Budgeting in Times of Economic Crisis

Sebastian D Becker (), Matthias D Mahlendorf , Utz Schäffer and Mario Thaten

No 1122, HEC Research Papers Series from HEC Paris

Abstract: This paper examines how corporate reliance on budgets is affected by major changes in the economic environment. We combine survey and archival data from the economic crisis that began in 2008. The results indicate that, as a result of the economic crisis, budgeting became more important for planning and resource allocation but less important for performance evaluation. Additional evidence from interviews and data gathered in a focus group further illustrate these results and show the changes organizations have introduced to respond to the economic crisis. Taken together, and contrary to more general conclusions from the literature such as an overall increase or decrease in the importance of budgeting, we find that companies emphasize certain budgeting functions over others during economic crises.

Keywords: Budgeting; budgeting functions; economic crisis; crisis management (search for similar items in EconPapers)
JEL-codes: M40 M41 (search for similar items in EconPapers)
Pages: 36 pages
Date: 2015-05-12
New Economics Papers: this item is included in nep-hrm and nep-net
References: Add references at CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2605359 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ebg:heccah:1122

Access Statistics for this paper

More papers in HEC Research Papers Series from HEC Paris HEC Paris, 78351 Jouy-en-Josas cedex, France. Contact information at EDIRC.
Bibliographic data for series maintained by Antoine Haldemann ().