New development: Integrating risk management in management control systems—lessons for public sector managers

Exploring multiple dimensions of management control systems (MCS), this article proposes a new framework to integrate risk management with strategy, MCS and performance measurement systems (PMS). Considering the public sector as a focal point, the article points to some enterprise risk management (ERM) issues and argues that ERM-enabled MCS has potential to improve PMS and strategic decision-making, leading to a more proactive risk management framework and a culture that promotes performance driven accountability. Consequently, the article calls for further research towards solving the public sector’s risk management problems, motivating its managers to adopt best practices, and stimulating suitable policy developments.     

Management control systems in inter-agency collaboration: a case study

This paper explores the nature of management control systems in an inter-agency collaborative arrangement. A Western Australian case study (the PECN project) highlights strategies for successfully providing services to people with highly complex needs, which could not be achieved by siloed attempts by individual agencies. This paper makes a significant contribution by providing evidence on multiple control systems which combine both horizontal and vertical controls to achieve better outcomes. The authors found strong evidence of trust-based relationships among the agencies which appeared to have a positive effect on inter-agency working.     

The role of value systems in translating environmental planning into performance

This study identifies the nature and extent of interdependencies among environmental strategic planning (ESP), environmental value systems, and firms’ environmental and economic outcomes. Findings are reported based on survey data collected from a cross-sectional sample of Australian firms. The results suggest that while ESP is positively associated with improved environmental performance, the emphasis of environmental value systems may not directly influence environmental performance outcomes. Furthermore, though environmental performance is positively associated with economic performance, the indirect association between ESP and economic performance through environmental performance is not absolute. Rather, this indirect association is conditional on the emphasis placed on environmental value systems. Specifically, the indirect association between ESP and economic performance is stronger for firms that employ formal and informal systems to promote shared environmental values and beliefs throughout the organisation.     

MANAGEMENT CONTROL PRACTICES AND CLINICIAN MANAGERS: THE CASE OF THE NORWEGIAN HEALTH SECTOR

This paper provides an analysis of the relationship between different management control practices and the leadership of medical departments in Norway. There has been ongoing debate about how the medical profession absorbs accounting knowledge: some argue that there has been hybridization, while others consider it as polarization. The explanation provided in this paper details the management control practices that health care enterprises use. We draw on two of the control perspectives in Simons's model of ladders of control: namely, diagnostic and interactive controls. The study thus provides insights into the problem of influencing clinician managers to use management accounting practices.     

Flexible Budgets for Cellular Manufacturing Systems

A flexible budgeting method based on relationships amongst the products manufactured in a cellular manufacturing system and the stochastic nature of expenditures is developed. Differential penalty costs for budget variances specified by the user determine an optimal ratio which is used in developing the flexible budget. The budget uses direct materials cost as the base, and is particularly well-suited for just-in-time operation in manufacturing.     

Use of derivatives in public sector organizations

The present paper develops and tests a model explaining public sector derivative use in terms of budget discrepancy minimization. The model is different from private sector models. Private sector models do not readily translate into the public sector, which typically faces different objectives. Hypotheses are developed and tested using logistic regression over a sample of Australian Commonwealth public sector organizations. It is found that public sector organization derivative use is positively correlated with liabilities and size consistent with the hypotheses concerning budget discrepancy management.     

The use of performance measurement systems in the public sector: Effects on performance

We study the use of performance measurement systems in the public sector. We hypothesize that the way in which these systems are being used affects organizational performance, and that these performance effects depend on contractibility. Contractibility encompasses clarity of goals, the ability to select undistorted performance metrics, and the degree to which managers know and control the transformation process. We expect that public sector organizations that use their performance measurement systems in ways that match the characteristics of their activities outperform those that fail to achieve such fit. We test our hypotheses using survey data from 101 public sector organizations. Our findings indicate that contractibility moderates the relationship between the incentive-oriented use of the performance measurement system and performance. Using the performance measurement system for incentive purposes negatively influences organizational performance, but this effect is less severe when contractibility is high. We also find that an exploratory use of the performance measurement system tends to enhance performance; this positive effect is independent of the level of contractibility. The effectiveness of the introduction of performance measurement systems in public sector organizations thus depends both on contractibility and on how the system is being used by managers. These findings have important implications, both for practice and for public policy.     

融资约束、经济政策不确定性与企业全要素生产率——基于我国上市制造业企业数据的经验分析

本文选取2005-2018年我国A股上市制造业企业的年度面板数据,通过固定效应模型和DID双重差分模型实证分析了融资约束和经济政策不确定性对企业全要素生产率的影响。实证分析结果显示,经济政策不确定性和企业融资约束总体上对企业全要素生产率产生了显著的负向效应,国有企业和大型企业对经济政策不确定性所产生的负面效应不敏感,通过缓解企业外部融资约束和提升企业内部现金流水平有助于民营、小型企业减轻政策不确定性带来的负面影响,但经济政策不确定性会通过加大企业融资约束而进一步影响企业全要素生产率。     

Data for outcome payments or information for care? A sociotechnical analysis of the management information system in the implementation of a social impact bond

ABSTRACT

Social Impact Bonds (SIBs) are a policy intervention designed to explicitly link the activity of social interventions to outcome payments. Despite a burgeoning literature on SIBs there is a lack of evidence in relation to the information system characteristics and accounting mechanisms of SIBs. Applying a multi-dimensional sociotechnical lens to a case study of a SIB allows us to reveal the current problematic convergence of public management and information systems. The authors found that an information system within a SIB is introduced and adapted to increasingly prioritize the production of data for payment over documenting care accounts to support improved provision. The ?ndings of this paper also suggest that claims of SIBs as an innovation are limited as they are subject to the familiar problems of New Public Management practice, in the way they shape the design and use of the data in governance, management and service delivery practices.     

不确定性与中国城镇居民储蓄率的实证研究

本文从不确定性收入、社会保险的参与情况对中国城镇居民面临的不确定性进行了界定,并使用2006年中国综合社会调查数据(CGSS2006)检验了不确定性对城镇居民储蓄率的影响。基于稳健OLS和可行广义最小二乘法(FGLS)的估计结果表明:不确定性收入与城镇居民储蓄率之间存在着显著的正相关关系,参加养老保险和医疗保险可以显著降低城镇居民的储蓄率。分位数回归的结果进一步显示:在各分位处,不确定性收入均对城镇居民储蓄率产生了显著的正向影响,并且影响强度随着储蓄率分位的上升而下降;而在储蓄率分布的0.5及以上中高分位处,参加养老保险可以显著降低城镇家庭的储蓄率;在储蓄率分布的顶端,参加医疗保险也与城镇居民储蓄率之间表现出显著的负相关关系。     

PERFORMANCE INDICATORS IN THE DUTCH DEPARTMENT OF DEFENCE

This paper focuses on the indicator systems that responsibility accounting may provide for performance evaluation in the public sector. Specifically, two conditions which such indicator systems should satisfy —'relevance' and 'coherence'—are examined. Thereby a value for money auditing model incorporating these conditions is developed and applied to a system of performance indicators created for a Dutch defence agency.     

Client Focus,Cooperation, and Coherence: (Re)professionalising Processes for Elderly Care

This paper suggests the study of professionalism and the professionalising processes within public sector organisations. Sociologists propose that professionalism is changing into a new variant developing under the premise of organisational management and control. This paper disputes the perspective that the use of management control leads to deprofessionalisation in terms of the routinisation of reflective professional tasks or weakened professional values. This paper proposes that, with client focus, professionals and accountants can cooperate and create coherence between management control system elements and professional values. This dynamic contributes to the retention of professional values and more reflective work procedures.     

Deadlines and software: disentangling local government accounting reforms in Brazil

ABSTRACT

This paper shows how ongoing accounting reforms in Brazilian local governments were affected by a shift from a universal to a gradual implementation approach. Deadlines being postponed led to a decrease in local governments’ willingness to reform. This effect varied according whether the accountants involved depended on commercial software to operate a particular accounting policy. An important finding from this research was that software providers are to some extent setting the IPSAS implementation agenda in Brazil.     

Management of environmental and social risks and topics in the banking sector - An empirical investigation

This paper investigates how environmental and social (E&S) risks and topics (i. e. E&S issues that are important in terms of adaptation to a changing business environment) are integrated in the banking sector. Despite banks’ key role in steering financial flows towards sustainable development, little is currently known as to whether and how banks integrate E&S aspects into their management control systems and whether this integration translates into E&S performance. Building on prior studies in the environmental management control literature, we design a conceptual model in which we link contextual factors, a proactive strategy approach, E&S management controls, and E&S performance. Following common practice in the banking sector, we differentiate between two paths of E&S management controls: risk management (value protection) and topic management (value creation). Based on survey data for a small sample of 50 European banks, we find evidence that contextual factors, reflected in the perceived power and legitimacy of clients, voluntary standard setters and NGOs, are positively related to a proactive strategy approach. This proactive strategy translates into both topic and risk management. Yet, in the next step, only topic management is positively related to the E&S performance of a bank, but not risk management.     

外商投资湖南省制造行业的环境效应实证研究

基于湖南省2006～2009年外商直接投资的20个制造业的面板数据,以工业SO2工业废气、工业废水和工业固废四类污染物排放量为被解释变量,考察FDI的环境效应.结果表明,FDI在重、中度污染密集型行业对湖南省的环境产生了显著的负面影响,但是在轻度污染密集型行业产生的是正面影响;总体而言,外资进入湖南省制造行业产生了正面的环境效应.四类污染物排放量与各个行业的工业总产值呈现正向关系,而与企业的研发经费总额呈现反向关系.