Possibilities of financial management development at higher education institutions

Abstract

Based on the priority determined by the state strategic plan for the development of higher education, overall changes of the economic situation decreased state funding for higher education and increased the competition created by private institutions in the higher education sector. The objective of research is to examine characteristics of financial management in higher education and to develop proposals for financial management improvement at Higher Education Institutions (HEI) in Latvia. The following tasks are identified: to study the sources of funding, to analyze financial planning characteristic to institutions of higher education and the processes related to implementation control of financial plans, to determine the most appropriate costing models for the purposes of financial management. During the research quantitative and qualitative methods of research in management science were used, including induction and deduction, analysis and synthesis, description and display methods of numeral information. The research resulted in the author`s conception of improvement opportunities for HEI financial management.