ABSTRACT
This chapter focuses on a study designed to construct and evaluate a solution to an important managerial problem in a UK public-sector organization. When the new governance practices were introduced in the late 1980s, the Scottish public-sector organization, being mainly a scientific organization, did not have personnel trained for such administrative tasks related to strategic planning, making the preparation process challenging. The developed framework in interventionist case was based on a combination of the balanced scorecard (BSC), government objectives for such a scientific organization and cost allocation; the framework was built using theories/literature on all these three areas. However, the main theory contributions were argued in three areas: BSC, strategic objective costing, and Management accounting change research. The BSC framework was modified to fit a scientific organization characterized with knowledge-intensive, specialist work, and the BSC framework was adjusted further to incorporate the government objectives in the governance system developed.
