Discussion On The Performance Evaluation Method Of Financial Expenditure Project In Colleges And Universities

With the rapid development of China’s higher education, the government has been increasing financial support to colleges and universities. As a result, the amount of financial expenditures has also been increasing in the higher education institutions. A performance evaluation system is an effective way to better manage and optimize the distribution of the expenditures in the institutions. First it is important to decide which evaluation method to adopt. Besides the assessment method based on expert opinions currently in use, a more suitable method needs to be established.Combining empirical and normative analysis methods, this thesis studies the characteristics of the budget and financial expenditures in higher education institutions based on their actual operations. It then points out that the performance evaluation methods in use in Beijing’s colleges and universities need to be improved in theory and system, and the fact that the assessment method based on experts’ opinions tend to be subjective. Targeting these problems, this thesis introduces improvement to the current performance evaluation of financial expenditures in higher education institutions, and points out the significance of analytical hierarchy process of the systematic assessment method in streamlining the current performance evaluation, in making the assessment more objective and accurate, and in improving the indicator system. The thesis finally applies the analytical hierarchy process to analyze the actual data from the construction project of a university in Beijing. The analysis adopts serial comparative method in determining the weight of indicators, and reaches its results through calculations via linear weighted evaluation function. The thesis then compares its results with those from the current evaluation method, and reaches the conclusion that results obtained through the analytical hierarchy process in systematic assessment method tend to be more scientific and objective than through the assessment method based on expert opinions in evaluating the performance of financial expenditures in higher education institutions.