Management Control in the Context of Tactical Control

‭Management control in the context of tactical control‬ ‭ anagement control or the internal control system includes "the‬ M ‭management of an organization controlled and applied process for‬ ‭c ontrolling the execution of business activities". Management control, as the‬ ‭most important instrument of the internal management system is aimed at‬ ‭implementing and achieving predefined goals.‬ ‭Traditionally, management control has been based on a control loop concept. This‬ ‭view of control based on the cybernetic measurement and control principle, it is also‬ ‭known as‬ ‭„diagnostic control‟.‬ ‭ anagement control can take place with more than just diagnostic control systems. In‬ M ‭this context, Robert Simons' approach is important. Simons states that management‬ ‭control is the result of four types of control systems. In addition to the „diagnostic control‬ ‭system‟ mentioned above, he successively also recognizes „boundary systems‟, „belief‬ ‭systems‟ and „interactive control systems‟.‬ ‭T he emergent strategy plus the intended strategy is the realized strategy.‬ ‭Beliefs systems/strategy as perspective/mission‬ ‭ his system is aimed at transferring fundamental values and standards to employees. These‬ T ‭standards and values provide direction where detailed work instructions are not sufficient.‬ ‭Consequences for administrative information provision: actually falls outside the scope of BIV.‬ ‭Emphasis on communication of the mission, often in the form of slogans.‬ ‭ oundary systems/strategy as position/strategy‬ B ‭This system is based on the idea that employees must be told what they are not allowed to do.‬ ‭W ithin these clear boundaries, employees are encouraged to adopt innovative and enterprising‬ ‭behavior.‬ ‭These are the brakes on the organization, often expressed in negative terms. The boundaries‬ ‭within which one operates. Compare with the Ten Commandments from the Bible.‬ ‭Boundaries and one can maneuver freely within it. If one crosses the border, one should be‬ ‭'punished' become. The brakes of the organization.‬ ‭ imons: “High-Performing businesses need good brakes, just like high-performing cars.‬ S ‭Cars have brakes for two reasons. First, and most obvious, they allow the driver to slow the‬ ‭c ar down and stop safely.‬ ‭However, cars have brakes for another reason. They give the driver the confidence to go very‬ ‭fast.‟‬ ‭ onsequences for administrative information provision: rules and sanctions regarding‬ C ‭what is not considered acceptable. Breaking the rules is measured.‬ ‭Diagnostic control systems/strategy as plan/objectives‬ ‭ ocused on monitoring results and making adjustments if necessary if results are not‬ F ‭achieved. Measuring is knowing. What we measure is what we get. In other words, rational‬ ‭decision-making and management. Set measurable standards in advance and measure‬ ‭afterwards to what extent reality deviates from the standard and then make adjustments if‬ ‭necessary. Putting the organization on autopilot (management by exception). This is‬ ‭m anagement control in the narrow sense (according to Anthony). We assume management‬ ‭c ontrol in a broad sense, including the other three levers of control. This includes the KAD‬ ‭m odel.‬ ‭Input‬ ‭P rocess‬ ‭Output‬ ‭To measure‬ ‭Adjust‬ ‭Norm‬ ‭ n organization must be managed according to the above overview. Just like a‬ A ‭c entral heating thermostat works.‬ ‭Consequences for administrative information provision: deviations from the planned results.‬ ‭Interactive control systems/strategy as pattern (learning process)/feedback, negotiation‬ ‭ ith these systems, employees are directly involved in decisions about the ins and outs‬ W ‭of the organization. Talking to people, consulting and setting goals together. Where‬ ‭diagnostic controls focus on implementation of the intended strategy (current strategy),‬ ‭interactive controls focus on strategic uncertainties and the development of new‬ ‭strategies in mutual dialogue.‬ ‭ onsequences for administrative information provision: informal, ad hoc, oral. Actually falls‬ C ‭outside the scope of the BIV course‬ ‭ imons' model contributes to the implementation of the planned strategy (the‬ S ‭so-called “Intended Strategy") as well as observing developments that are‬ ‭important for the new strategic direction of the company (the so-called Emergent‬ ‭Strategy).‬ ‭Relationship of management information with levers of control‬ ‭ anagement information is a typical example of one of the products of the‬ M ‭diagnostic control system. The other subsystems partly determine the quality of the‬ ‭information and the way in which the organization deals with it. The boundary‬ ‭systems guarantee the quality of the information for decision-making and‬ ‭accountability. For example, guidelines may have been established that‬ ‭determine who is responsible for entering, checking, editing and reporting data and‬ ‭which data this official may or may not modify or consult. The culture (belief‬ ‭systems) influences the way in which importance is attached to management‬ ‭information and the way in which management is actually based on factual‬ ‭information. The interactive control systems mainly use informal information to‬ ‭serve as input for decision- making about the organization's strategy. The question‬ ‭is whether this can be regarded as a subsystem, because we believe that‬ ‭developing the strategy to be followed does not belong to the management control‬ ‭system.‬