1. CONTROLLING

2. Controlling
Controlling is monitoring, comparing and correcting work performance.

3. Why is controlling important?
Planning
Empowering employees
Protecting the workplace

4. The controlling process
The control process is a three step process of measuring actual performance, comparing actual performance against a standard, and taking managerial actions to correct deviation or to address inadequate standards.

5. Step 1: measuring actual performance
Sources of information for measuring performance:
Personal observations
Statistical reports
Oral reports
Written reports

6. Step 2: comparing actual performance against the standard
Acceptable range of variation

7. Step 3: taking managerial action
Immediate corrective action
Basic corrective action

8. Controlling for organizational performance
Organizational performance refers to the accumulated results of all the organization’s work activities. It’s a multifaceted concept, but managers need to understand the factors that contribute to organizational performance.
Organizational productivity
Organizational effectiveness
Industry and company ranking

9. Tools for measuring organizational performance
Feed forward control: the control which takes place before a work activity is done.
Concurrent control: control that takes place when a work activity is in progress.
Feedback control: control that takes place after a work activity is done.

10. Management by walking around
A term used to describe when a manager is out in the work area interacting directly with employees.

11. Financial control
Every business wants to earn profit. To achieve this goal, ,managers need financial control. For instance, they might analyze quarterly income statements for excessive expenses. They might also calculate financial ratios to ensure that sufficient cash is available to pay ongoing expenses, that debt levels haven't become too high, or that assets are being used productively.

12. Balance scorecard
It is way to evaluate organizational performance from more than just the financial perspective.
The measures of balance scorecard is:
Financial
Customer
Internal/operational
Strategic and learning

13. Information control
MIS: a system used to provide management with needed information on a regular basis.

14. Benchmarking of best practices
Benchmark refers to excellence against which to measure and compare.

15. Suggestions for internal benchmarking
Connect best practices to strategies and goals
Identify best practices throughout the organization
Develop best practices reward and recognition system
Communicate best practices throughout the organization
Create a best practices knowledge sharing system
Nurture best practices on an ongoing process

16. Contemporary issues in control
Adjusting control for cross cultural differences
Workplace concerns
Workplace violence

17. Adjusting control for cross-cultural differences
In a global corporation, managers of foreign operations tend to be less controlled by the home office.
Another challenge for global managers is collecting data for measurement and comparability.

18. Workplace concerns
Workplace privacy
Employee theft

19. Workplace violence
Employee stress caused by an uncertain economic environment, job uncertainties, declining value of retirement accounts, long hours, information overload, other daily interruptions, unrealistic deadlines and uncaring managers play a role in contributing to workplace violence.

20. Operations management
The transformation process that converts resources into finished goods and services.

21. Role of operations management
Operations management is important to managers for three reasons:
It encompasses both services and manufacturing
It’s important in effectively and efficiently managing productivity
It plays a strategic role in an organization’s competitive success

22. What is value chain management
Value chain management is the process of managing the sequence of activities and information along the entire value chain. Value chain management is externally oriented and focuses on both incoming materials and outgoing products and services.

23. Goal of value chain management
The goal of value chain management is to create a value chain strategy that meets and exceeds customers’ needs and desires allows for full and seamless integration among all members of the chain.

24. Managing operations using value chain management
Value chain strategy:
Combination and collaboration
Technology investment
Organizational processes
Leadership
Employee/ human resources
Organizational culture and attitude

25. Current issues in management operations
Technology’s role in operations management
Quality initiatives

26. Technology’s role in operations management
Technology allows organizations to control costs particularly in the areas of predictive maintenance, remote diagnostics and utility cost savings.

27. Quality initiatives
Quality refers to the ability of a product or service to reliably do what it is supposed to do and to satisfy customer expectation.

28. Quality goals
ISO 9000
Six sigma

29. Mass customization and lean organization
Mass customization refers to providing customers with a product when, where and how they want it.
Lean organization refers to an organization that understands what customers want, identifies customers value by analyzing all activities required to produce products, and then optimizes the entire process from the customer’s perspective.