Two Prominent Models for Resource Allocation
Two Prominent Models for Resource Allocation
Central-Administration Management and Responsibility-Centered Management
This chapter compares central-administration management (CAM) and responsibility-centered management (RCM), two prominent models for resource allocation. It explains the principles of CAM and RCM and describes some aspects of their implementation in different public universities in the U.S. It suggests that there is no clear dominance of either CAM or RCM if the established pattern of cross-subsidy in public higher education is maintained and argues that the financial strategy and the budgetary process should be directed towards providing an effective mechanism for allocating resources to achieve the university's mission.
Keywords: resource allocation, public universities, CAM, RCM, U.S., cross-subsidy, public higher education, financial strategy, budgetary process
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