This research objective is to examine the effect of phsycological contract and moral justification to honesty in participative budgeting making process. The independent variables used in this research are fulfillment or violation of phsycological contract and moral justification. The dependent variable used in this research is honesty of business unit managers. The researcher uses the experiment method with total of sample is 184 participants. Sample criterias used in the research are postgraduate student, at least 2 years experience, having sub-ordinates, and their involment in budgeting process. The result of research shows that there is influence of phsycological contract to honesty of unit business manager. The honesty of business unit manager in the full participative budgeting-full influence is higher compared to pseudo participative budgeting-some influence and honesty of business unit manager in the pseudo participative budgeting-some influence is less compared to pseudo particpative budgeting-no influence. The research also shows that moral justification influences the honesty of business unit manager.
|Number of pages||20|
|Journal||International Journal of Applied Business and Economic Research|
|Publication status||Published - 1 Jan 2017|
- Experimental method
- Moral justification
- Psychological contract