HAIR INC.Panav Bachwani 109Disha Thakkar 120Shashwat Chouhan 103Shweta Narkhede 72Mohid Cutterwala 95Istakhar Alam 76

Case Facts

Question 1 Why do the problems faced by HAIR, Inc., appear to lend themselves to the application of organization control practices?

CONTROLLING PROCESS

Establishing Performance objectives

and standards

•Quantity•Quality

Measure Actual

Performance

•Control document

CONTROLLING PROCESS CONTD…

Compare Results with Objectives

and Standards

• Minimum expected level of performance – 90%

• Average expected level of performance – 98%

Take Corrective

Action

• To revise targets if necessary

Question 2What is your opinion of Jan’s

and Rob’s potential as managers? State your

reasons.

Cut and Style Coloring Permanents Hairpieces Apprentice Master

Minimum Daily Performance Average Daily Performance Maximum Possible

Performance Actual Performance

Activities/ Responsibilities

Quantitative and Qualitative Parameters

Example:

• Expected Level of Performance- 90%• Average Expected Level ofPerformance- 98%

Q3) ARE JAN AND ROB IMPLEMENTING PRE CONTROL, CONCURRENT OR FEEDBACK CONTROL METHODS? EXPLAIN.• Pre-control or Feed forward and Feedback Control (post

action)

• Reasons for Pre-control:• Jan and Rob had implemented the following:

• Identified input variables• Developed a Model• Collect data• Assess regularly• Taking action

Reasons for Feedback control (post action) Qualitative performance focusing on

customer satisfaction Would enable Jan and Rob to monitor the

performance towards achieving the goals.

Exhibit

HAIR. Inc. Performance Form

Name :

Responsibility.Cut and style_______ Coloring __________Permanents _______Hairpieces ________Apprentice ________Master __________

MinimumDailyPerformance

AverageDailyPerformance

MaximumPossiblePerformance

Actual Performance

Results expected (quantity)

Results expected (quality)

Q4)CAN THE APPLICATION OF CONTROL PRACTICES USED BY HAIR INC. BE TRANSFERRED TO AN INDIAN HOTEL?

Hair Inc. Business Expansion in

five major cities Established customer

satisfaction standards Performance was

compared with the standards

Corrective measures were taken

Pre-control

Dream Hotels Business Expansion of

Rs.2000 Cr. Should establish

standards for employee behavior

Performance can be compared with the industry standards

Implementation for the expansion

Pre-control