A Normative Theory of Organizational Control: Main and Interaction Effects of Control Modes on Performance
The dominant model of organisation control was developed by Ouchi and his colleagues. It predicts
the choice among control modes as a function of the task context. It has two limitations. One is that it
predicts the choice of control modes but not the effect of those choices on performance. The other is
that it restricts that choice to a single control mode for a specific context and does not consider the
choice of a combination or portfolio of control modes, which the same literature frequently describes
as practice. Here, contributing to control theory, these two limitations are addressed through the
development of a more complete and complex normative model which includes interactions among
modes and their effect on performance. This model has important implications for both the theory and
practice of outsourcing, IT project methodology and IT-based organisational transformation.
Liu, Li; Yetton, Philip; and Sauer, Christopher, "A Normative Theory of Organizational Control: Main and Interaction Effects of Control Modes on Performance" (2010). ECIS 2010 Proceedings. 27.