Verksamhetsstyrning i en lågkonjunktur : En flerfallsstudie kring hur organisationer använder verksamhetsstyrning för att hantera en lågkonjunktur

Background: Cyclical businesses are affected as the economy moves through its different phases, which essentially involve shifts in demand. The unique and drastic fluctuations of the business cycle create uncertainty, particularly during a recession characterized by reduced consumption and declining revenues. To manage this uncertainty, it is necessary to apply management control that is adapted both to market conditions and the organization’s own context. The uncertainty of a recession makes it relevant to study how organizations use management control to navigate economic downturns. Purpose: The purpose of this study is to understand how organizations can use management control through LOC and BCM strategies during the different phases of the business cycle to manage the current recession. To understand how management control is applied in a recession, the study examines what differentiates an economic boom from a downturn. Method: This thesis is based on an abductive research design and conducted as a qualitative study using empirical data from semi-structured interviews, websites, and documents. The empirical data is drawn from four different companies across two industries: construction and manufacturing. The study also relies on literature from scientific articles and academic books. Conclusion: The results of the study show that companies need a business cycle-flexible management control system that is both adaptable and capable of balancing control with flexibility in order to manage a recession. Companies tend to shift their focus from growth and innovation during economic upturns to control and cost reduction during downturns. At the same time, the study emphasizes that management control must be tailored to the company’s specific context and to the different phases of the business cycle.