An exploratory study of operational reasons to budget

Publication Type:
Journal Article
Accounting and Finance, 2009, 49 (4), pp. 849 - 871
Issue Date:
Filename Description Size
Thumbnail2009000105OK.pdf261.87 kB
Adobe PDF
Full metadata record
Budgets are used widely but criticized, mainly for performance evaluation reasons. We find that organizations regard budgets as more important for planning and control than evaluation, thus proposing a rationale for their continued use irrespective of evaluation-based criticisms. This finding is also important, because most extant budget research focuses on evaluation, suggesting a potential disconnect between budget research and practice. We also find that rolling forecasts are used in tandem with the annual budget in most organizations, and for the same reasons. This was unexpected, as coexistence suggests their adoption for different reasons. © 2009 AFAANZ.
Please use this identifier to cite or link to this item: