CHAPTER 7

Control

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 The meaning of control

• A systematic effort to set performance

standards with planning objectives, to design
information feedback systems, to compare
actual performance with standards, to
determine whether there are any deviations
and to take any action if required.
• Control is the process of ensuring that actual
activities conform to planned activities.

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 Process of Control
Slide 3 of 3

If deviations are
acceptable

Take no
corrective
action
Compare
Set Measure
performance
performance actual If deviations are
with
standards performance unacceptable
standards
Take
corrective
action

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 Steps in the control process
• 1.Establish standards and methods for measuring
performance.-standards should be stated in clear,
measurable terms that include specific deadlines.
• 2.Measure performance-measurement is an
ongoing repetitive process.
• 3.Determine whether performance matches the
standard-This is the easiest step in the control
process
• 4.Take corrective action-This step is necessary if
performance falls short of standards and the
analysis indicates action is required.
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 The importance of control
• 1.Change-Control systems should be able to
detect changes affecting org.
• 2.Complexity-A more formal and careful control
approach is required.
• 3.Mistakes-allows managers to detect mistakes
before they become critical
• 4.Delegation-allows managers to check on
subordinates progress

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 Types of control methods

• 1.Pre-action control
• 2.Steering control
• 3.Screening or Yes/No control
• 4.Post-action control

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 1.Pre-Action Control

• Control before an action is undertaken e.g

before a new product is launch, marketers
conduct market testing.

Allow corrective action to be taken before a

particular sequence of actions is
completed.e.g after launching a new
product, marketers will monitor
competitors, customers and dealers
reaction and take corrective actions if
required. 7
 3.Screening or Yes/No controls

Provides a screening process in which specific

aspects of a procedure must be met before
the operations is allowed to proceed.e.g
large customers withdrawal must be
approved by a bank officer.
4.Post-action controls
Measure the result of a completed action e.g
marketers conducted Profitability analysis
to assess the profitability of the new
product
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 Selecting the Focal Point
for Control
• Feedforward (Preventive) Control
– Focuses on detecting undesirable material,
financial, or human resources that serve as
inputs to the transformation process.
• Concurrent Control
– Focuses on the transformation process to ensure
that it is functioning properly.

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 Selecting the Focal Point for Control
Slide 2 of 2

• Feedback Control
– Focuses on discovering undesirable output and
implementing corrective action.
• Multiple Focal Points
– Most organizations use several control systems
focused on various phases of the transformation
process.

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 Control Focal Points
Control system

Feedforward Concurrent Feedback

control control control

Transformation
Inputs Outputs
process

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 Characteristics of effective control
systems
1.Accurate-provide accurate info
2.Timely-up to date info
3.Objective and comprehensive-clear and
measurable
4.Focused on strategic control points-
focus on key areas such as finance and quality

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 Characteristics of effective control
systems
5.Economically realistic-cost should be less
than the benefits
6.Organizationally realistic-org should have
adequate resources
7.Flexible-adaptable to changes
8.Prescriptive and operational-describe the corrective
actions to be taken
9.Accepted by organizational members

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 Management from the Islamic
perspective
The management process based on
the Quran and the Sunnah to
promote societal well being and
Islamic values.-Islamic mgt seek to achieve a
balance between org profit, customer satisfaction,
societal well being and Islamic values.

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 The principles Management from the
Islamic perspective
1.Tauhid-work an an Ibadah or way of submission to
Allah
2.Syura-the importance of teamwork
3.Justice-the importance of fairness
4.Masruai’ah-the concept of legality based on the
syariah laws
5.Qualification-based on competencies
6.Maslahah-priority based on Islamic values

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