Waiting until a strategy has been fully executed to see if it works or not could take a long time. For that reason, Evaluating the strategies implemented in a company at all times is essential to know if they are performing correctly or if you need to make some adjustments.
67% of strategies fail due to poor execution, so strategic control is a key stage in the administrative process of a company, since it allows to analyze the processes and business activities as they are being carried out. strategies.
It is a simple process that will help you make timely decisions, since you will be able to optimally evaluate your company and its ability to maximize its strengths and opportunities in each of the strategies you are implementing.
In other words, strategic control is a fundamental part in the strategic direction of your company.
In this article we will tell you what strategic control is and how to execute it in your company.
What is strategic control?
It consists of a process of control of the strategic direction and part of the business administrative process that allows evaluating the strategies of a company from a critical perspective. It helps to analyze in a detailed and objective way the effectiveness of the strategies while they are being carried out, with the aim of correcting any flaws in the process.
It is essential to carry out this control to evaluate if all the stages of the process are being carried out properly, since any change can affect your strategies and therefore move you away from your goals.
In summary, strategic control verifies the operation of a strategy as it is implemented, and identify any problems or changes that arise.
With this idea in mind, we can expand its important and functions a little more.
What is the importance and functions of strategic control in a company?
The importance of strategic control lies in the fact that it allows companies to guide their strategies in a given time while they are being developed.
However, since strategies are usually based on supposed events that have not yet occurred, strategic control is a process that allows the environment to be analyzed at all times to establish new rules that adjust to each change.
The functions of the strategic control pursue the efficiency of the company in relation to the achievement of the goals in short periods, with the lowest possible cost, keeping the teams involved in the achievement of these integrated goals.
The importance of the functions of strategic control is that the managers of an organization can identify whether to continue with a strategy, stop it or modify it, depending on the environment and the internal and external panorama, in order to contribute to the success of the strategy. business.
Strategic control is not an end in itself, but a tool or a method that drives teams and the company towards specific goals. Hence there are different types or approaches to this tool.
Types of strategic control
- Control of results
- Behavior control
- Financial control
- Surveillance control
Let’s see what these four categories consist of.
1. Control of results
The control of results allows knowing if the objectives have been achieved is essential to continue implementing the strategies correctly.
It is a type of strategic control that allows to carry out a continuous evaluation of the progress of the strategies, as well as the impact of the activities that can affect their good performance.
2. Behavior control
This refers to a system of rules and procedures that must be established to direct the actions and conduct of employees at each of the levels of your organization.
With this type of strategic control it is possible to standardize goals and objectives for all the members of your company.
3. Financial control
It allows you to measure the financial performance of your company for an effective control of it. With this type of control you can set more defined financial goals and achieve them.
4. Surveillance control
Being aware of what is happening inside and outside your company is essential. Surveillance control allows you to monitor the risks that may affect the correct performance of your business strategies, since you may encounter obstacles that you had not foreseen.
It is important to constantly protect each of your strategies, so you must inform yourself about what is happening in the market, know the trends in your industry and analyze any possible risk that may affect your company.
Now that we have reviewed the basic aspects of strategic control, it is time to talk about its implementation in the company. Stage that consists of designing and executing the strategies of one or more of the categories that we have just reviewed.
How to design and execute a strategic control system in your organization?
To design and execute a strategic control system in your organization in order to evaluate your current strategies, below we highlight the most important points that you must take into account:
1. Define the internal control systems
At all times you must make sure that the strategy you are implementing in your company is being carried out correctly.
This will allow you to make better decisions and guide each of the modifications that are presented and, at the same time, you will be able to unify the general objectives of your company.
2. Implement an information system
Establish an alert system that allows you to detect first-hand the changes that are taking place in your organization, whether internal or external, that may affect the success of your strategies.
It is important that you identify these variations and report them immediately to your team, through a system that helps them act optimally in each of the processes that are being implemented.
3. Set the variations and correct
Identify the variations in the performance of the strategies and what is the scope of these, that is, recognize the causes of said variation so that you take actions in order to correct the differences raised to continue on the right path, whether you have to rethink your standards or change your goals.
4. Measure the results
Observe the behavior of your organization as you implement each of the strategies and detect any irregularities that arise.
Clearly and precisely identify the desired results, measure the performance of activities through standards for control purposes that have been determined in a timely manner before implementing the strategy.
To support you in your control work, there are different tools on the market. Next, we will talk about some of the best rated by users.
5 Strategic control tools
Strategic control tools allow organizations to improve their processes and optimize their strategies at all times while carrying out a strategy.
Each of them has its pros and cons, so we recommend that you make an evaluation of these aspects before choosing one.
It is a strategic control tool that helps you measure the productivity of your work teams, always respecting the personal times, defined by each of the area managers. It is very effective for maintaining optimal performance of work teams, as well as for making decisions when distributing work in each of the areas of the company.
Connecteam allows you to have communication with remote work teams. With this strategic control tool you can communicate content at the right time to each of your employees, live conversations, chat groups, directory, suggestion box and more.
Improve productivity and communication between teams. With this strategic control tool it is possible to be in contact with all your employees at all times; You can manage different types of projects, topics and even specific groups to establish conversations that have to do with the strategies that are being carried out in your company. All this in a secure and confidential way.
With this tool you can have control of the times of the collaborators who work remotely, create work calendars, schedules and specific shifts for each of them. In addition to having the strategic control of work performance and the activities that are carried out during the implementation of each of your strategies.
This strategic control tool allows all your collaborators to visualize all the projects of your organization, with which it is possible to monitor and evaluate each of the steps that are being carried out in the strategies. In addition, this tool allows to have a visible reference of the objectives so that all collaborators know what they have to do to achieve them.
Strategic control is a fundamental process for any company, since it allows you to identify if the assumptions you made when planning your business strategies coincide with their performance, and most importantly, it helps to rectify the direction at any time to meet your requirements. objectives.
Remember that this process is developed continuously, which allows you to make the best decisions for the benefit of your company at all times.