Chapter 7 Flashcards
autonomous work groups
groups that operate without managers and are completely responsible for controlling work group processes, outputs and behaviour
balanced scorecard
measurements of organizational performance in four equally important areas: finances, customers, internal operations, and innovation and learning
behaviour control
regulation of the behaviours and actions that workers perform on the job
benchmarking
the process of identifying outstanding practices, processes, and standards in other companies and adapting them to your company
bureaucratic control
use of hierarchical authority to influence employee behaviour by rewarding or punishing employees for compliance or non-compliance with organizational policies, rules and procedures
concertive control
regulation of workers’ behaviour and decisions through work group values and beliefs
concurrent control
a mechanism for gathering information about performance deficiencies as they occur, eliminating or shortening the delay between performance and feedback
control
a regulatory process of establishing standards to achieve organizational goals, comparing actual performance against the standards, and taking corrective action, when necessary
control loss
situation in which behaviour and work procedures do not conform to standards
customer defections
performance assessment in which companies identify which customers are leaving and measure the rate at which they are leaving
cybernetic feasibility
the extent to which it is possible to implement each step in the control process
Economic Value Added (EVA)
the amount by which company profits (revenues minus expenses minus taxes) exceed the cost of capital
feedback control
a mechanism for gathering information about performance deficiencies after they occur
feedforward control
a mechanism for monitoring performance inputs rather than outputs to prevent or minimize performance deficiencies before they occur
normative control
regulation of workers’ behaviour and decisions through widely shared organizational values and beliefts
objective control
use of observable measures of worker behaviour or outputs to assess performance and influence behaviour
output control
regulation of worker results or outputs through rewards and incentives
regulation costs
costs associated with implementing or maintaining control
self-control (self-management)
control system in which managers and workers control their own behaviour by setting their own goals, monitoring their own progress, and rewarding themselves for goal achievement
standards
a basis of comparison when measuring the extent to which various kinds of organizational performances are satisfactory or unsatisfactory
suboptimization
performance improvement in one part of the organization but only at the expense of decreased performance in another part
value
customer perception that the product quality is excellent for the price offered.
