Luận văn phân tích quản lý tài chính của trường đại học lao động – xã hội cở sở để phân bổ các nguồn lực hiệu quả

THAI NGUYEN UNIVERSITY

Socialist Republic of Vietnam

ANALYSIS

SOUTHERN LUZON STATE UNIVERSITY
Republic of the Philippines

ON FINANCIAL MANAGEMENT OF ULSA:

BASIS FOR EFFICIENT RESOURCE ALLOCATION
DOCTORAL DISSERTATION

ð

TH THANH HOA

(English Name: EMILY)

Supervisor: Dr. JOANNA PAULA ELLAGA
Thainguyen University of Economics and Business Administration (TUEBA)

TNU-SLSU, 2013


TABLE OF CONTENT
LIST OF TABLES ................................................................................................................................... 4
LIST OF FIGURES.................................................................................................................................. 5
ACKNOWLEDGMENT .......................................................................................................................... 6
COMMITMENT ...................................................................................................................................... 7

ABSTRACT ............................................................................................................................................. 8
CHAPTER I INTRODUCTION ........................................................................................................... 10
1.1.
Background of the study ..................................................................................................... 10
1.2.
Statement of objectives ....................................................................................................... 12
1.3.
Hypotheses .......................................................................................................................... 15
1.4.
Significance of the study ..................................................................................................... 15
1.5.
Scope and limitation of the study ........................................................................................ 18
1.6.
Definition of terms .............................................................................................................. 20
CHAPTER II REVIEW OF RELATED LITERATURE AND STUDIES .......................................... 23
2.1.
Literature and studies review .............................................................................................. 23
2.1.1
Foreign literature ............................................................................................................ 23
2.1.2
Local literature................................................................................................................ 27
2.1.3
Foreign studies ............................................................................................................... 29
2.1.4
Local studies................................................................................................................... 41
2.2.
Theoretical and conceptual framework ............................................................................... 52
2.2.1
Concept of quality and effectiveness:............................................................................. 52
2.2.2

The task of higher education: ......................................................................................... 54
2.2.3
Cameron’s Model of Organizational Effectiveness:....................................................... 55
2.2.4
The Balanced Scorecard ................................................................................................. 57
2.2.5
Applicability of the balanced scorecard model in higher education management in
Vietnam 59
2.2.6
Conceptual framework ................................................................................................... 61
CHAPTER III METHODOLOGY........................................................................................................ 63
3.1.
Research design................................................................................................................... 63
3.2.
Determination of sample size .............................................................................................. 63
3.3.
Sampling design and techniques ......................................................................................... 63
3.4.
Subject of the study ............................................................................................................. 64
3.5.
Research instrument ............................................................................................................ 64
3.6.
Validation of the instrument................................................................................................ 65
3.7.
Statistical treatment ............................................................................................................. 65
CHAPTER IV RESULTS AND DISCUSSION ................................................................................... 66
4.1.
Profile of the respondent ..................................................................................................... 66
4.1.1
Gender of the respondents .............................................................................................. 66

4.1.2
Age of the respondents ................................................................................................... 66
4.1.3
The highest educational attainment of the respondents .................................................. 67
4.1.4
Monthly average income of the respondents .................................................................. 68
4.1.5
Position of the respondents............................................................................................. 68
4.2.
Assess the effect of financial management in resource allocation ...................................... 69
4.2.1
Financial management of ULSA in terms of resource allocation in labor...................... 69
4.2.2
Financial management of ULSA in terms of resource allocation in equipment and
infrastructure................................................................................................................................. 73
4.2.3
Financial management of ULSA in terms of resource allocation in program ............... 75
4.2.4
Financial management of ULSA in terms of resource allocation in services provision 77
4.3.
Evaluating Financial management in terms of resource allocation and propose a basis for
resources allocation for ULSA .......................................................................................................... 78
4.4.
Regression analysis ............................................................................................................. 80
4.5.
Hypothesis testing ............................................................................................................... 85
4.5.1
Hypothesis 1: The more investment in improving facilities, the higher effect of financial
management.................................................................................................................................. 85
4.5.2

Hypothesis 2: To increase the percentage spent on teachers and satisfaction of teachers,
it will increase the effect of financial management: .................................................................... 86
4.5.3
Hypothesis 3: Reduce administrative costs will increase the effect of financial
management:................................................................................................................................. 87

2


4.5.4
Hypothesis 4: The more investment in innovation program (method, examination, tests
and assessment), the higher effect of financial management ........................................................ 88
CHAPTER V SUMMARY, FINDINGS, CONCLUSIONS AND RECOMMENDATIONS .............. 90
5.1.
Summary ............................................................................................................................. 90
5.2.
Conclusion........................................................................................................................... 92
5.3.
Recommendation................................................................................................................. 95
REFERENCES..................................................................................................................................... 101
APPENDIX .......................................................................................................................................... 104
APPENDIX 1. REQUEST LETTER TO CONDUCT THE SURVEY (TO RESPONDENTS)......... 104
APPENDIX 2. QUESTIONNAIRE ..................................................................................................... 105
APPENDIX 3. Cronbach alpha of factors of financial management.................................................... 109
APPENDIX 4. CURRICULUM VITAE.............................................................................................. 112

3


LIST OF TABLES

Content............................................................................................................... page
Table 1.1. Resources allocation in ULSA 2012........................................................ 11
Table 3.1. Five point Likert’s Scale ......................................................................... 64
Table 4.1: Gender of the respondents....................................................................... 66
Table 4.2: Age of the respondents............................................................................ 66
Table 4.3: Education level of the respondents .......................................................... 67
Table 4.4: Monthly everage income of the respondents............................................ 68
Table 4.6. Frequency and Percentage Distribution of the Respondents in Financial
Management in terms of Labor Resources Allocation as to Salary ........................... 70
Table 4.7 The average value of from 1.1 to 1.4 questions......................................... 71
Table 4.8. Frequency and Percentage Distribution of the Respondents in Financial
Management in terms of Labor Resources Allocation as to professional development
and teaching quality................................................................................................. 72
Table 4.9. Frequency and Percentage Distribution of the Respondents in Financial
Management in terms of Labor Resources Allocation as to development career....... 73
Table 4.10. Frequency and Percentage Distribution of the Respondents in Financial
Management in terms of Resources Allocation in equipment and infrastructure....... 74
Table 4.11. The average value of from 4.1 to 4.3 questions...................................... 75
Table 4.12. Frequency and Percentage Distribution of the Respondents in Financial
Management in terms of Resources Allocation in program ...................................... 76
Table 4.13. The average value of from 5.1 to 5.4 questions...................................... 76
Table 4.14. Frequency and Percentage Distribution of the Respondents in Financial
Management in terms of Resources Allocation in services provision ....................... 77
Table 4.15. The average value of from 6.1 to 6.3 questions...................................... 78
Table 4.16. Frequency and Percentage Distribution of the Respondents in Financial
Management in terms of Resources Allocation ........................................................ 79
Table 4.17. The average value of from 7.1 to 7.6 questions...................................... 80
Table 4.18. Cronbach alpha coefficient.................................................................... 82
Table 4.19. F-test and Significance test.................................................................... 83
Table 4.20. The regression models........................................................................... 84

Table 4.21. gamma’s value and level of significance of hypothesis 1 ....................... 86
Table 4.22. gamma’s value and level of significance of hypothesis 2 ....................... 86
Table 4.23. gamma’s value and level of significance of hypothesis 3 ....................... 87
Table 4.24. gamma’s value and level of significance of hypothesis 4 ....................... 88
Table 1.1. Resources allocation in ULSA 2012........................................................ 96
Table 5.1. The optimal rate of items in resource allocation....................................... 97

4


LIST OF FIGURES
Content............................................................................................................... page
Figure 1.1. Limitation of study ................................................................................ 19
Figure 2.1. Model Balanced Scorecard..................................................................... 45
Figure 2.2 Diagram of the Balanced Scorecard ........................................................ 58
Figure 2.3. Research paradigm................................................................................. 61
Figure 4.1: percent of position of sample. ................................................................ 69

5


ACKNOWLEDGMENT

I would like to express my sincere gratitude to Dr. Joanna Paula Ellaga who
has instructed her dedicatedly to complete this Dissertation.
I also would like to thank the lecturers of the University of Southern Luzon,
Thai Nguyen University, faculty and staff of University of Labour and Social Affairs
for helping me during the survey of Financial management: basis for resources
allocation.
Thanks for my family and all my beloved friends who have shared,

encouraged and supported me so much during my DBA program to made my study
feasible.
The Author

Do Thi Thanh Hoa

6


COMMITMENT
The authors declare that this is my own research. The information is used in
the dissertation is credible. The evaluation criteria of financial management: the basis
for allocating resources have not been available in Vietnam in general and Hanoi in
particular. The evaluation criteria of financial management: the basis for allocating
resources have not been available in Vietnam in general and Hanoi in particular. The
problem of resources allocation in the financial university has been mentioned.
However, no specific studies at the University of Socialist Labor and other
universities in Vietnam. This study may provide the basis for financial management to
allocate resources effectively, in accordance with the actual situation of ULSA, and
the reference to the financial management of the other schools and policy makers
regarding the allocation of resources for education. The author strongly believes that
the thesis is the first study in Vietnam to build resource allocation model suitablely for
University Labor – Social Affairs, and therefore it is also the first study to introduce
the method of applying the standards of resources allocation of the university.
Therefore, the findings and conclusions of the dissertation has not been published in
any other work yet.
The Author

Do Thi Thanh Hoa

7


ABSTRACT
Starting from current reality in Vietnam, the mechanism of financial of
education, including tuition fees are not renovated, a system of wage scales also take
the average, so is not to encourage the dynamism and creativity of teachers and
education managers; cost norms for training between branches, jobs is still averaged
and not practical; mechanisms for allocating budget for institutions is also
unreasonable. Attracting investment from social resources for of higher education
(including public schools) are limited (the Resolution No. 05- NQ/BCSð January 06,
2010)
University of labour and social affairs (ULSA) is also in this general situation.
Now, tuition fees of ULSA are in regulated frame, infrastructure is poor, the system
of wage doesn’t encourage the employee, state budget invested in ULSA is limited,
financial management is not good, resource allocation is not reasonable.
The objective of this dissertation is to analyze the current status of financial
management including resource allocation of University Labor - Social, in order to
offer solutions to better allocate resources for it. From the survey of managerial staff
and lecturers of University of Labor – Social Affairs, dissertation assessed the impact
of financial management, including the allocation of resources to the factor labor,
equipment and facilities, program and course providers.
The dissertation used methodology of the questionnaire survey, descriptive
statistical analysis, regression to give proposal for the resources allocation of the
university.
From the analysis of actual allocation of resources in the University of Labor
and Social Affairs, the dissertation determine the respondent’s profile (gender, age,
the highest education level, montly average income, the number of years of services

8

in the university, position), profile of the respondents is in accordance with the actual
situation of ULSA. Secondly, the author assess the effect of resources allocation to
the factors: labor, equipment and infrastructure, course program and providing
services. Determining the impact of these factors is to adjust the allocation of
resources for effectiveness Finally, the researcher proposes a basis for an efficient
financial resources allocation for the university through regression model. These
model showed that the priority of investment to get high efficency.

9


CHAPTER I
INTRODUCTION
1.1. Background of the study
Education in our Vietnam ver the next decade in the context of developing world
is more rapid and complex changes. Globalization and international integration in
education has become an inevitable trend. Scientific and technological revolution,
information technology and communications, intellectual economy growing strongly,
direct impact on the development of education in the world… Fast-growing demand
for education to meet the demands of industrialization and modernization of the
country, economic development in depth knowledge with advanced technologies and
international integration, while the resources to education is limited, will create
pressure on educational development. (The decision No 711/Qð-TTg June 13, 2012)
The core problem of a university education (higher education) can be summed up
in three words: quality, efficiency and social justice. And with ULSA is two words:
quality and finance. How to manage finance to get high quality and financial
management here is allocating the resources.
The decision No 711/Qð-TTg June 13, 2012 also confirm necessary educational

solutions development phase 2011-2020 is: Increasing resources for investment and
innovating education financing mechanism. To continue renewing education
financing mechanisms to mobilize, allocate and use more effectively the resources of
public and social investment in education and enhancing the autonomy of the
institution, make transparency and responsibility to the State, the learner and society
to ensure financial resources for a number of Vietnamese educational institutions are
capable of integrating and international competition.
Current status of resources allocation in ULSA:

10


Table 1.1. Resources allocation in ULSA 2012

No

Content

1
2

Salary for faculty
professional development and teaching
quality

3

Amount (VND)

Rate

28,150,143,000 42.6%
5,096,875,000

7.7%

Career development

1,377,176,000

2.1%

4

equipment and infrastructure

6,587,828,000 10.0%

5

Course program

8,002,749,000 12.1%

6

service provision
Total

16,869,174,000 25.5%

66,083,945,000 100%

Source: Accounting Department of ULSA, 2012
Currently, the quality of the teachers is inadequate, the salary of each teacher
is not high, and method of payment of salary for each teacher on fix rank and
seniority to lose the its leverage. In 2012, the average income of a teacher is
6.721.000VND/month (= 320 USD / month), this salary does not encourage teachers,
Thus, teachers are not interested to prepare good lecture, add and update knowledge.
Moreover, the construction of the system of fixed wage scale, the time of wage
increasing is 3 years, this salary payment does not reflect the true quality of teachers.
Training program is now not really completed, ULSA invested about 12% for
program but basic teaching methods are still in the old lines, mostly by traditional
methods. The traditional method mean that learning is mainly based on lectures so
acquiring knowledge processes are passive, unilateral, does not expand the vision.
When problems of practices are improper such as theory, most students fall into an
embarrassing situation and dare not to process. Students are not interested in program.
Therefore, the school should innovate program and method to meet current needs.

11


The amount of investing equipment and facility of ULSA is small. The
procurement of equipment and facilities were not timely and did not meet the
requirements. In fact, equipments and infrastructure for practice, experiments are
inconsistent and outdated.
Providing services of ULSA now account for a relatively large proportion of
25.5%, but the service is not really efficient. Administrative procedures are
cumbersome, providing information to students and parents is slow and inaccurate,
service attitude is not good.
ULSA need to allocate resources suitable to get high quality. Thus, analyzing

the financial management: basis for efficient resources allocation is very necessary.
1.2. Statement of objectives
In recent years, many principals have errors in financial management, leading to
serious disunity, even corruption cases occur, adversely affecting the reputation of the
school as well as the professional subject.(Thanh Binh, 2012)
Danger of falling behind can make the gap of economics, knowledge and
education between Vietnam and other countries increased. International integration
and market development raises new problems, such as risk of cultural intrusion and
unhealthy lifestyles to erode national identity, poor quality of education services may
cause greater the risks to education posed requires innovation in both theory and
practical solutions relevant to the development of education. (The decision No
711/Qð-TTg June 13, 2012)
Training quality, effectiveness of VN higher education are low, don’t meet the
increasing requirements for human resources. Maybe that's getting is uniformly high
in the nearly 1,000 delegates attended the conference "Innovation VN higher
education: Opportunities and Challenges" by the Ministry of Education and Training

12


held in Hanoi . Such remarks are mentioned in almost every speech, ideas, sketches of
a situation not so optimistic of higher education in Vietnam .(Thanh Hà, 2004).
The decision No 711/Qð-TTg June 13, 2012 about approval education
development strategy 2011 – 2020 of Prime Minister points out the inadequacies and
weaknesses: The quality of education is low compared with the requirements of the
country's development in the new period and compared with the level of countries
with advanced education in the region, around the world. Don’t solve the relationship
between the development of number and requirement of improving the quality ;
professional capacity of students graduated did not meet the requirements of the job;
have expressed deviant behavior and lifestyle in a division students. Management

education is subsidized, embraced, and overlapping incident and scattered,
responsibilities and powers of professional managers is not parallel with
responsibility, authority for personnel management and finance. The legal system and
education policy is inconsistent, is amended and supplemented slowly. The
coordination between education and other ministries, branches and localities has not
been close. Policy to mobilize and allocate human resources to finance education is
not reasonable; efficient use of resources is not high. State investment in education is
not highly concentrated for the priority objectives; the expenditures for professional
activities is low. Autonomy and social responsibility of educational institutions is not
stipulated fully and truly.
This study focuses on financial management of ULSA, so that we can allocate
suitably resources because ULSA today are still subsidized so it is not interested
much in financial efficiency. The research uses knowledge mainly on the criteria to
assess the effects of capital investment and quality standards in education.
The specific objectives of this dissertation are:

13


1. To determine the profile of the respondents in terms of the following
1.1. gender
1.2. age
1.3. highest educational attainment
1.4. monthly average income
1.5. position
2. To assess the effect of financial management in resources allocation in the
following areas:
2.1. labor
2.1.1. salary
2.1.2. professional development and teaching quality

2.1.3. career development
2.2. equipment and infrastructure
2.3. course program
2.4. service provision
3. To propose a basis for resources allocation for ULSA
From the reality of management systems in public universities in general and the
university of Labor and Social Affairs in particular, the allocation of resources is
important in the financial management of the university. Appropriate resources
allocation will help financial managers to achieve better efficiency and improve the
quality of training, to be the basis for implementing of strategic objectives most
effectively, to avoid waste and inefficient in the use of resources. So this dissertation
is necessary to contribute to strengthen financial management: the basis for efficient
resources allocation.

14


1.3. Hypotheses
A few assumptions can be made from the scientific reports and from practice as
follows:
- Hypothesis 1: The more investment in improving facilities, the higher effect of
financial management.
- Hypothesis 2: To increase the percentage spent on teachers and satisfaction of
teachers, it will increase the effect of financial management:
- Hypothesis 3: Reduce administrative costs will increase the effect of financial
management:
- Hypothesis 4: The more investment in innovation program (method,
examination, tests and assessment), the higher effect of finacial management
1.4. Significance of the study
Before the general reality is lack of resources to develop the education and

training of university, ULSA also need to have the financial resources to meet the
expenditure needs to ensure the survival and development. However, the mobilization
of resources ULSA is not a urgent issue due to it is financed by the state budget
ULSA, tuition revenue sources is collected by state regulation. So the question here is
how to exploit and utilize financial resources efficient at the University of Labor –
Social, this is now emerged problems, financial management mechanisms are
inappropriate, even more wasteful and embarrassing, not proactive and highly creative
yet. The university has not really considered to the efficiency of the exploitation and
the usage of financial resources. It is also a major cause of reduced quality of training.
Currently, ULSA is lack of facilities and equipment, only temporary teaching
facilities meet minimum learning needs. Specially, equipment for laboratory and

15


practices are lack of synchronization and backward. So the motto “the study go
together with practice” is not basically done.
The quality of the teaching staff is week. Teaching and learning methods are
mostly traditional methods, which students are mainly based on learning following
lecture and lesson, acquiring knowledge processes are passive so students do not
expand the vision. Salary for teachers are low, wage payment method on rank and
seniority has lost its leverage. Base salary is considered for a raise every 3 years do
not reflect the true quality of teachers. Teachers still have to do extra working so as to
reduce time to prepare lecture and update additional knowledge, so lectures quality is
not improved to directly affect the quality of training.
Training program for the university was recently built, it should be gradually
improved. Compared to other countries in the region and the world, the program is
relatively backward, so it is needed to continue to research, add and upgrade urgently.
So how and where to invest the resources of ULSA to get a high quality are
current issues. Thus the study of the subject “analysis financial management of

ULSA: basis for efficient resource allocation” is essential and important today.
Before this needs and seeing the financial management of the University of
Labor – Social Affairs, the dissertation “ analysis financial management: the basis for
efficient resources allocation” is necessary. From that, the financial manager of ULSA
could use better resources, provide higher education quality. The dissertation will
present the method of distribution of financial resources that is consistent with the
situation of ULSA, to help its financial manager to plan for allocating resources for
specific items.

16


The beneficiaries of this dissertation research is firstly managers of ULSA,
especially financial managers; managerial staff; faculty of ULSA; students of ULSA;
the other public university and the budget allocation planner.
For the managers, this dissertation will give them the way to use resources
reasonably, they will know to prioritize resources for which items and what items
should be adjusted to achieve high efficiency. Since then , the university will have a
way of appropriate financial management and resources allocation to ensure the
survival and sustainable development. The school will have a good future
development and create increasing prestige.
For the teachers, when the resources allocated reasonably, wages are paid
according to the quantity and quality of labor, not the average salary. Thus, teachers
will invest more in teaching quality hours so they are paid higher salary. In addition,
they will be invested more in professional development because ULSA will invest
adequate resources for this item.
For the staffs, the rational allocation of resources will help them to be more
motivative to work better because their labor will be estimated rightly, the university
will not increase the salary 3 years 1 times that be paid by effective working.
Therefore, they will invest to improve the quality and efficiency of work, so that the

quality of service increased. They will focus on making the work more effective
instead of doing unnecessary work. When rational allocation of resources, ULSA will
increase prestige, the staff will have the opportunity to develop their work more
professional and provide better service to receive higher wages.
For students, the rational allocation of resources, they will be entitled to the
investment needed to develop the quality of learning. Teachers will provide them with
hours of teaching quality, suitable equipment investment and better quality of service

17


will create opportunity for students to learn and practice more. Therefore, students
will feel more satisfied with the university and they are the best advertiser for the
brand of the university. Their parents will be more satisfied and willing to contribute
to a higher payment in order to received the better training quality of the university.
Then the other public universities can learn ULSA model of resources
allocation. In addition, the Budget allocation planner for education also can refer to
have more reasonable basis for budget allocations for public higher education.
In the future, before the training needs of the society increasing, financial
management solution of ULSA will effectively improve the quality of training,
investment efficiency and raise the responsibilities of the education and training
facilities to meet the demand of high quality human resources of the country, protect
the legitimate interests of learners and require continual innovation knowledge to
serve society. So the research on financial management of ULSA is very meaningful
in this context. This will be the basic for allocating resources. This study is expected
to help improve the financial management of ULSA effectively.
1.5. Scope and limitation of the study
But the main difficulty affecting research results is the quality criteria are not
specific, relative and difficult to assess objectively. However, in this study reseacher
selected criteria: quality of education measured by the worth of money. This concept

balance quality with and value, in particular as value for money, "quality product with
economic price" .... Although often referred to quality as value for money, it is be
evaluated through a number of criteria such as standards, specific level or reliability.
The core concept of quality measured by the worth for money is the concept of
responsibility. The public service is expected to be responsible for the investment and
the "customer" (Department of Testing and quality control of education, 2008)

18


The critical variable in the study are:
+ Evaluate the criteria in the use of finance: capital investment in innovation
teaching method, examination, tests and assessment, the percentage spent on teachers
and administrative costs.
+ Indicators to assess the effects of using labors: income statement, the average
salary per teacher and per administrative staff.
+ The evaluative criteria in the use of efficient equipment and facilities: learning
area per one student, dormitory area per one student, the amount of money for
equipment of teaching and learning per one student
+ Indicators of quality education: the satisfaction of teacher and student
construction and equipment for physical training and sport of student…
Limitations of the study is to assess financial management of ULSA, the basic for
resources allocation. Other elements of financial management are also assessed as
important as the security of capital and debt, revenue and profitability of financial
investment in education, but for the ULSA - a public university, the safety of capital
is relatively stable, almost no debt, revenue and profit are not their interest because
the money is mainly provided by state budget. They only care how to use and allocate
money effectively. This is illustrated by the following diagram:
Figure 1.1. Limitation of study
financial management: resources

allocation

Investment in
program

Investment in
serving

Investment
in labour

Investment in
educational equipment
and infrastructure

19


1.6. Definition of terms
To perform this study, the authors used a number of concepts, definitions as a
basis for the study. These concepts, definitions are throughout the dissertation, as a
basis for the understanding and applications of research findings into practice.
- The Higher Education Law 2012 defines financial management of higher
education institutions to ensure the quality of higher education, including four
conditions: labor (faculty, administrators, staff), equipment and infrastructure (Study
room, office, library, information technology systems, laboratories, practice facilities),
course program (training programs, curriculum, teaching materials and learning) and
service provision.
- Finance is the economic categories, reflecting the distribution relations of
wealth in the form of social value. Incurred in the process of forming, creating,

allocating monetary funds of entities in the economy in order to achieve the objectives
of each subject in certain conditions.
( />- Resource allocation is used to assign the available resources in an economic
way. It is part of resource management. In project management, resource allocation is
the scheduling of activities and the resources required by those activities while taking
into

consideration

both

the

resource

availability

and

the

project

time.

( />Thus, to get high quality education, the researcher study financial management in
terms of resources allocation under four aspects: Labour (teachers and staff), course
program, facilities and infrastructure, services provision.

20

- Effectiveness is the capability of producing a desired result. When something is
deemed effective, it means it has an intended or expected outcome, or produces a
deep, vivid impression.[1] ( />[1]

Dictionary.com, LLC. "Effectiveness | Define Effectiveness at Dictionary.com."

Dictionary.com | Find the Meanings and Definitions of Words at Dictionary.com.
2011. Web. 28 Sept. 2011. < />- Labor resources is known as the most revolutionary and the most important
resources to decide social and economic growth, in narrower sense, it includes the
population of working age that have working capacity. Labor resources are considered
on two angles of quantity and quality. Labor quantity is expressed through criteria
such as size and growth rate of labor resources. Labor quality is considered on the
following aspects: health, education level, qualifications, capability and quality.
( />- Human resource development (labour) is understood as the activity of
(investment) development education and scientific - technological training to create
professional development, quality, career development and reasonable structure to
meet the needs of economic – social development of the country, while ensuring the
development of each individual to promote health, mentality, morality, professional
capacity, professional skills to increase productivity, increase incomes, improve living
standards . (Chu Van Cap, 2012)
- Salary is the price of labor, was formed through an agreement between the
employer and the employee in accordance with supply and demand relationship in the
labor market. Thus, from salary was considered as only element of distribution, it is
now considered one of production factors. Salary is not only cost to reproduce labor

21

power, but also the investment for employees. ( />From the above definitions and concepts, to develop labour resource, the study
considered three aspects of labor: Salary, professional development and quality,
career development.

22


CHAPTER II
REVIEW OF RELATED LITERATURE AND STUDIES
This chapter gives readers the previous studies of financial management at
universities and opens a further part of this study. It starts from the reality of financial
management weaknesses in the public universities and the allocation of resources is
not justified. The studies points out the general causes and overall proposes. Since
then, this dissertation continues to develop the previous researches to study the
financial management and allocation resources of ULSA and finally propose a model
to allocate resources for each specific item.
2.1.

Literature and studies review

2.1.1

Foreign literature

2.1.1.1 Gene Siciliano. 2008. Finance for managers
The book supplies basic financial knowledge for managers and help them to use
finance as instrument of administration. “Finance for managers” is not only concerned
with basic financial knowledge but also lead to make an accounting cost sheet,
business plan, mobilizing capital… and many necessary tools to help managers to run
business actively. For example: Coefficient to assess the effectiveness of importance

activities, make a plan: step by step to set up a future, annual budget: supply finance
for plans.
Thus, it is possibly said that “finance for managers” is a useful and practical book
for everyone who want to become effective and comprehensive managers.
The book provides basic knowledge of financial management, including the
planning and usage of the financial resources that is applied in this study.

23


2.1.1.2 David Parmenter. (2009). KPI – indexes measuring efficiency
Establishing the norm to assess the effectiveness of performing and reward is
always “thorny” problem of every organization. To set up a good system not only
helps business achieve the goal but also to maximize organization capability,
especially to attract, maintain and develop human resources.
This book includes 6 chapter: chapter 1: Introduction, chapter 2: Basic ground of
applying essential efficiency index, chapter 3: Development and application of
essential efficiency index: 12 steps – model., chapter 4: A set of source instrument to
perform essential efficiency index, chapter 5: Sample report of efficiency index,
chapter 6: A set of source instrument of consultant.
Especially, the chapter 4 mention successful essential factor for finance:
maximize profit from potential customers; reduce cost and increase productivity,
utilize maximum of assets and resources, increase market share, responsible
management of finance…
The book provides elements related to the development of human resources, this
is one of the factors in dissertation research about the impact of resource allocation for
labor.

2.1.1.3 Arthur M.Hauptman. (2006) Higher Education Finance: Trends and
Issues”

This article focuses specifically on one of the most outstanding problems of
finance of higher education in both the developed and less developed world in the past
decade, known as the gaps between the growth of admission of students and the
ability of public and private budget in meeting financial resources for growth.
This article covers five key themes:

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The first is a macroeconomic concept and the main things to consider;
Overall level of resources for higher education is the main factor deciding the size and
overall quality of educational career. In general, the more money for education, the
more and more opportunities to access for many people (because there are more seats
offered). Quality can also be better with more resources, because there will be
additional financial resources to pay for staff, expenses for services and equipment.
One method commonly used to compare the level of financial commitment is
the total amount spent on each student. This calculation has the advantage of putting
the total amount spent on education in relation to the number of students that the
budget are supporting.
A different approach is to combine the above two ways to look at the amount
spent per student compared to GDP per capita ratio.
The second is survey of public and private financial resources of higher
education; The level of investment and participation: to measure the level of
participation probably reflects the fact less accurate but computationally simpler, is
divided by the total number of students studying for the total population of a country.
Countries more money for higher education tend to have higher number of people to
learn .
The support of public and private sector for schools, These resources support
from the state. Payments for regular activities offered like:
Allocation of the historicity / politicalization.

Financing based on a formula.
Provide financial oriented policies.
Financial allocation based on activity
Budget allocation is unconditional and competitive

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