Controller involvement in management: an empirical study in large Italian corporations

Purpose – The purpose of this paper is to report the findings of a study designed to understand how involved controllers are in management decision processes, what causes more or less involvement in those processes, and whether involvement is significantly associate with performance.Design/methodology/approach – To test the research propositions developed from a review of prior literature, data were collected from large Italian corporations using a questionnaire survey.Findings – The results show that most of the controllers are at least somewhat involved in management decision processes, and some are highly involved. A complex set of factors determine the extent and breadth of controller involvement. Controller involvement in either strategic decisions, operating decisions, or both types of decisions is positively related to some situational variables, including capital intensity, operating interdependency, line managers' financial competence, formalization of strategic planning and budgeting processes. ...

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