Management Control Systems: Text and Cases: Performance Measurement, Evaluation and Incentives (Paperback)

Based on Kenneth Merchant’s ‘Modern Management Control Systems’, this new book comprehensively addresses the complex and multidimensional subject of management control systems (MCSs). The discussions in the book assume a basic level of knowledge of management accounting, but the book is suitable for upper level undergraduates who have taken a prior management accounting course as well as for postgraduates and practicing professionals.

The book presents an all-encompassing framework within which to consider management control issues. It also presents the needed technical subject content and summaries of the relevant research literature. But perhaps most importantly, it helps students developing their skills of applying the material to specific decision-making situations. This is done with real world text examples and an extensive set of case studies, which reflect the complexity that managers face when using MCSs.

While the book focuses on the use and effects of "financial results controls," it also describes situations where financial controls are either not effective or are actually counterproductive and discusses alternatives that managers can use in those situations.

Management control systems (MCSs) is a complex and multidimensional subject, which is comprehensively and clearly addressed by this new book.  It assumes a basic level of knowledge of management accounting, but it is suitable for upper level undergraduates who have taken a prior management accounting course, as well as for postgraduates and practising professionals.

Features and benefits

• Combination of an extensive set of case studies, text and real-life examples creates a balanced picture of the concepts, theories and issues surrounding the subject and equips students with the requisite skills to apply them to specific decision-making situations that managers face.
• Case study selection includes many Harvard Business School cases, as well as a range of original cases covering businesses in Europe, the USA and beyond.
• Coverage of the latest management control-related tools and techniques, such as EVA™ and Balanced Scorecard.
• Inclusion of findings of empirical research on the effectiveness of MCS design within different organizational settings provides a solid foundation to the subject.
• Greater emphasis on management control in the context of strategy and planning offers students the opportunity to develop their analytical skills in this area.
• Focus on the use and effects of 'financial results controls' which dominate at managerial levels in all but the smallest organizations. It also provides a broad treatment of alternative management controls that puts the financially-oriented controls into the proper perspective.

The authors

Professor Kenneth A. Merchant is the current holder of the Deloitte & Touche LLP Chair of Accountancy at the University of Southern California. He is an experienced teacher, consultant and the author of seven books.