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Management Control Systems




                    Notes
                                                 Figure 10.3:  Macro Cybernetic  Control  Systems  Framework
                                                        Macro Cybernetic Control Systems Framework
                                                                         Management
                                                         EXTERNAL                         Improvements
                                       Initial Conditions  Environment    Systems
                                                       (Uncontrollable)
                                                                           Internal
                                                                         (Controllable)
                                                                           External
                                                                       (uninfluenceable)






                                         Entity        Critical success         Performance
                                                        factors and                                Status
                                                        Impediments              Measures




                                                                                                     X


                                        Stakeholder
                                         Goals and
                                         Strategies                                                Ideal


                                   The framework can be understood by viewing it from left to right. The initial conditions or state
                                   of the organization are taken as given. Stakeholders, goals and strategies for attaining them are
                                   elicited. Critical Success factors and impediments are identified, leading to the identification of
                                   appropriate performance measures. The MSSM is designed to control the factors  that can be
                                   controlled, to predict uncontrollable factors and to influence these external factors that cannot
                                   be controlled. Status reports are prepared periodically comparing actual performance against
                                   ideal performance.




                                     Notes  Gaps are a signal that the changes must be made and improvement sought.




                                      Tasks
                                       1.   What does the MSSM stand for?
                                            (a)  Mutually supportive systems model

                                            (b)  Mutual strategic management system model
                                            (c)  Managing strategic and subsystem model
                                            (d)  None of these.
                                       2.   Who coined the term “cybernetics?”

                                            (a)  Richard Mason           (b)  N.Weiner
                                            (c)  Robert Anthony          (d)  Stafford Beer




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