In this complimentary excerpt from a 2014 webcast session on Moving to a Responsibility Centered Budget Model, Larry Goldstein, president of Campus Strategies, LLC, discusses key principles for effectively implementing a similar budget model on campus, including:
- Establishing effective consequences for revenue unit performance
- Disseminating timely and accurate data related to resource allocation
- Ensuring sufficient control by central administration to achieve institutional goals
In this webcast, Goldstein emphasized that no one institution has ever fully adopted Responsibility Centered Budgeting on their campus. Many have taken these principles and modified the model to fit their own campus. Watch the full webcast here.
One such example of balancing RCM principles and the unique institutional mission can be found at the University of Notre Dame. In our 2014 article “Tailoring the RCM Model to What Works For You,” Associate Vice President for Finance Linda Kroll discusses how Notre Dame was able to adopt some, not all, RCM principles in balancing departmental financial accountability with a more centralized culture.