管 理 學 Ch.18 控制 Controlling Activities and Operations

1. 管 理 學Ch.18 控制 Controlling Activities and Operations *I like criticism. It makes you strong. - LeBron James *I think it’s very important to have a feedback loop, where you’re constantly thinking about what you’ve done and how you could be doing it better. - Elon Musk, CEO, Tesla Motors & Space X

2. 1. 測速槍，恆溫器, SOP, KPI 2. 計畫，執行，考核。Plan, Do, See. PDCAB. 3. 新進菜鳥：觀望計較；老鳥：朝九晚五奉公守法；核心幹部：關心大我長期發展。 4. 內部培訓幹部：買硬體器材，找講師， 自動加班設計適用課程教材。 5. Grove 換車胎，遇紅綠燈，見傷者送醫。

3. KPI設定正確？多挑短期、易量化 1. Business: 模仿跟進。跟策略、目標有關？ Liquidity: current ratio, Leverage: debt to assets, Activity: inventory turnover, Profitability: return on investment. Balanced Scorecard (BSC): 爭取新客戶數，店數成長… 2. Government: 被動, 形式化, 討價還價, 部屬不服, 領導放水。觀光總收入, 客運量… (直接比較自己過去, 競爭對手現在)。報案電話10秒內接通的比率，海關電子申報10分鐘內處理的比率，民間退稅14天內完成的比率，桃園機場服務品質之國際評比排名。 3. University:重量不重質。 發表論文數，接計畫金額，招生數 …。 授課內容，態度與方法 … STAR, 2A3P.

4. 綱要 1. 控制之基本概念 What and Why? 2. 控制之程序 Control Process 3. 衡量組織績效 How Organizational Performance is Measured? 4. 控制組織績效之工具 Tools for Measuring Organizational Performance 5. 有關控制之實務課題 Contemporary Issues

5. 18.1 What Is Control? • Controlling - the process of monitoring, comparing, and correcting work performance. • The Purpose of Control • To ensure that activities are completed in ways that lead to the accomplishment of organizational goals. 討論：control 之中譯？

6. Designing Control Systems • Market Control （市場） Emphasizes the use of external market mechanisms to establish the standards. e.g., cost, market share. • Bureaucratic Control （科層） Emphasizes organizational authority and relies on rules, regulations, procedures, and policies. • Clan Control （文化） Regulates behavior by shared values, norms, traditions, rituals, and beliefs of the firm’s culture.

7. Why Is Control Important? • As the final link in management functions: • Planning • Controls let managers know whether their goals and plans are on target and what future actions to take. • Empowering employees • Control systems provide managers with information and feedback on employee performance. (vs. micro-management) • Protecting the workplace • Controls enhance physical security and help minimize workplace disruptions.

8. The Planning-Controlling Link 8

9. 18.2 控制之程序 1. 衡量實際績效, Measuring actual performance. 2. 和標準比較, Comparing actual performance against a standard. 3. 採取管理行動, Taking managerial action to correct deviations or inadequate standards.

10. The Control Process: MBE 10

11. Sources of Information (How) Personal observation 農夫腳步 Statistical reports Oral reports Written reports Control Criteria (What) Customers/Employees Satisfaction Turnover Absenteeism Budgets Costs Output Sales Measuring: How and What

12. Sources of Information for Measuring Performance

13. Comparing: SQC chart: random? trend? Defining the Acceptable Range of Variation

14. Green Earth Gardening Supply — June Sales

15. 賣酒公司為例 Sales Performance Figures Standard 1,075 630 800 620 540 160 225 80 170 Actual 913 634 912 622 672 140 220 65 286 Over (under) (162)＊ 4 112＊ 2 132＊ (20)＊ (5) (15)＊ 116＊ Brand Heineken Molson Irish Amber Victoria Bitter Labatt’s Corona Amstel Light Dos Equis Tecate 15

16. Taking Managerial Action • “Doing nothing” • Corrective Actions:Change strategy, structure, compensation scheme, training programs, redesign jobs, fire employees • Immediate: correct the problem at once. 拉牛出溝 • Basic: correct the source of the deviation. 防牛再陷 • Revising the standard • Resetting goals that were initially set too low or too high.

17. Managerial Decisions in the Control Process學生學習為例 17

18. 18.3 Organizational Performance • What Is Performance? The end result of an activity. * KPI: Key Performance Indicator

19. Performance Measures • Productivity: the overall output of goods and/or services divided by the inputs needed to generate that output. • Organizational Effectiveness • Systems resource model • The process model • The multiple constituencies model

20. Industry and Company Rankings Sales, Profits, Revenue per employee: Fortune 1000, Forbes 500, 製造1000大, 服務500大, 金融100大 Customer satisfaction surveys: ACSI, JD Power Others: Corporate culture audits, Compensation and benefits surveys 20

21. Popular Industry and Company Rankings

22. Controlling for Employee Performance • Disciplinary actions - actions taken by a manager to enforce the organization’s work standards and regulations. • Delivering Effective Performance Feedback - managers need to provide their employees with feedback so that the employees know where they stand in terms of their work.

23. Types of Discipline Problems and Examples

24. 18.4 Tools for Controlling OP • Feedforward Control A control that prevents anticipated problems before actual occurrences of the problem. e.g., Building in quality through design. Requiring suppliers conform to ISO 9002. • Concurrent Control A control that takes place while the monitored activity is in progress. e.g., Direct supervision: management by walking around (MBWA). • Feedback Control A control that takes place after an activity is done.

25. Types of Control: 考試作弊為例 Input Processes Output Feedforward Control Concurrent Control Feedback Control Anticipates problems Corrects problems as they happen Corrects problems after they occur 25

26. Financial Controls Traditional: 比自己過去，比別人現在 Liquidity: current ratio Leverage: debt to assets Activity: inventory turnover Profitability: return on investment Balanced Scorecard 26

27. Popular Financial Ratios

29. Operation Excellence 營收、獲利：每三年成長一倍 ROA ≧10％ ROE ≧ 20% Debt Ratio ≦ 50% CCC (Cash Conversion Cycle) ≦ 30天 討論：BU: ROIC (Investment Capital) ≧ 20% 29

30. 平衡計分卡: Balanced Scorecard, by Kaplan, R. S. • BSC Is a measurement tool that uses goals set by managers in four areas to measure a company’s performance: • Financial • Customer • Internal processes • People/innovation/growth assets • 傳統財務會計模式只重短期財會指標 • 討論：杜教授改期中考卷，十五世紀威尼斯商人， Grove的早餐工廠，生命中同時拋接的五個球。

31. BSC 31

32. Information Controls • As a tool to help managers control other organizational activities. e.g., ERP, RFID. • Management Information Systems (MIS): A system used to provide management with needed information on a regular basis. • EDP, DSS, ES, AI. • 成績預警系統

33. Benchmarking of Best Practices • Benchmarking - the search for the best practices among competitors or non-competitors that lead to their superior performance. • Benchmark - the standard of excellence to measure and compare against.

34. Suggestions for Internal Benchmarking

35. 18.5 Contemporary Issues in Control 1. Cross-Cultural Issues • The use of technology to increase direct corporate control of local operations • Legal constraints on corrective actions in foreign countries • Difficulty with the comparability of data collected from operations in different countries. 討論：外商公司360度績效考核

36. 2. Workplace Concerns • Workplace privacy versus workplace monitoring: • E-mail, telephone, computer, and Internet usage • Productivity, harassment, security, confidentiality, intellectual property protection. e.g., 高層涉嫌內線交易、集體收賄，機密外洩（轉寄公司策略，設計圖，介面外流），帶槍投靠競爭對手，工研院 Top 5, 電子監控系統，凡走過必留痕！預防，控告，偵辦中，和解。 • Employee theft • The unauthorized taking of company property by employees for their personal use. • Workplace violence • Anger, rage, and violence in the workplace is affecting employee productivity. e.g., Road rage.

37. Types of Workplace Monitoring by Employers

38. Control Measures for Employee Theft or Fraud

39. Workplace Violence Witnessed yelling or other verbal abuse 42% Yelled at co-workers themselves 29% Cried over work-related issues 23% Seen someone purposely damage machines or furniture 14% Seen physical violence in the workplace 10% Struck a co-worker 2%

40. Control for Deterring or Reducing Workplace Violence

41. 3. Service profit chain - the service sequence from employees to customers to profit.

42. *留住顧客 *再光顧 *介紹其他顧客 *服務顧客的 結果 *工作環境的設計 *工作設計 * 員工的評選與發展 *獎勵表揚員工 *顧客服務的工具 *設計及提供服務 以滿足目標顧客的 需求 服務利潤鏈 42

43. 4. Corporate governance - the system used to govern a corporation so that the interests of the corporate owners are protected. • Changes in the role of boards of directors • Increased scrutiny of financial reporting (Sarbanes-Oxley Act of 2002) • More disclosure and transparency of corporate financial information • Certification of financial results by senior management

44. 回顧 1. Explain the nature and importance of control. planning - controlling link, market,bureaucratic, clan control 2. Describe the three steps in the control process: monitoring, comparing, correcting 3. Explain how organizational and employee performance are measured. 4. Describe tools used to measure organizational performance. feedforward, concurrent,feedback control 5. Discuss contemporary issues in control.

45. 1. Thinking critically about ethics (p.657) (1) Identifies Dilemma. (2) Considers Stakeholders (3) Analyzes Alternatives and Consequences 2. Workplace confidential: Unfair performance review (p.641) Statistically speaking, managers dislike, employee become defensive … (1) Listen closely to what your boss is saying. Stay calm and cool. Ask what you can do to improve. Request more feed back between reviews. (2) Challenging your performance appraisal: request a copy, scheduling a meeting with your boss, HR department. Writing a rebuttal: short and to the point, don’t attack your boss and organization, stay positive and respectful, control your negative emotions, address only the specific issue. (3) The worst-case scenario. Do your assignment 45 45

46. Developing your performance feedback skill 1. Schedule the feedback session in advance and be prepared. 2. Put the employee at ease. 3. Make sure the employee knows the purpose of this feedback system. 4. Focus on the specific rather than general work behavior. 5. Keep comments impersonal and job-related. 6. Support feedback with hard data. 7. Direct the negative feedback toward work-related behavior that the employee controls. 8. Let the employee speak. 9. Ensure that the employee has a clear and full understanding of the feedback. 10. Detail the future plan of action.

47. market control bureaucratic control clan control control process range of variation immediate corrective action basic corrective action organizational performance productivity organizational effectiveness feedforward control concurrent control feedback control management by walking around (MBWA) economic value added (EVA) market value added (MVA) management information system (MIS) data information balanced scorecard employee theft service profit chain corporate governance Terms to Know