Participative Budgeting, Organizational Commitment, And Performance (Surveys of The Local Government Unit Agencies of West Java Province): Proceeding of ISCLO (International Seminar and Conference on Learning Organization, October 26th 2016

There is a process of lobbying, negotiation, and even conflict between the executive and legislative branches with respect to the interests that must be accommodated during budget discussions. In the other side the commitment of local government personnel in achieving the aims of the budget is still low, this can be seen from the low uptake of the budget and evaluation Report Performance Accountability local government units West Java Provincial Governmentis not in a good condition. This study aims to examine:1) the effect of participative budgeting on performance;2) the effect of organization commitment on performance; and 3) the effect of organizational commitment on the relationship between participative budgeting and performance.The research method use descriptive and verificative analysis. Population target in this research is 55 Local Government Unit Agencies in West Java Province. The primary data are collected by questionnaires and the reports of the evaluation of performance accountability are use as secondary data. Validity and reliability of questionnaires are tested before testing the hypotheses. Stuctural Equation Modelling with Partial Least Square is used as the analysis technique in this research. The research findings:1) participative budgeting has positively significant effect on performance; 2) organizational commitment does not significantly effect on performance; and 3) organizational commitment has positively significant effects on the relationship between participative budgeting and performance. Keywords.Participative Budgeting; Organizational Commitment; Performance