Andrew Connolly

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Resource Allocation Models Devolved Budgeting

• Andrew Connolly
• Director of Finance
• Tony Knapp
• Director of Finance

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Resource Allocation Models Devolved Budgeting

• Objectives
• Compare contrast 2 approaches to RAMs
• Theory and practical issues
• Challenges future developments

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Resource Allocation Models Devolved Budgeting

Size matters - smaller bigger but different
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Resource Allocation Models Devolved Budgeting

• Whats in a RAM?
• A planning and management tool which provides a
  means of allocating resources on a methodological
  basis to various activities within an
  organisation
• Support strategic management
• Mechanism for budgetary accountability
• Measure of financial performance for budget
  centres
• Resourcing budget centres

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Resource Allocation Models Devolved Budgeting

• Approaches and drivers
• Whole or partial devolution of resources
• Income earned Vs expenditure required
• Tell it as it is or target driven incentives
• Indirect costs tax or spend

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Resource Allocation Models Devolved Budgeting

• Determined by
• Size and complexity
• Management culture
• Funding Council models (T and R)

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Resource Allocation Models Devolved Budgeting

• Essex Departmental Grant Model
• Pre 1 August 2003
• 5 Departmental formulas and 5 separate pots
• Dept Grant, P/T Teaching, REF, ORIS, Special
  ORIS
• 2 Researcher pots
• Research Incentive Scheme, Research Promotion
  Fund
• Biddable Departmental funds
• TALIF

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Resource Allocation Models Devolved Budgeting

• Essex Departmental Grant Model
• Current Model
• Single consolidated pot considerable
  rationalisation,
• Income driven with a cost of science teaching
  element
• Push the right buttons and earn more resource!

Dept Grant 6.2 of HEU Overseas Tuition Fees
(inc SEEC) 6.2 of Research
Grant (QR) 60 of HEU PGT
Premium Fees 55 of Research
Grants Contracts Indirect-costs Recovered
60 of Teaching Lab Equipment
Replacement Plan
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Resource Allocation Models Devolved Budgeting

• Other Essex Resource Tools
• Research Incentive Scheme - formula
• Research Promotion Fund - bids
• Teaching Learning Innovation Fund - bids
  

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Resource Allocation Models Devolved Budgeting

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Resource Allocation Models Devolved Budgeting