The Role of Feedforward Control System in Improving SMEs\' Performance

Dahnil Anzar Simanjuntak
European Research Studies Journal, Volume XXI, Issue 3, 378-390, 2018
DOI: 10.35808/ersj/1069


The purpose of this study is to investigate the effect of Management Control System process on outcomes in the SME industry. Based on resource-based observation of the firm, emphasis capability can improve competitive advantage. Respondents in this study were managers from SMEs in the Banten Province. Data collection was done by giving a questionnaire directly to 150 SME Managers. This study found that the feedforward control is the part of the management control system and has a strong influence on performance. Besides, this research also found that feedforward control systems can increase creativity and cost cutting. Other findings from this study revealed the importance of a proactive attitude of SME managers to survive in the financial crisis.

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