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Monitoring

and
Controlling
TEAM DIVISION
TEAM CASE
1 Ethics Dilemma (page 657)
2 Case 1: The challenge of Healthy Fast Food (Q1,Q2)
4 Case 1 (Q2, Q3)
6 Case 1 (Q3, Q4)
3 Case 2: Bring your own device
(Q1,Q2)
5 Case 2: (Q2, Q3)
7 Case 2: (Q3, Q4)

TEAM EVALUATION FOR SESSION 10.2: https://forms.gle/YvFeLAkQmBh2YpEJ9

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01 Control Process

02 Controlling for Organizational and


Employee Performance

03 Measuring Organizational
Performance

04 Issues in Controlling

Agenda
1.
PROCESS OF CONTROLLING
CONTROLLING?

Monitoring + Comparing + Correcting work performance

1. only way to know if goals


are being met, and if not, why
What is Effective Controlling?
2. information and feedback
for managers feel comfortable how well it helps employees
empowering employees
and managers
3. protect an organization and achieve their goals
its assets

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CONTROLLING

What is Effective Controlling?

how well it help employees


Without controlling: and managers
• goals and plans were
being achieved? achieve their goals
• what future actions to
take?
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CONTROLLING PROCESS
How? personal
observations,
statistical
reports, oral
reports, and
written reports

What >>> How


Select wrong criteria
 huge troubles
What is Effective Controlling?

how well it help employees


and managers
achieve their goals

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Sources of Information for Measuring Performance

What is Effective Controlling?

how well it help employees


and managers
achieve their goals

Copyright © 2016 Pearson Education, Ltd.


CONTROLLING PROCESS
How? personal
observations,
statistical
reports, oral Range of variation = acceptable
reports, and parameters of variance between
written reports actual & standard performance

What is Effective Controlling?

how well it help employees


and managersExternal factors  variation
in performance
achieve their goals

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Acceptable Range of Variation

What is Effective Controlling?

how well it help employees


and managers
achieve their goals

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Acceptable Range of Variation

<15%

>14%

What is Effective Controlling?


> 68%
how well it help employees
and managers > 24%
achieve their goals

Copyright © 2016 Pearson Education, Ltd.


CONTROLLING PROCESS
How? personal
observations,
statistical
reports, oral Range of variation = acceptable
reports, and parameters of variance between
written reports actual & standard performance

What is Effective Controlling?

how well it help employees


and managers
achieve their goals
1. Do nothing
2. Correct the actual
performance
3. Revise standards Copyright © 2016 Pearson Education, Ltd.
Managerial Decisions in the Control Process

What is Effective Controlling?


Performance
how well it help employees
>> Goals

and managersImmediate OR
Basic corrective action
achieve their goals

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2.
CONTROLLING ORGANIZATIONAL &
EMPLOYEES PERFORMANCE
ORGANIZATIONAL PERFORMANCE
Measure Output? Rev = Pselling× Q sold
• how appropriate
Measure Input? Cost (all kinds) organizational goals are
• how well those goals are met

Effectiveness
Productivity = Output/ Input
Industry & Company Ranking

What is Effective Controlling?

• VNPROFIT 500 (Vietnam Report, 2017)


how well it help employees
• Global Innovation Index and managers
achieve their goals

Copyright © 2016 Pearson Education, Ltd.


EMPLOYEES PERFORMANCE

Effective performance feedback

OR/ AND

Disciplinary actions:
What is Effective Controlling?
not easy/ pleasant
 control + correct
how well it help employees
performance
and managers Managers must know
achieve their goals
how to discipline/ make
it work effectively

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3.
TOOLS TO MEASURE
ORGANIZATIONAL PERFORMANCE
TYPES OF CONTROL
Most desirable type (+) how effective their planning efforts
Direct supervision/ Management by
prevents problems because it takes place (+) Motivation
walking around
before the actual activity

What is Effective Controlling?

how well it help employees


and managers
achieve their goals

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YOUR EXAMPLES

IMAGINE YOU ARE:

G1: Manager of Pizza 4Ps


G2: Finance Manager of Mia Saigon
G3: Marketing Manager of Blue Exchange
G4: A BOD member in ACB
G5: HR Manager in Hatvala Co.
G6: Senior Manager in In7 Printing Co.
What is Effective Controlling?
What are your feedforward control,
how well it help
concurrent controlemployees
and feedback control
and managers
examples?

achieve their5goals
Brainstorm: minutes (bullet points only,
no need to make slides)

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TOOLS TO MEASURE/
EVALUATE ORG. PERFORMANCE

Financial Information Balanced search for the best practices


Benchmarking among competitors or
Controls Controls Scorecard noncompetitors that lead to
their superior performance

Ratio Analysis Management


(Liquidity, Leverage, Information System Finance
Activity, Profitability) (MIS)

provide managers with


needed information
Budget Analysis (processed/ analyzed
(Quantitative Standards,
Deviation)
data) on a regular basis WhatCustomer
is Effective Controlling?

how well it help employees


and managers develop goals in each
Internal process of the four areas and
achieve their goals
then measure whether
the goals are being
met

People/innovation/growth assets
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Popular Financial Ratios

What is Effective Controlling?

how well it help employees


and managers
achieve their goals

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Suggestions for Internal Benchmarking

What is Effective Controlling?

how well it help employees


and managers
achieve their goals

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4.
CONTEMPORARY ISSUES IN CONTROLLING
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Theft

Cross-cultural Workplace Corporate


differences concerns Governance
CONTROLLING EMPLOYEE THEF

What is Effective Controlling?

how well it help employees


and managers
achieve their goals

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