Study On The Path Of Performance Budgeting Practice In National Agricultural Science Institutes

In recently years, agricultural science development and technology innovation has been playing a critical role in the agricultural production process. It is believed that National Agricultural Research Institutions is the leader in the field of agricultural research in China. Sustainable development of agriculture eventually relies on agricultural science research and technology innovation. Thus, to enhance the development of agriculture, it is important to optimize the performance-managing system, and to improve technological innovation level, and to improve the financial capital efficiency.This study was based on Budgeting Theory and the practices of Performance Budgeting in Western developed countries. While discussed the importance of applying Performance Budgeting in National Agricutural Research Institutes, this paper proposed a method of applying Performance Budgeting in National Agricultural Research Institutions. We also designed a performance evaluation system by adopting Balanced Score Card(BSC) for Chinese Academy of Agricultural Sciences. In this evaluation system, Analytic Hierarchy Process(AHP) method was used to determine the index weight.The study had two innovation strengths:First, we gradually integrated the Performance Budgeting into the practice of National Agricultural Research Institutions. The preparation work is necessary, including establshing the inter-department Performance Budgeting management group, increasing the awareness of performance assessment, creating relevant rules and regulations, building supporting mechanisms and professional Performance Budget executive team. Then, focusing on performance goal management and performance evaluation system in the primary stage, National Agricultural Research Institutes developed a platform for performance monitoring and evaluation-result application. Besides, it is essential to decide the key points in performance monitoring and to explore the approaches of applying evaluation results. In addition, during the Performance Budgeting Management process, our efforts should be spent on the performance goal management system, the performance monitoring mechanism, the effective performance evaluation system-, and the approaches of applying evaluation results-Another strength of this study is that, by taking account of the goals and values of the Chinese Academy of Agricultural Sciences(CAAS) we applied the Balanced Scorecard method and, conducted a SWOT analysis of its internal and external environment, determined its long-term and short-term strategic goals and blueprint, and finally designed a comprehensive strategy-oriented performance evaluation system.This system assessed CAAS performance from four aspects: social benefit, science research ability, internal management, and infrastructure. This paper used AHP to calculate the index weights. The results showed that the human-related indicators, such as scientific research team, human resource management mechanism and talent team, obtained higher weight values. Thisindicated that the CAAS should focus more on enhancing personnel training, building scientific research team, and developing "people-oriented" scientific research at this stage.This study has the potential to promote the application of Performance Budgeting in National Agricultural Research Institutions, and can contribute to improving the performance management of National Agricultural Research Institutions.