Strategic planning |
SP_1 |
1. Identity items (mission, vision, beliefs, and values) Explores elements of identity such as mission, values, beliefs, and values |
(Ferreira & Otley, 2009Ferreira, A., & Otley, D. (2009). The design and use of performance management systems: an extended framework for analysis. Management Accounting Research, 20(4), 263-282. https://doi.org/10.1016/j.mar.2009.07.003 https://doi.org/10.1016/j.mar.2009.07.00...
; Frezatti et al., 2011Frezatti, F., Aguiar, A. B., Guerreiro, R., & Gouvea, M. A. (2011). Does management accounting play role in planning process? Journal of Business Research, 64(3), 242-249. https://doi.org/10.1016/j.jbusres.2009.11.008 https://doi.org/10.1016/j.jbusres.2009.1...
; Merchant & Van der Stede, 2007Merchant, K. A., & Van Der Stede, W. A. (2007). Management control systems: Performance measurement, evaluation and incentives. New York, NY: Pearson.) |
SP_2 |
2. Strategies approved and formalized for the business Approves and formalizes strategies for the business |
(Ferreira & Otley, 2009Ferreira, A., & Otley, D. (2009). The design and use of performance management systems: an extended framework for analysis. Management Accounting Research, 20(4), 263-282. https://doi.org/10.1016/j.mar.2009.07.003 https://doi.org/10.1016/j.mar.2009.07.00...
; Frezatti et al., 2011Frezatti, F., Aguiar, A. B., Guerreiro, R., & Gouvea, M. A. (2011). Does management accounting play role in planning process? Journal of Business Research, 64(3), 242-249. https://doi.org/10.1016/j.jbusres.2009.11.008 https://doi.org/10.1016/j.jbusres.2009.1...
; Merchant & Van der Stede, 2007Merchant, K. A., & Van Der Stede, W. A. (2007). Management control systems: Performance measurement, evaluation and incentives. New York, NY: Pearson.) |
SP_3 |
3. Operational plans for implementing the strategies Develops operational plans to implement the strategies |
(Ferreira & Otley, 2009Ferreira, A., & Otley, D. (2009). The design and use of performance management systems: an extended framework for analysis. Management Accounting Research, 20(4), 263-282. https://doi.org/10.1016/j.mar.2009.07.003 https://doi.org/10.1016/j.mar.2009.07.00...
; Frezatti et al., 2011Frezatti, F., Aguiar, A. B., Guerreiro, R., & Gouvea, M. A. (2011). Does management accounting play role in planning process? Journal of Business Research, 64(3), 242-249. https://doi.org/10.1016/j.jbusres.2009.11.008 https://doi.org/10.1016/j.jbusres.2009.1...
; Merchant & Van der Stede, 2007Merchant, K. A., & Van Der Stede, W. A. (2007). Management control systems: Performance measurement, evaluation and incentives. New York, NY: Pearson.) |
SP_4 |
4. Long-term financial statements (income statement, balance sheet, and cash flow statement) Considers/evaluates the long-term financial statements in the development of the strategic plan |
(Ferreira & Otley, 2009Ferreira, A., & Otley, D. (2009). The design and use of performance management systems: an extended framework for analysis. Management Accounting Research, 20(4), 263-282. https://doi.org/10.1016/j.mar.2009.07.003 https://doi.org/10.1016/j.mar.2009.07.00...
; Frezatti et al., 2011Frezatti, F., Aguiar, A. B., Guerreiro, R., & Gouvea, M. A. (2011). Does management accounting play role in planning process? Journal of Business Research, 64(3), 242-249. https://doi.org/10.1016/j.jbusres.2009.11.008 https://doi.org/10.1016/j.jbusres.2009.1...
; Merchant & Van der Stede, 2007Merchant, K. A., & Van Der Stede, W. A. (2007). Management control systems: Performance measurement, evaluation and incentives. New York, NY: Pearson.) |
SP_5 |
5. The strategic planning exists and is revised Regularly revises the strategic planning |
(Ferreira & Otley, 2009Ferreira, A., & Otley, D. (2009). The design and use of performance management systems: an extended framework for analysis. Management Accounting Research, 20(4), 263-282. https://doi.org/10.1016/j.mar.2009.07.003 https://doi.org/10.1016/j.mar.2009.07.00...
; Frezatti et al., 2011Frezatti, F., Aguiar, A. B., Guerreiro, R., & Gouvea, M. A. (2011). Does management accounting play role in planning process? Journal of Business Research, 64(3), 242-249. https://doi.org/10.1016/j.jbusres.2009.11.008 https://doi.org/10.1016/j.jbusres.2009.1...
; Merchant & Van der Stede, 2007Merchant, K. A., & Van Der Stede, W. A. (2007). Management control systems: Performance measurement, evaluation and incentives. New York, NY: Pearson.) |
Budget |
Bud_1 |
1. Assumptions for the elaboration of the budget (inflation, interest, wage and input variations) Considers assumptions such as inflation, interest, wage and input variations |
(Frezatti et al., 2011Frezatti, F., Aguiar, A. B., Guerreiro, R., & Gouvea, M. A. (2011). Does management accounting play role in planning process? Journal of Business Research, 64(3), 242-249. https://doi.org/10.1016/j.jbusres.2009.11.008 https://doi.org/10.1016/j.jbusres.2009.1...
; Frow et al., 2010Frow, N., Marginson, D., & Ogden, S. (2010). Continuous’ budgeting: Reconciling budget flexibility with budgetary control. Accounting, Organizations and Society, 35(4), 444-461. https://doi.org/10.1016/j.aos.2009.10.003 https://doi.org/10.1016/j.aos.2009.10.00...
; Haka & Krishnan, 2005Haka, S., & Krishnan, R. (2005). Budget type and performancethe moderating effect of uncertainty. Australian Accounting Review, 15(35), 3-13. https://doi.org/10.1111/j.1835-2561.2005.tb00247.x https://doi.org/10.1111/j.1835-2561.2005...
; Hansen & Van der Stede, 2004Hansen, S. C., & Van der Stede, W. A. (2004). Multiple facets of budgeting: An exploratory analysis. Management Accounting Research, 15(4), 415-439. https://doi.org/10.1016/j.mar.2004.08.001 https://doi.org/10.1016/j.mar.2004.08.00...
; Henttu-Aho, 2018Henttu-Aho, T. (2018). The role of rolling forecasting in budgetary control systems: Reactive and proactive types of planning. Journal of Management Control, 29(3), 327-360. https://doi.org/10.1007/s00187-018-00273-6 https://doi.org/10.1007/s00187-018-00273...
) |
Bud_2 |
2. Components of the operational plans The operational plans contain MKT, operations, HR, and investments. |
(Frezatti et al., 2011Frezatti, F., Aguiar, A. B., Guerreiro, R., & Gouvea, M. A. (2011). Does management accounting play role in planning process? Journal of Business Research, 64(3), 242-249. https://doi.org/10.1016/j.jbusres.2009.11.008 https://doi.org/10.1016/j.jbusres.2009.1...
; Frow et al., 2010Frow, N., Marginson, D., & Ogden, S. (2010). Continuous’ budgeting: Reconciling budget flexibility with budgetary control. Accounting, Organizations and Society, 35(4), 444-461. https://doi.org/10.1016/j.aos.2009.10.003 https://doi.org/10.1016/j.aos.2009.10.00...
; Haka & Krishnan, 2005Haka, S., & Krishnan, R. (2005). Budget type and performancethe moderating effect of uncertainty. Australian Accounting Review, 15(35), 3-13. https://doi.org/10.1111/j.1835-2561.2005.tb00247.x https://doi.org/10.1111/j.1835-2561.2005...
; Hansen & Van der Stede, 2004Hansen, S. C., & Van der Stede, W. A. (2004). Multiple facets of budgeting: An exploratory analysis. Management Accounting Research, 15(4), 415-439. https://doi.org/10.1016/j.mar.2004.08.001 https://doi.org/10.1016/j.mar.2004.08.00...
; Henttu-Aho, 2018Henttu-Aho, T. (2018). The role of rolling forecasting in budgetary control systems: Reactive and proactive types of planning. Journal of Management Control, 29(3), 327-360. https://doi.org/10.1007/s00187-018-00273-6 https://doi.org/10.1007/s00187-018-00273...
) |
Bud_3 |
3. Operational plans for implementing the strategies Develops operational plans to implement the strategies |
(Frezatti et al., 2011Frezatti, F., Aguiar, A. B., Guerreiro, R., & Gouvea, M. A. (2011). Does management accounting play role in planning process? Journal of Business Research, 64(3), 242-249. https://doi.org/10.1016/j.jbusres.2009.11.008 https://doi.org/10.1016/j.jbusres.2009.1...
; Frow et al., 2010Frow, N., Marginson, D., & Ogden, S. (2010). Continuous’ budgeting: Reconciling budget flexibility with budgetary control. Accounting, Organizations and Society, 35(4), 444-461. https://doi.org/10.1016/j.aos.2009.10.003 https://doi.org/10.1016/j.aos.2009.10.00...
; Hansen & Van der Stede, 2004Hansen, S. C., & Van der Stede, W. A. (2004). Multiple facets of budgeting: An exploratory analysis. Management Accounting Research, 15(4), 415-439. https://doi.org/10.1016/j.mar.2004.08.001 https://doi.org/10.1016/j.mar.2004.08.00...
; Henttu-Aho, 2018Henttu-Aho, T. (2018). The role of rolling forecasting in budgetary control systems: Reactive and proactive types of planning. Journal of Management Control, 29(3), 327-360. https://doi.org/10.1007/s00187-018-00273-6 https://doi.org/10.1007/s00187-018-00273...
) |
Bud_4 |
4. Financial plan Estimation of the statements: income statement, balance sheet, cash flow statement |
(Frezatti et al., 2011Frezatti, F., Aguiar, A. B., Guerreiro, R., & Gouvea, M. A. (2011). Does management accounting play role in planning process? Journal of Business Research, 64(3), 242-249. https://doi.org/10.1016/j.jbusres.2009.11.008 https://doi.org/10.1016/j.jbusres.2009.1...
; Frow et al., 2010Frow, N., Marginson, D., & Ogden, S. (2010). Continuous’ budgeting: Reconciling budget flexibility with budgetary control. Accounting, Organizations and Society, 35(4), 444-461. https://doi.org/10.1016/j.aos.2009.10.003 https://doi.org/10.1016/j.aos.2009.10.00...
; Haka & Krishnan, 2005Haka, S., & Krishnan, R. (2005). Budget type and performancethe moderating effect of uncertainty. Australian Accounting Review, 15(35), 3-13. https://doi.org/10.1111/j.1835-2561.2005.tb00247.x https://doi.org/10.1111/j.1835-2561.2005...
; Hansen & Van der Stede, 2004Hansen, S. C., & Van der Stede, W. A. (2004). Multiple facets of budgeting: An exploratory analysis. Management Accounting Research, 15(4), 415-439. https://doi.org/10.1016/j.mar.2004.08.001 https://doi.org/10.1016/j.mar.2004.08.00...
; Henttu-Aho, 2018Henttu-Aho, T. (2018). The role of rolling forecasting in budgetary control systems: Reactive and proactive types of planning. Journal of Management Control, 29(3), 327-360. https://doi.org/10.1007/s00187-018-00273-6 https://doi.org/10.1007/s00187-018-00273...
) |
Bud_5 |
5. The budget is aligned with the strategic planning |
(Frezatti et al., 2011Frezatti, F., Aguiar, A. B., Guerreiro, R., & Gouvea, M. A. (2011). Does management accounting play role in planning process? Journal of Business Research, 64(3), 242-249. https://doi.org/10.1016/j.jbusres.2009.11.008 https://doi.org/10.1016/j.jbusres.2009.1...
; Frow et al., 2010Frow, N., Marginson, D., & Ogden, S. (2010). Continuous’ budgeting: Reconciling budget flexibility with budgetary control. Accounting, Organizations and Society, 35(4), 444-461. https://doi.org/10.1016/j.aos.2009.10.003 https://doi.org/10.1016/j.aos.2009.10.00...
; Hansen & Van der Stede, 2004Hansen, S. C., & Van der Stede, W. A. (2004). Multiple facets of budgeting: An exploratory analysis. Management Accounting Research, 15(4), 415-439. https://doi.org/10.1016/j.mar.2004.08.001 https://doi.org/10.1016/j.mar.2004.08.00...
; Henttu-Aho, 2018Henttu-Aho, T. (2018). The role of rolling forecasting in budgetary control systems: Reactive and proactive types of planning. Journal of Management Control, 29(3), 327-360. https://doi.org/10.1007/s00187-018-00273-6 https://doi.org/10.1007/s00187-018-00273...
) |
Capital budget |
CAPEX_1 |
1. Contains all the relevant long-term investment projects |
(Frezatti, Aguiar, Guerreiro, & Gouvea, 2011Frezatti, F., Aguiar, A. B., Guerreiro, R., & Gouvea, M. A. (2011). Does management accounting play role in planning process? Journal of Business Research, 64(3), 242-249. https://doi.org/10.1016/j.jbusres.2009.11.008 https://doi.org/10.1016/j.jbusres.2009.1...
) |
CAPEX_2 |
2. They cover periods longer than a year |
(Frezatti, Aguiar, Guerreiro, & Gouvea, 2011Frezatti, F., Aguiar, A. B., Guerreiro, R., & Gouvea, M. A. (2011). Does management accounting play role in planning process? Journal of Business Research, 64(3), 242-249. https://doi.org/10.1016/j.jbusres.2009.11.008 https://doi.org/10.1016/j.jbusres.2009.1...
) |
CAPEX_3 |
3. The major projects are supported by analyses such as net present value (NPV), payback, and internal rate of return (IRR) |
(Frezatti, Aguiar, Guerreiro, & Gouvea, 2011Frezatti, F., Aguiar, A. B., Guerreiro, R., & Gouvea, M. A. (2011). Does management accounting play role in planning process? Journal of Business Research, 64(3), 242-249. https://doi.org/10.1016/j.jbusres.2009.11.008 https://doi.org/10.1016/j.jbusres.2009.1...
) |
CAPEX_4 |
4. There is monitoring of the financial execution of the projects |
(Frezatti, Aguiar, Guerreiro, & Gouvea, 2011Frezatti, F., Aguiar, A. B., Guerreiro, R., & Gouvea, M. A. (2011). Does management accounting play role in planning process? Journal of Business Research, 64(3), 242-249. https://doi.org/10.1016/j.jbusres.2009.11.008 https://doi.org/10.1016/j.jbusres.2009.1...
) |
Construct |
Variables |
Statement |
Elaborated based on: |
Base forecast - year |
Forec_1 |
1. Re-estimates the income statement for the months still to occur in the year |
(Berg & Karlsson, 2014Berg, A., & Karlsson, F. (2014). Why the annual budget is not dead: Contingencies affecting the relevance of the budget critique. Retrieved from: https://www.diva-portal.org/smash/get/diva2:727359/FULLTEXT01.pdf https://www.diva-portal.org/smash/get/di...
; Bhimani, Sivabalan, & Soonawalla, 2018Bhimani, A., Sivabalan, P., & Soonawalla, K. (2018). A study of the linkages between rolling budget forms, uncertainty and strategy. The British Accounting Review, 50(3), 306-323. https://doi.org/10.1016/j.bar.2017.11.002 https://doi.org/10.1016/j.bar.2017.11.00...
; Brüggen et al., 2021Brüggen, A., Grabner, I., & Sedatole, K. L. (2021). The folly of forecasting: The effects of a disaggregated demand forecasting system on forecast error, forecast positive bias, and inventory levels. The Accounting Review, 96(2), 127-152. https://doi.org/10.2308/tar-2018-0559 https://doi.org/10.2308/tar-2018-0559...
; Hansen, 2011Hansen, S. C. (2011). A theoretical analysis of the impact of adopting rolling budgets, activity-based budgeting and beyond budgeting. European Accounting Review, 20(2), 289-319. https://doi.org/10.1080/09638180.2010.496260 https://doi.org/10.1080/09638180.2010.49...
; Henttu-Aho, 2018Henttu-Aho, T. (2018). The role of rolling forecasting in budgetary control systems: Reactive and proactive types of planning. Journal of Management Control, 29(3), 327-360. https://doi.org/10.1007/s00187-018-00273-6 https://doi.org/10.1007/s00187-018-00273...
; Lukka & Granlund, 2003Lukka, K., & Granlund, M. (2003). Paradoxes of management and control in a new economy firm. Management Accounting in the Digital Economy (Chapter 13, pp. 239-259). Oxford, UK: Oxford University Press.; Merchant e Van der Stede, 2007Merchant, K. A., & Van Der Stede, W. A. (2007). Management control systems: Performance measurement, evaluation and incentives. New York, NY: Pearson.; Sivabalan et al., 2009) |
Forec_2 |
2. Re-estimates the economic-financial assumptions throughout the year |
(Berg & Karlsson, 2014Berg, A., & Karlsson, F. (2014). Why the annual budget is not dead: Contingencies affecting the relevance of the budget critique. Retrieved from: https://www.diva-portal.org/smash/get/diva2:727359/FULLTEXT01.pdf https://www.diva-portal.org/smash/get/di...
; Bhimani, Sivabalan, & Soonawalla, 2018Bhimani, A., Sivabalan, P., & Soonawalla, K. (2018). A study of the linkages between rolling budget forms, uncertainty and strategy. The British Accounting Review, 50(3), 306-323. https://doi.org/10.1016/j.bar.2017.11.002 https://doi.org/10.1016/j.bar.2017.11.00...
; Brüggen et al., 2021Brüggen, A., Grabner, I., & Sedatole, K. L. (2021). The folly of forecasting: The effects of a disaggregated demand forecasting system on forecast error, forecast positive bias, and inventory levels. The Accounting Review, 96(2), 127-152. https://doi.org/10.2308/tar-2018-0559 https://doi.org/10.2308/tar-2018-0559...
; Hansen, 2011Hansen, S. C. (2011). A theoretical analysis of the impact of adopting rolling budgets, activity-based budgeting and beyond budgeting. European Accounting Review, 20(2), 289-319. https://doi.org/10.1080/09638180.2010.496260 https://doi.org/10.1080/09638180.2010.49...
; Henttu-Aho, 2018Henttu-Aho, T. (2018). The role of rolling forecasting in budgetary control systems: Reactive and proactive types of planning. Journal of Management Control, 29(3), 327-360. https://doi.org/10.1007/s00187-018-00273-6 https://doi.org/10.1007/s00187-018-00273...
; Lukka & Granlund, 2003Lukka, K., & Granlund, M. (2003). Paradoxes of management and control in a new economy firm. Management Accounting in the Digital Economy (Chapter 13, pp. 239-259). Oxford, UK: Oxford University Press.; Merchant e Van der Stede, 2007Merchant, K. A., & Van Der Stede, W. A. (2007). Management control systems: Performance measurement, evaluation and incentives. New York, NY: Pearson.; Sivabalan et al., 2009) |
Forec_3 |
3. Monitoring of the actual result compared with the base forecast |
(Berg & Karlsson, 2014Berg, A., & Karlsson, F. (2014). Why the annual budget is not dead: Contingencies affecting the relevance of the budget critique. Retrieved from: https://www.diva-portal.org/smash/get/diva2:727359/FULLTEXT01.pdf https://www.diva-portal.org/smash/get/di...
; Bhimani, Sivabalan, & Soonawalla, 2018Bhimani, A., Sivabalan, P., & Soonawalla, K. (2018). A study of the linkages between rolling budget forms, uncertainty and strategy. The British Accounting Review, 50(3), 306-323. https://doi.org/10.1016/j.bar.2017.11.002 https://doi.org/10.1016/j.bar.2017.11.00...
; Brüggen et al., 2021Brüggen, A., Grabner, I., & Sedatole, K. L. (2021). The folly of forecasting: The effects of a disaggregated demand forecasting system on forecast error, forecast positive bias, and inventory levels. The Accounting Review, 96(2), 127-152. https://doi.org/10.2308/tar-2018-0559 https://doi.org/10.2308/tar-2018-0559...
; Hansen, 2011Hansen, S. C. (2011). A theoretical analysis of the impact of adopting rolling budgets, activity-based budgeting and beyond budgeting. European Accounting Review, 20(2), 289-319. https://doi.org/10.1080/09638180.2010.496260 https://doi.org/10.1080/09638180.2010.49...
; Henttu-Aho, 2018Henttu-Aho, T. (2018). The role of rolling forecasting in budgetary control systems: Reactive and proactive types of planning. Journal of Management Control, 29(3), 327-360. https://doi.org/10.1007/s00187-018-00273-6 https://doi.org/10.1007/s00187-018-00273...
; Lukka & Granlund, 2003Lukka, K., & Granlund, M. (2003). Paradoxes of management and control in a new economy firm. Management Accounting in the Digital Economy (Chapter 13, pp. 239-259). Oxford, UK: Oxford University Press.; Merchant e Van der Stede, 2007Merchant, K. A., & Van Der Stede, W. A. (2007). Management control systems: Performance measurement, evaluation and incentives. New York, NY: Pearson.; Sivabalan et al., 2009) |
Rolling forecast |
RolForec_1 |
1. Re-estimates the financial statements, adding the months already occurred within the new year so that it always has 12 or 24 months forecasted |
(Bhimani et al., 2018Bhimani, A., Sivabalan, P., & Soonawalla, K. (2018). A study of the linkages between rolling budget forms, uncertainty and strategy. The British Accounting Review, 50(3), 306-323. https://doi.org/10.1016/j.bar.2017.11.002 https://doi.org/10.1016/j.bar.2017.11.00...
; Hansen, 2011Hansen, S. C. (2011). A theoretical analysis of the impact of adopting rolling budgets, activity-based budgeting and beyond budgeting. European Accounting Review, 20(2), 289-319. https://doi.org/10.1080/09638180.2010.496260 https://doi.org/10.1080/09638180.2010.49...
; Hansen & Stede, 2004; Jordan & Messner, 2020Jordan, S., & Messner, M. (2020). The use of forecast accuracy indicators to improve planning quality: Insights from a case study. European Accounting Review, 29(2), 337-359. https://doi.org/10.1080/09638180.2019.1577150 https://doi.org/10.1080/09638180.2019.15...
; Su, Baird, & Schoch, 2017Su, S., Baird, K., & Schoch, H. (2017). Management control systems: the role of interactive and diagnostic approaches to using controls from an organizational life cycle perspective. Journal of Accounting and Organizational Change, 13(1), 2-24. https://doi.org/10.1108/JAOC-03-2015-0032 https://doi.org/10.1108/JAOC-03-2015-003...
) |
RolForec_2 |
2. The rolling forecast is considered at the time of establishing the forecast for the new year |
(Bhimani et al., 2018Bhimani, A., Sivabalan, P., & Soonawalla, K. (2018). A study of the linkages between rolling budget forms, uncertainty and strategy. The British Accounting Review, 50(3), 306-323. https://doi.org/10.1016/j.bar.2017.11.002 https://doi.org/10.1016/j.bar.2017.11.00...
; Hansen, 2011Hansen, S. C. (2011). A theoretical analysis of the impact of adopting rolling budgets, activity-based budgeting and beyond budgeting. European Accounting Review, 20(2), 289-319. https://doi.org/10.1080/09638180.2010.496260 https://doi.org/10.1080/09638180.2010.49...
; Hansen & Stede, 2004; Jordan & Messner, 2020Jordan, S., & Messner, M. (2020). The use of forecast accuracy indicators to improve planning quality: Insights from a case study. European Accounting Review, 29(2), 337-359. https://doi.org/10.1080/09638180.2019.1577150 https://doi.org/10.1080/09638180.2019.15...
; Su, Baird, & Schoch, 2017Su, S., Baird, K., & Schoch, H. (2017). Management control systems: the role of interactive and diagnostic approaches to using controls from an organizational life cycle perspective. Journal of Accounting and Organizational Change, 13(1), 2-24. https://doi.org/10.1108/JAOC-03-2015-0032 https://doi.org/10.1108/JAOC-03-2015-003...
) |
RolForec_3 |
3. Monitors the actual result and includes a comparison with the forecast |
(Bhimani et al., 2018Bhimani, A., Sivabalan, P., & Soonawalla, K. (2018). A study of the linkages between rolling budget forms, uncertainty and strategy. The British Accounting Review, 50(3), 306-323. https://doi.org/10.1016/j.bar.2017.11.002 https://doi.org/10.1016/j.bar.2017.11.00...
; Hansen, 2011Hansen, S. C. (2011). A theoretical analysis of the impact of adopting rolling budgets, activity-based budgeting and beyond budgeting. European Accounting Review, 20(2), 289-319. https://doi.org/10.1080/09638180.2010.496260 https://doi.org/10.1080/09638180.2010.49...
; Hansen & Stede, 2004; Jordan & Messner, 2020Jordan, S., & Messner, M. (2020). The use of forecast accuracy indicators to improve planning quality: Insights from a case study. European Accounting Review, 29(2), 337-359. https://doi.org/10.1080/09638180.2019.1577150 https://doi.org/10.1080/09638180.2019.15...
; Su, Baird, & Schoch, 2017Su, S., Baird, K., & Schoch, H. (2017). Management control systems: the role of interactive and diagnostic approaches to using controls from an organizational life cycle perspective. Journal of Accounting and Organizational Change, 13(1), 2-24. https://doi.org/10.1108/JAOC-03-2015-0032 https://doi.org/10.1108/JAOC-03-2015-003...
) |
Budgetary control |
BudCont_1 |
1. The budget is monitored monthly |
(Merchant & Van der Stede, 2007Merchant, K. A., & Van Der Stede, W. A. (2007). Management control systems: Performance measurement, evaluation and incentives. New York, NY: Pearson.; Scapens, 2006Scapens, R. (2006). Understanding management accounting practices: A personal journey. The British Accounting Review, 38(1), 1-30. https://doi.org/10.1016/j.bar.2005.10.002 https://doi.org/10.1016/j.bar.2005.10.00...
; Sponem & Lambert, 2016Sponem, S., & Lambert, C. (2016). Exploring differences in budget characteristics, roles and satisfaction: A configurational approach. Management Accounting Research, 30, 47-61. https://doi.org/10.1016/j.mar.2015.11.003 https://doi.org/10.1016/j.mar.2015.11.00...
) |
BudCont _2 |
2. The variations identified are analyzed and explained |
(Abernethy & Brownell, 1999Abernethy, M. A., & Brownell, P. (1999). The role of budgets in organizations facing strategic change: An exploratory study. Accounting, Organizations and Society, 24(3), 189-204. https://doi.org/10.1016/S0361-3682(98)00059-2 https://doi.org/10.1016/S0361-3682(98)00...
) |
BudCont _3 |
3. The variations affect the executives’ performance evaluation |
(Merchant & Van der Stede, 2007Merchant, K. A., & Van Der Stede, W. A. (2007). Management control systems: Performance measurement, evaluation and incentives. New York, NY: Pearson.; Scapens, 2006Scapens, R. (2006). Understanding management accounting practices: A personal journey. The British Accounting Review, 38(1), 1-30. https://doi.org/10.1016/j.bar.2005.10.002 https://doi.org/10.1016/j.bar.2005.10.00...
; Sponem & Lambert, 2016Sponem, S., & Lambert, C. (2016). Exploring differences in budget characteristics, roles and satisfaction: A configurational approach. Management Accounting Research, 30, 47-61. https://doi.org/10.1016/j.mar.2015.11.003 https://doi.org/10.1016/j.mar.2015.11.00...
) |
BudCont _4 |
4. The planning and control mechanism is seen as something useful even if the accuracy (variation in the numbers) is not as desired |
(Abernethy & Brownell, 1999Abernethy, M. A., & Brownell, P. (1999). The role of budgets in organizations facing strategic change: An exploratory study. Accounting, Organizations and Society, 24(3), 189-204. https://doi.org/10.1016/S0361-3682(98)00059-2 https://doi.org/10.1016/S0361-3682(98)00...
) |