Robert Simons

Bio: Robert Simons is an academic researcher from Harvard University. The author has contributed to research in topics: Performance measurement & Management control system. The author has an hindex of 23, co-authored 46 publications receiving 8803 citations.

Levers of Control: How Managers Use Innovative Control Systems to Drive Strategic Renewal

Abstract: Based on a ten-year examination of control systems in over 50 U.S. businesses, this book broadens the definition of control and establishes a critical bridge between the disciplines of strategy and accounting and control. In addition to the more traditional diagnostic control systems, Simons identifies three new control systems that allow strategic change: belief systems that communicate core values and provide inspiration and direction, boundary systems that frame the strategic domain and define the limits of freedom, and interactive systems that provide flexibility in adapting to competitive environments and encourage organizational learning. These four control systems, according to Simons, will provide managers with the basic levers for pursuing strategic objectives.

The role of management control systems in creating competitive advantage: New perspectives

Abstract: For the last two decades, management control systems have been conceputalized in terms of implementing a firm’s strategy. This view fails to recognize, however, the power of management control systems in the strategy formulation process. Based on a 2 year field study, a new model is presented to show how interactive management control systems focus organizational attention on strategic uncertainties. This process is examined in two competing firms to illustrate how top managers use formal systems to guide the emergence of new strategies and ensure continuing competitive advantage.

Accounting control systems and business strategy: An empirical analysis

Abstract: Accounting theoreticians have argued that control systems should be modified in accordance with the business strategy of a firm. This study tests this hypothesis by examining differences in accounting control system attributes between two groups of firms following distinctly different strategies. Interview data and questionnaire data are used to provide evidence of the ways in which firms align their control systems and strategy. In addition, prelimenary evidence is discussed which suggests a relationship between accounting control systems, business strategy and firm performance.

How new top managers use control systems as levers of strategic renewal

Abstract: This research is a longitudinal study of 10 newly-appointed top managers; the research focuses on understanding (1) their business vision and strategy and (2) how they use formal control systems as levers of strategic change and renewal. The results reported in the paper are based on data collected over a period of approximately 18 months following the appointment of each new manager. Analysis of the data suggests that control systems are important levers used to manage both evolutionary and revolutionary change. In situations of strategic change, control systems are used by top managers to formalize beliefs, set boundaries on acceptable strategic behavior, define and measure critical performance variables, and motivate debate and discussion about strategic uncertainties. In addition to traditional measuring and monitoring functions, control systems are used by top managers to overcome organizational inertia; communicate new strategic agendas; establish implementation timetables and targets; and ensure continuing attention to new strategic initiatives.

An Organizational Learning Framework: From Intuition to Institution

Abstract: Although interest in organizational learning has grown dramatically in recent years, a general theory of organizational learning has remained elusive. We identify renewal of the overall enterprise as the underlying phenomenon of interest and organizational learning as a principal means to this end. With this perspective we develop a framework for the process of organizational learning, presenting organizational learning as four processes—intuiting, interpreting, integrating, and institutionalizing—linking the individual, group, and organizational levels.

The resource-based view within the conversation of strategic management

Abstract: The resource-based approach is an emerging framework that has stimulated discussion between scholars from three research perspectives. First, the resource-based theory incorporates traditional strategy insights concerning a firm's distinctive competencies and heterogeneous capabilities. The resource-based approach also provides value-added theoretical propositions that are testable within the diversification strategy literature. Second, the resource-based view fits comfortably within the organizational economics paradigm. Third, the resource-based view is complementary to industrial organization research. The resource-based view provides a framework for increasing dialogue between scholars from these important research areas within the conversation of strategic management. Resource-based studies that give simultaneous attention to each of these research programs are suggested.

Performance measurement system design: A literature review and research agenda

Abstract: The importance of performance measurement has long been recognized by academics and practitioners from a variety of functional disciplines. Seeks to bring together this diverse body of knowledge into a coherent whole. To ensure that the key issues are identified, focuses on the process of performance measurement system design, rather than the detail of specific measures. Following a comprehensive review of the literature, proposes a research agenda.

Between Trust and Control: Developing Confidence in Partner Cooperation in Alliances

Abstract: Strategic alliances have been recognized as arenas with potential for opportunistic behavior by partners. Hence, a firm needs to have an adequate level of confidence in its partner's cooperative behavior. In this article we examine the notion of confidence in partner cooperation in alliances and suggest that it comes from two distinct sources: trust and control. We make the argument that trust and control are parallel concepts and that their relationship is of a supplementary character in generating confidence. In addition, we suggest that control mechanisms have an impact on trust level and that the trust level moderates the effect of control mechanisms in determining the control level. Finally, we discuss various ways to build trust within strategic alliances and important alliance control mechanisms.

Management control systems design within its organizational context: findings from contingency-based research and directions for the future

Abstract: Contingency-based research has a long tradition in the study of management control systems (MCS). Researchers have attempted to explain the effectiveness of MCS by examining designs that best suit the nature of the environment, technology, size, structure, strategy and national culture. In recent years, contingency-based research has maintained its popularity with studies including these variables but redefining them in contemporary terms. This paper provides a critical review of findings from contingency-based studies over the past 20 years, deriving a series of propositions relating MCS to organizational context. The paper examines issues related to the purpose of MCS, the elements of MCS, the meaning and measurement of contextual variables, and issues concerning theory development. A final section considers the possibility that contingency-based ideas could encompass insights from a variety of theories to help understand MCS within its organizational context.