Integrative contingency-based framework of MCS: the case of post-secondary education
Journal of Accounting & Organizational Change
ISSN: 1832-5912
Article publication date: 5 September 2016
Abstract
Purpose
The purpose of this paper is to explore whether and how changes in the management control systems (MCS) of post-secondary institutions (PSIs) in Western Canada can be described and explained in terms of formal and informal MCS; and whether and how changes in the MCS of PSIs in Western Canada can be described and explained in terms of an integrative contingency-based framework of MCS based on regulatory accountability systems, competitive markets and organizational culture?
Design/methodology/approach
The empirical research was undertaken with an exploratory mixed design. The first phase involved descriptive univariate and bivariate statistics as well as non-parametric statistics computed on data from annual reports and financial statements of 46 PSIs in Western Canada to quantitatively explore MCS. The second phase involved the grounded theory (GT) analysis of annual reports of 46 PSIs in Western Canada to qualitatively explore formal MCS in relation to changes in contingencies. The third phase involved the GT analysis of 20 semi-structured interviews of senior managers from PSIs in Western Canada to qualitatively explore informal MCS in relation to formal MCS and changes in contingencies.
Findings
The research showed that emphasis on formal MCS in Western Canadian PSIs resulted in biased compliance within informal MCS. The exploratory research also demonstrated that the distinction between formal and informal MCS was better understood in a wider framing of MCS in terms of regulatory accountability systems, competitive markets and organizational culture.
Originality/value
This research led to the elaboration of an exploratory theoretical framework to subsume the distinction between formal and informal MCS into an integrative contingency-based framework of MCS.
Keywords
Acknowledgements
The authors would like to thank Jane Broadbent, David Cooper, Gary Spraakman and Christie Hayne for their helpful comments and suggestions. They would also like to thank participants at the 2014-Canadian Academic Accounting Association Conference.
Citation
Pomare, C. and Berry, A. (2016), "Integrative contingency-based framework of MCS: the case of post-secondary education", Journal of Accounting & Organizational Change, Vol. 12 No. 3, pp. 351-385. https://doi.org/10.1108/JAOC-02-2014-0013
Publisher
:Emerald Group Publishing Limited
Copyright © 2016, Emerald Group Publishing Limited