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ACCY302 Nature of Man students - TheNatureofMan...

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The Nature of Man Choosing a model for predicting behavior
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Why is the understanding of human nature useful  information to an organization? A firm is a ______________.  Thus,  such an  understanding allows for two things: 1) Better specification of contractual terms that  support and encourage individual behaviors that  contribute to the organization’s objectives and goals. 2) Increased effectiveness of control mechanisms that  enforce the contractual terms.
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What kinds of systems do managers  use for control? Belief systems (used to inspire and direct the search for new  opportunities) Boundary systems (used to set limits on opportunity-seeking  behavior) Diagnostic control systems (used to motivate, monitor, and  reward achievement based on specific goals) Interactive control systems (used to stimulate organizational  learning and the emergence of new ideas and strategies)
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