University of PhoenixEnergizer Control MechanismsOrganizational, business and individual systems developed by a corporation, whether applicable companywide or tailored to specific segment of the corporation, are considered control mechanisms. These mechanisms are elemental forces crucial in keeping a company focused on its progress and performance. Organizations use control mechanisms to help regulate guidelines and procedures which contribute toward effectively achieving organizational goals. The purpose of this paper is to explore the four types of control mechanisms used by Energizer through compare and contrast to determine the effectiveness of each my examining the positive and negative reactions to the control mechanisms in order to explain how the different control mechanisms impact the four functions of management throughout the organization.
Budgetary controls are a well known and frequently used control measure throughout corporate America and the international business market system. Budgetary controls are used to align the various company operating costs with the company's strategic goals and to either verify goal attainment or to plan corrective action.
Throughout its existence, Energizer has implemented many different budgetary controls reaching across numerous and diverse product lines.
With the battery division, product budgets were used to limit the expenses for the cost of raw materials and equipment, production personnel and the marketing and placement of new products into circulation. As Energizer expanded its business into Schick-Wilkinson Sword and Playtex, a capital budget was created to establish a threshold on the cost of office building real estate, warehouses and plants and the operating and maintenance costs. When Energizer decided to expand into the new area of personal products, the management designed and implemented a sales budget to manage the increased cost of entering into a new market. With the budgetary controls in place, Energizer has managed to keep operating costs at an acceptable level and experienced remarkable...