Strategic control
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Process of strategic control is in close relationship with the implementation of strategy phase. It can be generally understood as a comparison of measures of the effects of implementing the strategy with the objectives of the strategic plan. Strategic control is closely linked to the implementation of management information function.
Objectives of strategic control
The main task of strategic control is stating whether the goals to which company aspires, are accomplished or to indicate as early as possible the need for modification of action plans and objectives - according to changes in the environment. This task is intended as a continuous process of obtaining and processing information, done in parallel with strategic planning (formulation and execution).
The essence of strategic control
The essence of strategic control can be summarized as follows:
- Strategic control involves constant monitoring of external and internal determinants of action and progress in achieving strategic objectives,
- Strategic control involves the company, treated as an organization, as well as the strategic unit, the main functions of business and markets, and basic operating processes running in the enterprise,
- Strategic control is focused on the evaluation of processes and results of operations, but also detection and interpretation of signals about upcoming changes (emerging problems) before they trigger negative consequences for the company,
- Strategic control is conducted using management information systems,
- Strategic control is closely linked to strategic planning. Control operations and tools are built into the planning process, and control is an important strategic instrument for the implementation and execution of strategy.
See also:
References
- Asch, D. (1992). Strategic control: A problem looking for a solution. Long Range Planning, 25(2), 105-110.
- Bungay, S., & Goold, M. (1991). Creating a strategic control system. Long range planning, 24(3), 32-39.
- Hill, C., Jones, G., & Schilling, M. (2014). Strategic management: theory: an integrated approach. Cengage Learning.
- Lorange, P., Morton, M. S. S., & Ghoshal, S. (1986). Strategic control systems. West Group.
- Mintzberg, H. (1990). The design school: reconsidering the basic premises of strategic management. Strategic management journal, 11(3), 171-195.
- Pearce, J. A., Robinson, R. B., & Subramanian, R. (2000). Strategic management: Formulation, implementation, and control. Columbus, OH: Irwin/McGraw-Hill.
