Budget Slack Behavior Based On Budget Ratchet Effect Consequences Analysis And Prevention

In recent years, the rapid development of management accounting, in 2014 the country to promote the rapid development of management accounting, emphasize the importance of management accounting, and gradually introduced many guidances. One of the most important one is the budget management, along with the popularization and application of budget management, but there are some problem to be solved, one of which is the problem of budget slack. In the actual operation process, budget slack have a greater negative impact on the business, this is a difficult problem for many enterprises are facing. The ratchet effect exists not only in consumer spending habits, but also the inevitable in the enterprise,the budget ratchet effect on budget slack, therefore, find the fundamental reason for the budgetary slack from the ratchet effect and how to prevent the budgetary slack has become the focus of the theory and the practice.This paper summarizes the research status of domestic budgetary slack, and expatiate the basic theory of budget slack, respectively from the self interested behavior, asymmetric information, principal agent of three aspects of the causes of budgetary slack, combined with ratchet effect analysis of the adverse consequences, budgetary slack serious impact on the allocation of resources, reduce the operational efficiency of enterprise; budget slack effects of the authenticity of the information transfer between departments, led to the credit crisis of enterprise; budget slack effects budget executive ability of normal play, reduce the effective of enterprise budget; budget slack up error budget implementation of the work, affecting the accuracy of the performance evaluation the.That all sorts of adverse effects of budget slack in the ratchet effect under the influence of this paper through in-depth analysis, to find ways to solve these problems, from improving the enterprise budget management, eliminate the adverse effects of the budget ratchet effect; improve the business environment to improve the efficiency of the budget, the budget; perfect enterprise budgeting, formulate scientific and reasonable budget; strengthen supervision of budget execution, improve evaluation accuracy, in order to solve the problems brought by the budget ratchet.