MINISTRY OF EDUCATION AND TRAINING
UNIVERSITY OF ECONOMICS HO CHI MINH CITY ------------
LE THI CAM HONG
FACTORS AFFECTING THE APPLICATION OF PERFORMANCE- BASED BUDGETING MODEL IN NON- BUSINESS ENTITIES IN VIETNAM
Major: Accounting
Code: 9340301
PhD THESIS - SUMMARY
Ho Chi Minh – 2021
The study was complete at:
University of Economic Ho Chi Minh City
Supervisor: Associate Prof. Mai Thi Hoang Minh and
Associate Prof. Vo Van Nhi.
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INTRODUCTION
1. The necessary of research topic
Countries around the world have been constantly innovating their
accounting and budget systems to prevent and detect corruption
promptly (Chan, 2003). In Vietnam, to prevent waste, loss and
improve the principle of publicity and transparency; and improve
accountability, the Government has gradually reformed in many
aspects, including the need to renovate budgeting and allocation
of state budget to manage and use budget effectively.
At the same time, performance-based budgeting (PBB) has
dominated many countries (Shah & Shen, 2007), and is an
innovation trend in the “new public management” movement.
Meanwhile in Vietnam, the traditional budgeting model in public
units is no longer appropriate. Therefore, the government has
mentioned innovation under PBB model over the years. However,
although Ministry of Finance has piloted since 2009, the PBB has
not been widely implement. The fact that the wide adoption of
PBB requires a lot of legislative changes; how to make and run a
budget plan; and management culture in a way that ensures
accountability for performance (Dũng, Nguyệt, & ctv, 2008).
Moreover, innovation is a process carried out by every individual,
so implementer’s awareness is very important in the adoption of
any innovation, contribution to the success of that change (Ehsein,
2014). Therefore, besides the institutional changes, it is necessary
to identify factors that will promote the application of PBB model
of implementer in non-business entities in Vietnam. In addition,
after overview of studies in the world and in Vietnam, the author
found that research on PBB only focused on the study of
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budgeting techniques that did not focus on human behavior related
to applying of PBB and to date no research has been conducted to
investigate this issue in Vietnam. Based on the above analysis, the
author recognizes the need for a more comprehensive and in-depth
study on “Factors affecting the application of PBB model in non-
business entities in Vietnam”.
2. Research objectives and question
Research objectives: Identify factors that affect application of
PBB model in non-business entities in Vietnam.
- Identify factors, adjust and supplement the measurement scale
of the factors affecting application of PBB model in non-
business entities in Vietnam.
- Evaluation and measure the impact of factors on the application
of PBB model in non-business entities in Vietnam.
Research questions:
- What factors affect the application of PBB model in non-business
entities in Vietnam? How are factors measured by scale?
- How is the impact of factor on the application of PBB model in
non-business entities?
3. Research subject
Research subject: factors affecting application of PBB model in
non-business entities in Vietnam.
Analytical unit and the subject of the survey is the individual who
prepare budgeting in accounting and finance department in non-
business entities in Vietnam.
4. Research scope
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Scope of content: focusing on studying factors affecting
budgeting in non-business entities in Vietnam, with the analytical
unit being an individual.
Scope of the survey: in non-business entities in areas such as
education, health, culture, sport, and a number of the other areas,
but mainly focused on two fields of education and health in Ho
Chi Minh city and some neigh boring provinces: Tien Giang, Ca
Mau…
5. Research methodology
This study used the embedded mixed methods in which
quantitative research is the main, with qualitative research
embedded to provide supportive information for quantitative
research:
(1) Qualitative research: to detect factors and adjust the proposed
research model and scale of concepts. Through literature review
and related theories, from which interviews experts to add factors
and adjust the scale.
(2) Quantitative research: to preliminarily assess the scale of
concepts and evaluated the value of the official scale, examine and
measure the impact of factors. Preliminary quantification through
survey questionnaire, with SPSS 20.0 for analysis Cronbach’s
Alpha and EFA. After that, Official quantification through PSL-
SEM technique to evaluate the measurement model and structural
model along with the hypotheses in the model.
6. New contributed of thesis
The theoretical contributions
- Affirming the appropriateness in applying multiple theory
through a combination of theories: TPB, SQB, theory of
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diffusion of innovation and new institutional theory to consider
factors affecting implementers’ behavior related to change new
budgeting model.
- Identify the model of factors affecting the application of PBB
model in non-business entities in Vietnam and measure the
impact level of the factors.
- Supplementing and reinforce empirical evidence for the use of
scale of factors affecting the application of PBB model in non-
business entities in Vietnam.
- Supplementing empirical evidence for the application of
background theories to conduct research related to factors
affecting the acceptance of innovation of budgeting model.
The practical contributions
- Providing detailed and scientific research documents to help
government agencies have scientific bases to make appropriate
policies to enhance the authority and capacity to apply PBB.
-For managers, thesis provides the basis for the unit heads to
make appropriate policies to increase awareness of PBB model
and increase the perception of employees about support of the
organization related to the application of PBB model as well as
reducing the switching cost for the budget preparer.
7. Thesis structure
Thesis structure has five chapters: Chapter 1-Literature review;
Chapter 2-Theoretical frameworks; Chapter 3-Research
methodology; Chapter 4-Research results and discussion; Chapter
5-Conclusion and implications.
CHAPTER 1: LITERATURE REVIEW
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1.1. Introduction: This chapter provides an overview of the
relevant research in the world. From there, identify gaps in the
research and prove the urgency of the topic.
1.2. An overview of research in the world
1.2.1. Studies related to the application of PBB model in
countries.
This section presents studies on the application of PBB model at
national level to provide new insights and identify significant
impact factors.
Through the overview studies on the application of PBB model
of some countries in the world, the implementation of PBB is an
inevitable trend. However, successful implementation of PBB
takes time and depends on many institutional factors (including
the capacity to measure performance and the capacity to apply
PBB of the institution and the authority). Moreover, in the
process of innovation, it is impossible not to consider the human
factor as an important factors that determines the success of the
PBB model (Hepworth, 2003).
1.2.2. Studies on the factors affecting the application of PBB
model.
1.2.2.1. Studies on the factors affecting the application of an
innovation at the unit.
The focus of a number of studies on the application of PBB is to
explore the adoption of innovation in the use of internal
performance information for budgeting. Therefore, this study
examines the studies related to the application of an innovation
or innovation of information systems in general, to detect factors
that may affect the application of PBB model and background
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theories. After reviewing, the author identifies the factors
affecting the application of PBB model in public units in
countries, including: Perceived relative advantage of PBB,
Barriers, self-efficacy for change, organizational support,
institutional factors (capacity and authority).
1.2.2.2. Studies on the factors affecting the application of PBB
model
At the local government of some countries: Through these
studies, the author explores general impact factor within the
context of a country in which each participant in that context is
dominated These studies contribute to further explanation and
justification for the impact of the identified factors on the
application of PBB in public units.
In public units in the world: This section, through the main
studies, the author examines the factors that have influenced the
application of PBB model in public units in recent year, thereby
also contributing to further evidence for the impact of the factor
identified above.
1.3. Studies on the application of PBB model in Vietnam
Accounting researchers in Vietnam are expanding their research
direction to public accounting, but they only focus on building
national public section accounting standard in line with
international public section accounting standard, or converting to
accrual accounting. Meanwhile, studies related to the innovation
of performance-based budget management model have only been
concerned when there is a change orientation of government in the
management of budget expenditure.
1.4. Review previous studies and identify research gaps.
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1.4.1. Review previous studies
1.4.1.1. Studies in the world
Research content
- Research scope: mainly research at the federal (state) levels, the
number of research papers at the organizational or unit level is
quite limited. In addition, the majority of research on PBB is in
North America, particularly in the United States.
- Research direction related to PBB: the research followed two
main directions: “stage” and “topic” related to PBB.
- Applying the background theories: most studies do not have a
clear theoretical framework, or apply multiple theory. (Mauro,
Cinquini & Grossi, 2017)
Research method: research methods used in PBB-related
studies in non-European accounting journal are mostly survey-
based analysis, while in non-European management/
administration journal use mixed methods.
Result of studies related to PBB: Many factors have been
found to affecting the application of PBB but each study
conducted in different institution and contexts and in different
countries has different result. Based on these perspectives, the
author synthesizes observation on groups of factors that affect the
application of PBB model, including: Perceived relative
advantage of PBB, barriers, self-efficacy for change,
organizational support, institutional capacity and authority.
1.4.1.2. Studies in Vietnam
Research content
- Research scope: mainly focused on government budget and
local budget.
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- Research direction: (1) research on transforming public sector
accounting from cash to accrual basis or research on building
national public sector accounting standards under IPSAS, or
research on the accounting information transparency and
accountability. (2) Research on completing local budget
revenues and expenditures or completing methods of government
budgeting.
- Applying the background theories: most studies do not have a
clear theoretical framework.
Research method: traditional qualitative from theoretical
synthesis to assessing the current situation and proposing solution.
Results of studies related to PBB: in Vietnam, there has not
been any study to research on factors affecting the application of
PBB model in non-business entities in Vietnam.
1.4.2. Identify research gap and research orientation
1.4.2.1. Gaps in foreign research: First, research at the unit
level is quite limited. Second, research towards individual
behavior has not been focused in this area.
1.4.2.2. Gaps in Vietnamese research: Fist: Studies focused on
government budget and local budget, while the unit budget is
quite limited. Second: There have not been any studies related to
factors affecting the application of PBB model in non-business
entities in Vietnam.
1.4.2.3. Research orientation:
Non-business entity established by the competent state agencies
are provided with budget support to operate. However,
depending on the type of unit, government has different levels of
support. In particular, the operating mechanism of units is being
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renewed in the direction of autonomy, self-responsibility in
performing tasks, organizational structure, human resources and
finance at different levels depending on into financial autonomy.
In addition, budgeting in non-business entities often uses simpler
techniques than enterprises.
Operation situation: According to the 2017 economic survey,
non-business entities still account for a very large percentage of
96% with nearly 70,700 units, of which the two highest sectors are
education and health (accounting for 61.7% and 19.3%).
Currently, the number of units covered by government budget to
cover all operating expenditure still account for a higher
proportion with 70.2% of non-business entities.
The current regulation of Vietnam related to PBB (details in
the thesis). However, the application of PBB model is not
widespread. So, this thesis does not emphasize PBB techniques
but explore the factors that drive the application or resistance of
PBB.
CHAPTER 2: THEORICIAL FRAMEWORK
2.1. Introduction: This chapter provides an overview of PBB
model, relevant background theories, and research concepts.
2.2. Overview of performance-based budgeting model.
2.2.1. Public sector concept
Public sector is a concept that defines a set of state agency, public
organization and enterprises, and central banking system of a
nation (Ball et al., 2012).
2.2.2. Budget concept
“A budget is a plan for the accomplishment of programs related
to objectives and goals within a definite time period, including
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an estimate of resources required, together with an estimate of
resources available, usually compared with one or more past
periods and showing future requirements.” (Bandy, 2014).
Government budget
Government budget is defined as the government planning of the
size of resources that need to be mobilized in society to use for
expenditure need in order to carry out its function and duties
(Trần Thị Thanh Hương, 2007).
Unit budget
“A Budget can be defined as an overview of the activities of a
government organization over a certain period, at least in the
form of its financial aspect, both revenue and cost items, and
often supplemented by other information about these activities,
such as their function goal or desirable impacts.” (Van Helden &
Hodges, 2015).
2.2.3. Performance based budgeting model
2.2.3.1 Concept
PBB concept
In the previous studies there seems to be no standard definition of
PBB concept. These definitions refer to the use of performance
information in general, linking the relationship between “budget
and outcomes” and the relationship between “performance
indication and assessing”. In this study, according to the definition
of Mauro et al. (2017), PBB is model of the process of collecting
and budgeting based on access to performance information to
allocate and evaluate the use of financial resources of the unit to
aim at achieving the development strategy of the government in
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general and the unit in particular. Through this definition, PBB is
a financial and budget information system.
Performance concept
“Performance is a complex concept and can be seen from different
angles” (Dooren et al., 2015). “In the public sector, performance
is regarded as a multidimensional concept ranging from concerns
about increase in efficiency, effectiveness, output quantity and
quality, productivity, equity, fairness, responsiveness to service
needs, trust, citizen and consumer satisfaction” (J. Lee, 2008;
Walker et al., 2011). Generally, performance is related with
economy, efficiency, effectiveness. (van Helden & Reichard,
2013). Recently, performance has tended to emphasize output-
related criteria such as efficiency, effectiveness and
appropriateness. Therefore, this thesis researches on the use of
internal performance information for budgeting, directing and
motivating employees, setting goals, evaluation and controlling,
planning strategy. So, performance is primarily defined as the
output with the entity’s operating process and combined with the
desired government outcome.
2.2.3.2. The basic elements of PBB
PBB is a budgeting model that requires public entities and the
government to establish a management information system related
to the allocation and use of financial resources such as outputs and
inputs, cost and the relationship between outputs and inputs and
their effects on desired government outcomes and appropriateness
with policy objectives. (Sử Đình Thành, 2005)
Appropriateness
Aims and objective
Plan results
Evaluation
Cost
Process Activities
Inputs Resources
Outputs Products or services
Outcome Impacts on community
Effectiveness
Efficiency
Economy
Means contribute to the measure
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Figure 2.1 The basic elements of PBB
Source: (Sử Đình Thành, 2005)
2.2.3.3. Advantages and disadvantages of PBB model
Advantages: Enhanced communication between budget actors
and citizens; improved management in government agencies;
more informed budgetary decision-making; Higher transparency
and accountability (Ehsein, 2014)
Disadvantages: increase workload (Melkers & Willoughby, 2001)
and vulnerable to fraud and misrepresentation (Smith, 1999);
Consensus between government and management on
organizational goal and performance measures is often difficulty
achieve (Wang, 1999); Problem arise in identifying and
establishing consistent performance measures (Dean, 1986; J. E.
Melkers & Willoughby, 2001); Difficulties that implementers face
such as information research time, needs and expertise.
2.3. The background theories
The goal is to identify the factors that affect the application of PBB
model, with the analytical unit being an individual, so it is
necessary to have a theoretical framework to explain the budgeter’s
behavior. In addition, the application of PBB is the transition to
new financial and budget information system that focus on
performance, so this thesis research on the adoption of information
system innovation to explaining user acceptance, however,
accepting but does not mean there is no resistance (Nah, Tan, &
Teh, 2004). It is therefore necessary to have some theories for
explaining user acceptability and resistance. So related theories
include: TPB, theory of diffusion of innovation, SQB, and new
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institutional sociology theory – theory of institutional
Perceived relative advantage of PBB -> the application of PBB model
Barriers-> the application of PBB model
Self-efficacy for change-> the application of PBB model Organizational support-> the application of PBB model Institutional capacity-> the application of PBB model
Authority-> the application of PBB model
- Theory of planned behavior (TPB) - Theory of diffusion of innovation - Status Quo Bias Theory (SQB) - Status Quo Bias Theory (SQB) - Theory of diffusion of innovation - Theory of planned behavior (TPB) - Status Quo Bias Theory (SQB) - Theory of planned behavior (TPB) - Status Quo Bias Theory (SQB) - New institutional sociology theory- theory of institutional isomorphism - Theory of diffusion of innovation - New institutional sociology theory- theory of institutional isomorphism - Theory of diffusion of innovation
isomorphism, and Public sector institutional model of Shah.
2.4. Research concepts
(1) The application of PBB model: is the result of the
psychological process of the user who feel comfortable making
decision to perform new budgeting operations that focus on
performance information to serve budget management normally,
repeat and continue in the future.
(2) Perceived relative advantage of PBB: is the extent to which
PBB model is perceived to be relatively better than current
budgeting model (traditional budgeting).
(3) Barriers: in the user’s perception, such as switching costs,
refer to the perceived disutility a user would incur in switching
from traditional budgeting to PBB.
(4) Self-efficacy for change: is an individual’s confidence in his
or her own ability to adapt the new situation.
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(5) Organizational support: is the perceived facilitation provided
by the organization to make users’ adaptation to new PBB-
related change easier, consists of 3 components: managerial
supports, training and informal organization supports.
(6) Authority / Legitimacy: refers to the legitimacy of the
application of PBB by public entities in an institution, as a
generalized perception or assumption that the application of an
entity’s PBB model is desirable, proper, or appropriate with some
socially constructed system of norms, values, beliefs, and
definitions.
(7) Institutional capacity: is the ability of an institution to
complete the application of PBB model that deals with three
capabilities: performance evaluation, personnel and technical.
CHAPTER 3: RESEARCH METHODOLOGY
3.1. Introduction: Chapter 3 introduces the research method used
in the thesis, hypothesis development and scale building.
3.2. Research frame and process
3.2.1. Research frame: This study uses TPB, as an important
theoretical framework in technology adoption research, and
integrates additional relevant concepts from other theories to
explain user’s application of PBB, include Perceived relative
advantage of PBB, barriers, self-efficacy for change,
organizational support. In addition, adding the factors
“institutional capacity” and “authority” to the model based on the
point of view of NIS theory- institutional isomorphism and the
perspective of public institutional model, to consider along with
factors in behavioral control of TPB.
3.2.2. Research process
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Include 5 steps: Step 1: Literature review; step 2: Build the initial
draft scale: step 3: Preliminary research; Step 4: Official
quantitative research; Step 5: Presentation of research results.
3.3. Developing research hypotheses and model
3.3.1. Developing research hypotheses: based on background
theory. These hypotheses are derived from factors identified
when review the previous research, and background theory. The
hypotheses are presented in detail in the thesis.
3.3.2. Control variables
The study considers several characteristics of the staff: age,
gender, education level and experience are the control variables.
3.3.3. Research model
Form background theories and research hypotheses, the proposed
research model is as follows
H2 (-)
H8 (-)
Barries
H7 (-)
H1 (+)
Perceived relative advantage of PBB
H3 (+)
Self-efficacy for change
Control variable: Personal characteristics
H4 (+)
The application of PBB
Organizational support
H6 (+)
Institutional capacity
H5 (+)
Authority
Figure 3.3: Research model
3.4. Building a scale of research concepts
The concepts are abstract concepts and the Likert scale used in
previous studies has been developed and adjusted to suit the
context of PBB research. The scale is detailed in the thesis.
3.5. Research methodology
This study used the embedded mixed methods is which
quantitative research is the main, with qualitative research
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embedded to provide supportive information for quantitative
research (Nguyễn Đình Thọ, 2013), to explore and evaluate
research hypotheses.
3.5.1. Qualitative research
Performed through literature review to discover factor, then in-
depth interviews with experts to confirm to factors, and adjust,
supplement the scale of concepts to suit the research context in
Vietnam.
3.5.2. Quantitative research
Implementation through 2 stage: stage 1: preliminary quantitative:
to preliminarily evaluate the scale before the official study; stage
2: official quantitative to answer research questions.
3.6. Samples, collection methods and data processing methods
3.6.1. Preliminary research
3.6.1.1. Qualitative research
Objective: to confirm the factors, and adjust, supplement the
scale to suit the research context in Vietnam.
Respondents: Head/deputy head of accounting department who
are knowledgeable in budgeting in non-business entities and
specialist lectures in the public sector.
Method of implementation: through semi-structured
questionnaires and in-depth interviews with each expert.
Sampling method: saturated point-based techniques (Glaser &
Strauss, 1967). Sample size: at least 6 (Morse, 1994).
Supporting tool: is NVivo 10 for synthesis and coding.
3.6.1.2. Preliminary quantitative research
Objective: preliminary evaluation of scale, including evaluating
the reliability and value of scale.
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Data collection tool: survey via mail to budgeter in non-business
entities, combined via internet (e-mail).
Data collection method: convenient non-probability sampling.
Data analysis method: evaluating reliability by Cronbach’s
Alpha and evaluating convergent validity and discriminant
validity by exploratory factor analysis - EFA.
3.6.2. Formal research
Objective consider the impact relationship of the factors. Data
collection method is detailed in the thesis.
CHAPTER 4: RESEARCH RESULTS AND DISCUSSTION
4.1. Introduction: Chapter 4 presents results of qualitative
research, preliminary quantitative research and official
quantitative research.
4.2. Preliminary research results
4.2.1. Qualitative research results
4.2.1.1. Results of assessing the conformity of model: Most
experts agree that there is an impact relationship between the
concepts in the research model.
4.2.1.2. Results of assessing the conformity of the scale: Most
experts agree with the scale adjusted from previous studies for
the research context in Vietnam. However, there are still some
ideas to add variables to suit the context in Vietnam.
4.2.2. Preliminary quantitative research results
4.2.2.1. Descriptive statistics results: details in the thesis.
4.2.2.2. Results of evaluating the scale reliability with
Cronbach’s Alpha: It shows that most of the concepts are highly
reliable, but the 2 observed variables CA6 and CA7 are excluded
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from the scale of “institutional capacity” (CA) because of
corrected Item – total correlation < 0,3.
4.2.2.3. Results of evaluation the scale value with model EFA
In 7 concepts: 1 concept with multidimensional construct is
“organizational support” analyzed by its own EFA, into 2
components; 6 concepts with unidimensional construct are
analyzed into 15 pairs of factors to evaluated, all of which keep
the original scale.
4.2.2.4. Conclusion on preliminary research results
All scales achieve the required reliability. Six unidimensional
constructs: all achieve convergent validity and discriminant
validity. “Barriers” concept (PB) renamed according to the
original study is switching costs (SC). In addition, the scale of
“institutional capacity” (CA) removes two indicators; the
remaining 4 concepts remain the same scale. Second-order
construct: Organizational support (OS) from 3 components (12
indicators) has been grouped into 2 components (9indicators).
4.3. Formal research result
4.3.1. Descriptive statistics results: details in the thesis.
4.3.2. Common method variance test
To prevent CMV during data collection, the author used reverse-
word items. Besides, this study also tested CMV through
techniques: Harman’s single factors analysis; Common latent
factor test; Marking techniques. The results showed no CMV.
4.3.3. Evaluation of measurement models
To evaluate a measurement model, it is necessary to evaluate:
internal consistency reliability; convergent validity; discriminant
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validity. After 2 times of evaluation, all three criteria for
evaluating the value of the scale satisfy the conditions.
4.3.4. Evaluation of structural model
4.3.4.1. Multi-collinearity assessment: The result does not exist
collinearity in the structural model.
4.3.4.2. Assessing the relevance of the structural model
relationships: Result of evaluating a structural model with 8
hypotheses, 4 hypotheses (H1, H2, H4, H6) are accepted,
including: Perceived relative advantage of PBB, authority,
organizational support have a positive impact on the application
of PBB model in non-business entities, with the path coefficients
respectively: 0,397; 0,315; 0,233; meanwhile, the switching cost
has a negative impact on the application of PBB model in non-
business entities, with a path coefficient: 0.257. The two
hypotheses (H3, H5) that are rejected are not statistically
significant at the 5% level. In addition, it also rejected 2
hypotheses H7 and H8 as two hypotheses that have been
proposed in the model, not significant at 5%. 4.3.4.3. Assessing the coefficient of determination (R2 value): This coefficient of determination R2 is a measure of the model’s predictive power. The result R2 of applying PBB model (RD) in non-business entities is 0,444 showing that the predictive power
of the model is at an average level. 4.3.4.4. Assessing the effect Size-f2: The f2 coefficient evaluates the impact of the omitted construct on the endogenous constructs.
The result show that the variables have small effect size. Except
for the concept of self-efficacy for change which is considered to
have almost no impact on the PBB model application.
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4.3.4.5. Assessing the predictive relevance - Q2: The Q2
coefficient is an indicator of the model’s out of sample predictive power. Result Q2 of each dependent variable: application of PBB model in non-business entities and switching cost are >0, proving
the model’s predictive power. 4.3.4.6. Assessing the effect size - q2: Effect size q2 is to evaluate the effect size of the independent variable allocated to a Q2 value
of the dependent variable. The result: the effect size of the
independent variable on predictive relevance for the dependent
variables is small, except SEC (Self-efficacy for change), OS
(organizational support), CA (institutional capacity) and user
characteristics are not predictable for the dependent variable-RD
(application of PBB model in non-business entities) and
independent variable-OS (organizational support) is not
predictable for the dependent variable - SC (switching cost).
4.3.4.7. Assessing the role of mediator variables: Switching
cost does not mediate the impact of self – efficacy and
organizational support on the application of PBB model.
4.4. Summary of research results
4.4.1. Results of measurement model evaluation
The results of the scale evaluation met the requirements, only
reducing the number of observed variables (from 42 to 36), but
keep the same number of concepts in the model. This result
shows that the concept scale is valid.
4.4.2. Results of structural model evaluation
With 8 hypotheses, 4 hypotheses are accepted and 4 hypotheses
are rejected. In addition, research results were not affected by
common method variance.
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Content
Table 4.19. Synthesize the results of structural model evaluation Result No violated
Multi-collinearity assessment Assessing the relevance of the structural model relationships H1 Perceived relative advantage of PBB has a positive
impact on the application of PBB model
H2 Switching cost has a negative impact on the
application of PBB model.
H3 Self-efficacy for change has a positive impact on
Accepted (0,397) Accepted (-0,257) Rejected
the application of PBB model.
H4 Organizational support has a positive impact on the
H5
Accepted (0,233) Rejected
application of PBB model. Institutional capacity has a positive impact on the application of PBB model.
H6 Authority has a positive impact on the application
of PBB model.
H7 Self-efficacy for change has a negative impact on
Accepted (0,315) Rejected
switching cost
H8 Organizational support has a negative impact on
Rejected
switching cost
Assessing the coefficient of determination (R2)
The application of PBB model in non-business entities (RD)
44,4% 2,4%
Switching cost (SC) Assessing the predictive relevance (Q2)
The application of PBB model in non-business entities (RD)
Switching cost (SC)
29,8% 0,6%
4.5. Discussion
4.5.1. Discuss the preliminary research results.
Concepts include perceive relative advantage of PBB (RL),
switching cost (SC), self-efficacy for changes (SEC), institutional
capacity (CA), authority (AU) and the application of PBB model
in non-business entities (RD) does not change scale so these
concepts are not discussed. Discovering about organizational
support in Vietnam has certain similarities with relevant research
in the world.
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4.5.2. Discuss the formal research results
4.5.2.1. Discuss accepted hypotheses: According to result, 4
hypotheses (H1, H2, H4 and H6) are accepted at the 5%
significance level. Therefore, this study discusses 4 factors that
directly impact on the application of PBB model in non-business
entities in Vietnam.
4.5.2.2. Discuss rejected hypothesis: explanation of why H3
and H5 were rejected when studying in the context of PBB model
application in non-business entities in Vietnam.
CHAPTER 5: CONCLUSION AND INPLICATIONS
5.1. Introduction: Chapter 5 summarizes conclusion and
introduces the theoretical and practical implications for the
application of PBB model. Finally, present the limitations and the
next research direction.
5.2. General conclusion: This content summarizes the results in
preliminary research and formal research in Chapter 4.
5.3. Implication for the application of PBB model in non-
business entities.
5.3.1. Theoretical implication
- Affirming the appropriateness in applying multiple theory
through a combination of theories: TPB, SQB, theory of
diffusion of innovation and new institution theory to consider
factors affecting implementers’ behavior related to change new
budgeting model.
- Identify the model of factors affecting the application of PBB
model in non-business entities in Vietnam and measure the
impact level of the factors.
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- Supplementing empirical evidence for the application of
background theories to conduct research related to factors
affecting the acceptance of innovation of budgeting model.
- Supplementing empirical evidence for the application of
background theories to conduct research related to factors
affecting the acceptance of innovation of budgeting model.
5.3.2. Practical implication
(1) Enhance perceived relative advantage of PBB: the non-
business entities and government should seek to increase
perceived relative advantage of PBB by concentrating on
communication to employees about the advantage of application
of PBB model.
(2) For government agencies
There should be a roadmap to increase authority in combination
with enhancing institutional capacity as follows:
Enhance the authority: Through the promulgation of a
circular guiding clear PBB, adjusting the government budget law
towards forcing the application of PBB and other legal
documents also oriented to focus on performance.
Enhance institutional capacity: Government agencies should
have strategies to improve the institutional capacity:
performance evaluation, personnel and technical.
(3) For managers of non-business entities
Enhance organizational support: Through increasing
employee awareness of managerial support for PBB application
and informal support.
Reduced switching cost: for budgeting staff.
5.4. Limitations and next research directions
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5.4.1. Limitations:
(1) This research has been based on the background theories
related to the innovation of general information systems for
application.
(2) The concept of application of PBB model (RD) use reverse-
worded items, thus it is difficult in the survey process.
(3) Subject of survey is mostly only budget maker.
(4) The scope of the survey has not been widely covered
nationwide. (5) The predictive level of the model (R2= 44,4%) is still average,
so there are still some other factors.
(6) There can be different relationship between 6 independent
variables.
5.4.2. Next research directions:
- Assess other stages of implementing the PBB model.
- Expand your subject of survey and research scope.
- Find other relevant theories to supplement concepts.
- Examine other possible relationships in this model.
- Or develop, build a competitive model.
- Or add other control variables related to the organization.
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LIST OF RELATING RESEARCH OF THIS THESIS’
AUTHOR
1. Lê Thị Cẩm Hồng, 2019. Lập dự toán ngân sách dựa trên hiệu
quả hoạt động vào kế toán khu vực công tại Việt Nam hướng
tới lộ trình áp dụng Chuẩn mực Kế toán công quốc tế (IPSAS).
Kỷ yếu hội thảo khoa học Quốc tế: Kế toán Việt Nam - Tương
lại và triển vọng, số 5/2019, ISBN: 978-604-792-092-1.
2. Lê Thị Cẩm Hồng, 2019. Lập dự toán theo kết quả hoạt động
tại một số quốc gia và bài học kinh nghiệm cho Việt Nam.
Tạp chí kế toán và kiểm toán, số 8/2019, ISSN 1859-1914.
3. Lê Thị Cẩm Hồng, 2019. Cơ sở lý luận lập dự toán ngân sách
dựa trên kết quả hoạt động và tình hình áp dụng tại Việt Nam.
Tạp chí kế toán và kiểm toán, số 9/2019, ISSN 1859-1914.
4. Phạm Quang Huy, Lê Thị Cẩm Hồng và Nguyễn Minh Toàn,
2016. Các nhân tố tác động đến chất lượng thông tin trên báo
cáo tài chính đơn vị công tại Việt Nam-Nghiên cứu và tiếp cận
theo khuôn mẫu lý thuyết. Nghiên cứu khoa học cấp trường.
Trường đại học Kinh Tế TP. HCM. Phạm Quang Huy- Chủ
nhiệm đề tài.
5. Võ Văn Nhị, Mai Thị Hoàng Minh và Lê Thị Cẩm Hồng,
2019. Công nghệ thông tin và việc áp dụng mô hình lập dự
toán dựa trên kết quả hoạt động trong các đơn vị công tại Việt
Nam. Kỷ yếu hội thảo khoa học quốc gia: Kế toán, kiểm toán
trong thế giới số, 2019, ISBN: 978-604-80-4348-3.
6. Mai Thị Hoàng Minh, Lê Thị Cẩm Hồng, 2020. Nhân tố tác
động đến việc áp dụng mô hình lập dự toán trên kết quả hoạt
động. Tạp chí kế toán và kiểm toán, số 7/2020, ISSN 1859-
1914.
26
7. Lê Thị Cẩm Hồng, Mai Thị Hoàng Minh, 2020. Xu thế ứng
dụng mô hình lập dự toán ngân sách dựa trên kết quả hoạt
động trong quản lý công. Tạp chí tài chính, kỳ 1 - tháng
8/2020 (734), ISSN 2615-8973.
8. Mai Thị Hoàng Minh, Lê Thị Cẩm Hồng, Nguyễn Phúc Sinh,
2020. Trao đổi về mô hình lập dự toán ngân sách dựa trên kết
quả hoạt động. Tạp chí tài chính, kỳ 1 – tháng 12/2020 (742),
ISSN 2615-8973.
9. Võ Văn Nhị, Mai Thị Hoàng Minh, Lê Thị Cẩm Hồng, 2020.
Thiết lập mô hình nghiên cứu các nhân tố ảnh hưởng đến việc
áp dụng mô hình PBB tại các đơn vị sự nghiệp công lập ở Việt
Nam. Tạp chí Nghiên cứu tài chính – Marketing, số 60 – tháng
12/2020, ISSN 1859-3690.
