Explain methods managers use to measure performance in a control system.

Question

What will be an ideal response?

Answer 1

Student answers will vary but should demonstrate understanding of how to methods used to measure performance in a control system. Managers can count units produced, websites viewed, days absent, samples distributed, and dollars earned. Performance data commonly are obtained from three sources: written reports, oral reports, and personal observations. Written reports include computer-generated reports. Thanks to computers' data-gathering and analysis capabilities and decreasing costs, both large and small companies can gather huge amounts of performance data. One common example of oral reports occurs when a salesperson contacts his or her immediate manager at the close of each business day to report the accomplishments, problems, or customers' reactions during the day. The manager can ask questions to gain additional information or clear up any misunderstandings. When necessary, the discussion can generate tentative corrective actions. Personal observation involves going to the area where activities take place and watching what is occurring. Managers can directly observe work methods, employees' nonverbal signals, and the general operation. Personal observation gives a detailed picture of what is going on, but it has some disadvantages. It does not provide accurate quantitative data; the limited information usually is general and subjective. Employees can misunderstand the purpose of personal observation as mistrust.