Disentangling the Role of Management Control Systems for Product and Process Innovation in Different Contexts. Issue 4 (8th August 2019)

• Record Type: Journal Article
• Authors: Guo, Bing; Paraskevopoulou, Evita; Santamaría Sánchez, Luis
• Is Part Of: European accounting review. Volume 28:Issue 4(2019)
• Page Start: 681
• Page End: 712
• Publication Date: 2019-08-08
• Subjects: Management control systems -- Product innovation -- Process innovation -- Sector characteristics -- Panel data; Accounting -- Europe -- Periodicals; Accounting -- Periodicals; Comptabilité -- Europe -- Périodiques; Comptabilité -- Pays de l'Union européenne -- Périodiques; 657.094
• DOI: 10.1080/09638180.2018.1528168
• Languages: English
• ISSNs: 0963-8180

Abstract

ABSTRACT: This paper studies the relationship between the use of management control systems and different types of innovation (product and process), taking into account innovation contexts (high-tech versus low-tech sectors). We develop and test our hypotheses based on a large sample of Spanish manufacturing firms and find that input controls have a positive association only with process innovation in both innovation contexts. Behavior controls have similar effects on both types of innovation outcomes for high-tech firms, while they have stronger positive associations with process than with product innovation for low-tech firms. Output controls are equally relevant for product and process innovation in both contexts.