Management Control Systems : Performance Measurement, Evaluation, and Incentives

by Kenneth A. Merchant, Wim A. Van der Stede

This book describes the management control problems that need to be addressed in any large firm, as well as the tools that can be used to address these problems. It details the most important situational factors that cause managers to choose one set of controls over another, and the outcomes that can be produced, both positive and negative. It also discusses some key control roles in the controllers, auditors, and audit committees; and some common control-related ethical issues. A large set of diverse case studies illustrate the points and concepts in the book. Utilizing recent world examples and research findings, the following topics are covered management and control; results controls, action, personnel, and cultural controls; control tightness; direct and indirect system costs; design and evaluation of control systems; financial responsibility centers; planning and budgeting systems; financial performance targets; performance-dependent rewards (and punishments); performance measurement issues and their effects; ethical issues; and situational influences on management control systems. A thorough yet understandable resource for management personnel in the corporate world, including controllers, accountants, and auditors.

Genres: Management, Business, Finance

716 pages, Paperback

First published June 16, 2003

Reviews

[Sonny Liebeek · Rating 4 out of 5]

A must read for anyone who measures performance of employees or wants to implement more or tighter control in their company. Also useful for people who are being evaluated by superiors. The book gives many advantages of performance measures, but also turns to the disadvantages, and possible solutions.

[Macarena Fonseca · Rating 3 out of 5]

Si aprendí dos que tres cosas la verdad. Me salté todos los casos, resolví suficientes a lo largo de 4 años y medio.

[J-P · Rating 3 out of 5]

Easy to read. Huge amount of cases so the theory section is pretty short

[Jenni · Rating 3 out of 5]

A fairly easy book to read with LONG examples (interesting but not necessary to read them).

[Muhammad Hasnain]

I WANT TO READ