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Control is a regulatory process of establishing standards to achieve organizational goals, comparing actual performance to the standards, and taking corrective action when necessary to restore performance to those standards. Control is achieved when behavior and work procedures conform to standards and when company goals are accomplished. Standards are a basis of comparison for measuring the extent to which organizational performance is satisfactory or unsatisfactory. Standards can also be determined by benchmarking other companies. Benchmarking is the process of determining how well other companies (though not just competitors) perform business functions or tasks. The next step in the control process is to com- pare actual performance to performance standards. The quality of the comparison depends largely on the measurement and information systems a company uses to keep track of performance. The better the system, the easier it is for companies to track their progress and identify problems that need to be fixed. The next step in the control process is to identify performance deviations, analyze those deviations, and then develop and implement programs to correct them. Control is a continuous, dynamic, cybernetic process, and not a one-time achievement or result. It continues over time (i.e., it is dynamic) and requires daily, weekly, and monthly attention from managers to maintain performance levels at the standard (i.e., it is cybernetic). The three basic control methods are feedback control, concurrent control, and feedforward control. To determine whether the control is worthwhile, managers need to carefully assess regulation costs, that is, whether the costs and unintended consequences of control exceed its benefits.
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