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2014 | OriginalPaper | Chapter

9. Funding, Strategies and Management Control Systems: Empirical Evidence from Two Chamber Orchestras

Authors : Fredrik Nilsson, Anna-Karin Stockenstrand

Published in: Strategy, Control and Competitive Advantage

Publisher: Springer Berlin Heidelberg

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Abstract

In recent years a great deal of interest has been focused on studying the relationship between strategy and management control systems (MCS). However, it is well known that the results from these studies are somewhat ambiguous and contradictory. In an attempt to explain these types of conflicting results, as well as increase our understanding of the relationship between strategy and MCS, two different, but interrelated, areas of research directions have evolved.

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previous chapter The Role of IT Systems in the Strategy Process: The Case of Electrolux

next chapter Conclusions and Implications

Nixon and Burns (2012a, b) discuss the development of strategic management accounting (SMA), an important strand of literature in the broad area of strategy and management control. One of their conclusions is that there is no consensus of the definition of SMA. There exist narrow definitions focusing on accounting techniques for the analysis of competitors to very broad definitions including management accounting, financial accounting and financial management. The authors seem to encourage a broader more integrative definition of SMA (see also Langfield-Smith 2008).

Strategy is measured as strategic pattern (Miles and Snow 1978), strategic position (Porter 1980) and strategic mission (Gupta and Govindarajan 1984).

We have not included the generic strategy lean competitor also identified by Ward et al. (1996). The reason is that this strategy is not very common, as it combines differentiation and cost leadership.

For a detailed description and analysis of the Ward et al. (1996) production strategy typology and its characteristics, see Nilsson and Rapp (2005).

These relationships are, as already mentioned, also discussed in Nilsson and Stockenstrand (2012) but with a focus on the design and use of the budget and only using the business strategy typology by Porter (1980).

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Title: Funding, Strategies and Management Control Systems: Empirical Evidence from Two Chamber Orchestras
Authors: Fredrik Nilsson
Anna-Karin Stockenstrand
Publisher: Springer Berlin Heidelberg
Book: Strategy, Control and Competitive Advantage
Print ISBN: 978-3-642-39133-0

Electronic ISBN: 978-3-642-39134-7

Copyright Year: 2014
DOI: https://doi.org/10.1007/978-3-642-39134-7_9