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Management control in public sector Joint Ventures
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- Cäker, Mikael, 1972 (author)
- Gothenburg University,Göteborgs universitet,Företagsekonomiska institutionen, Ekonomistyrning,Department of Business Administration, Management Accounting Group
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- Siverbo, Sven, 1970 (author)
- Gothenburg University,Göteborgs universitet,Företagsekonomiska institutionen, Ekonomistyrning,Department of Business Administration, Management Accounting Group
- (creator_code:org_t)
- 2010
- 2010
- English.
- In: 33rd annual EAA congress, 19-21 May 2010, Istanbul Turkey.
- Conference paper (peer-reviewed)
Abstract
Subject headings
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- Cooperation among public sector organizations is increasingly important in the management of resources in welfare systems. A Joint Venture (JV) is an organization form that enables public sector organizations to cooperate with others in order to achieve economies of scale in investments in physical resources and knowledge. However, our understanding of how this organization form is controlled is limited. This paper maps the control packages Swedish municipal JVs use in their horizontal and vertical relationships and investigates the factors that affect their control packages designs. The paper also contributes to the debate on the relationship between trust and control in inter-organizational relationships. The three case studies of this research reveal that vertical control packages are affected by trust, parents’ dissimilarities, the relatedness between the JV activity and other owner activities, and horizontal controls. Horizontal control packages are affected by the presence or absence of a dominant owner and by contacts between parents. Furthermore, the paper presents evidence of an “inverted crowding out” effect where maintaining trust is an argument for not developing formal controls. This effect may lead to instability in times of crisis and an inefficient use of resources. Keywords: Trust and control, horizontal control package, vertical control package, joint venture, public organizations, municipality
Subject headings
- SAMHÄLLSVETENSKAP -- Ekonomi och näringsliv -- Företagsekonomi (hsv//swe)
- SOCIAL SCIENCES -- Economics and Business -- Business Administration (hsv//eng)
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- kon (subject category)
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