MNG00313_TOP8_2011.pptVIP

MNG00313: Topic 8 - Slide * Topic 8: Controlling the Business Contents (Ch. 12 - part): Levels of control in international business Managing the international business control function Controlling productivity in international business Controlling quality in international business Controlling information in international business Interested in jobs related to the control function? for examples see T8_1, T8_2 and T8_3 1.0 Levels of control in international business LEVELS OF CONTROL IN INTERNATIONAL BUSINESS Strategic control Organisational control Operations control Control is the process of monitoring and regulating activities in a firm so that some targeted measure of performance is achieved or maintained; for examples of control issues see T8_4, T8_5, T8_6, T8_9 and T8_10 – all re NAB Refer to next slide Figure 12.7 Levels of control in international business Refer to page 420 Eg. Nestle subsidiaries reporting to Switzerland HQ (see Map 12.1) Refer to page 423 Map 12.1 A sampling of Nestlé’s global holdings, subsidiaries and affiliates Copyright ? 2001 Pearson Education Australia 2.0 Managing the international business control function MANAGING THE CONTROL FUNCTION IN INTERNATIONAL BUSINESS Establishing international control systems: four basic steps - set control standards for performance; measure actual performance; compare performance against standards; and respond to deviations (refer next slide) Essential control techniques: many available but 3 to discuss are accounting systems, procedures, and performance ratios Behavioural aspects of international control: consider resistance to control - why does it happen? How can it be overcome? Refer to page 426 Figure 12.8 Steps in international control 3.0 Controlling productivity in international business CONTROLLING PRODUCTIVITY IN INTERNATIONAL BUSINESS Productivity around the world: expect fluctuations across regions and over time Managing productivity: RD spend, review of operations, em