8- Describe how the four management control system elements discussed in the chapter might be used for feedback control within organizations. Compare and contrast this four-part system with use of the balanced scorecard
The four elements are (all help provide managers with a balanced view):
• Budget and financial reports : typically used to set targets for the organization's expenditures for the year and then report actual costs on a monthly or quarterly basis.
• Periodic nonfinancial statistical reports: Used to evaluate and monitor nonfinancial performance, such as customer satisfaction, employee performance, or rate of staff turnover.
• Reward systems: offer incentives for managers and employees to improve performance and meet departmental goals. Evaluate how well previous goals were met, set new goals, and establish rewards for meeting the new targets.
• Quality-control systems : Used to train employees in quality-control methods, set targets for employee participation, establish benchmarking guidelines, and assign and measure Six Sigma goals