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This study examines the effect of transformational leadership style on the use of management control systems, specifically Simons’ (1995) levers of control, in human service not‐for‐profit organizations. Unlike prior studies in which transformational leadership style has been treated as an aggregate construct, we decompose the construct and examine its effect at the dimensional level. Using matched...
Using survey and archival data for 180 not‐for‐profit aged care organisations, we find that interactive use of performance measurement systems positively affects the organisations’ revenue growth, while the diagnostic use negatively affects revenue growth. We also find that organisational culture, specifically attention to detail, innovation and respect for people, moderates these effects. Our findings...