Control Mechamism

Topics: Management, Control system, Control theory Pages: 2 (358 words) Published: December 2, 2012
Control Mechanisms
Jessica Cordell, Monique Davis, Keia Guia,
Derric Rachal, Panthea Peele
Brenda Shore
July 30, 2012

Control Mechanism

Control is as any process that directs the activities of individuals toward the achievement of organizational goals (Bateman& Snell, 2009). There are many mechanisms that a corporations use. Wal-Mart is a large corporation that uses controls such as Bureaucratic control, Market control, budgetary control, and feedback control. In this paper it will define the four mechanism controls, compare, and contrast these controls, determine the effectiveness of these mechanisms, state the positive and negative reactions to these controls, and explain how these four controls support the four functions of management. Each control is important to the effectiveness of a business and impacts the planning, organizing, controlling, and leading functions of management. The four control mechanisms that will be identify with Wal-Mart will be Bureaucratic control, Market control, budgetary control, and Feedback control. Bureaucratic Control deals with budgets, statistical reports, and performance appraisals to regulate behavior and results. These factors play an important role for this business. Bureaucratic Control is rules that Wal-Mart set for the business and as well as its employees. Bureaucratic is a danger to cost structure in any organization and if Wal-Mart keeps growing it will be in a battle with Bureaucratic. Market control is involves the use of pricing mechanisms to regulate activities in organizations as though they were economic transactions (Bateman & Snell, 2009). Wal-Mart has been allowed to expand its operations throughout America and many other nations by using a business model designed to drive down levels in the business chain. Every-day low prices are what Wal-Mart marketing strategy is. Wal-Mart can purchase at a lower price and pass that savings on to...
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