What is it about?
Some firms are known to place a strong emphasis on the purposes of budgeting, referring to a comprehensive focus on budgeting. Our results suggest that academic business education is positively associated with a comprehensive focus on budgeting, but tenure as well as functional position in the company (CFO or not) and age are not. Overall, the company-specific control variables in general and information quality in particular are shown to have greater explanatory power than the top management characteristics analysed.
Featured Image
Photo by Tim Alex on Unsplash
Why is it important?
This study identifies several empirically supported factors that seem to contribute to a comprehensive focus on budgeting. The effects of information quality, business education, importance of profit and firm size could also be considered in future research.
Perspectives
It was a please to co-author this paper with Dr. Eva Ström from Hanken School of Economics, Helsinki, Finland.
Professor of Accounting Lili-Anne Kihn
Read the Original
This page is a summary of: Top management characteristics and comprehensive focus on budgeting, Journal of Applied Accounting Research, December 2023, Emerald,
DOI: 10.1108/jaar-02-2023-0036.
You can read the full text:
Contributors
The following have contributed to this page
