In the past few years, management, leadership, and control strategies in business organizations has emerged as key factors in determining the long-term success or ultimate failure of such organizations. One large well-known successful global company is Nike, who has demonstrated extreme success that can be directly attributed to management, leadership, and control strategies (Krentzman, 1997). Control mechanisms such as bureaucratic control, market control, clan control and management audits can vary in effectiveness and have positive and negative aspects that affect Nike as an expanding organization. These controls impact the functions of management and can be compared and contrasted to evaluate their uses.
The Four Steps of Control Management controls are a necessary tools used by all levels of management to ensure personnel stride toward a consistent goal. These controls are ways to restrict or maintain behaviors within the company. Nike uses these controls to do just that. Similar to other companies, Nike controls the company by using the four basic steps of control: setting performance standards, measuring performance, comparing performance against the standards and determining deviations and taking action to correct problems and reinforce successes.
Types of Control Mechanisms Bureaucratic Control Bureaucratic control is created by using a set of rules gauged by an authority to guide the workforce in the way that they should perform. Market Control Market control is the way that a company will use profit and loss as a means to guide production and pricing. Allowing the market to control the way the company operates economically. Clan Control Clan control does not primarily focus on business aspects of employment, rather the way employees conduct themselves interpersonally to work together in achieving goals for the company. Management Audits Management audits are a way that a company can investigate on the effectiveness and
References: Arter, D.R. (2000). Quality digest. Quality Digest. Retrieved from http://www.qualitydigest.com/april00/html/management.html Bateman, T.S., & Snell, S.A. (2009). Management: Leading and Collaborating in the Competitive World (8th ed.) . Retrieved from University of Phoenix eBook Collection database. Krentzman, J. (1997). The Force Behind the Nike Empire. [Magazine]. Stanford magazine(Jan. / Feb.).