Question : Case Study 7:
RST Motors is an automobile manufacturer. The company wants to implement an effective control system to ensure that its production processes meet the required quality standards.
Question:
Which control technique would be suitable for RST Motors to ensure product quality?
Option 1: Bureaucratic control.
Option 2: Market control.
Option 3: Clan control.
Option 4: Decentralized control.
Correct Answer: Clan control.
Solution : The correct answer is (c) Clan control.
Clan control involves using informal methods to influence behavior and ensure quality. It emphasizes shared values, norms, and culture within the organization to align actions with quality goals. In a manufacturing setting like RST Motors, implementing clan control could involve fostering a culture of quality consciousness among employees, promoting collaboration, and encouraging mutual support to ensure that everyone is focused on maintaining high product quality standards.