liu.seSearch for publications in DiVA
Change search
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • harvard1
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • oxford
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf
On strategy and management control: the importance of classifying the strategy of the business
Deloitte & Toushe, Deloitte Consulting, Stockholm, Sweden.
Deloitte & Toushe, Deloitte Consulting, Stockholm, Sweden.
Linköping University, Department of Computer and Information Science, EISLAB - Economic Information Systems. Linköping University, The Institute of Technology.
2000 (English)In: British Journal of Management, ISSN 1045-3172, E-ISSN 1467-8551, Vol. 11, no 3, 197-212 p.Article in journal (Refereed) Published
Abstract [en]

The point of departure for this paper is a number of contingency-theory studies on the relationship between business strategy and the design and use of management control. In these studies strategy has been operationalized in different ways – a major reason why the findings are ambiguous and difficult to integrate. Thus there is a strong need for a common frame of reference for classifying business strategy. In view of the multifaceted nature of the concept of strategy, however, it is neither desirable nor possible to arrive at a single method of classification that would be appropriate in all situations. Rather, the task is to integrate different strategic variables such as strategic pattern, strategic position and strategic mission. In this paper we show how these three variables may be assumed to influence, and be influenced by, what characterizes changes in strategy and how business units manage their product offerings. Unlike most previous studies in the field, this paper discusses how the strategic variables taken together may be assumed to influence the classification of strategy and thus the design and use of the management-control system. Our deductive analysis, and the hypotheses used in connection with it, show that studies which consider only one strategic variable may lead to erroneous conclusions about the relationship between strategy and management control.

Place, publisher, year, edition, pages
2000. Vol. 11, no 3, 197-212 p.
National Category
Computer Science
Identifiers
URN: urn:nbn:se:liu:diva-36536DOI: 10.1111/1467-8551.00161Local ID: 31529OAI: oai:DiVA.org:liu-36536DiVA: diva2:257384
Available from: 2009-10-10 Created: 2009-10-10 Last updated: 2013-11-22
In thesis
1. In the borderland between strategy and management control: theoretical framework and empirical evidence
Open this publication in new window or tab >>In the borderland between strategy and management control: theoretical framework and empirical evidence
2004 (English)Doctoral thesis, comprehensive summary (Other academic)
Abstract [en]

Strategy and management control are two fields of research that have become increasingly inter-linked. Research in strategy has shown, for instance, that strategies are of no effect unless they permeate the entire organization, and that they become obsolete if not renewed as the business environment changes. Similarly, research in management control has shown that management control loses its relevance if it does not reflect strategy or is not useful in operations. This dissertation considers a number of theoretical approaches to corporate and business strategies and their connection to management control. The reasoning is also examined in light of empirical data collected from major Swedish firms in various industries. One finding is that some combinations of corporate and business strategies and management control are more congruent than other combinations. An additional question discussed in the dissertation is how different types of business strategy could be changed and combined; these possibilities are studied empirically on the basis of data taken from annual reports of Nordic paper and pulp companies. The results show that the nature of business strategy can be changed over time, but that different kinds of business strategies can seldom be combined within the same business unit. Further, the dissertation treats the relationship between different perspectives on business strategies. Another central element of the dissertation is the design and use of performance measurement. On the basis of extensive empirical material from large Nordic firms in a variety of industries, performance measurement at Nordic firms is described, noting differences between countries and between dissimilar business strategies. According to the findings, the Nordic firms used a broad spectrum of measures, which according to theory should be more closely related to strategy than would financial measures alone.

Place, publisher, year, edition, pages
Linköping: Linköpings universitet, 2004. 36 p.
Series
Linköping Studies in Science and Technology. Dissertations, ISSN 0345-7524 ; 910
National Category
Computer Science
Identifiers
urn:nbn:se:liu:diva-33175 (URN)19156 (Local ID)91-85295-82-5 (ISBN)19156 (Archive number)19156 (OAI)
Public defence
2004-12-14, Visionen, IDA, Linköpings Universitet, Linköping, 13:15 (Swedish)
Available from: 2009-10-09 Created: 2009-10-09 Last updated: 2013-11-22
2. The role of management control systems in strategic business units
Open this publication in new window or tab >>The role of management control systems in strategic business units
2000 (English)Licentiate thesis, comprehensive summary (Other academic)
Abstract [en]

Business firms are confronted with strategic considerations at both the corporate and business-unit level. In this regard, the management-control system is of major importance. For example, the management-control system is used both to obtain information for strategic planning and to follow up on the implementation of strategic plans. The overall purpose of this dissertation is to describe and explain from a strategic perspective how management control is designed and used in strategic business units. This overall purpose can be subdivided into the three research questions addressed in the three articles which comprise the dissertation.

The first research question concerns the influence of the relationship between corporate and business strategy on the management-control system. The findings of Paper I, an empirical study of 31 Swedish corporate groups with 47 business units, show among other things that environmentally driven business development is encouraged by an activity-sharing strategy at the corporate level, a differentiation strategy at the business-unit level, and integration of management control between the two levels. A more general implication of this finding is that this kind of combination of corporate and business strategy is one with a good fit.

The second research question relates to the effect of different variables of business strategy on the design and use of management control. The variables studied are strategic pattern, strategic mission, and strategic position. The findings of Paper II, a theoretical study with well-known international studies as the starting point, indicate that these variables reflect different dimensions of business-unit strategy and that together they affect the design and use of management control.

The third research question is about the design and use of a particular aspect of management control - performance measurement - at large firms in the Nordic countries, which are often portrayed as forerunners in linking strategy and control. The findings of Paper III, an empirical study of 236 Nordic business units, suggest among other things that there is a good balance between monetary and nonmonetary measures at the firms studied. However, performance measurement appears to be primarily a tool for top management, since it is not very well established at lower organizational levels.

Place, publisher, year, edition, pages
Linköping: Linköpings universitet, 2000. 22 p.
Series
Linköping Studies in Science and Technology. Thesis, ISSN 0280-7971 ; 842
National Category
Computer Science
Identifiers
urn:nbn:se:liu:diva-42681 (URN)68039 (Local ID)91-7219-802-8 (ISBN)68039 (Archive number)68039 (OAI)
Available from: 2009-10-10 Created: 2009-10-10 Last updated: 2013-11-22

Open Access in DiVA

No full text

Other links

Publisher's full text

Authority records BETA

Kald, MagnusNilsson, FredrikRapp, Birger

Search in DiVA

By author/editor
Kald, MagnusNilsson, FredrikRapp, Birger
By organisation
EISLAB - Economic Information SystemsThe Institute of Technology
In the same journal
British Journal of Management
Computer Science

Search outside of DiVA

GoogleGoogle Scholar

doi
urn-nbn

Altmetric score

doi
urn-nbn
Total: 2110 hits
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • harvard1
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • oxford
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf