Management Control Systems Research Articles

Real-world validation of safe reinforcement learning, model predictive control and decision tree-based home energy management systems

Real-world validation of safe reinforcement learning, model predictive control and decision tree-based home energy management systems

Impact of corporate strategy on the digitalization of management control: evidence from Moroccan companies

For several years, digitalization has emerged as a critical strategic issue for companies, influencing all of their functions, including Human Resources Management (HRM), logistics, finance, and others. It has been the subject of numerous research studies, particularly in developed countries. However, this type of research remains largely underexplored in developing countries. In this context, this paper, based on a survey conducted among forty-two companies in Morocco, aims to address two key questions. First, how can the degree of digitalization of management control in these companies be assessed? Second, does corporate strategy have a significant impact on this digitalization? The primary findings of the study suggest that the level of digitalization is "moderate." Furthermore, we demonstrate that corporate strategy significantly influences the digitalization of management control; specifically, prospector companies are more likely to adopt digital management control systems than defender companies. This research makes important contributions both theoretically and managerially. Theoretically, it provides new insights into the digitalization of management control. From a managerial perspective, it offers valuable guidance for decision-makers to better align the digitalization of management control systems with the broader strategic objectives of their organizations.

IoT-based enterprise information management system for cost control and enterprise job-shop scheduling problem

IoT-based enterprise information management system for cost control and enterprise job-shop scheduling problem

Mycotoxin concentrations in rice are affected by chalkiness, grain shape, processing type, and grain origin.

Mycotoxins such as aflatoxins (AFs), fumonisins (FBs), zearalenone (ZEN), and deoxynivalenol (DON) pose a risk to public health due to their carcinogenic potency (AFs and FBs) and anti-nutritional effects. The hazards associated with mycotoxins are accentuated where food management practices, control, and regulatory systems from farm to plate are sub-optimal. Information on the frequency of these mycotoxins in rice commercialized in markets in sub-Sahara Africa (SSA) is limited. The current study examined AF concentrations in 527 rice samples collected from 54 markets in five SSA countries. Grain quality characteristics, processing methods, and origin of samples were contrasted with toxin levels. In total, 72% of the samples had detectable AFs levels (range = 3.0 to 89.8µg/kg). Forty-seven percent (47%) of the samples had AFs above 4µg/kg, the European Union maximum level (ML), and were evaluated for cooccurrence with FBs, ZEN, and DON. Total AFs and ZEN cooccurred in 40% of the samples, and 30% of the positive ZEN samples had concentrations above the ML of 75µg/kg. Total AFs did not co-occur with FBs and DON. Multivariate analysis revealed that length-to-width ratio (p < 0.0001), mixed variety for width (p = 0.04), and chalkiness (p = 0.009) significantly influenced aflatoxin concentrations. Slender grains had higher AFs concentrations than bold and medium grains (p < 0.0001). Possible strategies to mitigate mycotoxin contamination in rice include improving grain quality traits and practicing proper drying and hermetic storage before and after milling. These findings provide valuable insights for both domestic and international actors in establishing and strengthening regulations and management systems to mitigate rice mycotoxin contamination.

Effects of Transformational and Transactional Leadership Styles and the Use of Enabling and Coercive Managerial Control Systems in Creative thinking

This study aims to analyze the effects of leadership styles and the use of a management control system on creative thinking. Descriptive research was carried out using a survey with 215 mid-level managers from the Brazilian textile industry and hypotheses were tested using structural equation modeling. Results show that transformational leadership is significantly related to divergent thinking and enabling and coercive approaches. Moreover, transactional leadership is significantly related to convergent thinking, besides coercive and enabling approaches. The enabling approach exerts complete mediation in the relationships between transformational leadership and divergent thinking, as well as the coercive approach mediates between transactional leadership and convergent thinking.

Resilience and Management Control Systems in Agribusiness Companies: A Case Study of PT Pandu Karya Aksara

Resilience and Management Control Systems in Agribusiness Companies: A Case Study of PT Pandu Karya Aksara

A Cost Control System for Internal Economic Management of Enterprises Based On Particle Swarm Optimization Algorithm

A Cost Control System for Internal Economic Management of Enterprises Based On Particle Swarm Optimization Algorithm

Institutional cooperation in handling epidemics: The case of the Misericordia of Florence during the Italian preunification period

The function of nonprofit organisations (NPOs) in managing healthcare and poverty relief and the role of accounting and reporting in their management control systems have many implications for accounting historians. The present research examines the relationship between NPOs and local governments in the management of public services, particularly during health emergencies. Specifically, this study examines the institutional cooperation between the Grand Duchy of Tuscany, the Misericordia of Florence and the Santa Maria Nuova Public Hospital during the cholera epidemic of 1855–1862. This research applies a conceptual framework based on Michel Foucault's concepts of ‘governmentality’, ‘nosopolitics’ and the ‘government of the poor’ and Mitchell Dean's ‘technologies of government’ to the study of archival primary sources. This research makes several contributions to the accounting history literature regarding the involvement of NPOs in healthcare, including an original analysis of the role of accounting and reporting in the ‘government of the sick’ from a nosopolitical perspective.

The Internal Control Management of Chinese Real Estate Industry: A Case Study of Yinfeng Group, Shandong

With the development of China's economy, the number of policy supports provided by SMEs to private enterprises has also increased yearly. Their status and contribution to the national economy cannot be ignored. However, most private enterprises lack an understanding of small and medium-sized enterprises (SMEs) or do not comprehend the internal control mechanisms necessary to formulate and implement an effective internal control management system. This lack of understanding is the main bottleneck preventing enterprises from becoming larger and stronger. Enhancing internal management is particularly beneficial for improving the risk-prevention capabilities of small and medium-sized private enterprises, thereby facilitating their growth. This paper analyzes the problems faced by small and medium-sized private enterprises, using the internal supervision of the internal control system of Yinfeng Group as a case study. Based on internal control's basic and practical meanings, the paper provides suggestions to improve internal control management.

Priority-based QoS Extensions and IAM Improvements

The command and control system operates in a harsh and dynamic environment with limited resources and have a very high risk of failure or malfunction. In the case of military information systems, including the command and control system, the efficiency and effectiveness of system resource management are very important and required. Therefore, the application of a QoS-like approach is necessary to improve the operational effectiveness of all command and control system resources. However, supporting QoS at the entire command and control system level incurs additional costs and burdens for implementation and operation. This paper describes the necessity and possibility of collaboration with QoS and IAM (identity and access management) among the collaboration between core functions within the command and control system. This paper proposes an extended QoS approach to improve the operational effectiveness of the entire command and control system resources. As a result of this research, expanded concepts, structures, standards, and methods of collaboration between QoS and IAM are developed and presented, and their feasibility is demonstrated through prototype development and experiments.

Pengaruh Leverage, Good Corporate Governance dan Sistem Pengendalian Manajemen Terhadap Pengungkapan Sustainability Report: Studi Kasus pada Industri Pertambangan yang Tercatat di Bursa Efek Indonesia Periode 2018-2021

The aim of this research focuses on leverage, good corporate governance and management control systems for sustainability report disclosures. The method used in this research is a descriptive quantitative method with data taken using a purposive sampling technique from financial reports and sustainability reports of mining companies listed on the Indonesia Stock Exchange, utilizing the Smart PLS version 3.0 application. The results of this research show that the influence of leverage, good corporate governance and management control systems have a positive effect on sustainability report disclosure.

Digital Revolution and Management Control Practices: The Impact of Digitalization in Moroccan Private Companies

This paper aims to investigate how digitalization activity influences the management control practices of Moroccan private enterprises. With technologies developing daily, organizations are grappling with how best to utilize these technologies in their MCs, thus the need for development. The main research question of this paper is therefore to: Examine the impact that digital transformation brings to the decision making, performance measurement and resource allocation in private firms in Morocco. To this end, the current study used both survey and interview questionnaires with managers drawn from different sectors and industries. These results therefore indicate that digitalization indeed increases the level of transparency and flow of daily monitoring information required in the management practices to increase its operational efficiency and overall strategic flexibility. That being said, the study also outlines some of the problematic areas like, resistance to change, training employees to learn how to deal with new tools. In conclusion, thus, despite the opportunities that the new digital reality opens to the approach and development of the management control systems in Moroccan private companies, this new reality poses a number of challenges which have to be met to improve the opportunities fully. The study adds to the current body of knowledge regarding digitalization of operations and the impact it has on managerial processes and provides recommendations to those practitioners seeking to enhance their effectiveness within the context of digitally enabled business environment.

Management Control System Design and Innovation: A Systematic Literature Review

AbstractThe purpose of this study is to examine through a systematic review the management accounting research that focuses on the role of management control systems (MCS) in enhancing innovation within organizations. For that purpose, a total of 19 articles from publications spanning from 2000 to 2022 were selected using the keywords of management control system and innovation. The findings indicate that the Levers of Control (LoC) is the most widely studied topic. The next popular topic being examined is formal and informal control mechanisms. The aspect of innovation in that literature mainly focuses on product innovation, management and organizational innovation, and environmental innovation and sustainability. Future research can explore more the role of the MCS in the combined mechanism of LoC to encourage innovation. This paper contributes to the MCS literature by examining the suitable mechanisms affecting the success of innovation in a rapidly changing environment. Keywords:Management Control System, Innovation, Review Literature, Levers Of Control, New Product Development

Extent of Execution of P.E. Administrators’ Functions as Influenced by Their Leadership Capabilities in an Engineering University in China

This study explores the relationship between leadership capabilities and management functions of Physical Education (PE) administrators at Hubei Engineering University, China. Using a descriptive-comparative-correlational research design, data were collected from PE teachers to assess the effectiveness of administrators in strategic planning, organizing, directing/leading, and controlling. Additionally, leadership capabilities such as organizational direction, collaborative leadership, and instructional leadership were evaluated. The results revealed that administrators are generally effective in their management functions, with organizing and collaborative leadership receiving the highest scores. However, challenges related to resource management and internal control systems were identified. Significant correlations between management functions and leadership capabilities underscore the importance of strong organizational skills for effective leadership. These findings provide insights into the leadership development needs of PE administrators and suggest practical solutions for overcoming administrative challenges.

Indonesia’s real estate value potential: the role of green innovation and effective management control systems

Indonesia’s real estate value potential: the role of green innovation and effective management control systems

Food fraud prevention strategies: Building an effective verification ecosystem.

Food fraud is an ever-present threat that regulators, food business operators (FBOs), and consumers need to be aware of, prevent where possible, and address by developing mitigation strategies to detect and reduce its negative consequences. While extant literature focuses on food fraud detection, there is less attention given to prevention strategies, a knowledge gap this review seeks to address. The aim of this review was to consider food-related fraud prevention initiatives, understand what has worked well, and develop a series of recommendations on preventing food fraud, both policy related and for future research. Reactive (including intelligence based) food fraud detection dominates over prevention strategies, especially where financial, knowledge, and time resources are scarce. First-generation tools have been developed for food fraud vulnerability assessment, risk analysis, and development of food fraud prevention strategies. However, examples of integrated food control management systems at FBO, supply chain, and regulatory levels for prevention are limited. The lack of hybrid (public/private) integration of food fraud prevention strategies, as well as an effective verification ecosystem, weakens existing food fraud prevention plans. While there are several emergent practice models for food fraud prevention, they need to be strengthened to focus more specifically on capable guardians and target hardening. This work has implications for policymakers, Official Controls bodies, the food industry, and ultimately consumers who seek to consistently purchase food that is safe, legal, and authentic.

Exploring Management Control Systems for Biodiversity: Insights from Three Food Companies

ABSTRACT Despite growing recognition of the pressing need for companies to protect biodiversity, research has not yet provided a comprehensive overview to help guide companies on effective biodiversity management. This study identifies a package of intra-organisational biodiversity management controls that may be effective across multiple organisational contexts as well as individual controls that companies can choose from according to their specific contexts. For this purpose, we undertook an exploratory multiple case-study, selecting critical cases from the food sector on the basis of this industry’s enormous impacts on biodiversity loss and its existential dependence on preserving biodiversity. In analysing our interview and archival data we applied a framework of management control categories to investigate the research question ‘How do food companies use management control systems to address biodiversity?’ Our study contributes to practice and theory by providing a systematic overview of management controls and practices targeting key issues of biodiversity loss. Whilst confirming there is no one-size-fits-all approach, our findings indicate that companies should strive to integrate biodiversity-related controls with their core business, interlink biodiversity controls with existing sustainability controls, and complement informal with formal controls.

Exploring the Impact of Positive Levers of Control on Organisational Resilience: The Mediating Role of Open Innovation

This study explores how positive control levers (belief systems and interactive control systems) affect organisational resilience, focusing on the role of open innovation as a mediator. Data were collected through a questionnaire administered to business managers and analysed using the partial least squares structural equation modelling (PLS-SEM) approach. The sample comprised 349 Moroccan industrial companies. The results demonstrate that positive control levers significantly impact open innovation and organisational resilience. Additionally, open innovation acts as a mediator, indirectly influencing the relationship between positive control levers and organisational resilience. This study contributes to the limited empirical research on management control systems by highlighting the importance of positive control tools and open innovation in developing sustainable organisational resilience.

The Performance Implications of Management Control Systems and Dynamic Capabilities: Evidence from Vietnam

Drawing on the resource-based view and dynamic-capability view, this study examines the relationship between the interactive use of management control systems, dynamic capabilities, and firm performance in the Vietnamese information and communication technology industry. The research model and hypotheses have been tested by partial least squares-structural equation modelling (PLS-SEM) with 240 survey samples obtained from managers working in Vietnamese information and communication technology firms. The results indicate that the interactive use of management control systems has a positive effect on dynamic capabilities. Additionally, both the interactive use of management control systems and dynamic capabilities have direct positive effects on firm performance. The results reveal that dynamic capabilities complementary mediate the relationships between the interactive use of management control systems and firm performance. This study provides theoretical and managerial implications for Vietnamese information and communication technology firms that are striving to develop management control systems and dynamic capabilities for enhancing firm performance.

The Interaction of Sustainability Governance Structure and Sustainability Management Control Systems: An Italian Case Study

This study aims to analyze sustainability governance mechanisms and understand which roles and responsibilities fall under a governance system, as well as the pro-cesses of integrating sustainability into management control systems. Qualitative research focused on the case study analysis of SIT. Interviews were conducted with key figures within the firm regarding roles and responsibilities in sustainability issues to address the peculiarities related to sustainability governance design and implementation and to delve into the role of sustainability management control systems. Several documents were also analyzed: sustainability reports, sustainabil-ity plans, corporate monographs, and questionnaires related to participation in sustainability ratings and awards. Based on a review of the literature on corporate governance and the integration of corporate sustainability into it, including the analysis of previous studies on sus-tainability management control systems, this study found that good sustainability governance and a coherent sustainability management control system play a key role. They provide support in decision-making, enable the implementation of stra-tegic objectives consistent with sustainability targets, identify actions and best practices for effective improvement in sustainability performance, and enable the firm to pursue sustainable success. From a practical point of view, this case study represents a good example of how sustainability can permeate all business pro-cesses, thus providing opportunities for growth and continuous improvement.