The aim of this study was to examine the impact of budgetary participation on managerial and budgetary performance of medical managers by using a behavioral management accounting approach. In particular, the paper investigates the moderating role of the professional identity in the participation-performance link . Data were collected using a questionnaire distributed to 68 medical-managers working in a public hospital. The research hypotheses were tested with a structural equation modeling approach. The results indicated that participation had a positive effect on performance and the identification with the medical profession negatively moderates the participation- performance link. The findings of this study have managerial, policy and research implications.
Keywords: Internal budget, Budget participation, professional identity, performance