Featured Planning TipImplement a Management Control System
A Management Control System is tool, technique or process, either manual or computerized, that enhance the likelihood that established objectives, goals, targets and standards will be achieved.
In general, operational control is the process of comparing actual performance with planned performance, analyzing the differences, and taking the appropriate corrective action.
Anthony and Govindarajan (2007) define Management Control as the process by which managers influence other members of the organization to implement the organization’s strategies. Management control systems are tools to aid management for steering an organization toward its strategic objectives and competitive advantage. Management controls are only one of the tools which managers use in implementing desired strategies. However strategies get implemented through management controls, organizational structure, human resources management and culture.
Anthony, R. and V. Govindarajan, Management Control Systems, Chicago, McGraw-Hill Irwin, 2007.