Antecedents of Participative Budgeting – A Review of Empirical Evidence
Advances in Management Accounting
ISBN: 978-1-78441-650-8, eISBN: 978-1-78441-649-2
Publication date: 17 July 2015
Abstract
Purpose
Participative budgeting is one of the most intensively researched budgeting variables in management accounting. Research has stalled, however. The purpose of this paper is to stimulate further research by providing an overview of antecedents of participative budgeting and suggesting ways to build upon extant research.
Methodology/approach
We assess 22 studies published prior to 2011 that offer statistical insights into why organizations use participative budgeting by theorizing and modeling it as a dependent variable.
Findings
This work answers two research questions regarding why organizations use participative budgeting: (a) Which antecedents of participative budgeting have been analyzed so far? (b) Which causal-model forms are used in extant research regarding the antecedents of participative budgeting?
Originality/value
This paper provides a detailed overview of empirical studies and respective findings aiming to explain why organizations use participative budgeting. Many prior studies have measured the association between contextual antecedents and participative budgeting. However, from a theoretical perspective, objectives of employees and supervisors are often used to explain the relation. Based on our literature review, we propose that all objectives identified so far intervene in the relationship between context and use of participative budgeting and also further detail these objectives. Consequently, our review analyzes the status quo of research on why organizations use participative budgeting and adds additional suggestions of underlying causal processes that can be tested in future studies.
Keywords
Acknowledgements
Acknowledgments
We thank the editor John Y. Lee and two anonymous reviewers for their valuable feedback. The paper is based on one chapter from the dissertation of Oliver Skiba.
Citation
Mahlendorf, M.D., Schäffer, U. and Skiba, O. (2015), "Antecedents of Participative Budgeting – A Review of Empirical Evidence", Advances in Management Accounting (Advances in Management Accounting, Vol. 25), Emerald Group Publishing Limited, Leeds, pp. 1-27. https://doi.org/10.1108/S1474-787120150000025001
Publisher
:Emerald Group Publishing Limited
Copyright © 2015 Emerald Group Publishing Limited