Ethical climate, organizational-professional conflict and organizational commitment : a study of Chinese auditors

Research output: Journal PublicationsJournal Article (refereed)Researchpeer-review

31 Citations (Scopus)

Abstract

Purpose - The purpose of this paper is to focus on the effects of the ethical climate in Chinese certified public accounting (CPA) firms on auditors' perceptions of organizational-professional conflict (OPC) and affective organizational commitment (OC). We also test for differences in the perceived ethical climates of local and international CPA firms. Design/methodology/approach - The study is based on a survey of 167 professional auditors (seniors and managers) employed by local and international CPA firms operating in the People's Republic of China. Findings - Certain dimensions of the perceived ethical climate are significantly related to OPC, and to affective OC. As anticipated, there was also a strong negative relationship between OPC and OC. There was no clear pattern of differences in the perceived ethical climates in local and international CPA firms. Impression management was highly correlated with OPC, OC, and three of four ethical climate dimensions, suggesting that Chinese auditors bias their reports of these variables in a socially desirable fashion. Originality/value - To our knowledge, this is the first study to address the relationship between ethical climate and OPC, and the first to examine OPC and OC among auditors in Mainland China. The findings support our contention that the perceived ethical climate is a key determinant of OPC, suggesting that future research on OPC should place more emphasis on organizational characteristics. In addition, the apparent tendency of auditors to bias their reports of OPC, OC, and ethical climate stresses the importance of controlling for social desirability response bias in surveys of professional accountants.
Original languageEnglish
Pages (from-to)1087-1110
Number of pages24
JournalAccounting, Auditing and Accountability Journal
Volume22
Issue number7
DOIs
Publication statusPublished - 1 Jan 2009

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Organizational commitment
Auditors
Ethical climate
Public accounting firms
Affective organizational commitment
Design methodology
Mainland China
Organizational characteristics
Response bias
Social desirability
China
Accountants
Managers
Impression management

Keywords

  • Auditors
  • China
  • Ethics

Cite this

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title = "Ethical climate, organizational-professional conflict and organizational commitment : a study of Chinese auditors",
abstract = "Purpose - The purpose of this paper is to focus on the effects of the ethical climate in Chinese certified public accounting (CPA) firms on auditors' perceptions of organizational-professional conflict (OPC) and affective organizational commitment (OC). We also test for differences in the perceived ethical climates of local and international CPA firms. Design/methodology/approach - The study is based on a survey of 167 professional auditors (seniors and managers) employed by local and international CPA firms operating in the People's Republic of China. Findings - Certain dimensions of the perceived ethical climate are significantly related to OPC, and to affective OC. As anticipated, there was also a strong negative relationship between OPC and OC. There was no clear pattern of differences in the perceived ethical climates in local and international CPA firms. Impression management was highly correlated with OPC, OC, and three of four ethical climate dimensions, suggesting that Chinese auditors bias their reports of these variables in a socially desirable fashion. Originality/value - To our knowledge, this is the first study to address the relationship between ethical climate and OPC, and the first to examine OPC and OC among auditors in Mainland China. The findings support our contention that the perceived ethical climate is a key determinant of OPC, suggesting that future research on OPC should place more emphasis on organizational characteristics. In addition, the apparent tendency of auditors to bias their reports of OPC, OC, and ethical climate stresses the importance of controlling for social desirability response bias in surveys of professional accountants.",
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Ethical climate, organizational-professional conflict and organizational commitment : a study of Chinese auditors. / SHAFER, William Eugene.

In: Accounting, Auditing and Accountability Journal, Vol. 22, No. 7, 01.01.2009, p. 1087-1110.

Research output: Journal PublicationsJournal Article (refereed)Researchpeer-review

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