The Role Of Management Control System On Firm Performance

  • Dewi Puspaningtyas Faeni, Ratih Puspitaningtyas Faeni, Ratna Septiyanti, Yuliansyah Yuliansyah


The aim of the study is to investigate the extent to which the use of management control system areinteractive and diagnosticallyenhance firm performance both environmental and customer performance by mediating good corporate governance.  In order to generate the aim of the study, we conduct a survey study on one of the country’s leading state-owned industries managers. We analyze a 39 usable data using structural equation model, in particularly SmartPLS. The result of the study found that Interactive control use has a direct effect on environment performance and indirect effect through good corporate government that can lead to the improvement of environmental performance.  However diagnostic control use only has a positive effect on environment performance. This study implies that interactive and diagnostic control uses endorse the improvement of environment performance.