Budget Participation And Performance: The Moderating Role Of Employee Motivation

Abstract

This study examined the effect of budget participation on budget performance, the influence of motivation on budget performance and the moderating role of motivation in the relationship between budget participation and budget performance. A quantitative research approach was adopted, targeting a population of 75 individuals: Accounts Officers, General Administrators, and Heads of Departments selected from the University of Cape Coast. A sample of 63 participants was chosen with a confidence level of 95%. Data was collected using a survey questionnaire. The findings revealed that budget participation significantly impacts budget performance, and staff motivation significantly influences budget performance. In addition, it was discovered that when employees are more motivated, their involvement in budgeting has a stronger impact on budget performance. It is recommended that schools, actively involve their employees in the budget preparation and implementation process, as this positively affects budget performance. Also, there must be inclusive budget planning and it was crucial to foster clear communication of budget goals and objectives, involve employees in the budgeting process, maintain transparency and open communication in the workplace to enhance effective participation in the budgeting process.