CHAPTER 5
Interactive Control Systems: Adapting to Competitive Environments
Managing the tension between creative innovation and predictable goal achievement is the essence of management control. Effective managers scan for disruptive changes that signal the need to reconfigure organization structures, capabilities, and product technologies. Some have argued that management control systems act as filters that homogenize information, thereby removing signals of disruptive environmental change (Hedberg and Jönsson 1978). According to this view, management control systems limit search routines and experimentation—hardly a prescription for innovation and opportunity-seeking.
While diagnostic control systems do constrain innovation and opportunity-seeking ...
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