Use of Management Control Systems in the Balance of Dynamic Tension in the Implementation of Innovation Strategies in Family Business

Abstract

The study aims to investigate how the use of Management Control Systems (MCS) occurs in the balance of dynamic tension to implement the innovation strategy as a competitiveness differential in a family business. It is characterized as descriptive research with a qualitative approach, from a case study in a large company. The categories of MCS, Innovation Strategy and Family Influence were extracted from the literature and transformed into an interview script. The interviews were analyzed and triangulated with observation and documentary sources. The results reveal that the influence of the family is on family values, in the preparation of the new generation, transmission of knowledge and experience between generations, in promoting the culture of innovation in the business environment. In this case, the commitment of the new generation to the family business is essential for the process of continuity and alignment of strategic objectives and superior performance. The theoretical-empirical contribution is the insertion of a category of analysis that suggests the entry of new family members as a dynamic stress factor. The management contribution reveals that budget control and budget deviations are the most used artifacts interactively (adapt to the environment); the business plan and strategic planning in a diagnostic way (implementation of the strategy). It is concluded that the evidence of family values and entrepreneurial learning reinforce the beliefs and the use of interactive controls to adapt to the innovation environment and in the balance of dynamic tension.