Chapter 15: Control
1. Introduction to Control
Control is the process of establishing performance standards, monitoring performance,
and taking corrective action when necessary to ensure the achievement of organisational
goals. In this process, the actual performance of employees is measured to determine
whether it aligns with pre-established standards. Monitoring is essential to ensure that the
organisation remains on track to meet its goals. When actual performance deviates from
expectations, corrective actions are necessary. Therefore, control can be defined as a
management process through which actual employee performance is measured against
established standards, and corrective action is taken when necessary to optimise overall
organisational performance.
2. Purpose and Importance of Control
Control systems ensure that decisions, actions, and outcomes remain consistent with the
organisation's plans, goals, and objectives. Without accurate and timely information,
effective planning is nearly impossible. Control mechanisms provide this crucial feedback,
allowing managers to learn from past performance and adjust future strategies accordingly.
Essentially, controls ensure that plans are implemented as intended and remain
responsive to changing conditions.
3. Types of Organisational Control
There are three main types of organisational control. Preventative or proactive control
refers to mechanisms designed to reduce errors in advance, thereby minimising the need
for reactive correction. These controls focus on inputs in the transformation process and
aim to identify and prevent deviations before they affect outcomes. Concurrent or steering
control monitors activities as they happen. These controls allow organisations to address
problems in real-time rather than after the fact. This type of control is especially useful in
time-sensitive processes where immediate adjustments are needed. Lastly, post-control
or reactive control is implemented after an event or action has occurred. Its purpose is to
reduce or eliminate undesired behaviours or results and ensure alignment with
organisational standards.
4. Levels of Control
The foundations of control within most organisations consist of four key levels:
stakeholders, the organisation itself, groups or teams, and individuals. Stakeholder control
refers to external pressures on an organisation, such as those from unions, government
institutions, customers, or shareholders. These pressures can prompt organisations to
change behaviour or adjust strategies. Organisational control includes formal mechanisms
such as rules, procedures, standards, budgets, and audits that are put in place to prevent
or correct deviations from plans. Group control consists of shared norms and values
among team members. These social controls are enforced through informal means like
peer pressure, rewards, or sanctions. For instance, a group might informally discourage
inappropriate remarks in meetings by upholding standards of professionalism. Individual
self-control involves the internal guiding principles—both conscious and unconscious—
that influence personal behaviour. As professional standards rise, individual self-discipline
becomes increasingly vital to organisational performance.
5. The Control Process
The control process itself involves several distinct steps. First, the relevant subsystem
must be defined. Next, key characteristics within that subsystem are identified.
Performance standards are then set for control purposes. Once standards are in place,
relevant data is collected, and actual performance is compared to these benchmarks. If
discrepancies are found, diagnosis and corrective actions are required. Each step in the
control process contributes to the detection, reduction, or elimination of deviations from
planned performance.
6. Characteristics of Effective Control
Effective control mechanisms must be assessed in terms of both their cost and benefit.
They should be clearly linked to organisational goals, be objective, timely, understandable,
and accepted by employees. Additionally, effective controls should be complete,
economical, corrective, participative, and flexible to adapt to dynamic business
environments.
7. Control and Performance Management
Organisational performance is defined by how efficiently and effectively resources are
used to meet customer needs and achieve organisational goals. The better managers
utilise resources and meet customer expectations, the higher the organisation’s
performance. Performance management is evaluated through two dimensions: efficiency
and effectiveness. This system enables managers and employees to develop and
communicate performance standards, observe and assess employee activities,
understand situational and contextual variables, provide timely feedback, conduct
meaningful appraisals, and align individual, team, and organisational objectives to optimise
results.
8. Conclusion
In summary, the control function is essential to management as it ensures that
organisations remain on course to achieve their goals. By detecting deviations early and
implementing corrective measures, control enhances overall performance and strategic
alignment.
Source: Hellriegel, D., Slocum, J., Jackson, S., Louw, L., Staude, G., Amos, T., Klopper,
H., Louw, M., Oosthuizen, T., Parks, B., & Zindiye, S. (2012). Management (5th South
African ed.). Cape Town: Oxford University Press.