University Enterprises Problems in Financial Management and Strategy

[Abstract] With the continuous deepening of Higher Education Management System, the current pattern of Higher Education showing the diversity of many colleges and universities have more than one unit of Economic self-reliance in schools and school-run enterprises, the Financial Management of the situation facing the complex and bear increasingly heavy responsibility. article by University Enterprises in Financial Management problems are analyzed, and try to identify measures to address these issues.

[Keywords:] colleges and universities; run enterprises; Financial Management

Since reform and opening, along with the continuous development of market economy and the deepening of Education reform, universities across the country with its own conditions, established and developed some teaching, Research, logistics services related to school-run enterprises. The support of school-run enterprises not only the university's disciplinary construction and development, and has become the Higher and industrialization of scientific and technological achievements into an important way, and they also increase the national revenue, and promote social employment has played a major role. universities run industry because of its high degree of knowledge intensive, highly integrated features of disciplines in science and technology achievements, high-tech enterprise incubators have played an irreplaceable role. This article discusses how to University Enterprises different from the general characteristics of enterprises, targeted to carry out the Financial Management of universities work.


First, the theory of University Enterprises

On the theory of University Enterprises to explore 20 years since the 20th century, when the United States and Europe made the Education sector, "said University Extension", said: "The professors engage in the project should work closely with the high-tech companies, universities should accomplishing the work of a Research and development center, and not specifically engaged in the ivory tower of pure academic Research, ".1951 Stanford University in the United States established the first industrial area universities - Stanford Industrial Park, followed by Harvard University, Massachusetts College, led by more than 20 famous universities, the Government's strong support, involved in the creation of the "Boston Route 128 high-tech area."
China on the basic theory of University Enterprises is the "Combination, said." Abroad, it is learned, "said University Extension," based on the institutions of higher learning should be further raised with the business, working closely with Research institutes to promote the theory of Economic development. "Combination said," is to establish a knowledge innovation, transfer and into practical productive forces of the upstream and downstream industries. Combination strive to achieve the following effects: (1) to promote Education, Economic development to better meet the to enhance the relevance of teaching and Research; (2) the integration of Education and production activities, participate in the distribution of income, Education, property rights to be fully realized and moderate expansion; (3) social service through education, enterprise management, to accelerate knowledge the pace of capital markets; (4) reform school education, training model, the "examination-oriented education" to a comprehensive quality education to meet the knowledge economy the demand for talent.


Second, the characteristics of University Enterprises

University Enterprises, as a unique form of enterprise in China, with the general characteristics of social enterprises. But compared with the social enterprise, which has its own characteristics.

(A) relying on university entrepreneurship and development
University enterprise is funded by the school alone or co-absorption of social capital to set up, appointed directly by the school or choose the enterprise operation and management personnel. It talents, capital, technology and other resources are closely linked with the university, the school an important window to the outside, its creation, growth, and growth are inseparable from the university's involvement and support. it reflects the Economic activities of the characteristics of the university.

(B) obvious talents and technological advantages
College is a talented local, gathered a large number of teachers and researchers, they have a strong professional background, research is a rare human resources; community college transfer to a large number of annual graduates, they possess a good professional knowledge, is applied valuable human resources. University has many research projects and a wealth of scientific and technological resources, a lot of research has broad market prospects. University has a strong ability to innovate, many new results come out each year, many high-tech achievements, high added value, which are social enterprises can not match. University Enterprises at the point of integration between schools and markets, not only familiar with the situation of our people and research, and understands the needs of the market, has unique advantages, the use of these advantages properly, can be transformed into a powerful driving force for enterprise development.

(C) to have access to the twin goals of profit and serve the community
Enterprises are profit Economic organizations, to make a profit is the main purpose of the enterprise, university business is no exception. But it has its particularity, are responsible for the function of universities to serve the community. Universities and social enterprises as a bridge between the university and a tie closely in promoting the production and research to accelerate economic and social integration in Higher Education and playing an active role. Based on this, university technology managers come mainly from the teaching, research and management positions, they have to impart knowledge of professors, scientific and technological achievements inventor, good school management personnel, business and enterprise, who is also a double identity, cultural level is high, is a typical scholarly management team. Although in recent years some colleges and universities to introduce professional managers, but the overall share of the management team the proportion is very small.


Third, the university Financial Management problems

Rooted in the institutions of higher learning in the university general business enterprises do not have many advantages, but there are many disadvantaged areas, the existing financial management college the following problems:
(A) the coexistence of two financial management
Because regardless of what prices, there are two University Enterprises Financial management. To the cause of taking on corporate financial management financial management, companies have no autonomy, corporate finance to become the second college finance. University Financial Management Management fuzzy corporate finance, corporate have absolute autonomy, the independence of Corporate Property has been exaggerated, resulting in the power of enterprise legal person more than the limit, leading to the main college as an investment of enterprise management is not in place, there has been the so-called "internal control" phenomenon so that loss of University assets, the formation of universities as the investor's home state of virtual property rights.

(B) Financial accounting is not scientific, serious loss of property stealth
Because of unclear property rights, free enterprise long-term occupation of a large number of university assets, operating assets to universities and non-operating assets confusion, resulting in accounting unscientific, low investment returns, property loss and so invisible. Some schools and some school-run enterprises into negligent management of enterprise assets, making this part of the assets of the free university "large financial" management, the school is not only difficult to timely recovery of investments and returns should be obtained, but also may involve business and economic disputes occurred in other units, causing no due economic losses, and eventually lead to the loss of state assets; and enterprises these assets management practices and lack of specific, individual school-run enterprises make use of "public property" for their own interests, leading to "negative profit business school negative loss" phenomenon .

(C) lack of strict financial controls and effective
The mechanism is not perfect, measures are not effective, university leadership, the financial operations of the school-run enterprises, the prevalence of the phenomenon of ineffective monitoring. Despite setting some oversight functions, but also developed a number of monitoring system, but the supervisor did not grasp the run corporate finance funding the necessary information and tools, it is difficult to play a role in timely and effective manner, an empty shell. a considerable number of school-run enterprises in the major financial matters do not form an effective mechanism for decision-making constraints, the lack of scientific evidence and strict approval process, resulting in unnecessary policy mistakes and economic losses. the fact that some college leaders neglect or lack of financial restraint mechanism, there is no time to establish a clear set of responsibilities, the financial supervision system to contain each other, resulting in corporate loopholes in financial management.

(Iv) inefficient use of funds
1. The concept of poor money management business, management, backward methods and means, there is the phenomenon of long accounts, financial management control; 2. Arbitrary investment decisions, some companies regardless of their own capabilities and development goals, blind investment and keen to spread the new stall, investment mistakes and more serious loss to the already very tight financial situation even worse; 3. precipitate serious money, occupation is not reasonable and payment arrears remain high, turnover is slow, decline in corporate credit and profitability.


Fourth, improve the financial management of school-run enterprises an effective way to

University Enterprises as an economic entity that has some financial independence, but it is an integral part of the university. In order to ensure the preservation and appreciation of state assets to ensure the healthy and rapid development of enterprises, the school must give full play to the macro-management functions of Finance, school-run enterprises to strengthen and improve financial management. The author of University Enterprise to existing financial management system to think, the following recommendations.

(A) the establishment of asset management companies, schools and enterprises clear relationship between ownership
Schools should set up asset management companies, the exercise of the responsibilities of investor on behalf of the school .1. A comprehensive clean-up of existing school-run enterprises, approved assets, recognized property rights. To have the potential to going concern, the agency assessed the school receives confirmation wholly owned assets and liabilities, and assessment of the accounting information into the school accounts, the net assets as long-term equity investment management .2. of non-wholly-owned enterprises through restructuring, a clear stake in the school and enterprise investor relations, re-apply for registration of property rights, straighten out the relationship between schools and enterprises, in accordance with the principle of separation of school and enterprise, to promote enterprise as an independent business activities of market players .3. For there is no prospect, no hope of the enterprises deficits and increase surpluses off, stop, and , transfer and other means, and that all units cleared the idle assets, transfers within the school, re-allocation of resources, both to improve the utilization of state-owned assets, but also save the school money. reposted elsewhere in the Research Papers Download http: / / www.hi138.com (b) the establishment of sound financial management system, improve the incentive mechanism
1. Set up a business management responsibility system of legal property. The school asset management companies should be given independent legal enterprise property rights, the legal representative on behalf of the school and enter into a legally binding letters of responsibility for asset management .2. Established appraisal system operators. Schools in the allocation of corporate profit, to break the traditional unreasonable allocation mechanism, based on risk and return responsibility for the principle of reciprocity, to give the operator the appropriate incentives. Asset Management Company and its affiliated companies may try allocation of the annual salary system, the salary income of business performance should be the same operating difficulty, closely linked to business risk.

(C) the establishment of the school accountant
Run enterprises accounting department or accounting personnel from the Treasury will appoint the school; are delegated personnel staffing, administrative relations under the School Finance, School Finance prepared to enjoy the treatment of persons. Their wages, bonuses and welfare benefits by the School Finance prepaid at end of year school-run enterprises by the school according to the actual amount of repayment of the Treasury; are delegated officer on behalf of the Treasury for financial and accounting management school work, while in the performance of financial regulations in the Treasury is responsible for the school, to obey and cooperate with other units responsible leadership, positive work; School Finance regularly organize two financial institutions to make the necessary accounting staff ideological and theoretical learning and professional skills training and improve their ideological and operational level, regular inspection of work and organizational evaluation, and in accordance with reward and punishment to the departments concerned appraisal, promotion, transfer and appointment and removal of views; implement regular rotation of personnel to be assigned the system, usually 3 years of a rotation.

(D) improve the internal audit system run
Internal audit is strict supervision, assessment run an important part of financial management, is to strengthen the supervision and restriction mechanism, the effectiveness of the budget to obtain effective protection. Currently, the school-run enterprises and social enterprises is that a big gap between the internal audit inadequate. run enterprises to strengthen internal rules and regulations and the implementation of major business decision-making process of the audit and oversight, and change the past "post-supervision" as before, during monitoring and timely supervision, focus on business development goals and the annual budget, its investment and financing, capital flows, changes in financial position, etc., the entire process of tracking and monitoring, regular inspection and timely feedback of the outstanding problems in budget execution, and to correct and deal to ensure that the seriousness of the budget and schedule to achieve business development goals . to internal and external audit of the budget combined financial audit, internal audit mainly on budget implementation and the actual operating results of the audit, external audit was conducted primarily using social accounting firm, its financial statements, accounts, vouchers, etc. legality audit.

(E) to implement centralized management of funds run enterprises
Will run enterprises into money funds from the centralized management of decentralized management. First of all settlement funds to be established within the enterprise center, remove corporate-owned units in the external bank accounts, unified by the clearing house in the external bank account, the settlement center is divided into income and expenditure of households households, the income into the household income, household expenses paid by the uniform expenditure; clearing centers to comprehensive, timely and accurate grasp of the dynamics of each unit of currency income and expenditure of funds, a reasonable schedule swap idle funds, accelerate cash flow cycle, formed by self- money down on a centralized management system and monitoring network and thus improve the internal control system of school-run enterprises, promotion of financial management and information network management upgrade, to enable enterprises to truly establish the fund in line with market economic rules management system for all enterprise coordinate the management of monetary funds, the overall supervision and control, rational management transfers, from the source to eliminate the "income or sit" cash and bank acceptances privately endorsing such violations, to eliminate "little treasuries," CPB funding, to achieve the dynamic management of monetary funds , the internal flow of funds on demand, reasonable configuration.

(F) for scientific management of school-run enterprises
Financial management is the core of enterprise management, school-run enterprises should be in accordance with the requirements of modern enterprise financial management, well-organized financial activities, to establish a sound internal control system of enterprises, plug all loopholes, increase savings, increase revenue; the introduction of modern management technology and methods, to be effective management, rather than opportunistic, "accounts peripheral account" to obtain "effective"; on business tax planning, establish the concept of reasonable tax avoidance, to prevent tax evasion behavior; master the country's financial regulations to enhance their legal awareness, management according to law, policy and regulations to the extent permitted by the maximization of corporate value.


V. CONCLUSIONS

School-run enterprises to strengthen and improve financial management is the management of innovation, promote the progress of school-run enterprise management an important part of the implementation of modern enterprise system is the urgent need for management practices. Only through the establishment of clear property rights, accountable enterprise system, and continuously improve financial management level and quality, and continuously improve the professional quality of the financial staff in order to promote a virtuous cycle of business activities, to maximize their economic and social benefits. ��

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