LEADERSHIP STYLES IN FAMIILY BUSINESS : AN PT MANDIRI SUKSES UTAMA CASE STUDY
DOI:
https://doi.org/10.21776/ub.ijabs.2019.27.2.9Abstract
Abstract
This study aims to provide insight into the meaning and perception of leadership in the family business at PT Mandiri Sukses Utrama. More specifically, this research tries to understand the family business culture context and its importance in developing leadership. We share the view that organizational realities are negotiated and built on the awareness of collective participants. This study uses interpretative case studies. Interviews, observations and documentary analysis are used to collect data. Family business leadership is embedded in the culture of the community. A leader-owner is not the creator but only the manager of organizational culture because he is also a product of the culture of society. Owners and their inner circle (family and not family members) can collectively play an important role in producing and reproducing legitimate MCS based on the extended family concept. In this case, cultural controls based on shared family norms are the most dominant and simplify process and outcome controls. However, business pragmatism can go hand in hand with culture in providing space for MCS transformation. The family business studied is still run by the first generation of families, does not have a subsidiary. The sample size of this study is limited. This study encourages family business owners to consider the use of strong cultural controls along with bureaucratic control to create sustainable organizations.
Keywords: Leadrship Style, Management Control System
References
Abernethy, M.A., Bouwens, J. and van Lent, L. (2010), “Leadership and control system designâ€, Management Accounting Research, Vol. 21 No. 1, pp. 2-16.
Ansari, S.L. and Bell, D.J. (1991), “Symbolism, collectivism and rationality in organisational controlâ€, Accounting Auditing and Accountability Journal, Vol. 4 No. 2, pp. 4-27.
Astrachan, J.H. and Shanker, M.C. (2003), “Family businesses’ contribution to the US economy: a lookâ€, Family Business Review, Vol. 16 No. 3, pp. 211-220.
Beatty, A. (1999), Varieties of Javanese religion: An anthropological account. Cambridge University Press, Cambridge.
Bhimani, A. (1999), “Mapping methodological frontiers in cross-national management control researchâ€, Accounting, Organizations and Society, Vol. 24, pp. 413-440.
Carlock, R.S. and dan Ward, J.L. (2010), When Family Businesses are Best: The Parallel Planning Process for Family Harmony and Business Success, Palgrave Macmillan, London.
Cater, III J.J. and Justis, R.T. (2010), “The development and implementation of shared leadership in multi-generational family firmsâ€, Management Research Review, Vol. 33 No. 6, pp. 563-585.
Corbetta, G. (1995), “Patterns of development of family businesses in Italyâ€, Family Business Review, Vol. 8 No. 4, pp. 267-291.
Dyer, Jr., W.G. (2006), “Examining the ‘family effect’ on firm performanceâ€, Family Business Review, Vol. 19 No. 4, pp. 253-273.
Efferin, S. (2010), “Triangulation in qualitative-interpretive research in accounting: The art of managing limitationâ€, in The Application of Meta Analysis and Triangulation Method Proceedings of National Colloquium and Seminar of M.Sc and Doctoral Programmes, Faculty of Economics and Business, Gadjah Mada University, Indonesia, pp. 1-10.
Efferin, S. and Hopper, T. (2007), “Management control, culture and ethnicity in a Chinese Indonesian companyâ€, Accounting, Organizations and Society, Vol. 32, pp. 223-262.
Downloads
Published
How to Cite
Issue
Section
License
The copyright of the received article shall be assigned to the journal as the publisher of the journal. The intended copyright includes the right to publish the article in various forms (including reprints). The journal maintains the publishing rights to the published articles.
