Download or read book The Effects of Budget Emphasis Budgetary Participation Information Asymmetry and National Culture on the Propensity to Create Slack written by Chong M. Lau and published by . This book was released on 1997 with total page 660 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Advances in International Accounting written by J. Timothy Sale and published by Elsevier. This book was released on 2004-09-11 with total page 261 pages. Available in PDF, EPUB and Kindle. Book excerpt: Advances in International Accounting is a refereed, academic research annual, that is devoted to publishing articles about advancements in the development of accounting and its related disciplines from an international perspective. This serial examines how these developments affect the financial reporting and disclosure practices, taxation, management accounting practices, and auditing of multinational corporations, as well as their effect on the education of professional accountants worldwide. Advances in International Accounting welcomes traditional and alternative approaches, including theoretical research, empirical research, applied research, and cross-cultural studies.
Download or read book The Impact of Budget Emphasis and Information Asymmetry on the Relationship Between Budgetary Participation and Budgetary Slack written by Alan S. Dunk and published by . This book was released on 1990 with total page 256 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Advances in Management Accounting written by Marc J. Epstein and published by Emerald Group Publishing. This book was released on 2015-07-20 with total page 308 pages. Available in PDF, EPUB and Kindle. Book excerpt: Volume 25 of Advances in Management Accounting exemplifies the broad scope of the series by examining a number of key areas of management accounting.
Download or read book A Multi Method Examination of the Effect of Budget Emphasis on the Relation between Extrinsic Valence and Managerial Performance written by Alan S. Dunk and published by . This book was released on 2000 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: Externally mediated outcomes are frequently used to encourage managers to enhance their performance. The literature argues that performance-contingent rewards, and especially financial ones, have a motivating effect on performance. One presumption is that differences in pay levels are differentially extrinsically valent. Whether extrinsically valent performance outcomes are met may depend on the extent to which there is slack in subordinates' budgets, the inherent degree of task programmability budgets represent, and the degree of budget emphasis in evaluation. A multi-method approach was used to evaluate this proposition based on a survey, conducted in Australia, and an experiment, undertaken in the U.S. Potential confounding effects were controlled for in the experiment and performance was objectively measured to add explanatory power. The results of the survey suggest that the influence of slack and task programmability on the relation between extrinsic valence and performance hold only in conditions of high budget emphasis. The experimental findings indicate that slack and extrinsic valence interact to affect performance when task programmability is low, but not when it is high. Moreover, the results show that extrinsic valence enhances performance in low task programmability settings when slack is low but not when it is high.
Download or read book The Impact of Participative Budgeting and Information Asymmetry on Budgetary Slack written by Katrina Martens and published by . This book was released on 1995 with total page 83 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Ethical Concerns of Budgetary Slack Creation written by Jason Ashmeade and published by . This book was released on 2017 with total page 17 pages. Available in PDF, EPUB and Kindle. Book excerpt: The ethical concerns of budgetary slack are numerous. Within the context of this paper we discuss and research certain factors that cause and occur with slack creation. We also evaluate and analyze many of the theories that surround organizational behavior, ethical judgment, the agency theory, participative budgeting, the psychological contract period, and information asymmetry. We also evaluate similarities and differences of the cultural and ethical effects on budgeting of three different societies - United States, Japan, and China. Within this paper we show that the further a society moves away from morality and face, the more likely they are to move towards opportunistic self-interest, with a lapse in reputation and ethics. Lastly, we discuss the happiness and motivation in budget setting and how psychological capital is an important attribute to keeping employees motivated with pre-determined budgetary goals when they are involved with the process.
Download or read book An Investigation of the Organizational and Behavioral Effects of Corporate and National Culture on Budgeting Systems written by Hassan R. Hassabelnaby and published by . This book was released on 2013 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: We investigated the effects of corporate versus national culture by extending Hofstede et al.'s (1990) study of cross-organizational culture in a participatory budgeting environment. We surveyed Egyptian managers who worked for Egyptian or U.S. firms eliciting their perceptions of the budgeting environment. We found support for our hypotheses indicating higher (lower) levels of participation for Egyptian managers working in U.S. (Egyptian) firms, higher (lower) levels of incentive to create slack in U.S. (Egyptian) firms, and more (less) frequent slack creation behavior among Egyptian managers employed by U.S. (Egyptian) firms. Significant differences were found between levels of idealism and relativism between Egyptian subjects employed by U.S. and Egyptian companies. We also found support for our hypothesis that models of slack creation behavior will vary between U.S. and Egyptian companies employing Egyptian subjects.
Download or read book The Interaction of Peer Influence and Affect on Budgetary Slack written by Xin Geng and published by . This book was released on 2022 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Given the strong financial incentives embedded in participative budgeting, the creation of budgetary slack is prevalent and constant. Research has shown that peer influence is related to budgetary reporting. However, such an effect is likely to be conditional on other factors. We argue that the effect of peer influence on budgetary slack depends on budget-setters' affect. In an experiment where participants set budgets and work on production tasks, we find that participants create more budgetary slack when their peers appear to create budgetary slack. As expected, the effect of peer influence on budgetary slack is stronger when budget-setters have a positive affective state. We also find that participants' moral judgment and moral obligations are negatively associated with the amount of budgetary slack created.
Download or read book The Effects of Forecast Precision and Time Pressure on Motives to Create Budget Slack written by Anne M. Farrell and published by . This book was released on 2021 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Budgets are used in organizations for planning and resource allocation, and supervisors typically seek employees' specific knowledge to develop budget targets. In practice, however, employees rarely know future resource needs with certainty at the time budgets are prepared. Moreover, budgets are often also used for motivation and evaluation, with employees' implicit and/or explicit rewards and punishments tied to achievement of budget targets. We extend prior research on participative budgeting by examining whether the precision of employees' forecasts of future resource needs impacts the extent to which they create budget slack (defined as seeking more resources than needed). We also examine whether a common contextual feature of work environments, as well as a mechanism supervisors could implement--increasing the time pressure on employees submitting budget information--reduces slack. Results of two laboratory experiments indicate that relative to precise forecasts, employees with imprecise forecasts increase budget slack, but only when there is an explicit monetary incentive to create slack. Imposing time pressure on budget submissions reduces that slack. Our design allows us to understand the effects of employees' motives of honesty, personal wealth, and mitigating the uncertainty created by imprecise forecasts on slack creation. Overall, our results illustrate how two factors common in increasingly volatile and uncertain work environments--forecast precision and the need to produce budgets quickly--impact the value to firms of using budgets for planning and resource allocation decisions.
Download or read book Determinants of Budgetary Slack in the Laboratory written by Douglas E. Stevens and published by . This book was released on 2003 with total page 49 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study investigates determinants of budgetary slack using the framework of agency theory and the methods of experimental economics. A computerized, five-period experiment is designed to test the robustness of prior experimental results documenting budgeting behavior inconsistent with economic rationality and self-interest. Similar to prior experiments, pay scheme and information asymmetry are manipulated. In addition, a personality questionnaire and several questions on an exit questionnaire are included to test the effects of reputation and ethical concerns on budgetary slack. A two-way analysis of variance with pay scheme and information asymmetry as factors finds a significant effect for pay scheme, information asymmetry, and their interaction. By controlling social interactions and increasing subject experience, this study is able to document slack levels closer to agency predictions than prior experimental studies. Nevertheless, subjects given the slack-inducing pay scheme are found to restrict the amount of slack in their budgets below 100% (36% to 60% on average) and subjects given the truth-inducing pay scheme are found to build a small but significant amount of slack under most experimental conditions (3.2% to 4% on average). A regression analysis with non-pecuniary factors added to the model finds that budgetary slack is also reduced by reputation concerns, ethical concerns, and a measure of ethical responsibility from the personality questionnaire. This study is able to explain more of the variance in slack than prior studies using traditional agency variables alone.
Download or read book Management Control Theory written by A.J. Berry and published by Routledge. This book was released on 2019-05-23 with total page 525 pages. Available in PDF, EPUB and Kindle. Book excerpt: First published in 1998, this volume of readings provides an overview of the development of the study of Management Control theory over the past 35 years. The period encompasses the publication of a major and seminal text by Anthony and Dearden in 1965, which acted as a touchstone in defining the range and scope of management control systems. This laid management control’s foundations in accounting-based mechanisms of control, an element which has been seen as both a strength and a constraint. A good deal of work has followed, providing both a development of the tradition as well as a critique. In this volume we attempt to provide a range of readings which will illustrate the variety of possibilities that are available to researchers, scholars and practitioners in the area. The readings illustrate the view that sees control as goal directed and integrative. They go on to explore the idea of control as adaption, consider its relationship with social structure and survey the effects of the interplay between the organisation and the environment. The essays included are not intended to lead the reader through a well-ordered argument which concludes with a well reasoned view of how management control should be. Instead it seeks to illustrate the many questions which have been posed but not answered and to open up agendas for future research.
Download or read book The Effect of Outcome Uncertainty on Budgetary Slack and Risk Sharing written by Heba Abdel-Rahim and published by . This book was released on 2019 with total page 37 pages. Available in PDF, EPUB and Kindle. Book excerpt: While managers commonly possess private information regarding future production cost when developing their cost budget, they also face outcome uncertainty regarding that future cost. This outcome uncertainty, however, has largely been ignored by experimental researchers examining various controls for opportunistic budgetary slack. Social norm theory suggests that managers may view outcome uncertainty as an opportunity to evade an honesty norm and thereby increase budgetary slack. Alternately, the theory suggests that managers may view outcome uncertainty as a cue that they are expected to behave responsibly in their fiduciary role and thereby decrease budgetary slack. We test these competing theoretical effects using a participative budgeting experiment found in the literature. We find evidence that, rather than encouraging opportunism in managerial reporting, outcome uncertainty activates a responsibility norm that reduces budgetary slack. Specifically, we find that outcome uncertainty primes some managers to voluntarily share the risk of higher production cost with their principal, which leads to a decrease in budgetary slack relative to an experimental condition with no outcome uncertainty. This study extends the literature in participative budgeting by examining norm behavior under outcome uncertainty and helps explain the continued use of this organizational control in practice.
Download or read book The Effects of Budgetary Participation and Budget Use on Overall Job Satisfaction Under Different Degrees of Environmental Uncertainty written by Lars Hassel and published by . This book was released on 1989 with total page 3 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Antecedents of Budget Participation written by Larissa Kyj and published by . This book was released on 2009 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study explores the causes or antecedents of budget participation to understand more fully the role of participation in the workplace. The study focuses on the reasons why superiors encourage the budget participation of their subordinates and draws upon several theoretical perspectives including leadership theory, agency theory and organizational justice. To examine the issues, a survey was administered to managers and supervisors in several companies. Results of path analysis suggest that superiors encourage subordinate participation when the superior's leadership style is considerate. This implies that budget participation may mediate the relation between leadership style and work outcomes. Results also suggest that superiors encourage participation when budget goals are used in the performance evaluation of subordinates, in which case, the study argues, the superiors encourage participation because of concerns about organizational justice. This finding implies that budget participation may mediate the relation between the evaluative use of budget and those work outcomes that prior research has linked to organizational justice. The proposed relation between information asymmetry and budget participation is not supported.
Download or read book Management Control System written by Robert N. Anthony and published by Irwin Professional Publishing. This book was released on 1994-10 with total page 572 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Our Continent Our Future written by P. Thandika Mkandawire and published by IDRC. This book was released on 2014-05-14 with total page 192 pages. Available in PDF, EPUB and Kindle. Book excerpt: Our Continent, Our Future presents the emerging African perspective on this complex issue. The authors use as background their own extensive experience and a collection of 30 individual studies, 25 of which were from African economists, to summarize this African perspective and articulate a path for the future. They underscore the need to be sensitive to each country's unique history and current condition. They argue for a broader policy agenda and for a much more active role for the state within what is largely a market economy. Finally, they stress that Africa must, and can, compete in an increasingly globalized world and, perhaps most importantly, that Africans must assume the leading role in defining the continent's development agenda.
