Melco Journal of Management Accounting Research
Online ISSN : 2189-2776
Print ISSN : 1882-7225
ISSN-L : 1882-7225
research paper
The impact of organizational size growth on management control :
an empirical research
Kazunori Fukushima
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JOURNAL FREE ACCESS

2011 Volume 4 Issue 2 Pages 17-27

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Abstract
The purpose of this paper is to reveal the relationship between organization growth and management control. The paper discuss about the impact of organizational size growth on management control, and management control on organizational performance. This study revealed that organization growth affects management control both directly and indirectly. The direct effect is that the bigger firms have grown, the more dependent on diagnostic control systems. The indirect effects are that the bigger firms have grown, the more decentralized organizational structure has been designed, then the more dependent on diagnostic control systems. In addition, interactive control systems affect financial performance and diagnostic control systems affect non-financial performance positively.
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© 2011 The Melco Foundation
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