Corporate culture diagnostics in management control: Evidence from Ukraine

• Authors: Kuznetsova Svitlana , Kuznetsov Andriy
• Languages of publication: EN

Abstracts

EN

The paper presents the model of corporate culture diagnostics for simulation in management control. Three approaches (symbolic, cognitive, and systematic) used for the diagnosis of corporate culture have been outlined. There have been provided 3 levels (basic underlying assumptions, espoused beliefs and values, and visual artifacts) to evaluate the state of corporate culture in a comprehensive way. Two methods of assessment (standard and dynamic) have been proposed for selection. 19 groups of indicators and 42 defined indicators that allow diagnosing corporate culture comprehensively have been provided. Based on the sample of 11 Ukrainian companies, the results suggest that application of the management control model provides a high quality informational base for decision-making on the trends and prospects of development, addressing problematic issues and weaknesses of the current corporate culture and use of its operating conditions and strengths to improve the overall efficiency of the company.

Keywords

EN

Corporate culture; Corporate culture measurement; Cultural control; Management control; Management control model

• Publisher: Uniwersytet Ekonomiczny w Katowicach
• Journal: Journal of Economics and Management
• Year: 2017
• Volume: 27
• Pages: 42-57

Contributors

author

Kuznetsova Svitlana

• Department of International Finance, Accounting and Taxation. Alfred Nobel University, Dnipro, Ukraine

author

Kuznetsov Andriy

• Department of International Finance, Accounting and Taxation. Alfred Nobel University, Dnipro, Ukraine

References

• Arrow K.J. (1963): Social Choice and Individual Values. John Wiley & Sons, New York – London – Sydney.
• Ashby S., Palermo T., Power M. (2011): Picking up the Pieces: Risk Management in a Post Crisis World. Financial Services Knowledge Transfer Network, London.
• Benedict R. (2006): Patterns of Culture. Mariner Books, Boston, MA.
• Berry A., Jarvis R. (1994): Accounting in a Business Context. Chapman and Hall, London-Melbourne.
• Bleicher K. (1991): Organisation, Strategien, Strukturen, Kulturen. Aulf, Wiesbaden.
• Bozeman B., Kingsley G. (1998): Risk Culture in Public and Private Organizations. “Public Administration Review”, Vol. 58(2), pp. 109-118.
• Cameron K.S., Quinn R.E. (2011): Diagnosing and Changing Organizational Culture: Based on the Competing Values Framework. John Wiley & Sons, New York.
• Hoskin K., Macve R., Stone J. (2006): Accounting and Strategy: Towards Understanding the Historical Genesis of Modern Business and Military Strategy. In: A. Bhimani (ed.). Contemporary Issues in Management Accounting. Oxford University Press, Oxford, pp.166-197.
• IRM (2012): Risk Culture: Guidance from the Institute of Risk Management. Institute of Risk Management, London.
• Jackson S. (2011): Organizational Culture and Information Systems Adoption: A Three-Perspective Approach. “Information and Organization ”, Vol. 21, No. 2, pp. 57-83.
• Kuznetsova S. (2011): The Transformation of Accounting Systems in the Chaotic Economy Structuring: The Synergetic Approach. “Risk and Decision Analysis”, Vol. 2, No. 3, pp. 151-160.
• Kuznetsova S., Kuznetsov A. (2014): The Perspective of Information Management Accounting in Ukraine: The Synergistic Approach and Arrow’s Impossibility Theorem. “World Journal of Social Sciences ”, Vol. 4, No. 1, pp. 140-153.
• Levin I., Gottieb J. (2009): Realigning Organization Culture for Optimal Performance: Six Principles & Eight Practices. “Organization Development Journal”, Vol. 4, pp. 31-47.
• Levy C., Lammare E., Twining J. (2010): Taking Control of Organizational Risk Culture. “McKinsey Working Papers on Risk”, No. 16, pp. 1-11.
• Maanen J. van, Barley S. (1984): Occupational Communities: Culture and Control in Organizations. “Research in Organizational Behavior”, Vol. 6, pp. 287-365.
• McNair C.J., Richard L., Cross F. (1990): Do Financial and Nonfinancial Performance Measures Have to Agree. “Management Accounting”, Vol. 11, pp. 68-92.
• Mohan M.L. (1993): Organizational Communication and Cultural Vision. State University of New York Press, New York.
• Rappaport A. (1986): Creating Shareholder Value: The New Standard for Business Performance. Free Press, New York.
• Reason J. (1997): Managing the Risk of Organizational Accidents. Ashgate Publishing, Farnham.
• Redfield R. (1941): The Folk Culture of Yucatan. The University of Chicago Press, Chicago.
• Schein E.Y. (2009): The Corporate Culture Survival Guide. John Wiley & Sons, New York.
• Stiglitz J. (2012): Macroeconomic Fluctuations, Inequality, and Human Development. “Journal of Human Development and Capabilities”, Vol. 13, No. 1, pp. 31-58.
• Voloshyn O., Mashenko S. (2010): Models and Methods of Decision Making. Publishing Center Kyiv University, Kyiv.
• Wei Z., Baiyin Y., McLean G. (2010): Linking Organizational Culture, Structure, Strategy, and Organizational Effectiveness. “Mediating Role of Knowledge Management. Journal of Business Research”, Vol. 7, pp. 763-771.
• Żelazny R. (2015): Information Society and Knowledge Economy-Essence and Key Relationships. “Journal of Economics & Management ”, Vol. 20, No. 5, pp. 5-20.

Identifiers

ISSN

1732-1948