Ahl Case Study

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Category: Business and Industry

Date Submitted: 09/19/2015 05:58 AM

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Al should continue running his business of Atlanta Home Loan (AHL). He needs to regain his control over the company. Here are some elements of results controls she should use:

First, Al must define all the dimensions. He should view of what is important. In this case Al must defined AHL on which results are desired such as for profitability, customer satisfaction or product defects. This dimension will help company to achieve the target.

Second, elements of results control are measuring performance on these dimensions, which involves the assignment of numbers to objects. Al needs to measure his company performance after defined it in the first elements. Al can also measures of financial such as net income, earnings per share and return on assets or in nonfinancial measures such as market share, growth, customer satisfaction and the timely accomplishment of certain tasks.

Third, elements are setting performance targets for employees to strive for. Performance targets or standards are another important results control system element. In a results control system, target should be specified for every performance dimension that is measured. In this case, Al should choose two basic ways to affect the employee’s behavior; first, stimulates action by providing conscious goals for his employees to strive for and second Al should allow his employees to interpret their own performance. So Al can run his business by setting the performance targets for employees to achieve it.

The last elements in results control is providing the rewards to encourage the behavior that will lead to the desired results. Rewards included in incentives contracts can be in the form of anything employees value, such as salary increases, bonuses, promotions, job security, job assignments, training opportunities, freedom, recognition and power. Al also should rewards his employees by anything employees values as to appreciate them with the effort that they give...