Yiheng was new to his organization but quickly noticed a pattern at the annual budgeting session. Midlevel managers were asking for unrealistically high budgets while top management was attempting to require budgets under last year's actual expenditures. Both parties were using strategies that are referred to as
A) Budget breakdowns.
B) Bureaucratic budgeting.
C) Budget resistance.
D) Tactical behaviors.
E) Rigid behaviors.

Question

Quizplus · Accepted Answer

A common form of tactical behavior is when people falsify predictions or request for the future. When asked to give budgetary estimates, employees usually ask for more than what they need. This is what the midlevel managers are doing. Or if they believe a low estimate will help them get a budget or a project approved, they may submit unrealistically low estimates. Top management was engaging in the second form of tactical behavior.

Yiheng Was New to His Organization but Quickly Noticed a Pattern