Budgetary Participation Research Articles

Budget Participation and Managerial Performance: Bridging the Gap through Budget Goal Clarity

Budget participation is an important management tool that improves employee motivation, commitment, and performance by providing a sense of ownership and control over the budgeting process. This study examines the impact of budget participation on managerial performance in higher education institutions (HEIs). More specifically, the research aims to investigate the effect of budget participation on managerial performance through the mediating role of budget goal clarity. A survey was conducted with 373 low- to middle-level managers from HEIs in Iraq, and the research model was tested using PLS-SEM. The results indicate that budget participation positively influences budget goal clarity, which, in turn, positively affects managerial performance. Furthermore, the study reveals that budget goal clarity partially mediates this relationship. The strategic integration of these findings into managerial practices and decision-making processes can unleash substantial and tangible benefits in terms of employee engagement, skyrocketing productivity, and overall organizational success.

KINERJA MANAJERIAL PEMERINTAH DESA ARGAPURA MELALUI PARTISIPASI PENYUSUNAN ANGGARAN DAN KEJELASAN SASARAN ANGGARAN

Abstract. 
 Managerial performance is very important for the survival of organizations, especially government organizations because it is the result of the organization's work in carrying out community service activities. Efforts to improve managerial performance through Participation in Budgeting and Clarity of Budget Targets. The purpose of this study is to determine the extent to which Participation in Budgeting and Clarity of Budget Targets Affects the Managerial Performance of the Argapura Village Government. The method used is descriptive verification in which the researcher describes the state of budgetary participation, clarity of budget targets and managerial performance of the village government of Argapura. The analysis used in this study uses partial hypothesis testing, multiple linear regression analysis, and analysis of the coefficient of determination. The results of this study have a significant effect between variables
 

Dampak Partisipasi Anggaran, Tanggung Jawab Akuntansi dan Desentralisasi Fiskal terhadap Kinerja Manajerial Melalui Komitmen Organisasi pada Pelayanan Pemerintah Kota Palu

To improve the company's effectiveness, it is essential to conduct an evaluation of managerial performance, particularly in the implementation of managerial functions. This study aims to analyze the impact of budgetary participation, accountability accounting, and fiscal decentralization on managerial performance through organizational commitment in the Palu City Government Department. The hypotheses were tested using SEM PLS with a sample of 100 respondents. The findings of the research indicate that accountability accounting and budgetary participationxdoxnotxhave a significant influence on managerial performance. However, fiscal decentralization and organizational commitment have a significant impact on managerial performance. Moreover, accountability accounting, budgetary participation, and fiscal decentralization have an effect on organizational commitment. Additionally, organizationalxcommitmentxmediates the relationship between accountability accounting, budgetary participation, fiscal decentralization, and managerial performance.

The Influence of Budget Participation, Information Asymmetry, and Budget Emphasis on Budgetary Slack in Aceh Government

This study aims to examine the effect of budgetary participation, information asymmetry, and budget emphasis on budgetary slack in the SKPA Aceh Government. The population of this research is all State Civil Servants (ASN) in SKPA Aceh Government. The research sample used was 129 people selected by purposive sampling method, consisting of Heads of SKPA, Secretaries, and Heads of Planning and Reporting Subdivision in 43 SKPA. This research is a quantitative research, the data used is in the form of primary data obtained from distributing questionnaires to research respondents. The data analysis technique uses multiple linear regression analysis with the help of the IBM SPSS 26 program. The regression results for the partial test show that budget participation, information asymmetry, and budget emphasis have a positive and significant effect on budgetary slack in the Aceh Government SKPA.

The moderating effect of environmental uncertainty on the relationship between budgetary participation and budget quality

Purpose This study aims to investigate the influence of budgetary participation on budget quality on top of the moderating role of environmental uncertainty on the said relationship. Design/methodology/approach The objectives of the current study were achieved through a survey conducted in 15 Iraqi states. Each state contains several municipalities. In total, 180 survey forms were disseminated to the heads of the municipalities, where ultimately 155 questionnaires proceeded to the data analysis stage. In this stage, statistical package for social sciences, analysis of moment structure and structural equation modelling were used to solve the research problem and achieve the objectives. Findings Through the results of the statistical analysis, this study concluded the significant and positive effect of budgetary participation on budget quality. In addition, the study confirmed the moderating role of environmental uncertainty in weakening the positive relationship between budgetary participation and budget quality. Originality/value The findings can be used to encourage municipal institutions and local governments to expand on the factor of employee participation in affecting the process of budget determination, hence mitigating budget failure.

Budget implementations in local governments in Uganda; reflections from Kiruhura and Mbarara

Purpose: This study focused on the extent of budget implementation in selected local governments in Uganda, focusing on the governance principles of budget implementation, which included participation, transparency, accountability, and gender equity. Research methodology: The research design used was descriptive and analytical to allow for a comprehensive description of budget implementation in the local governments of reference. Data were collected using a structured questionnaire and interview guide. The participants were chosen purposively because they were conversant with the variables under study. Results: The study findings indicated that budget participation increasingly varies from one local government to another due to the low level of awareness among less-educated citizens. There was also a reduction in revenues, a failure of the budget to meet citizens’ needs, and the lack of sufficient time to implement the budget variedly affected budget implementation. Limitations: The study was conducted in only two districts and one city in western Uganda, and their findings make it difficult to generalize the findings. Contribution: This study provides a solid basis for advocating more observation of good governance principles in budget implementation. The study showed that budgeting is a collective responsibility for all, and therefore, transparency and participation are important. It provides valuable insights into budget implementation challenges in Uganda and proposes a workable strategy to respond to the challenges established. It also adds literature on the role of governance, transparency, and participation in budget implementation.

The Influence of Budget Participation and Budgeting Procedural Justice on Kendari City Government Management Performance with Job-Relevant Information as an Intervening Variable

This study aims to examine the effect of budgetary participation and procedural fairness of budgeting on the performance of Kendari city government management with job-relevant information as a mediating variable. the object of this study is the work unit of the Kendari City regional apparatus. The population in this study was Kendari City Government Agencies, totaling 31 SKPD. The sampling technique was using Purposive Sampling, thus obtaining a sample of 124 respondents. The data analysis technique in this study is Inferential Statistics using the Partial Least Square approach. The results of this study indicate that Budget participation has a positive and significant effect on job-relevant information. Budgetary participation has a positive and significant effect on managerial performance. budgeting procedural justice has a positive and significant effect on managerial performance. budgeting procedural justice has a positive and significant effect on job-relevant information. Job-relevant information has a positive and significant effect on managerial performance. job-relevant information can mediate the influence of influential budgetary participation on managerial performance. job-relevant information can mediate the effect of budgeting procedural justice on managerial performance l. The contribution of this research is to make a scientific contribution to regional financial accounting so that by knowing the importance of managerial performance, local governments can provide maximum service to the community which of course has an impact on increasing people's welfare.

Participative Budgeting, Procedural Fairness, Distributive Fairness and Budgetary Slack: Evidence from Hospitality Sector in Indonesia

Budgets are important for owners and management in planning, controlling and serving as the basis for measuring performance. In the budgeting process, management often acts unethically, such as making budgetary slack and manipulating data. This study analyzes the direct and indirect relationship between budget participation and budgetary slack. Questionnaires were distributed to 74 respondents who work as supervisors or managers in the hospitality industry in the city of Bandung, West Java, Indonesia. The data is processed using a SEM with the help of Smart-Partial Least Square software with structural models and measurement models. This study shows that budget participation has a positive relationship with procedural fairness and distributive fairness. In addition, budget participation, procedural fairness and distributive fairness has a negative relationship with budgetary slack. Moreover, procedural fairness and distributive fairness mediate the relationship between budget participation and budget slack. This study supports the theory of budget participation and budgetary slack and has implications for budgeting practice. Hence, in the process of preparing the budget, it is very important to involve subordinates because it can reduce budgetary slack.

Pengaruh Partisipasi Anggaran Terhadap Efisiensi Kerja Aparat Pemerintah pada Dinas Pemuda, Olahraga, Kebudayaan dan Pariwisata Pemerintah Daerah di Kabupaten Lampung Timur

This study aims to determine the effect of budgetary participation on performance efficiency for government officials at the local government Youth, Sports, Culture and Tourism Office in East Lampung district. Obtaining data with the questionnaire method. The sample used was 20 respondents from 25 government officials at the East Lampung Regency DISPORA. The research sample was government apparatus at the East Lampung Regency DISPORA, totaling 8 people. Data was collected using a questionnaire. The formula for the data analysis method is simple variable regression. This research concludes that the significance value is 0.748 > 0.05, so the budgetary participation variable does not have a substantial effect on employee performance. Based on a calculated value of 0.324–2.032 trabels, it means that the budgetary participation variable has no substantial effect on employee performance. So, the results of the study show that budgetary participation does not have a good impact on performance efficiency for government apparatus in DISPORA East Lampung Regency.

The Effect Of Budget Participation On Managerial Performance With Psychological Capital And Job Relevant Information As Mediation Variables

The purpose of this study was to investigate the mediating impact of psychological capital and job relevant information on the budget participation to job performance at the public sector managers in the South Tangerang City Government. Data analyzed using SEM-PLS. The SEM-PLS allows the examination of the direct effects of budget participation on job performance and the indirect effects between budget participation and job performance that run through psychological capital and job relevant information. The findings of this study are that psychological capital fully mediates influence of budget participation to job performance, job relevant information fully mediates influence of budget participation to job performance. Limitations of this study are using questionnaire media to obtain primary data so that it relies on the level of respondent perception so that the subjectivity factor can be contained in it. Second limitation is generalizability of samples. Despite its limitations, this study has both academic and practical implications. The study adds to the job performance literature in a public sector organizations. The study also finds that manager’s job performance can be improved by minimizing Psycap and JRI. Future research should study other mediation variables on the effect of budget participation on job performance.

The Influence of Budgetary Participation and Information Asymmetry on Budgetary Slack

The purpose of this research is to test and prove the effect of participation in budgeting and information asymmetry on budgetary slack in local agencies of Taliabu Island District. Budgetary slack requires supervision because it can have a negative impact on the organization if not done wisely. The research uses quantitative methods with preliminary information sources or distributes questionnaires directly to respondents. The research sample was taken by using arbitrary examining technique and the sample was determined using the slovin formula. The information analysis technique in this study is using the SmartPLS Windows v.3.0 application programming. the results of the study prove that the budgetary participation variable has no effect on budgetary slack. Furthermore,

Influence Self Efficacy, Budgetary Participation, Information Asymmetry, and Emotional Stability of the Budgetary Gap

The budget is an organizational plan, which is written and contains a program of activities expressed in monetary units, which is prepared at a certain time. The process of preparing the budget can trigger the behavior of budget executors to commit budgetary slack due to negative subjective attitudes and norms that are owned by budget executors. Thus, this makes research on the factors that influence budgetary slack important to carry out. The results of the study were tested with multiple linear regression analysis using data collection techniques with a questionnaire. All research statements are valid and reliable. This research is free from the problem of classical assumptions. The results of the analysis show self-efficacy, budgetary participation, and information asymmetry affects budgetary slack. Unlike emotional stability, it has no significant effect on budgetary slack.

The Influence of Budgeting Participation, Budget Evaluation, and Public Accountability on Managerial Performance with Leadership Style as a Moderating Variable (in SKPD of Padang Lawas Regency)

This study aims to analyse and determine the effect of participation in budget preparation, budget evaluation, and public accountability on managerial performance in SKPD Padang Lawas Regency. In addition, this study aims to analyse and determine whether leadership style can be classified as a moderating variable in this study. This type of research is causal associative research. The research sample was 150 respondents from 32 SKPD in Padang Lawas Regency. Data was collected by distributing questionnaires to the SKPD in Padang Lawas Regency. The analysis technique used in this study uses structure equation modelling (SEM) analysis. The SmartPLS 3.0 software is used in this study for data analysis. The results of this study suggest that public accountability and participation in budgeting have a positive and significant influence on managerial performance in SKPD Padang Lawas Regency. Meanwhile, the budget evaluation does not affect the managerial performance of the Padang Lawas Regency SKPD. Other results in this study indicate that leadership style can moderate the impact of public accountability and budget evaluation on management in SKPD Padang Lawas Regency. Meanwhile, the leadership style cannot moderate the effect of budgetary participation on managerial performance in SKPD Padang Lawas Regency. Keywords: budget participation, evaluation, public accountability, leadership style, and managerial performance.

PENGARUH PARTISIPASI, SASARAN DAN PENEKANAN ANGGARAN TERHADAP KESENJANGAN ANGGARAN (STUDI PADA OPD KOTA LANGSA)

The purpose of this study is to determine the effect of participation, targets and budget emphasis on budget gaps in OPD Langsa City. The sample in this study amounted to 90 respondents. The data analysis method uses multiple linear regression analysis, and the tests used are the t test, F test and the coefficient of determination test. The results of the study show that budget participation has a significant effect on the budget gap in Langsa City OPD, budget targets have no significant effect on budget gaps in Langsa City OPD, budget emphasis has a significant effect on budget gaps in Langsa City OPD, participation, targets and budget emphasis simultaneously have an effect significantly to the budget gap in OPD Langsa City

Effect Of Moral Equity, Locus Of Control, Environmental Uncertainty, Organizational Commitment, Reward, And Motivation On Budgetary Slack: Participatory Budgeting As A Moderating Variable

This study aimed to examine and analyze the effect of moral equity, locus ofcontrol, environment uncertainty, organizational commitment, reward, andmotivation onbudgetary slack: participative budgeting as a moderating variable. The population was all employees who worked at Local Government Organization in East Manggarai Sub-district. Moreover, the data collection technique used purposive sampling. In line with that, there were 115 employees as the sample. Furthermore, the instrument in the data collection technique used questionnaires. The research was quantitative. Additionally, the data analysis technique used multiple linear regression. As the result, it concluded that: (a) moral equity had a negative effect on budgetary slack; (b) locus of control had a negative effect on budgetary slack; (c) motivation had a negative effect on budgetary slack, (d) participative budgeting strengthened the effect of moral equity on budgetary slack; (e) environment uncertainty did not affect on budgetary slack: (f) organizational commitment did not affect budgetary slack; (g) reward did not affect budgetary slack; (h) participative budgeting did not moderate the effect of locus of control on budgetary slack; (i) participative budgeting did not moderate the effect of environment uncertainty om budgetary slack; (j) participative budgeting did not moderate the effect of organizational commitment on budgetary slack; (k) participative budgeting did not moderate the effect of reward on budgetary slack; and (l) participative budgeting did not moderate the effect of motivation on budgetary slack.

The Influence of Internal Control Effectiveness on Corruption Prevention with Performance Accountability as an Intervening Variable

This study aims to determine the effect of internal control effectiveness, budget participation, and apparatus competence on corruption prevention with performance accountability as intervening variables. This study is on the Independent Electoral Commission in Aceh Province and the General Election Commission in North Sumatra Province with a total of 58 work units with data analysis using multiple linear regression. The data uses a questionnaire; the financial manager, the respondent, is given a questionnaire using digital assistance, namely the Google form. This study used data quality tests, classical assumption tests, and computer-assisted hypothesis testing through the IBM SPSS for Windows program. The results show that the effectiveness of internal control, budget participation, apparatus competency, and performance accountability have an impact on preventing corruption in the Independent Electoral Commission in Aceh Province and the General Election Commission in North Sumatra Province. These results indicate that the Effectiveness of Internal Control, Budget Participation, and Apparatus Competence affect accountability at the Independent Electoral Commission in Aceh Province and the Provincial Election Commission in North Sumatra. At the same time, the Effectiveness of Internal Control, Budget Participation, and Apparatus Competence influence Corruption Prevention through Performance Accountability at the Independent Electoral Commission in Aceh Province and the Provincial General Election Commission in North Sumatra.

Pengaruh Partisipasi Anggaran Dan Penekanan Anggaran Terhadap Kesenjangan Anggaran (Studi Kasus Pemerintah Daerah Kabupaten Majene)

This study aims to find out how budget participation and budget emphasis affect budget gaps in majene district government. The population in this study was all official offices in Majene Regency, which amounted to 20 offices. The sample selection method is purposive sampling. The sample of this research amounted to 60 samples. Data analysis using multiple linear regression test analysis tools, data validity and realibility test and classical assumption test consisting of normality test, multicholinearity test, heteroskedasticity test, . Hypothesis testing is carried out by partial testing (t), simultaneous testing (f), and determination (R2 ). The results of data analysis or multiple linear regressions show that partially (t) the variables of budget participation and budget emphasis affect budget lengths, Simultaneously (f) budget participation, and budget emphasis affects jointly on budget lengths. In the adjusted column R square is 0.470 or 47%, which means budget participation and budget emphasis in explaining the budget equivalent variable of 47% while 53% is explained by other variables not described in this study.

THE INFLUENCE OF MOTIVATION ON BUDGET GOAL COMMITMENT THROUGH THE LEVEL OF PARTICIPATION IN BUDGETING AS A MEDIATOR

This study aims to investigate and analyze the influence of motivation, consisting of two dimensions, in affecting budget goal commitment through the level of participation in budgeting as a mediator. The two dimensions of motivation referred to are intrinsic motivation and controlled extrinsic motivation. Data were collected through survey-based research by distributing questionnaires to lower-level managers in the garment and textile manufacturing sector in Bandung. To analyze the data and test mediation, this study used a structural equation model (SEM) with the alternative partial least squares (PLS) method. The findings of this study indicate that both intrinsic motivation and controlled extrinsic motivation have a positive effect on the level of participation in budgeting. In addition, the level of participation in budgeting mediates the influence of each motivation dimension on budget goal commitment. Companies can take action to improve budget goal commitment by managing motivation that will impact the level of participation in budgeting.Keywords: budget goal commitment, level of participation in budgeting, motivation

Mutual efforts for mutual trust: Impacts of citizens' knowledge and governmental communication channels on trust in participatory budgeting

Since participatory budgeting (PB) has been advocated by both theorists and practitioners of public administration, its adoption has become a global phenomenon. As of 2017, all local governments in South Korea are legally mandated to operate a PB system as a policy for inviting citizen participation in local budget decision‐making. Using an impact assessment tool completed by PB managers in local governments, this research tested two sets of independent variables—citizens' participatory capacity and the diversification of communication in the PB process—that could be associated with the dependent variables “citizens' trust in government (CTG)” and “government officials' trust in citizens (GTC).” The paper presents the three major findings on the common drivers behind CTG and GTC: (1) citizen participants' knowledge on budget and budgeting process; (2) local government's efforts in gathering citizens' inputs for PB; and (3) the mutual efforts to understand the needs and limitations of both citizens and the local government. The paper concludes by exploring the implications for the design and delivery of effective PB implementation.

How Direct Citizen Participation Affects the Local Government Financial Condition: A Case of Participatory Budgeting in South Korea

In theory, direct citizen engagement in budgeting helps local governments reflect the citizens’ budget preferences more precisely, thereby enhancing citizen-government communication. However, the efficacies of budget participation remain ambiguous considering both its democratic values and the cost of deliberation. In this study, we test how direct citizen participation by means of participatory budgeting (PB) affects the financial condition of local governments. We use a sophisticated concept of financial condition that encompasses various abilities of local government. We measure the degree of citizen participation as the availability of institutional mechanisms associated with different levels of inclusiveness and authorities determined by South Korean local government ordinances of formal budget participation. Our empirical analysis based on South Korean local governments’ data between 2012 and 2019 reveals that a PB institution with higher participation level further worsens the local financial condition. The adverse effects are mostly identified in the mid-term and long-term financial conditions, whereas the short-term financial condition remains unaffected. The findings imply that direct participation in theory corrects mismatches between bureaucratic and citizen priorities, but, in practice, the citizens may inappropriately direct mid- and long-term oriented public investment and debt management.