Wednesday, February 18, 2009

Strategic Control vs. Organizational Control

As defined in module 6, strategic control is a special type of organizational control that focuses on monitoring and evaluating the strategic management process to make sure that it functions properly. Organizational control is monitoring the activities and includes: measuring performance, comparing measured performance to standards, and taking corrective action. Is the main difference that strategic control focuses on providing feeback for whether steps are appropriate, compatible, and functioning appropriately while organizational control is the process of monitoring and improving the activities within the organization?
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3 comments:

  1. LyubaFebruary 18, 2009 at 3:47 PM

    My understanding of the text was that organizational control is just a broader and more general type of control compared to the more specific and comprehensive strategic control. Indeed there are three types of control that go under the umbrella of organizational control: the widely discussed by us strategic control, management control, and operational control. Once you perform an in depth analysis on the nature of your company operations in general, you can specifically choose an area in which to perform the necessary measurements, evaluation and implementation of changes associated with a specific type of control. Here is a link where you can read more about the different types of organizational control: http://www.strategic-control.24xls.com/en113

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  2. Shane ClevelandFebruary 18, 2009 at 5:38 PM

    Good point!
    It was also my impression from the reading that strategic control is really just a subset of organizational control. Organizational control encompasses the activities of strategic control as well as other control activities: production control, inventory control, and quality control.

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  3. Hannah WalshFebruary 21, 2009 at 3:29 PM

    Thanks Lyuba and Shane! I see how organizational control encompasses the activities of strategic control, but I didn't initially link the other control activities besides strategic control to organizational control. Both of your posts have been helpful.

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