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Behavioral Control
The author of this report is asked to define the three levels of behavioral control and why it is important to strike the balance between them. Of course, those three levels, per chapter nine of the suggested text, are culture, rewards and boundaries. Stressing only one (or even just two) of those three dimensions can yield decent to good results. However, pushing all three and in a complementary fashion is the best way to proceed and the suggested text make it very clear why this is the case (Dess, 2009).
Three Levels of Behavioral Control
The three dimensions introduced in the first section of this paper are complemented by four characteristics of any good control system. First, there should be a focus on constantly changing information that has a potential strategic performance. Second, the information in play is important enough to demand frequent and regular attention from all levels of the organization. Third, the data and information generated...
Fourth, and finally, the control system is a key catalyst for an ongoing debate about underlying data, assumptions and action plans (Dess, 2009).
The aforementioned triad of behavioral control dimensions, those being boundaries, culture and rewards, can be thought of as a model that is in the shape of a triangle with all three parts of the model connected to each other by bi-directional arrows, just like is depicted on page 317 of the selected text. The first part of that triad is culture. Having a strong and defined organizational culture is important. This culture must be fostered and it must be effective. A culture that is too pliable for that is shifted by unproductive and unhelpful opinions and shifts is only going to hurt a firm (Dess, 2009).
A major way to keep people moving in the right direction is a second part of the model, and that is a reward system. In short, a proper reward…
References
Dess, G.G., Lumpkin, G.T., & Eisner, A.B. (2009). Strategic management: text and cases (5th ed.). New York: McGraw-Hill Irwin.
Lavelle, L. (2002, January 20). Commentary: How Governance Rules Failed at Enron
Businessweek. Businessweek - Business News, Stock market & Financial
Advice. Retrieved October 2, 2013, from http://www.businessweek.com/stories
Entertainment, Classifieds - SFGate. Retrieved October 2, 2013, from http://www.sfgate.com/opinion/openforum/article/BP-must-heal-a-weak-corporate-culture-3256881.php
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