The interplay between management control systems and strategy - A study on diagnostic -and interactive management control systems

Sammanfattning: We have in this study looked at how interactive -and diagnostic management control systems interrelate and at their joint effect on strategy. Results from our case study show that there exists an interrelation between the two types of controls when the management has significant influence on the design of the diagnostic controls. It is also shown that they both are adapted to the strategy but also that they have played an important role in giving rise to strategic changes. We have in this study confirmed prior research when it comes to the relationship between MCS and strategy but we have also found indications of an interrelationship between diagnostic -and interactive controls. Diagnostic controls served as the foundation for the use of interactive controls which in turn had reversed effect on the design of diagnostic controls. Thus, an interrelation seems to have been present in our study.