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Organisational Culture and Budgetary Control in a UK Local Government Organisation

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  • Andrew Goddard

Abstract

This paper is an attempt to explore the possibilities of working within the functional paradigm to understand the relationship between organisational culture and financial control. More specifically, the research is an empirical study informed by contingency theory. The research uses canonical correlation analysis to investigate the complex contingent relationship, as suggested by Williams, Mcintosh and Moore (1990). The research was carried out within a local government organisation in the UK, and used a questionnaire to determine managers' perceptions of organisational culture and budget-related behaviour. A correlation was found between organisational culture and budget-related behaviour, particularly with respect to budgetary participation and the usefulness of budgets to support the managerial role. However, the relationship was not straightforward, and the analysis indicated some tension between culture and the financial control system in operation.

Suggested Citation

  • Andrew Goddard, 1997. "Organisational Culture and Budgetary Control in a UK Local Government Organisation," Accounting and Business Research, Taylor & Francis Journals, vol. 27(2), pages 111-123.
    • Handle: RePEc:taf:acctbr:v:27:y:1997:i:2:p:111-123
    DOI: 10.1080/00014788.1997.9729538
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    References listed on IDEAS

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    Cited by:

    1. Arwan Gunawan & Winwin Yadiati & Harry Suharman & K. Poppy Sofia, 2020. "Linkages to Budgetary Control and Budgetary Absorption Performance," International Journal of Economics and Financial Issues, Econjournals, vol. 10(5), pages 304-316.

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