveillance cameras are used to record and
study cashiers staffing checkout lines. Students are asked
what they think about the practice of employee surveillance.
Is surveillance less invasive when it is a computer watching
instead of a human? How could organisations make sure
they are monitoring employees’ work activities ethically?

16. www.monash.edu.au
16
Creating a Business
– You are starting a business in
KIRTIISCOOLISTAN
– How are you going to control using the control process
(p. 652)
– Which control process will you use (pp. 710-717)
– What motivation and rewards will you use (Chapter 16)
– Which leadership style will you use (Chapter 17)
– What will the organisation culture will be (pp. 83-89)

17. www.monash.edu.au
17
• EXAM PRACTICE