Performance Based Budgeting as a Surrogate for a Market? Methodical Problems and Solutions

To better prepare higher educational institutions to cope with future challenges, in the wake of New Public Management regulatory frameworks are put in place that rest on performance based budgeting. Though it is considered to stimulate competition, performance based budgeting, however, is no surrogate for a market. It fails to provide strategic landmarks for higher educational institutions, and it is ill suited for the allocation of budgets. The budgeting model we present in this paper addresses these shortcomings.

27.06.2008 | Helmut Fangmann & Steffen Heise (Düsseldorf / Wuppertal)