1. Professor Challenges Basic Assumption about Planning and Control
Professor A. Van Cauwenbergh of Antwerp University, in a paper
presented at the Tenth Anniversary
Conference of the European Institute for Advanced Studies in
Management, presented four revisions
to traditional Management Theory. In summary, the revisions are:
(1) The initiative for the renewal and adjustment of the activities of a
firm should come from the
different levels in the management hierarchy. “Strategy is not a privilege
of top management”.
(2) Firms, especially big firms, are incoherent systems (goals of the
different component systems
are not simply subdivisions of an overall goal; there are individual,
conflicting goals as well).
Some of these differences are manifestations of organizational initiative
and vitality. Using
information systems and central planning and rule making to suppress
all differences is
destructive to organizations.
(3) The most vital “fluid” of an enterprise is the aggregate of its
entrepreneurial values. The most
fundamental and motivation and control come through these shared
values relative to work,
quality, efficiency, etc. Management often neglects these values and
assumes that the
collection and dissemination of information will provide sufficient
motivation and control.
(4) Enterprises are open systems; their structure and operating processes
are determined by
their environment. This means organizations must be designed to
continually adjust to the
environment.
Questions:
a. If these revisions are correct, how is planning to be organized? How
should the information

2. system support the planning organization?
b. Can the information system aid in achieving shared values?
c. How might a comprehensive system be used o stifle initiative?
ANSWERS
1. According to me these revisions are very suitable for any organisation. Through these
revisions we can plan in a organized way. As Professor A. Van said if we are going to
take suggestions from all the management department for the execution of renewal and
adjustment of the activities of the firm instead making it one man show i.e. top
management then every employee will feel privileged and motivated which will help in
proper management of firm.
With the help of information system we can organize the things in a proper manner as it
will be helpful in decision making because it provide a accurate data base to us.
2. Information system can be a aid in achieving shared values as with the help of
managemant information system –
As we can enhance entrepreneurial activities by making employees updated with
the current marketing strategies.
We can olso provide them assistence with the help of management information
system as to provide them accurate data base.
3. A comprehensive system can be used to take stifle initiative as it provide entire
information to every employee so that he can work effectively.