Explain why it is important for modern organisations to create dynamic Essay

Explain why it is important for modern organisations to create dynamic tensions between opportunistic innovation and predictable goal achievements; and discuss how managers can influence such tensions - Essay Example the controlling role of management control systems is associated, according to Mundy (2010) with the efficiency, predictability and importance to meet the short-term goals, it strives to diminish issues of information asymmetry and search for the ways that would decrease uncertainty and improve decision-making. There are numerous studies that highlight the use of management control systems by organizations in order to facilitate innovation and learning during the exertion of control over the achieved goals. The importance of management control systems is in the provision of organization’s values and priorities in leveraging the belief system, which givens employees a stable environment and challenges organizational stability and political processes by means of communication of values and assumptions (Mundy, 2010). For the modern business it is essential so the levers of control supported the development of organizational abilities of innovation, learning, entrepreneurship and market orientation. While the lever of control promotes forming of dynamic tension between innovation and goals achievement, it is a positive growth for each organization; hence, it should be studied by the companies. Besides, they do so in order to handle inter organizational conflicts. It proves that formation of dynamic tensions influences the development of organizational capacity. Simons (1995), states that within the modern business environment, managers are facing different challenges in terms of seeking of opportunities for meeting the customers’ needs. Thus, employees can break the control mechanisms within a business and ruin the company’s reputation and cause fines and business loses. One solution in managing control issues can be monitoring of employees and counseling about how to make certain job. Simons (1995) considers that in the intense business environment managers, however, have not time for each employee to be provided with the necessary advice. For that purpose,