1. ”Challenges in Modern Corporate Governance” December 01, 2017
CHALLENGES AND DILEMMAS OF CONTROLLING
IN THE REPUBLIC OF SERBIA
Prof. dr Veselin Perović, dipl. ekk.
Doc. dr Aleksandra Todorović-Dudić, dipl. ekk.
Doc. dr Ranko Bojanić, dipl. ing.

2. Controlling represents a modern philosophy and business function, an expert support to management.
It contributes to transparency, as well as to the coordination and integration of business operations.
There are many studies worldwide dealing with controlling, while such studies have not yet been done in the Republic of Serbia.

3. The claim that controlling is nothing more than planning and analysis is often heard in Serbia, and in organizational schemes of Serbian companies controlling has mainly been linked to this department.
One of the important tasks of controlling is certainly planning and analysis.
However, the scope of controlling is much wider than that and includes all functions in the company which uses controlling as a performance measuring instrument.

4. Therefore, it can be said that only one aspect of controlling has been applied in Serbia – planning, and analysis.
Enterprises in Serbia began to introduce controlling in the 1990's. At that time, controlling was introduced only in subsidiaries of foreign companies.

5. Since no formal academic education was available for controllers in Serbia, or it is still missing, controlling experts were unable to educate properly.
Today, there are few faculties in Serbia where controlling is being studied as a scientific discipline (University of Novi Sad, and University Singidunum – Belgrade).

6. So, how was the controller knowledge transferred in Serbia?
By working in foreign companies that transferred the controlling function to their branches in Serbia.
Controllers also had the opportunity to acquire knowledge and skills from the field of controlling which they subsequently passed on to other Serbian companies.

7. Research methodology and sample
Selecting a sample represents a specific problem in scientific research.
The goals of this research were focused on companies that already have or are in the phase of introducing controlling in their organizational structure.
So, this research was directed towards similar enterprises operating in the Republic of Serbia.

8. The sample was selected bearing in mind that we tried to examine the state of controlling in the business practice of companies with the largest turnover.
A sample of 180 organizations was compiled and questionnaires were dispatched to their addresses.
Total of 87 completed survey sheets were received (a 48.3% return rate), and based on these data, the sample can be considered reliable.

9. Companies with over 250 employ., or 57 resp. (65.5%),
From 50 to 250 employ. with 16 respondents (18.4%)
Up to 50 employ., were represented by 14 respondents
(42) Manufacturing organizations
(29) Service companies
(7) Trading companies 7

10. 33 comp. employ 1 person
2 to 3 persons are employed by 2 companies
35 companies employ 3 to 5 persons
17 enterprises employ more than 5 employees
The research was focused more on the functioning of controlling in the Republic of Serbia than on the number of companies that implemented controlling in their organizational structure.

11. The number of controllers is unsatisfactory.
The question is, why is it so?
- Is there a lack of professional staff?
- Is role of controlling in these companies only
reporting?
- Do these companies fail to recognize the
importance of controlling for business success?

12. The answer to these questions can be seen in the fact that there is a very small number of faculties and universities where controlling is being studied as an academic discipline, and there is a lack of qualified controllers at the Serbian market.

13. Contribution of controlling to the success of the enterprise

14. Concluding remarks
Given the recent developments of controlling in terms of theory and practice, we believe that there is a need for considering the state of controlling in the Republic of Serbia.
Controlling has mainly been implemented in subsidiaries of foreign companies.
This would be facilitated by studying it as a scientific discipline at a higher number of universities and making familiar of both employees and managers with the advantage of introducing controlling.

15. Thank you for your attention!
Full prof. dr Veselin Perović;
Ass. prof. dr Ranko Bojanić;
Ass. prof. dr Aleksandra Todorović-Dudić;