The effect of diagnostic and interactive uses of management control systems and managerial coaching on reflection in teams

Abstract

Purpose

The purpose of this study was to investigate the effects of managerial coaching, as well as interactive and diagnostic uses of management control systems (MCS), on reflection and critical reflection, which are important for team learning.

Design/methodology/approach

Data were collected using a questionnaire survey. Hierarchical regression analyses were performed to test hypotheses using data from 235 employees in 50 teams from a Japanese automotive supplier.

Findings

The results indicated that: MCS used interactively have a positive influence on critical reflection in teams; MCS used diagnostically have no significant effect on reflection or critical reflection in teams; and managerial coaching has a positive influence on team reflection.

Research limitations/implications

These findings suggest that the interactive use of MCS should be combined with managerial coaching in promoting reflection and critical reflection within teams. Because this study used data from employees of a Japanese automotive supplier, the results may have been influenced by the Japanese management style.

Practical implications

Organizations need to implement interactive MCS at the team level, while coaching programs should be provided for managers to enhance team learning.

Originality/value

This study extends the existing literature by examining the effect of MCS at the team level, and identifying that managerial coaching plays a complementary role, supporting the interactive use of MCS in promoting reflection within a team.

Citation

Matsuo, M. and Matsuo, T. (2017), "The effect of diagnostic and interactive uses of management control systems and managerial coaching on reflection in teams", Journal of Accounting & Organizational Change, Vol. 13 No. 3, pp. 410-424. https://doi.org/10.1108/JAOC-06-2016-0034