scholarly journals ANALISIS PENERAPAN MODEL FOUR LEVERS OF CONTROL (STUDI KASUS PT. INDORAMA SYNTHETICS TBK POLYESTER DIVISION DI PURWAKARTA)

2021 ◽  
Vol 5 (2) ◽  
pp. 75-81
Author(s):  
Muhammad Ardi Nupi Hasyim ◽  
Setiandari Zamzami ◽  
Dewi Yanti ◽  
Madeleine Ing Mandaku
Keyword(s):  
Control Systems ◽  
Belief Systems ◽  
Levers Of Control

Sistem pengendalian manajemen dan arah manajer untuk setiap perusahaan berbeda. Dikarenakan adanya variabel yang membedakan setiap perusahaan. Oleh karena itu dalam penelitian ini akan menganalisis penerapan konsep teori Four Levers of Control di PT. Indorama Synthetics Tbk di kabupaten Purwakarta, konsep ini dapat meningkatkan kinerja karyawan. Objek penelitian ini adalah perusahaan tekstil dan barang kebutuhan lainnya. Penelitian ini menggunakan pendekatan, metode pengumpulan data untuk penelitian ini dilakukan dengan studi kepustakaan, wawancara dan analisis data. Setiap perusahaan membutuhkan tuas kendali yang beragam dan kompatibel dengan kondisi perusahaan;Pada Analisis Belief Systems dimana perusahaan telah memotivasi karyawan untuk menerapkan dan memiliki suatu visi, misi dan tata nilai yang sesuai dengan aturan perusahaan. Pelaksanaan sistem kepercayaan ini dikomunikasikan melalui berbagai media seperti bingkai ditempel di dinding, di situs perusahaan, ditampilkan pada pertemuan-pertemuan internal dan pada saat proses rekrutmen karyawan baru mengenai visi misi perusahaan. Boundary Systems ini menunjukkan bahwa telah mewujudkan batasan tersebut melalui adanya batasan yang telah ditetapkan, dimana perusahaan PT.Indorama Synthetics Tbk ini telah memuat aturan-aturan yang jelas dan komprehensif dengan sanksi atas pelanggaran tersebut.Sistem Kontrol Diagnostik perusahaan sangat mudah melakukan pengawasan dan pengawasan, hal ini dikarenakan perusahaan yang relatif besar, sehingga pengawasan harus lebih mudah dilakukan terutama dalalam pembagian sistem koordinator. Pimpinan dapat menyatukan kinerja dengan menyatukan laporan koordinator divisi masing-masing. Intractive Control Systems dimana karyawan dan atasan dengan menerapkan program pelatihan dan pengembangan. Program ini cukup baik dan sesuai dengan fungsinya. Komunikasi atasan dengan karyawan secara formal melakukan pelatihan, dan secara informal dengan melakukan diskusi.

Synthesizing management control frameworks

2010 ◽  
Vol 14 (1) ◽  
pp. 96-108 ◽  
Author(s):  
Winnie O'Grady ◽  
Paul Rouse ◽  
Cathy Gunn
Keyword(s):  
Control Systems ◽  
Management Control ◽  
Management Control Systems ◽  
Content Type ◽  
Control Framework ◽  
Explicit Consideration ◽  
Multiple Levels ◽  
Viable System ◽  
Levers Of Control ◽  
Practical Implications

PurposeThe purpose of this paper is to investigate the holistic nature of control systems to understand how they operate across organizational levels and manage change.Design/methodology/approachThis paper takes an analytical approach using the viable system model (VSM) to assess the two main frameworks of control reported in the accounting literature.FindingsThe VSM provides an elegant framework for management control systems with explicit consideration of: multiple levels of control, communication channels, interactions with the environment, and the mechanisms for attaining balance between stability and change.Practical implicationsThe evaluation of current management control systems produces specific suggestions for improving the levers of control frameworkOriginality/valueThe VSM has not previously been aligned with management control frameworks.

scholarly journals A Fuzzy Inference System for Management Control Tools

Mathematics ◽  
2021 ◽  
Vol 9 (17) ◽  
pp. 2145
Author(s):  
Carolina Nicolas ◽  
Javiera Müller ◽  
Francisco-Javier Arroyo-Cañada
Keyword(s):  
Decision Making ◽  
Organizational Performance ◽  
Control Systems ◽  
Fuzzy Inference System ◽  
Fuzzy Inference ◽  
Small And Medium Enterprises ◽  
Belief Systems ◽  
Management Control ◽  
Inference System ◽  
Medium Enterprises

Despite the importance of the role of small and medium enterprises (SMEs) in developing and growing economies, little is known regarding the use of management control tools in them. In management control in SMEs, a holistic system needs to be modeled to enable a careful study of how each lever (belief systems, boundary systems, interactive control systems, and diagnostic control systems) affects the organizational performance of SMEs. In this article, a fuzzy logic approach is proposed for the decision-making system in management control in small and medium enterprises. C. Mamdani fuzzy inference system (MFIS) was applied as a decision-making technique to explore the influence of the use of management control tools on the organizational performance of SMEs. Perceptions data analysis is obtained through empirical research.

scholarly journals Levers of Control and Managerial Performance: The Importance of Belief Systems

2021 ◽  
Vol 23 (3) ◽  
pp. 237
Author(s):  
Ancella Anitawati Hermawan ◽  
Emil Bachtiar ◽  
Panggah Tri Wicaksono ◽  
Nia Pramita Sari
Keyword(s):  
Belief Systems ◽  
Critical Role ◽  
Vital Role ◽  
Management Control ◽  
The Other ◽  
Strategic Uncertainty ◽  
Managerial Performance ◽  
Interactive Control ◽  
Strategic Risk ◽  
Levers Of Control

Belief systems, which are one of the four levers of control, play a vital role in an organization. This study is primarily aimed at examining the effects of belief systems on managerial performance. Since the four levers of control jointly function in management control systems, we extend our study by investigating whether the contingent-fit between strategic risk, strategic uncertainty, and the other three levers of control (i.e., boundary systems, diagnostic control, and interactive control) strengthens the association between belief systems and managerial performance. A survey questionnaire was distributed to the upper-level management of various companies or strategic business units in Indonesia during the fourth quarter of 2017, resulting in 81 respondents. Hypotheses testing were conducted using the OLS regression model. This research found that belief systems are positively associated with managerial performance, indicating that the implementation of effective belief systems leads to higher managerial performance. This study also found that the contingent-fit between strategic risk, strategic uncertainty, and the other three levers of control does not have any effect on how belief systems are positively associated with managerial performance. This finding indicates that although management does not adopt a fit combination between its level of strategic risk and strategic uncertainty and the boundary systems, diagnostic control, and interactive control, it can still achieve good performance as long as strong belief systems are implemented. These findings confirm the critical role of belief systems in the levers of control. Thus, management needs to ensure the establishment of more effective belief systems if the company or business unit wants to produce optimal performance.

The Application of Simons’ “Levers of Control” in the Quran and Sunna

2018 ◽  
Vol 16 (2) ◽  
pp. 139-162
Author(s):  
Mohd Abd Wahab Fatoni bin Mohd Balwi ◽  
Ahmad Sufian bin Che Abdullah ◽  
Asmuliadi Lubis
Keyword(s):  
Control System ◽  
Belief Systems ◽  
Belief System ◽  
Organizational Management ◽  
Interactive System ◽  
Control Belief ◽  
System Boundary ◽  
Main Components ◽  
Management Functions ◽  
Levers Of Control

Abstract Simons’1 “levers of control” is a strategy-based framework that takes into consideration the belief systems of and the functions and interactions within an organization. The purpose of this article is to discuss Simons’ levers of control from an Islamic viewpoint, based on the teachings of the Quran and Sunna. It demonstrates that the concept of “levers of control”, as posited by Simons, does not contradict the basic tenets of Islam. In fact, all the main components of the levers of control – belief system, boundary system, diagnostic control system, and interactive system – were actually emphasized and vigorously implemented by Prophet Muhammad SAW. However, these practices have never before been organized into well-arranged and systematic categories that can be used as guidelines by Islamic organizations. Such organizations should aspire to implement comprehensively the practices of Prophet Muhammad SAW in all aspects of organizational management functions, including those related to control. However, in the absence of clear and comprehensive guidelines, any implementation may not be appropriate or in accordance with the practices of Prophet Muhammad SAW. More importantly, incorrect implementation as a result of limited understanding or misunderstanding of the Prophet’s SAW practices can affect the overall perception of Islam. By properly utilizing the levers of control, organizations that strive to emulate the practices of Prophet Muhammad SAW in their operations can be successful.

The effects of strategic choices and sustainability control systems in the emergence of organizational capabilities for sustainability

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Karola Bastini ◽  
Fares Getzin ◽  
Maik Lachmann
Keyword(s):  
Control Systems ◽  
Design Methodology ◽  
Corporate Sustainability ◽  
Organizational Capabilities ◽  
Strategic Choices ◽  
Content Type ◽  
Sustainability Strategies ◽  
Sustainability Strategy ◽  
Organizational Determinants ◽  
Levers Of Control

PurposeThis study explores the relations among corporate sustainability strategies, the intense use of sustainability control systems (SCSs) to implement these strategies and the emergence of organizational capabilities for sustainability.Design/methodology/approachUsing survey data from a sample of 157 European firms across different industries, the authors explore differences between reactive and proactive sustainability strategies in their impact on the intense use of SCSs. The authors analyze the joint impact of a proactive sustainability strategy and an intense use of SCSs on the emergence of the organizational capabilities of sustainable market orientation, sustainable organizational learning and sustainable innovation. Furthermore, we explore the relevance of single levers of control for these capabilities.FindingsThe results show that a proactive sustainability strategy is associated with an intense use of SCSs and with the development of the three organizational capabilities. The authors provide evidence that the intensity of use of SCSs mediates the association between proactive sustainability strategy and the emergence of the three organizational capabilities. An interactive use of controls is constantly more important than a diagnostic use of controls in the emergence of the three capabilities.Originality/valueThe findings provide novel empirical evidence on the mechanisms through which corporate sustainability strategy is implemented in European organizations. The results contribute to an improved understanding of the organizational determinants underlying the development of organizational capabilities for sustainability.

Paradoxes of Control and Creativity: Evidence from Indian Public Sector Enterprises

2020 ◽  
Vol 17 (06) ◽  
pp. 2050046
Author(s):  
Sanjeev Ganguly ◽  
Satyasiba Das
Keyword(s):  
Public Sector ◽  
Control Systems ◽  
Structural Equation ◽  
Second Order ◽  
Management Control ◽  
Management Control Systems ◽  
Equation Modeling ◽  
The Past ◽  
The Relationship ◽  
Levers Of Control

Management control systems (MCSs) are commonly assumed to limit autonomy and freedom, thereby hindering innovation. Over the past several years, researchers have studied this relationship in western societies and have compiled contradictory findings. As such, the relationship between MCSs and innovation needs to be further explored. This study seeks to provide a better understanding of this relationship by applying the theoretical levers-of-control (LoC) framework while using two new second-order constructs. Quantitative data are collected from large Indian public sector enterprises (PSE) and are analyzed using the structural equation modeling (SEM) partial least squares (PLS) method. Findings confirm that Indian PSEs tend to use all four levers of the framework and that control and innovation can co-exist. It also differentiates the effect on innovation of two new second-order control constructs: constraining and inspirational. Findings of this study may help managers influence innovation by giving them the ability to adjust the different LoC.

AGILITY AND THE ROLE OF PROJECT — INTERNAL CONTROL SYSTEMS FOR INNOVATION PROJECT PERFORMANCE

2019 ◽  
Vol 24 (07) ◽  
pp. 2050064 ◽  
Author(s):  
PHILIPP A. LILL ◽  
ANDREAS WALD ◽  
RONALD GLEICH
Keyword(s):  
Control Systems ◽  
Internal Control ◽  
Positive Impact ◽  
Belief Systems ◽  
Project Performance ◽  
Project Managers ◽  
Control Mechanisms ◽  
Innovation Project ◽  
The Impact ◽  
Project Level

As a reaction to the rapidly changing environment, organisations increasingly use agile project management (APM) methods to develop innovation. The associated process changes necessitate the adaption of organisational structures and control systems. This study draws on Simon’s Levers-of-Control framework (LOC) to explore the impact of different control levers on innovation project performance. Based on a survey of 316 project managers and product owners, the results suggest that the use of interactive project control systems and project-internal belief systems has a positive impact on the innovation outcome, regardless of the degree of agility of the project. Furthermore, we reveal that a strong project environment leads to increased use of control mechanisms on the project level and has a conducive impact on innovation project performance. The study is among the first to apply the LOC on the project level and integrate it into the agile context.

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