41-54

• Papanikolaou, G.
• Κιόχος, Απόστολος Π.

The objective of managerial control is to ensure that plans are implemented correctly. Controls focus on means to verify and correct actions that differ from established plans.Controls are designed to reduce uncertainty, increase predictability, and ensure that behaviors originating in separate parts of the organization are compatible and support of common organizational goals despite physical, psychic, and temporal distances. In this article, the focus is on the parent company’s managerial control over its foreign subsidiaries.The article, after a general discussion of the need for, and importance of internationalcontrols, examines first the salient features of the managerial control process. Then, because multinational companies experience problems controlling their far-flung operations, it considers those problems and their causes. The article next includes a review of the typical characteristics of control systems used by international companies, and then concludes with some suggestions for improving the international control process.

• Economics and Business

• Economics

control process, managerial control, auditing and management

JEL classification: M00