Control Mehcanisms
Bridjette Andrews, Glenda Griggs, Alejandro Ortiz, Angela Johnson
MGT/330
May 18, 2011
Dr. Alex Karie

Control Mehcanisms Wal-Mart is a increasingly large industry functioning to meet the needs of its consumers, employees and producers by using controls; the controls that Wal-mart feel are the most effective at achieving the goals of the company are market control, clan control, manager audits, and performance standards. These controls help make Wal-Mart the growing empire it is today. No business can thrive without some form of control. The way that each form control works effects all of the four functions of management; organizing, leading, controlling and planning. Each control chosen by Wal-Mart was chosen because they are important to thrive in the business world they help increase the confidence of customers, employees and suppliers.
All controls involve managers making decisions that are for the betterment of the company. But there are differences between the many control mechanisms that are implemented within Wal-Mart. The following control mechanisms are used at Wal-Mart; market control, clan control, manager audits and performance standards. Market Control is maintained through certain aspects of the market including market share, price, and competition. This form of control is also called decentralized control. Market control is used when there is a reasonable level of competition within the market especially in the service area as well as goods. Managers compare prices and profits to establish the effectiveness of their organization. Market control is defined as “The ability of buyers or sellers to exert influence over the price or quantity of a good, service, , or commodity exchanged in a market. Market Control depends on the number of competitors” (Economic Glossary).
Clan Control in management is a bureaucratic control in