The Critique

Point of View

 In making our critique, we stand as a corporate personnel and academician

Thesis Statement

 We ought to prove the following:

1. Operation managers exclusions on budgeting process do affect the performance of an

organization to SME’s.

2. No standard budgeting process can be proved that is applicable for the manufacturing
business.
Critiquing
1: Do operations managers affect the performance in budgeting process of SME’s?

Budgeting is a plan of quantitative articulation for a particular

time frame. Further, it apportions the information to the
managers and operating work force to allocate the needed
preparation expected to achieve the goals and destinations of
the financial plan. According to Salaudeen (2018) the exclusion
of the operating managers to the budgeting process results to a
dysfunctional performance.
Do operations managers affect the performance in budgeting
process of SME’s?

 And affirmed by Hopwood (1976) & Parker & Kyi( 2006) that
sharing of information between organizational members
should not be disregarded. When setting a budget, members
of the organization are supposed to participate in defining
explicit budgetary goals and to be involved in subsequent
revisions to these goals with the management (Chalos & Poon,
2000). But on the other hand the study of Milani (1957)
negates that the business process and performance
relationship has a weak or even negative impact on
managerial performance (Milani, 1975; Bryan & Locke, 1967).
Do operations managers affect the performance in budgeting
process of SME’s?

 But on the other hand the study of Milani (1957) negates that the business process and
performance relationship has a weak or even negative impact on managerial performance
(Milani, 1975; Bryan & Locke, 1967). The study of Dunk (1990) investigates impact of
budgetary participation on managerial performance. He concluded that the result of low
managerial performance is also a product of high participation. And expounded that the
negative result have been caused by participative budgetary settings since subordinates
can manipulate the process to obtain easier operating budgets, which in turn leads to
lower managerial performance.
Do operations managers affect the performance in budgeting process of
SME’s?

 Yet the correlation between budget process and the operations managers play a vital role
as to its performance as for many researchers. Shields and Shields (1998) also involves the
correlation as to participation and performance from psychological perspective. They
stated that participation opens trust, control that leads to more acceptance and
commitment the budget decisions, in turn causing improved performance. And was
seconded by Salaudeen that the no participation of the operation management caused
poor performance of the managers and recommends the adoption of top-down and
bottom-up approach
Do operations managers affect the performance in budgeting
process of SME’s?

 . Thus, participation has its own pros and cons considering different views from different
researchers. Participation indeed is relative, it can be abused but when it is utilized it can
be an edge for the budget processing of an organization.