Page 111 - E2 Integrated Workbook STUDENT 2018

Behavioural aspects of control

1.5 Trust and control

Today’s business climate requires a far greater degree of flexibility and employees
need to be more empowered to accommodate this flexibility. This suggests that
managers need to adopt more of a theory Y approach and recognise that
employees want to work and can be trusted.

Incorporating trust in controls works well for both the company and the employee.
The employee is allowed to work on their own initiative and feels valued, this leads to
increased motivation and increased productivity which benefits the company.

In order for control based on trust to work a number of factors must be in place.

 The manager must be confident that the employee has the knowledge and the
skills to undertake the task.

 The objective must be clear and agreed by both parties.

 The employee must be motivated to work hard and use initiative to achieve the
objective.

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