Muhammad Dahlan
This study exploring the influence strategic use of Management Control Systems (MCS) on performance. That are Diagnostic Control System (DCS) and Interactive Control System (ICS) as well mediates variable as the relationship between Communication Skill (CS) and Task Uncertainty (TU), and operational performance for government organization. We were distributed questionnaire to collect data of 42 institution of public services, that are population were draw in West Java, Indonesia period of June – November, 2019. From the 42 public service, the names of 140 middle-level managers random was used their perception what cause and effect the extent to which of the management control systems implementation in order to subordinate level and their employees working departmental and that gained of 71 usable responses for final data. Path-analysis software was used to test the hypothesis. The analysis indicated that TU and CS have a positive influence on operational performance both directly and indirectly, throughout adoption of MCS. In other words, there is a positive relationship between TU and CS and operational performance which is fully mediated by DCS and ICS. Adoption of MCS as well as contingent based factor could be increased subordinate motivation and performance. We also find that use of MCS package, while employees themselves participate in their own departmental performance measures will improve performance were put to use. The MCS package will be reducing of TU and encourages of employee’s CS. That has been generated employee hard working and getting their target and increase performance, and that has been increase manager performance and their subordinates level, that’s will be impact to organizational level. The West Java Institution is join approach of strategic use between the DCS and ICS for subordinate level, that are extent to which for encourages of employee motivations and performance. These findings too implications for practice and public policy manner. This study enriches MCS literature, especially respect in TU and CS to management control in public sector services. Prior studies have found difficulties analyzing the influence of contingent based factor in order MCS design to studies including government organizations context specifically.