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Relationship between leadership style, encouragement of budgetary participation and budgetary participation

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  • Micheli Aparecida Lunardi

Abstract

This study analyzes the relationship between leadership style, encouragement of budgetary participation and budgetary participation of controllers operating in Brazil. A descriptive research, with a quantitative approach, was performed with 316 controllers with budgeting responsibilities in companies operating in Brazil. The findings show a strong relationship between the leadership style and the encouragement of involvement in the budgeting process. However, no direct relationship was found between the leadership style and the budgetary participation. In turn, a positive statistically significant relationship was found between the encouragement of budgetary participation and budgeting participation. The research study concludes that the leadership style can enhance subordinates’ involvement in budgeting through the encouragement of budgetary participation.

Suggested Citation

  • Micheli Aparecida Lunardi, 2019. "Relationship between leadership style, encouragement of budgetary participation and budgetary participation," Estudios Gerenciales, Universidad Icesi, vol. 35(150), pages 27-37, March.
    • Handle: RePEc:col:000129:017242
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    File URL: https://www.icesi.edu.co/revistas/index.php/estudios_gerenciales/article/view/2974
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    References listed on IDEAS

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    5. Young, Sm, 1985. "Participative Budgeting - The Effects Of Risk-Aversion And Asymmetric Information On Budgetary Slack," Journal of Accounting Research, Wiley Blackwell, vol. 23(2), pages 829-842.
    6. Parker, Robert J. & Kyj, Larissa, 2006. "Vertical information sharing in the budgeting process," Accounting, Organizations and Society, Elsevier, vol. 31(1), pages 27-45, January.
    7. Shields, J. F. & Shields, M. D., 1998. "Antecedents of participative budgeting," Accounting, Organizations and Society, Elsevier, vol. 23(1), pages 49-76, January.
    8. Eliane Maria Pires Giavina Bianchi & Alessandra Quishida & Paula Gabriela Foroni, 2017. "A Leader's Role in Strategic People Management: Reflections, Gaps and Opportunities," RAC - Revista de Administração Contemporânea (Journal of Contemporary Administration), ANPAD - Associação Nacional de Pós-Graduação e Pesquisa em Administração, vol. 21(1), pages 41-61.
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    Cited by:

    1. Khalid Hasan Al Jasimee & Francisco Javier Blanco-Encomienda, 2023. "A SEM-NCA approach towards the impact of participative budgeting on budgetary slack and managerial performance: The mediating role of leadership style and leader-member exchange," Papers 2310.09993, arXiv.org.

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    More about this item

    Keywords

    Leadership style; Encouragement of budgetary participation; Budgetary participation;
    All these keywords.

    JEL classification:

    • M41 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Accounting

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