Organizational Commitment and Culture of Tri Hita Karana Moderating the Effect of Budget Participation in Budgetary Slack

Abstract

This study aims to test empirically the effect of budgetary participation on budgetary slack and the ability of Tri Hita Karana's organizational commitment and culture in moderating the effect of budgetary participation on budgetary slack. The number of samples used was 44 people consisting of the Head of OPD in the Badung Regency Government, using the purposive sampling method. Data collection was carried out by means of a questionnaire. The data analysis technique used is multiple linear regression analysis containing interaction or the Moderating Regression Analysis (MRA) test. Based on the analysis, it is found that budgetary participation has a positive effect on budgetary slack. This shows that the higher the participation in budgeting, the higher the budgetary slack that will occur. Organizational commitment weakens the effect of budgetary participation on budgetary slack. High participation in budgeting reduces budgetary slack due to high organizational commitment. The Tri Hita Karana culture weakens the influence of budgetary participation on budgetary slack. High budgeting participation reduces budgetary slack due to the high implementation of Tri Hita Karana culture.

Keywords: budgetary participation, budgetary slack, organizational commitment, Tri Hita Karana culture

DOI: 10.7176/RJFA/11-18-12

Publication date:September 30^th 2020