Search results

Observes that the provision of intelligent control is seen as the logical extension of existing seat‐belt and airbag systems for passenger vehicles to optimize secondary safety performance. Demonstrates the need for discrete information about the driver/passenger in the vehicle in order to provide optimal control of seat‐belt pre‐tensioning; seat‐belt reel‐out (post‐crash pulse); and air bag inflation timing and/or rate. Finds, from system modelling and statistical crash data, that such information as occupant mass and position with respect to vehicle interior and steering wheel are important parameters in the optimal control of the above integrated systems. Justifies these needs and shows that the design of a Smart Seat provides the necessary data. Explains that the design incorporates sensor systems, using a Mechatronic integrated approach.

An examination of the commonalities and differences between performance management practices in the public and private sector.

A literature review of 100 publications in international academic journals over the last 20 years.

The chapter develops a framework which links the dimensions of the public/private-distinction (ownership, funding, control and type of goals) to the design and use of performance management systems (PMS). This framework subsequently informs a literature review, which can be summarised as follows: Multi-dimensionality of the PMS is core in both public and private sector organisations, but quite many private sector papers point to a financial focus at the top of the PMS, while public sector organisations show a broad variety of performance indicators, including those on societally relevant goals. In addition, a link between the PMS and strategies can be found in the public and the private sector, but the match between different strategies and PMS design is more elaborated in the private sector. These findings are largely in accordance with our expectations. The review also finds support for the assumption that performance information in public sector organisations is primarily used for external accountability reasons, while internal managerial control is the main purpose in private firms. The use of performance information is quite intensive and mostly functional in both sectors, which does not meet our expectations. Overall, the differences between performance management practices in the public and private sector are less stringent than expected.

Due to limited evidence about the importance of performance-related pay systems and no evidence about targeting in both sectors, a more focused literature review on these issues would be desirable.

Mutual learning between both sectors, for example the public sector can learn from the private sector on how to link strategy to the PMS and the private sector can learn from the public sector about serving a multitude of stakeholders in the PMS.

A comprehensive review of performance management practices in the public and private sector.

The present research examines the effect of incentivizing both outcome and driver measures of SPMS on middle managers' proactivity in influencing the strategy formulation process. A case-based experiment was conducted among 74 full-time employees. The results suggest that when incentives are linked to both outcome and driver measures of SPMS, compared with when they are outcome-based and not linked to the SPMS, managers are more proactive in communicating strategy-related issues to top management. In addition, this effect of SPMS-based incentives on middle managers' proactivity is mediated by their autonomous extrinsic motivation to achieve strategic goals. The results are in general consistent with postulates of the self-determination theory of motivation. This chapter also has practical implication. Specifically, recent evidence suggests that most SPMS adopters fail to validate causal business models underlying their formulated strategies (Ittner, 2008; Ittner & Larcker, 2003, 2005). Middle managers' proactive strategic behavior may be one means to prompt top management to inspect formulated strategies and their underlying business models.

Purpose – To show the properties of performance measurement and management systems (PMMS) used dialogically and the association between the dialogic use of PMMS and the characteristics of the organizational relationships between parent companies and foreign subsidiaries.

Design/Methodology/Approach – Data were collected through a questionnaire e-mailed to large foreign subsidiaries of multinational firms operating in various industries. Hypotheses regarding factors associated with the extent to which PMMS are used dialogically between parent companies and foreign subsidiaries were tested based on responses to 136 usable questionnaires (45% response rate).

Findings – PMMS are used more dialogically within relationships between parent companies and subsidiaries characterized by subsidiary strategic role and organizational interdependence. Measurement diversity and perceived comprehensiveness of PMMS are higher if PMMS are used more dialogically. Finally, the dialogic use of PMMS is positively associated with subsidiary size and the emphasis on collaboration in the parent company’s national culture.

Originality/Value – In contrast to prior management accounting research that is focused on the outcomes of different styles of use of PMMS, this study shows organizational characteristics and PMMS properties associated with the dialogic use of PMMS. Moreover, this study advances the traditional view of the international business literature that conceives PMMS as bureaucratic systems employed by parent companies to coercively control foreign subsidiaries.

Collaborative relationships (CRs) in supply chains have become central in international business. Strategic performance measurement systems (SPMSs) establish a causal chain of performance measures that can be aligned with strategic goals and can link performance measures with business processes and suppliers. This study investigates whether CRs in supply chains positively affect buyer competitiveness by using SPMSs. Firm competitiveness is described in terms of product cost-price, delivery, as well as flexibility. We demonstrate through the use of SPMSs that CRs indirectly and positively influence the competitiveness of delivery and flexibility. This chapter contributes to the growing literature on the role of SPMSs in linking the relationship between CRs and competitiveness.

This study aims to investigate how dynamic tensions between performance measurement system (PMS) uses enable organizations to achieve both exploitation and exploration and enhance firm performance.

The authors collected survey data on 153 Italian companies. Scales for each construct were validated through an exploratory factor analysis. Data on firm performance were cross-validated by using lagged accounting data. The authors tested our hypotheses using hierarchical ordinary least squares regressions, together with bootstrapping procedures for the test on mediation.

A diagnostic use of PMS has a positive association with both exploitation – e.g. reductions in total costs and lead times – and exploration, e.g. introduction of new products and extension of product ranges. The dynamic tension created by a joint diagnostic and interactive use has the strongest association with organizational ambidexterity, measured as the multiplicative interaction between exploration and exploitation.

If an organization or business unit is mainly pursuing exploitative goals, a mainly diagnostic use of PMS would be most suitable. If goals are both exploitative and explorative, a mix of diagnostic and interactive uses would be most effective.

This research helps reconcile conflicting views in the literature. The diagnostic use of PMS, far from acting as a “negative force,” appears to be necessary to guide opportunity search and to establish an appropriate scope for exploration-related activities. The authors’ focus on the uses of PMSs shows that ambidexterity is achieved through managerial capability, rather than just through the introduction of systems and structures.

This paper aims to examine the role of senior managers’ use of financial and non-financial performance measures in the relationship between decentralization and organizational performance in the hotel industry.

Data were collected using a mailed questionnaire. General Managers in charge of medium-to-large hotels in Thailand completed the questionnaire. In total, 131 general managers, one from each hotel, participated in the study. Path analysis technique was used to test the hypotheses.

The results indicate that the general managers’ use of financial and non-financial performance measures fully mediates the relationship between the extent of decentralization of decision-making and hotel performance. The results reveal that the decentralization of decision-making alone is not enough to help a hotel improve its performance. Indeed, the relationship between decentralization of decision-making and hotel performance exists only via the general manager’s use of the performance measures. It is contended that a general manager’s use of the performance measures in a hotel encourages department managers to make appropriate decisions to successfully improve their department’s performance which, in turn, leads to increased performance of the hotel.

This study provides empirical evidence indicating how senior managers in hotels with decentralized decision-making could use performance measures to better manage their hotels, thereby improving the hotel’s performance. An in-depth analysis of the data reveals that the senior manager’s use of the non-financial, and not the financial, performance measures is a mediator of the relationship between decentralization of decision-making and hotel performance.

The purpose of this paper is to discuss whether performance measurement moderates the relationship between innovation capability and firm performance.

The study was conducted through a web-based survey in small- and medium-sized enterprises (SMEs). A total of 311 responses were received from a sample of 2,400 randomly selected SMEs.

Consistent with predictions, the link between innovation capability and firm performance is significant in the presence of performance measurement. Performance measurement can thus be used as a tool for improving the performance of SMEs through innovation capability.

Using the results of this study, practitioners can improve their innovation capability through performance measurement by taking better account of various aspects.

Previous research has studied the effects of performance measurement, but not in the area of innovation management. Previous research has also showed that measurement has positive effects on innovation capability. The present study goes one step further by investigating the impacts of measurement on the relationship of multiple aspects of innovation capability and firm performance.

Outsourcing of accounting increasingly attracts research interest, but research concerning the impact of the benefits of outsourcing on firm capabilities and performance across firms remains limited. This paper aims to reveal the unobservable latent classes of firms that outsource their accounting functions by testing a research model concerning the topic.

The authors build on accounting outsourcing research and adapt a research model from the literature on business services outsourcing. The authors analyze the data from 261 small and medium-sized enterprises in Europe using finite mixture structural equation modeling (FMSEM) and additional methods.

The authors reveal three latent classes with different research models. Thriving outsourcers (N = 103) have a positive attitude toward accounting outsourcing and associate competitive capabilities with mediating the relationship from outsourcing benefits to firm performance. Annoyed outsourcers (N = 143) are dissatisfied with their accounting service provider and only associate outsourcing benefits with competitive capabilities. Convenient outsourcers (N = 15) feel comfortable with their current accounting service provider and associate outsourcing benefits with neither capabilities nor with firm performance.

The study initiates the discussion about the unobservable heterogeneity among accounting outsourcers. The study introduces the use of the FMSEM method in accounting outsourcing research.

The study offers novel insights concerning accounting outsourcers and proposes original explanations for their outsourcing decisions that would help both the outsourcers and accounting service providers.

The study might be the first to categorize accounting outsourcers using FMSEM.

This study aims to advance mixed methods as a research methodology in accounting through three research objectives: develop a typology of mixed methods research (MMR) features from current literature, analyse accounting papers published in two leading South African journals against these features, and offer recommendations for best practice going forward.

This paper follows five elements for a MMR review study: identify the methodological aim and choice of discipline; identify the relevant accounting MMR literature and collect the data; develop a codebook and analysis procedures to assess the reviewed papers against; report on the MMR findings; and discuss the findings and make recommendations.

The use of MMR as a methodological approach is increasing; however, in many instances published papers revealed limited methodological detail. Furthermore, most accounting MMR studies use a convergent MMR design, with data collected qualitatively using interviews/focus groups and quantitatively using questionnaires. Finally, accounting education studies is the topic within accounting research that mostly use MMR.

The study is limited to a five-year period and the prevalence of applicable MMR articles during that period in two journals.

This paper presents advantages of using MMR in accounting studies and offer recommendations for best practice to answer the complex accounting research questions of today.

This study is the first systematic examination of how mixed methods is used in accountancy research as reflected in South African journals.