Managers monitor employee behaviors, directing and evaluating based on subjective measures of abilities and activities; not just outcomes. The manager makes sure that employee input and behavior reflects his expectations. Managers make decisions to increase or decrease salaries, promote or sanction employees’ using more complex, subjective evaluations not based on measurable outcomes. Managers dictate the level of performance required. Management cost increases because more monitoring is required, which allows for consistent, perpetual updates to strategy, whereas output-control only allows for periodic assessment. Behavior-systems afford managers more control over employees through interaction and relationships, employee participation and corporate culture. Managers impose their own ideas of what salespeople should be and do to achieve results. Managers can have employees’ focus on the firm’s long-term strategy as opposed to their individual goals. Emphasis is placed on enhanced customer service, goodwill and reputation, and pioneering new product lines instead of focusing on the products that are easier to sell.
By Nathan Phillips Follow @nxphil13