Combinations of Strategy and Control: A Set-Theoretic Approach
Posted: 22 Jan 2014
Date Written: January 22, 2014
A significant amount of attention has been devoted to understanding the relationship between strategy and control. While much progress has been made a number of important questions have so far received little attention: (1) how do management controls combine to achieve effective control outcomes for different firm strategies? and (2) are there multiple, equally effective control combinations in a given strategic context? This study addresses these questions by drawing on the Miles and Snow (1978) typology to hypothesize the control combinations expected to be effective for different strategic contexts. Expectations are tested through a novel method termed fuzzy set qualitative comparative analysis (fsQCA) using data obtained from a cross sectional survey. The study contributes to the literature by providing evidence on how control attributes combine within and across strategic contexts and demonstrating that effective control can be achieved through multiple configurations. In doing so the study provides insight into the interdependence and relative importance of control attributes for achieving effective control outcomes in different strategic settings.
Keywords: Management control, strategy, configurations, qualitative comparative analysis, fsQCA
JEL Classification: M41, D23
Suggested Citation: Suggested Citation