Chapter 1: Management & Control Flashcards
1
Q
How can management be defined an divided?
A
Functions:
- Product / Service Development
- Operations
- Marketing / Sales
- Finance
Resources:
- People
- Money
- Machines
- Information
Processes:
- Objective Setting
- Strategy Formulation
- Management Control
2
Q
What are the basic functions of control systems?
A
- Strategic control (external focus)
- Management control (internal focus)
=> necessary to guard org. against people do things, they should not
3
Q
What are the causes of management control problems?
A
- Lack of direction
- Motivational problems
- Personal limitations
4
Q
Where is the optimal amount of control?
A
Between good and perfect control
=> sweetspot: control losses < cost of implementing more controls
=> must be future and objectives driven
5
Q
What are the 4 strategies to avoid control problems?
A
- Active elimination
- Automation
- Centralisation
- Risk Sharing
