Introduction

Abstract

This volume of Advances in Management Accounting (AIMA) begins with a paper by Kowalczyk, Rafai, and Taylor on a new budgeting format, strategic budgeting, based on the notion that incorporating information symmetry into budgeting processes can reduce slack. This study incorporates information symmetry via mutual monitoring through a “group budget buffer.” They compare this budget format to a traditional format, which does not incorporate information symmetry, and investigate differences in spending decisions among managers. The results show that groups using Strategic Budgeting spent less of the budget excess than those using Traditional Budgeting. This study is the first to experimentally examine the effects of this new type of budgeting technique, as compared to Traditional Budgeting, on managerial budgeting behavior.

Citation

Epstein, M.J. and Lee, J.Y. (2006), "Introduction", Epstein, M.J. and Lee, J.Y. (Ed.) Advances in Management Accounting (Advances in Management Accounting, Vol. 15), Emerald Group Publishing Limited, Leeds, pp. xvii-xx. https://doi.org/10.1016/S1474-7871(06)15018-2