Beyond budgeting in Statoil : ownership towards ambition to action
Abstract
Beyond
Budgeting
is
the
concept
of
moving
away
from
the
traditional
budget,
and
ownership
is
crucial
when
going
beyond
the
budget.
According
to
Pierce,
Kostova
and
Dirks
(2001,
2003),
psychological
ownership
is
when
an
individual
feels
psychologically
tied
to
something.
This
thesis
aims
to
enrich
the
ownership
literature,
and
factors
influencing
psychological
ownership
towards
Statoil’s
performance
management
process,
Ambition
to
Action,
have
been
hypothesized.
Ambition
to
Action
involves
strategic
objectives,
KPIs,
actions
and
individual
goals.
Statistical
findings
indicate
that
the
feeling
of
ownership
towards
KPIs
tends
to
be
weaker
than
the
feeling
of
ownership
towards
actions,
strategic
objectives
and
individual
goals.
Furthermore,
time
is
an
issue
when
working
on
Ambition
to
Action.
The
hypotheses
that
were
statistically
supported
in
this
thesis
are
related
to
the
number
of
sub-‐units,
trust
and
information
sharing.
Hypotheses
related
to
dependency
and
number
of
employees
do
not
get
support,
and
are
therefore
rejected.