In the paper, we study the “management control systems-strategy-performance” relationship from a contingency theory point of view, considering the way in which multiple aspects of control systems and dimensions of context combine in a variety of ways to enhance performance (see also: Chenhall & Langfield-Smith 1998; Drazin & Van de Ven 1985; Selto et al. 1995).
Contingency theory suggests that the design and use of management control systems (MCS) is influenced by – or contingent upon – certain factors which are internal (e.g. -strategy) or external (e.g. environment) to the company (Hickson et al. 1969; Lawrence & Lorsch 1967; Woodward 1965). Read more..
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