Industrial Dynamics And the Design of Management Control Systems

Cover Industrial Dynamics And the Design of Management Control Systems
Industrial Dynamics And the Design of Management Control Systems
Edward Baer Roberts
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The top management of the firm is involved in a system, can be studied and ai seme manner as the middle management of the organization, and again in the same fashion as the physical operating system of the plant, The potential payoff from changes derived Forrester, Industrial Dynamics (Cambridge, The MoIoT* 1961) c 1 Source J \j Level Decision &•-- mat ion Input /Other Infor- \ ^ mat ion Inputs "" * Figure 2. The Decision as a Controller systems studies increases greatly, however, as the study ...is focused higher up in the organization, For all studies the pattern of forming a dynamic verbal theory, developing mathematical equations, computer simulation of the model, and derivation of Improved policies is followed. The prol encountered in these phases do not significantly change as ^e move from the bottom to the top of an organization. Only during the final stag of implementation of system change does the problem complexity get sig- nificantly greater the higher the level of organization involved =, But the impact of improved corporate-level policy on company growth, stability, and profitability can readily justify this added effort to renovate top management policy maJd Problems of Manea feBaat Control Sjrstems The preceding discussion has focused on the nature of organ: problems as management control system problems, and on the intended namics to these problems.

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