Control Mechamisms

Control Mechanisms Paper
Andrea Clair
Darryl Burt II
Valerie Bender
Robert Larry Jr.
Quentin Austin
University of Phoenix
Control Mechanisms Paper
Economic challenges and competition requires organizations to use new methods of control in making decisions, sharing information, and soliciting ideas. This means managers must learn how to control and master the operational and strategic processes and people. According to Bateman and Snell, “Control is defined as any process that directs the activities of individuals toward the achievement of organizational goals” (2009, p. 574). At Palmetto GBA, managers must ensure that control mechanisms are in place, to properly carry out the plans and strategic goals of the company. The strategic drivers used at Palmetto GBA, compliance, cost management, innovation, marketing and business development capability, people, performance ownership, and quality, are the tactics used to measure and score organizational performance and to implement actions as needed by managers (Palmetto GBA, 2009). In addition, many organizations like Palmetto GBA seek means for using control mechanisms creatively and flexibly by sharing control with employees to build trust and commitment.
Types of Control Mechanisms
Different types of control mechanisms are established to assure that processes are effective and for dealing with unexpected situations by the use of continuous audits and quality improvement procedures. The categories of control vary greatly among organizations. According to Koskiniemi, many organizations have adopted the approach of Merchant (1985) in which controls are classified into the following three categories: action controls, personnel and cultural controls, and result controls (Koskiniemi, 2009, p. 14). At Palmetto GBA, the controls are represented by goals that have to be accomplished to be successful, which include financial objectives, revenue and growth, and the drivers mentioned earlier to measure each performance...