AbstractThis study develops and tests a theory that an interaction exists amongst the information attributes of strategic performance measurement systems (SPMS), the board control role and the organization's strategy as measured by a composite index of firm performance (Muth & Donaldson, 1998). Research suggests that organisational control is accomplished through performance evaluation, which emphasises the information aspects of control (Eisenhardt, 1985). In addition it is argued that there is a parallel between the use of organisational control systems (financial control and strategic control) by boards and top management teams (TMTs) (Goold & Quin, 1993; Gupta, 1987; Hitt, Hoskisson, & Ireland, 1990). What is unclear is the role information aspects may play. A significant three-way interaction exists when performance is observed by the accounting return EBIT, but is, however, not significant when associated with shareholder returns as the performance measure. The findings contribute to board SPMS practices, information attributes, and the corporate governance literature.
|Date of Award||6 Oct 2012|
|Supervisor||Lyndal Drennan (Supervisor)|
Interaction among firm strategy, board control role, information attributes in association with firm performance
Gunther, C. (Author). 6 Oct 2012
Student thesis: Doctoral Thesis