Management Control Essay

481 Words2 Pages
Management control should be designed to match the strategy of an organization. Otherwise, management control will be meaningless to the organization and may even prevent the organization from being successful. If management control of an organization does not match its strategy, management control will not be effective and efficient. As mentioned in Part 1, it is important for the Government to determine the strategy before establishing management control over the services provider Ornge. Management control over Ornge should focus on reducing the cost of providing medical transport services without deteriorating the quality of the services because the strategy of the Government is cost strategy regarding the medical transport. Failing to align management control with the strategy will lead to ineffective management control. Therefore, an organization should always ensure that there is no conflict between management control and strategy. Only if management control is set according to the strategy will an organization be able to achieve its goals. The cost strategy is determined according to the Government’s goal of meeting the needs of the public and Ontario’s health-care system. Therefore, aligning management control with this strategy also ensures that management control matches the Ministry’s goal of satisfying the public’s need for medical transport services, which is also the reason the Ministry appoints a non-for-profit corporation to be responsible for ambulance operations. As management control aligns with the goal, the Ministry’s control over Ornge can ensure that Ornge provides effective and efficient medical transport services to the public. The matching of a strategy and a management control system should be always possible. Management control is the behaviour of directors to supervise the operations of the organization, which signifies that management
Open Document