The determinants of multiple forms of controls in foreign subsidiary manager evaluations

Lili-Anne Kihn

International Journal of Accounting, Auditing and Performance Evaluation, 2008, vol. 5, issue 2, 157-182

Abstract: This study explores how the determinants of financial, non-financial and behavioural controls vary in foreign subsidiary manager performance evaluations. Possible impacts of the following factors are analysed: extent of geographical dispersion, decentralisation and perceived environmental changes. Hypotheses are tested, using principal component and multiple regression analysis, with data collected from annual reports and from 103 top managers from a wide range of Finnish business unit headquarters. The results suggest that, in MNCs, top management's emphasis on financial controls tends to remain very high, regardless of the contingencies analysed. However, the data support several regularities between the factors examined and non-financial controls in particular and behavioural controls to a smaller extent. This, in turn, leads to variations in the relative emphasis on financial controls.

Keywords: behavioural control; financial control; management control systems; manager evaluation; performance evaluation; multinational companies; MNCs; non-financial control; output control; survey; foreign subsidiaries; manager performance; Finland. (search for similar items in EconPapers)
Date: 2008
References: Add references at CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
http://www.inderscience.com/link.php?id=20848 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ids:ijaape:v:5:y:2008:i:2:p:157-182

Access Statistics for this article

More articles in International Journal of Accounting, Auditing and Performance Evaluation from Inderscience Enterprises Ltd
Bibliographic data for series maintained by Sarah Parker ().