'Control Systems are a management tool. It should be helpful to all and frightening to none. Control does not mean some tyrannical, unfair, or authoritarian management tactic. Control can be defined as 'the means or methods used to keep the operation functioning smoothly and profitably for all concerned'. Managerial control refers to the sensible safeguards that management sets up to help the operation succeed.'
Behind Bars by Ray Foley
1. Drawing on contributions from others in your tutor group, compare the management control system in your organisation (or part of it) with a least one other student's organisation.
2. Evaluate the effects of your organisation's management control system on performance, employee behaviour and learning.
This report compares and considers the application and Classical and Post Modern forms of control at Pestana Hotels and Resorts and Open University Worldwide. I have used the submissions that Geoff Green provided in the Cluster B section and have also exchanged some information via the email system.
In the second part of the report I have evaluated the effects, employee behaviour and learning effects of PH&R management control system on performance.
COMPARISON PH&R AND OUW
The Open University Worldwide, according to Geoff, generally is very structured in terms of processes and systems as it provides provide high quality support for HE courses to a quarter of a million students each year. The OUW is the OU's commercial arm, and a separate limited company.
Pestana Hotels & Resorts is a virtually integrated and structured organisation, where we have Hotels, Tour Operators, Travel agents, Rent-a-car agencies and an airline.
Table 1. Comparison of management control systems
PESTANA HOTELS & RESORTSOPEN UNIVERSITY WORLDWIDE
Management control systemClassical/mechanistic
*PH&R has a hierarchical structure and strict administrative controlsClassical/mechanistic
*OUW has hierarchical structure and strict administrative controls...