The Relationship of Government Budget and Actual Expenditure: The Adjustment of Corporate Culture Toward to the Effectiveness of Budget Management of Academic Organization

Abstract

         Academic institutes should well manage their government budget based on the institutional demand and their development of knowledge accumulation. Proper management of budget would benefit to the institution performance and allowed the accumulation of their knowledge that responded to national and social needs.  This paper analyzes the long-term relationship between the government budget granted to Institute for Population and Social Research (IPSR), Mahidol University and its real expenditure.  The Triangular Design Framework of a New Organization geometry was utilized to analyze the budget management of the institute.  Findings showed the IPSR bearded the burden on its expenditures that was larger than their granted budget.  The external shocks had essentially influenced to the unexpected shiftment of the budget provision and institutional expenditure.  Short-term institutional adjustment had play the major role in searching on the ways out of the past external shocks.  Nevertheless, the current phenomenon on expenditure expansion has signaled the persistency of financial problems that could be embodied in the institute.  Organizational culture should be adapted to make it fits to the new environment.  IPSR culture that heading towards the cooperate coordination effectively supported the formation of teamwork which was based on the harmonization, responsibility, and engagement.  Institutional structures geared to coordination enable the adaptable organizational cultures which could guided the institute the exit gate of the problem.