ABSTRACT
Control systems and controls have important consequences for how managers behave—this is the explicit purpose of these systems and levers. Correctly designed control systems help to stimulate efficient use of resources and development and use of appropriate reporting systems. Where budget execution controls are inappropriate for what is demanded of them and does not report correct information in a timely manner, they will fail to stimulate efficient spending decisions and management behavior and, paradoxically, may create or exacerbate waste, fraud, and other forms of funding misuse.
