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To participate or not to participate? Voice and explanation effects on performance in a multi-period budget setting

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  • Byrne, Suzanne
  • Damon, Fiona

Abstract

Under what circumstances does giving a voice and explanation to a manager in a budget allocation setting improve their performance? The research into whether or not managers should participate or have a voice in setting their budget allocation show conflicting results on performance. This seems largely as a result of the variables being measured in importantly different ways. Whether or not the voice influences the final budget allocation and whether the budget is perceived as unfair, unfavourable or unattainable needs to be clearly articulated in the research design.

Suggested Citation

  • Byrne, Suzanne & Damon, Fiona, 2008. "To participate or not to participate? Voice and explanation effects on performance in a multi-period budget setting," The British Accounting Review, Elsevier, vol. 40(3), pages 207-227.
    • Handle: RePEc:eee:bracre:v:40:y:2008:i:3:p:207-227
    DOI: 10.1016/j.bar.2008.04.001
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    References listed on IDEAS

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    5. Derfuss, Klaus, 2016. "Reconsidering the participative budgeting–performance relation: A meta-analysis regarding the impact of level of analysis, sample selection, measurement, and industry influences," The British Accounting Review, Elsevier, vol. 48(1), pages 17-37.

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