Management Control System (ePub)

The use of Management Control Systems initiated from the
times when globalization came into being all across the world
as this was a beginning of the phase of industrial competition
among the different industries in the market. The environment
of management control systems was introduced in the
companies as they started to face changes in size, structure,
processes within the organization; complexities associated with
administrative problems increased; internationalization of
industrial demands began keeping in mind the geographical
scope of the world.
It is very important for a company or an industry to have a
management control system in order to respond accurately and
accordingly to the global demands and is also essential for the
successful achievement of the company's objective.
By definition, a management control system has the function of
gathering information and using the gathered information for
evaluation of certain important organizational resources like
human resources, physical resources, financial resources etc and
also of the whole company against other companies in the
globalized market.
Without an effective management control system, the company
may not even be aware of the strategies that they have used
for achieving its goals are feasible enough or not for enabling
the company to attain the pre-decided set of goals and
objectives.
The control system is the main body which responsible for
carrying out the tasks of Management Control System. The
control systems are responsible for keeping a check if the
processes are going as planned or not and if there is any
presence of errors or deviations in the process. in case of any
discrepancies, the control system also suggests some remedies
to resolve the deviations and the errors.