1. Creating systems that encourage innovation, creativity and collaboration Lisa Jack Professor in Accounting Hot Topic 21 January 2015

2. 2 Creative people, creative ideas Can you have a system of control that at the same time encourages people in an organisation to be innovative and creative? When people are innovative and creative, and make things happen, how do you measure that success and who takes the reward? Can creativity be audited? Can innovation and success be achieved by incentives?

3. 3 Creating systems that encourage innovation, creativity and collaboration Not a new idea: 1981 ‘Accounting in organised anarchies: understanding and designing accounting systems in ambiguous situations’ (Cooper, Hayes and Wolf) Internal systems of costing, budgeting and performance evaluation - Sustain culture and language - Maintain control and power Does standardisation and internal control inhibit innovation, creativity and collaboration?

4. 4 Creating systems that encourage innovation, creativity and collaboration The problem may be the way we think about control.

5. 5 Creating systems that encourage innovation, creativity and collaboration Food supply networks: On time, in full, to specification v. Financial margins, overheads, returns

6. 6 Creating systems that encourage innovation, creativity and collaboration Creativity can flourish in the presence of a system of control (Spekle, van Eltern and Widener, 2014) (1) signals to employees the problems, issues and/or opportunities that need creative action, (2) motivate employees to take actions, (3) allows employees the freedom to be creative within specified Boundaries. Empowerment: Make creative people Part of the control process – And get more creativity E.G. Target costing

7. 7 When Creativity Meets Control: A Fashion Industry Case Study Cristiano Busco, Mark L. Frigo, Elena Giovannoni, and Maria Pia Maraghini 2012

8. 8 Thank you.