Parulian Silaen

Management control systems: a model for R&D units

Purpose - The purpose of this paper is to develop a proposal for a new conceptual framework for management control systems (MCS) in R&D units. Design/methodology/approach - The paper is a descriptive study that reviews the control literature and proposes an MCS framework in the light of four key elements: desired ends, actors, control implementation, and control tools. Findings - The study found two sub-elements of desired ends (directional and yardstick) to be complementary in a low level of uncertainty, while directional should be emphasized more in a high level of uncertainty. Five sub-elements of actors are used differently along the levels of uncertainty. The timing and use of formal and informal control types are found to be different regarding the level of uncertainty. Finally, the dimension and the value of control tools are used differently in those two distinctive situations. Research limitations/implications - The paper is limited to a descriptive study that may have further implication for research by using the framework to investigate the MCS applied by R&D units. Practical implications - The four key elements of MCS may be used in practice by developing a detail measure of each element to suit the condition of the unit. Originality/value - The paper is a new way of looking at MCS, broadening the comprehension, and introducing new MCS key elements.

THE USE OF CONTROL TOOLS ON PERFORMANCE AUDIT OF A GOVERNMENT’S SCIENTIFIC INSTITUTION: A CASE OF EMERGING ECONOMY

The paper investigates performance audit practiced by a government RD Leeuw, 1996; Roberts and Pollitt, 1994; Midwinter, 2008; Shand and Anand, 1995; Wynn-Williams, 2005). The study uses a case study to explore the utility of control tools in the performance audit of National Institute of Biological (NIB) by analysing the audit report of the Comptroller and Auditor General (CAG) of India. A set of control tools developed by Silaen and Williams (2009) for R& D organisation are applied in this case. The elements of the control tools developed by Silaen and Williams (2009) consist of dimensions and values of representation. Four dimensions of control tools are given as directional, bureaucratic, scientific and financial. Three values of representation are given as external, internal and social value of representation. A matrix of dimensions and value of representation is developed, and applied to the audit report of NIB. It is concluded that CAG used all the four control dimensions across the three values of representation and arrived at a suitable recommendation to the Government of India. With a limitation to a single case, this study contributes to the literature by examining a unique case of a scientific organisation, NIB, and by understanding the way in which performance audit was used to enhance the accountability of public sector scientific institution. With a limitation to a single case study of NIB, this study has its originality to contribute to the literature by examining a unique case of a scientific organisation, National Institute of Biological in India, and by understanding the way in which performance audit was used to enhance the accountability of public sector scientific institution.