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Differential Weighting of Objective Versus Subjective Measures in Performance Evaluation

Experimental Evidence

Bibliographic Data

ID19446452
AuthorsNarisa Tianjing Dai (Business School, University of International Business and Economics, Beijing, P.R. China), Xi Kuang (0000-0002-1918-0190, Georgia Institute of Technology, corresponding author), Guliang Tang (Business School, University of International Business and Economics, Beijing, P.R. China)
Year2018
Volume27
Issue1
Pages129-148
Publication date2018-01-01
Peer ReviewedYes
Open AccessNo
TypeARTICLE
VenueEuropean Accounting Review (JOURNAL)
Journal identifiersISSN: 0963-8180 • E-ISSN: 1468-4497
PublisherInforma UK Limited (PUBLISHER • GB)
DOI10.1080/09638180.2016.1234402
OpenAlexW2526474072
LanguageEN
Citations received3
References cited64

In this paper, we conduct two experiments to investigate how managers’ differential weighting of objective versus subjective measures affects their performance-evaluation decisions. Drawing on psychological theory, we predict that managers heuristically perceive objective measures to be more scientific than subjective measures. As a result, their performance-evaluation decisions are influenced more by objective measures than by subjective measures. Experimental results are consistent with our prediction. Supplemental analyses further support our theory by showing that participants do not perceive objective measures to be more important for performance evaluation nor do they perceive subjective measurement to be inappropriate. The implications of our findings for management accounting research and practice are discussed

Actuarial science · Business · Differential effects · Econometrics · Economics · Weighting · Accounting and Organizational Management · Applied Psychology · Decision-Making and Behavioral Economics · Experimental Behavioral Economics Studies · Medicine · Psychology · Social Psychology · Accounting

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Unique citing works3
Citations per year0,6
Citation span2021 - 2026 (6)
Citation velocitycurrent
Highly citedNo
Citation typesNeutral: 3

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