Influence Of Management Control Systems Research Articles

The Mediating Role of Management Control System in the Relationship between Corporate Governance and the Performance of Bailed-out Banks in Nigeria

This paper proposes the mediating influence of management control systems using performance measurement as a proxy in the relationship between corporate governance and performance of banks in an era of post banking crisis that called for a bailout reform. Since the performance measurement information is used to influence the behaviour of organizational resources to implement organizational strategies, this study will test its ability to strengthen and facilitates boards’ functional effectiveness in ensuring sound banks’ performance after the bail-out reform using Otley 2009 performance measurement model.

Analysis of Impact of Management Control Systems (MCS) on Productivity and Approach to Determining Strength of MCS for Road PPP Projects

Expectations that public–private partnerships (PPPs) in roads will alleviate time overruns and enhance project productivity in India have not materialised. Substantial delays in tackling the attendant risks in the life cycle of the road PPP have occurred presumably because of weak management control systems (MCS) to mitigate risks. Very little research has been done on the influence of MCS on productivity. This article attempts to establish a relationship between MCS and project productivity. A strength index of MCS to serve as a strategic control mechanism is also presented.

Management control systems, business strategy and performance: A comparative analysis of family and non-family businesses in a transition economy in sub-Saharan Africa

This article compared the relationships among management control systems (MCS), business strategy and firm performance in family businesses (FBs) and non-family businesses (NFBs) in the context of a transition economy in sub-Saharan Africa that has not been previously studied – Ghana. The findings indicated that the influence of MCS on business strategy is contingent on whether the firm is a FB or NFB. The influence of (i) DCS on the cost leadership strategy is stronger for NFBs than FBs; (ii) ICS on the differentiation strategy is stronger for FBs than NFBs; and (iii) the dynamic tension created by the joint use of DCS and ICS on both the cost leadership and differentiation strategies is stronger for FBs than NFBs. Moreover, business strategy mediates the MCS-performance relationships; however, both the indirect and total impacts of MCS on performance are stronger for FBs than NFBs.

The adoption and success of private sector outsourcing in Australia

This paper examines the extent to which outsourcing practices are adopted by Australian private sector organisations and compares the level of outsourcing between private and public sector organisations. In addition the paper assesses the influence of management control systems on outsourcing success by examining the relationship between the exchange of information and the tightness of control with outsourcing success. Results reveal that while outsourcing in the private sector is as prevalent as in the public sector, outsourcing practices in the former are not as successful. The results also support previous findings in respect to the importance of management control systems in enhancing the success of outsourcing practices, with the level of information and the tightness of control found to be associated with the level of outsourcing success. The findings contribute to the outsourcing literature and provide an important insight into how organisations can enhance the success of their outsourcing activities.

Radicalness of Product Innovations and Performance in International Markets: Roles of the Interactive Use of Management Control Systems

Previous literature presents diverse results regarding the role played by Management Control Systems (MCS) in successful product innovation settings. This divergence can be explained by the fact that previous research concentrated mainly on the level of product innovation as measured by the number of products launched to the market, ignoring the potential influence of MCS on the degree of radicalness of product innovation (RPI). The aim of this paper is to provide a better understanding of the potential roles of MCS in innovation settings by exploring how the interactive use of MCS influences successful RPI in terms of organizational performance. Using data collected from 231 Spanish organizations, the results from a Partial Least Squares analysis support the following: First, interactive use has a positive direct effect on RPI, i.e, it acts as an enabler of radicalness. Second, the interactive use of MCS moderates the relationship between RPI and organizational performance. Understanding how MCS shape and manage innovation activities that involve different levels of certainty, risk, routines and complexity offers a complementary and more precise perspective of the roles of control within innovative firms.

Eco-control: The influence of management control systems on environmental and economic performance

Eco-control is the application of financial and strategic control methods to environmental management. In this study, we investigate to what extent eco-control influences environmental and economic performance. Using survey-data from a sample of Canadian manufacturing firms, the results suggest that eco-control has no direct effect on economic performance. A mediating effect of environmental performance on the link between eco-control and economic performance is observed in different contexts. More specifically, eco-control indirectly influences economic performance in the context of (i) higher environmental exposure, (ii) higher public visibility, (iii) higher environmental concern, and (iv) larger size. This study contributes to the management accounting literature by providing insight into the roles and contributions of management accounting in the context of sustainable development.

Eco-Control: The Influence of Management Control Systems on Environmental and Organizational Performance

Eco-Control: The Influence of Management Control Systems on Environmental and Organizational Performance

Antecedents and Consequences of Quality Performance

This study uses structural equation modeling to investigate the influence of management control systems (i.e., quality goal, quality feedback, and quality incentives) on quality performance, the influence of quality performance on both financial performance and customer satisfaction, and the impact of customer satisfaction on financial performance at the business unit level. Overall the results indicate substantial support for our proposed theoretical framework. However, the direct relationship between customer satisfaction and financial performance was insignificant. Further analyses indicate that quality performance mediates the relationship between management control systems and financial performance and customer satisfaction. The implications, limitations, and directions for future research are discussed.