Strategic control is a phase of the administrative process that measures and evaluates the performance of an institution or company, in order to be able to apply corrective measures.
It could also be said that strategic control is an evaluation process that every company does to be able to control and value all the activities and processes that take place within it. Thus trying to verify if the previously established plans are being fulfilled.
On the one hand, if it were the case that in a company
If the objectives are being achieved, it must be known what is
is performing incorrectly or improperly, for the purpose of
correct mistakes made.
Above all, we could say that strategic control is the final part of the strategic management system process that a company implements, in order to ensure that the company is working well.
On the other hand, it should be clarified that the control
Strategic is also known as organizational control.
What is strategic control for?
Every company applied by the strategic control process seeks to achieve the following objectives:
- Verify the achievement of the objectives proposed by the company, according to the established deadlines and times.
- Try to achieve the objectives at the lowest possible cost, so that the resources are used effectively and efficiently.
- Incentivize and motivate the company’s human resources, so that they assume the commitment to cooperate to achieve the objectives proposed in the plan.
Stages of implementation of the strategic control process
To develop and implement the strategic control process, the next stages:
1. Definition and establishment of objectives
Of course, at the beginning of the process, they must be delimited and
structure the goals and achievements that the company hopes to achieve; as well as
establish the times in which the achievement of the objectives would be expected.
These objectives undoubtedly reflect the level of performance that the company expects to achieve, these become the norm or the direction to be followed in the actions of the company.
2. Measurement of results
Then we proceed to make the necessary measurements to know if the results achieved in real form coincide with those proposed objectives.
Indeed, in this phase measurements must be carried out clear and precise, otherwise errors or omissions in measurement.
3. Evaluation of results
In fact, at this stage, it is evaluated whether the proposed objectives are actually being achieved. Given the case that the expected results are not being obtained, we seek to know what are the causes or reasons to be able to take corrective actions.
Although, it is recommended that in this phase establish certain margin limits considered tolerable by not achieve the objectives, if the established limits are exceeded, it will be It is necessary to make the respective corrections.
4. Application of corrective actions
Finally, knowing the causes and reasons why the objectives are not achieved, measures must be established to help correct the problem and improve the performance of the company.
In any case, the purpose of this phase is to clearly determine how, when, how much and where the corrective measures should be applied in order to achieve the proposed level of performance. Decisions on correction measures constitute the part where the control process ends.
To conclude, we can say that every company or institution should implement the strategic control process because it allows us to determine if its achieved level of performance actually coincides with the expected level of performance. Furthermore, it is not a one-time process, but rather should be a process that is applied continuously, since adequate feedback will always be necessary.