Research On The Pattern Of Financial Governance In A University Based On Responsibility Center Management

Abstract:The reform of financial governance structure of university is an important direction of the reform of management system in College. The essence of financial governance is the allocation of property rights. That is property rights configuration among schools, secondary college, functional departments and other stakeholders. A university with the "unified leadership, centralized management" financial management system is a comprehensive public research university and school size is large, so the powers and responsibilities of the financial revenues and expenditures are too concentrated at the school level. This centralized management brought a series of financial management outstanding performance in the following three points:Firstly, Lack of awareness of raising funds, fund-raising responsibilities focused on the principal’s shoulders. Secondly, the lack of awareness of cost control, irrational allocation of resources. Thirdly, universities lack the awareness of the performance management, academic management and the quality of service is slow. Financial governance is the base of financial management, if you cannot establish the development model to adapt to the structure of financial governance, financial management problems will persist. This text try to learn some advanced management theories, just like the theory of RCM, from foreign universities, and then introduce it into our colleges and universities, intending to build a new financial governance model in our higher educations.Firstly, this paper discusses the relevant background of higher education in financial governance, analyses the situation of financial governance study at home and abroad and puts forward the meaning and purpose of the study. Secondly, it describes the basic theory, gives the definition of the related core concepts, then introduces RCM theory and its application results and trends in the foreign universities. Thirdly, through a case study of a college, this paper analyzes the financial governance problem in A college and tries to find some possible solutions. Learning form the useful experience of RCM in foreign college, this paper attempts to build a new model of financial governance in the A college with RCM-based. Finally, this paper gives some suggestions for the new model. There are12graphics,10charts and47references in this paper.