Research Of Financial Budget Management At S University Based On Responsibility Center

Chinese universities have been driven by the three-ply force,the "external pressure is growing competition","internal management needs promotion" and "the good experience of world first-class university".Hence then,they gradually tend to realize and reach an agreement on the importance of the cost control which can be improved by the management accounting.S university is a comprehensive research university public university.It has applied a centralized budget management for a long time,which has turned to hardly meet with the demand.And it can result in injustice,waste,failure in cost accounting and performance assessment,and impairment of winning revenue.First of all,this article gives a summary of relevant theory and concept of the responsibility center management(RCM).Specifically,a brief introduction,including the concept of property right in institutional economics,responsibility accounting and responsibility center and part of the concept of activity-based costing(ABC),contributes to a sound theoretical foundation for the following case study.Then,we introduced a detailed case study of RCM at University of Pennsylvania,the United States,which also is a prototype of RCM model for analysis afterwards.After that,we decide to illustrate a case study to “localize” RCM at S university in China,offering the analysis to answer whether the RCM is feasible and how to make it possible,with a design of budgeting structure and process.We can find that the key point to make RCM successful in university is to build an college-wide information platform,to reduce the dimension of administrative management,and to cut down the barriers between disciplines,schools and agencies.These measures may unlock the resources and promote the interdisciplinary cooperation.Finally,we give a conclusion on the operation condition and social environment suitable for RCM,and some suggestions are put forward in the end.