The complexity of the environment, management control and firm performance

Jean Tsitaire Arrive and Mei Feng

Business Strategy and the Environment, 2018, vol. 27, issue 8, 1347-1354

Abstract: The objective of this study is to contribute to the strengthening of management control systems in the face of environmental complexities with assumptions related to competent staff and real‐time information. A questionnaire and the quota‐sampling method of 32 Chinese‐listed companies in Madagascar were used. The results show that both assumptions of competent staff and real‐time information are factors leading to effective management control. The first hypothesis is confirmed with a correlation coefficient of 0.9, and the second hypothesis is confirmed with a correlation coefficient of 0.8. The study indicates that having competent staff, in terms of management control and in terms of anticipation of the facts, is the main factor in effective management control.

Date: 2018
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