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Managing Interdependence in Multi-business Organizations

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  • Jetta Frost

    (University of Hamburg)

  • Rick Vogel

    (University of Hamburg)

  • Khaled Bagban

    (Olympus Europa SE & Co. KG)

Abstract

Managing interdependence in multi-business organizations is a profound challenge for the design and use of management control systems. Results of a case study of a leading multinational telecommunications provider suggest that the composition of control systems varies significantly with the type of interdependence. This is further substantiated by six qualitative sub-cases of the case study firm. Specifically, we find that management control systems are significantly more complex in cases of cooperative forms of interdependence than in cases of transactional forms. Contrary to expectations, this also applies to pooled interdependence which occurs when separate units share some common resources.

Suggested Citation

  • Jetta Frost & Rick Vogel & Khaled Bagban, 2016. "Managing Interdependence in Multi-business Organizations," Schmalenbach Business Review, Springer;Schmalenbach-Gesellschaft, vol. 17(2), pages 225-260, August.
    • Handle: RePEc:spr:schmbr:v:17:y:2016:i:2:d:10.1007_s41464-016-0019-2
    DOI: 10.1007/s41464-016-0019-2
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