Direct mechanisms that provide the basis for the overall guidance and management of foreign operations include the design of appropriate structures (discussed earlier in this chapter) and the use of effective staffing practices (discussed in Such decisions proactively set the stage for operations to meet goals, rather than troubleshooting deviations or problems after they have occurred. The opening profile describes how McDonald's Corp. successfully set up direct control systems in advance of its entry into Moscow.
Other direct mechanisms are visits by head-office personnel and regular meetings. Top executives from headquarters may use periodic visits to subsidiaries to check performance, troubleshoot, and help to anticipate future problems. International Telephone and Telegraph Corporation (In) holds monthly management meetings at its New York headquarters. Performance data are submitted by each fit subsidiary general manager from around the world, and problems and solutions are shared. The meetings allow each general manager to keep in touch with her or hi associates, with the overall mission and strategy of the organization, and with comparative performance data and new problem-solving techniques. Increasingly, the tools of technology are being applied as direct mechanisms to ensure up front that operations will be carried out as planned, in particular in countries where processes such as efficient infrastructure and goods forwarding cannot be taken for granted. An example of this is the logistics monitoring system set up by Air Express International in Latin America to minimize its many problems there.As an example of controlling (B28. supply-chain processes and helping customers control their business, FedEx introduced a suite of e-business solutions for Asia (described in the accompanying E-Biz Box).
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