The project in five facts.
Challenge, approach and results.
Public institutions are established as non-profit organisations for the purpose of providing public services, and their goal is not to generate profit. They are financed by their founder for the performance of their activities. The Public Institutions Act also enables public institutions to carry out market activity when it is connected with the provision of public services. The diploma thesis sought to determine the scope of market activity in the public institutions examined, which services constitute market activity, and the criteria they use for allocating ** expenditure between public services and market activity.** Public institutions are present on the market with market activity alongside public services, where they compete with each other in seeking opportunities to sell self-paying and above-standard services. Due to increasingly limited financing of public services, this competition will become even more pronounced in the future.
Problem
Public institutions are established as non-profit organisations for the purpose of providing public services, and their goal is not to generate profit. They are financed by their founder for the performance of their activities. The Public Institutions Act also enables public institutions to carry out market activity when it is connected with the provision of public services. The condition is separate recording of revenue and expenditure for each activity.
Monitoring revenue does not cause major difficulties, but monitoring and allocating expenditure is a much more difficult task.
Results
The diploma thesis sought to determine the scope of market activity in the public institutions examined, which services constitute market activity, and the criteria they use for allocating expenditure between public services and market activity. Public institutions are present on the market with market activity alongside public services, where they compete with each other in seeking opportunities to sell self-paying and above-standard services. Due to increasingly limited financing of public services, this competition will become even more pronounced in the future.
Module, programme and stories.
Your diploma project for a real company.
A diploma thesis at Academia solves a challenge from a company – often the one where you do your 800 hours of placement. Read about the Računovodstvo module or book a consultation.