Management Control System - A Case Study Of Fci
Step Carpet focuses on the design and manufacturing of modern rugs and home accessories.
Combining traditional rug-making techniques with new technology, Step is a pioneer in the interior design business with innovative collections inspired by the latest fashions, colours and textures.
A management control system (MCS) is a system which gathers and uses information to evaluate the performance of different organizational resources like human, physical, financial and also the organization as a whole in light of the organizational strategies pursued.
Management control system influences the behavior of organizational resources to implement organizational strategies.
Management control system might be formal or informal.
Management control systems are tools to aid management for steering an organization toward its strategic objectives and competitive advantage.
However due to 2008 financial crisis they faced some difficulties as access to finance was shrinking (particularly in US and Canada – their main export markets).
At the same time, the risk of buyers’ defaulting was increasing.
After the company had talked to some of its main Asian suppliers, the two biggest manufacturers showed interest in the two-factor export model.
Exporters have the option to pick any combination to match their specific needs.
The Egyptian group is one of the world’s largest carpet, rug and related raw materials manufacturers; with manufacturing factories operating in three countries (Egypt, China & USA) with a production capacity of 143 million m Given such steady relation, Egypt Factors succeeded to move an extra miles in its business relation and will start to cover the receivables of the group international companies located outside Egypt as to enlarge their access to funding and cover.
Since then Playshoes has been able to constantly expand its customer portfolio and grow its business volume.
In a meeting with Eurofactor AG it turned out that Playshoes was interested in getting more flexible payment terms from its Asian suppliers.