Question

Steps involved in the control of subunits within large complex enterprises 1. The head office and the subunit management jointly determine the subunit goals for the coming year 2. Throughout the year, the head office monitors subunit performance against the agreed goals 3. If a subunit fails to achieve its goals, the head office intervenes in the subunit to learn why the shortfall occurred.

Answer 1

1) The head office and subunit management jointly determine goals for the coming year.

2) Throughout the year, the head office monitors the subunit's performance against the agreed goals.

3) If a subunit fails to achieve its goals, the head office intervenes in the subunit to learn why the shortfall occurred.

What are complex enterprises?

The number and variety of components, systems and. people within a company and across its entire value chain. The interrelationships among all of them. You may be surprised to find that what you may perceive as routine, others may consider to be quite complex. In fact, complexity has two sides to it. While some may judge it to be “bad” at all times, complexity has a beneficial side—if you know how to use it to your advantage. This white paper defines complexity (good and bad) and includes a checklist of seven “Ps” to help you identify whether your organization is a complex enterprise. It discusses the top strategic challenges of enterprise customers and what actions you should be taking to address complexity in your organization.

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