Factors Influencing the Underutilization of Revenue Budget: A Case Study of a Public Higher Education Institution

Abstract

This research aims to study and analyze: 1) the factors influencing revenue budget that do not align with the plan, reflecting underutilization, including overall and types of budget, and 2) the impact of personal factors and organizational characteristics on revenue budget not following the plan. This research uses a public higher education institution as a case study. The research methodology included collecting data from 82 administrators and personnel involved in policy, planning, and expenditure analysis. Data were analyzed using mean values and mean differences tested by t-test and f-test (One-way ANOVA). The research findings are consistent for both overall and each type of budget. Such findings indicate that 1) the external environmental factors had the most significant impact on the misalignment of expenditures with the plan (overall average 3.01). Regarding the internal environmental factors, the most significant impacts were the lack of knowledge and experience in preparing analytical data (overall average 2.98) and the inadequacy of central and departmental information systems in covering the necessary operational needs. (overall average 3.34). Furthermore, 2) personal factors and organizational characteristics showed no statistically significant impact on the misalignment of budget expenditures.