This paper studies an incomplete contracting model to compare the effectiveness of alternative transfer pricing mechanisms. Transfer pricing serves the dual purpose of guiding intracompany transfers and providing incentives for upfront investments at the divisional level. When transfer prices...

This paper studies the optimal choice of cost standards (or cost targets) over time in an agency setting in which a worker is responsible for both implementing actions and acquiring skill/expertise that would enable him to improve his future performance with respect to those actions. We...

The objective of this paper is to foster research on recent innovations in performance measurement by providing a rich description of emerging measurement practices and suggesting directions for future research. Using survey data collected by consulting firms and government organizations, we...

Parent-subsidiary relationships are commonplace nowadays, yet surprisingly there is a paucity of research analysing their dynamics over time. This paper presents a (longitudinal) case study, illuminating the dynamics implicated when a UK chemicals company imposed its systems and rules on a new...

This article investigates the co-relationship of operating performance with implementation of ERP system in listed companies. The descriptive statistics reveals that the operating performance of ERP companies in 2003, that ROS, ROI, ROE and ROA regarded as companies' operating performance index...

Using Social Comparison Theory as the framework, I experimentally investigate whether relative performance information (RPI) fosters performance improvement in a real-effort task. The experiment employed a 2 (RPI: yes or no) by 4 (contract type: straight piece-rate, modified piece-rate, quota,...

We study turnover and promotions of division managers in multidivisional firms. Turnover is negatively related to divisional accounting performance, positively related to industry performance, but not significantly related to firm performance or the performance of other divisions. Consistent...

A primary aim of this paper is the presentation of a survey of possible inter-connections between management accounting and the economics of the firm. The guiding philosophy is that both accounting and economics can be illuminated and developed by exploring the interface between the two...

A perplexing yet persistent empirical finding is that individuals assess probabilities in words and in numbers nearly equivalently, and theorists have called for future research to search for factors that cause differences. This study uses an accounting context in which individuals are commonly...

This study replicates and extends the Abernethy and Lillis (2001) interdependencies model of organization design to Australian universities. The model proposes interdependent relations among strategy, structure, and performance measurement systems affecting effectiveness and efficiency. We find...