Accounting for Accountability : Theoretical and Empirical Explorations of a Multifaceted Concept

Abstract: This dissertation extends our understanding of accountability in the accounting literature, where discourses revolve around diverse manifestations of accountability. While accountability is often conceptualized as a management control tool, accountability also seems to operate through inter- and intra-personal mechanisms. This apparent elusiveness has caused confusion in the accounting literature about what accountability is, how it operates, and how it should be ultimately investigated.The dissertation focuses on two distinct manifestations of accountability to clarify and modify explanatory mechanisms of accountability in the accounting literature. Both have in common that they explore the cognitive mechanisms of accountability involved in accounting practice, relying on behavioral, psychological, and neurobiological evidence.Based on two laboratory experiments and one field experiment, the findings of this dissertation reveal that distinguishing between different mechanisms of accountability contributes to our understanding of how accountability is involved in the emergence of stress and dysfunctional organizational behavior. Specifically, the findings demonstrate that accountability does not only operate through external control but also through internal, self-regulatory mechanisms. Rationalization processes enable individuals to engage in potentially dysfunctional reporting behavior, while evading emotional self-sanctions, which has implications for situations where formal control is less salient. The findings of this dissertation also suggest that we need to modify our view on how accountability mechanisms are involved in the emergence of stress in the performance evaluation process. Based on neurobiological evidence, the findings reveal that individuals’ prolonged anticipation of being held to account adds to unconscious stress build-up over time, which implies that frequent performance evaluations can relieve stress.The cumulative findings of this dissertation contribute to the accounting literature by revealing accountability as a mechanism that is inherently intertwined with what humans naturally do, that is, to self-regulate and anticipate future threats. This has implications for accounting research and practice in terms of relevant theoretical frameworks and methodological approaches, as well as control system design.