Evaluating Judgment and Decision Making in Accounting from Process or Performance Dimension to Cultural Influences

Judgment and decision-making (JDM) are insidious factors of accounting situations. Research conducted by Bonner (2008) has not gone unnoticed, and this paper is structured around Bonner’s framework for JDM in accounting. This study is trying to expand on Bonner’s framework by addressing some of the judgment and decision-making gaps in accounting that are apparent in organizations that operate in challenging economies where the quality in judgment and decision making is more defiant. To some extent, this paper aims to extend the existing framework by adding and integrating Roy’s (2005) corruption-related decision-making model and put more emphasis on the overall quality of JDM. For some years, the author, who worked as a consultant for several NGO’s in developing countries, collected data through observations, meetings, and documents in an unbiased manner. The preliminary findings are that some organizations from different cultures have different concepts about quality in judgment and decision making in accounting matters, which is greatly influenced by the organization’s hierarchy. Giving the movement towards international financial reporting standards, one may prefer a process perspective, while others may adopt a more performance perspective. More awareness, knowledge, and reinforcements concerning quality judgment and decision-making would be justified within organizations that are sensitive to corruption-related decision-making as embedded in their culture