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12/12/2018
 

Corporation as a control system

 The most widespread form of the organization of large business is the corporation. She represents set of the persons who have united for achievement of overall aims, realization of joint activity and forming the independent subject of the right - the legal person. As a rule the corporation designates the optimum form of large-scale manufacture of the goods and services in conditions of market economy. She unites the basic manufacturers of same production that leads to monopolization of manufacture.

Corporations promote concentration of the investment capital, provide scientific and technical development and directly influence development of manufacture, increase of a technological level of production and maintenance of competitiveness. The corporation can act in the form of both the separate large enterprise, and association of the several enterprises, and also to function in the form of both simple joint-stock company, and association of joint-stock companies, for example the holding company. It represents one of scale forms of integration of the companies by association of joint-stock companies and other firms of various fields of activity with a view of development of the coordinated policypolitics of versatile activity.

The corporation represents the complex social and economic and technical system integrating various resources and factors, people, the enterprises, united for realization of joint activity and achievement of overall aims. In social and economic system as the main and most active element the person acts. In a basis of this system set public, collective and personal interests which influences its condition and development lays. Rational systems are steady, mobile, have ability to self-management and self-organizing. The corporation concerns to dynamic systems which constantly change the parameters in time and are multilevel, consisting of the organizations entering into them. Each organization in turn can be considered as independent economic system.

The corporation represents the contractual associations created on the basis of industrial, scientific and commercial interests, with delegation of separate powers of the centralized regulation of activity to any of participants. Thus, objects of corporate management necessarily are joint-stock companies, and also that part of societies with limited liability, in which management separately from the property. Corporate management is a complex system of economic attitudes which includes set of internal and external elements. As its subjects direct proprietors of the corporate rights act: citizens, legal persons, the state which carry out regulation of their movement. Management of corporations has the specificity.

Formation of an environment of regular action on corporation and the internal mechanism of the coordinated interests of subjects of corporate attitudes is essential. Corporations are created by people, therefore the internal environment is basically result of administrative decisions. It alongside with employees the purposes, structure make, problems, technology. Key parameter of the internal environment of corporation, as well as any organization, - organizational structure. The rational organizational structure provides favorable conditions for acceptance of administrative decisions, stability of the organization and an opportunity operatively and successfully to react to changes internal and an environment.

 
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