Effects of Budgetary Control and Justice Perceptions on the Relationship between Budgetary Participation and Performance

This study was based on the data collected through surveys conducted with 256 managers in companies in Kazakhstan, Kyrgyzstan, and Uzbekistan. The findings revealed that budgetary participation and procedural justice perception affected performance positively. In addition, performance was affected negatively in environments where rigid budgetary control was practiced, in which case budgetary participation was important compared to flexible budgetary participation environments. The effect of procedural justice perception on the relation between budgetary participation and performance, on the other hand, was negative. Managers considered budgetary participation more important in environments where justice was perceived as high compared to environments where justice perception was low, which decreases the effect of participation on performance. Therefore BP and PJ are intermediary variables