Views of Malaysian User‐Groups to the Role of Budget, Budget Pressure and Participation

Abstract

The main objective of this paper is to examine the views of four user‐groups to three important budget related issues. The four user‐groups comprise of accountants, managers, executives and other professionals. Even though there were some instances of apparent differences among the different user‐groups, there was a general consensus that the major roles of the budget in the company are to serve as forecasting and as a control device. Majority of the respondents in each group felt that using budget as a control device will put pressure on them. With respect to the pressure to meet the budget, noticeable differences were revealed among the different user‐groups. Contrary to most of the available literature, all user groups want a greater degree of participation by different levels of management. The general belief that accountants prefer greater centralized budget setting appears to be untrue.

Citation

Sin Chun, L. (1996), "Views of Malaysian User‐Groups to the Role of Budget, Budget Pressure and Participation", Asian Review of Accounting, Vol. 4 No. 2, pp. 71-84. https://doi.org/10.1108/eb060675