The Influence of Budget Participation and Organizational Culture on the Performance of the University of North Sumatra

Oct 13, 2025 by pynkocean.com 31 views

The Influence of Budget Participation and Organizational Culture on the Performance of the University of North Sumatra

Introduction

The University of North Sumatra is one of the leading educational institutions in Indonesia, known for its academic excellence and research capabilities. However, like any other institution, it faces challenges in achieving its goals and objectives. One of the key factors that can influence the performance of the university is the level of budget participation and organizational culture. This study aims to measure the effect of budget participation, involvement, consistency, adaptability, and mission on the performance of the University of North Sumatra.

Methodology

This study used a survey with a cross-sectional cutting approach to collect data from high-level managers and middle-level managers at the University of North Sumatra. A total of 96 respondents were selected as the sample size. The data collection process involved distributing questionnaires directly to the respondents.

Results

The results of the study showed that budget participation, involvement, consistency, and mission had a positive and significant influence on the performance of the University of North Sumatra. Conversely, adaptability did not have a significant influence on the performance of the university.

The Importance of Budget Participation

Budget participation is a crucial aspect in decision making in educational institutions. When all members of the organization, including lecturers and staff, are involved in the budget preparation process, they tend to feel they have and are responsible for the decisions taken. This can encourage increased motivation and commitment, which in turn has a positive impact on the overall performance of the university.

The Role of Involvement

The involvement of all academics in planning also increases transparency and accountability. Thus, they will be more willing to support the decisions taken, thus creating a conducive work environment. When all members of the organization are involved in the planning process, they will be more likely to take ownership of the decisions and work towards achieving the goals of the university.

The Importance of Consistency

Consistency in implementing plans and policies that have been determined are other determinants. When the university can carry out its plans consistently, this will build trust among all stakeholders, including students, parents, and the community. Consistency also helps to create a sense of stability and predictability, which is essential for achieving long-term goals.

The Role of Mission

A clear mission is also very important. When all members of the organization understand and support the university's mission, they will be more directed in carrying out their respective duties. A strong mission can motivate all citizens of the university to collaborate and work together to achieve common goals.

The Limitation of Adaptability

Meanwhile, adaptability that does not have a significant influence may indicate that the University of North Sumatra already has a stable structure and system. However, it is important for institutions to continue to adapt to the times, especially in the digital era and globalization today. Openness to change and innovation still needs to be maintained so that the university remains relevant and can compete with other educational institutions.

Recommendations

As a recommendation, the University of North Sumatra needs to continue to increase budget participation and involvement of all academics. Training activities, seminars, or workshops on budget management and decision making can help increase awareness and skills in this regard. In addition, it is important to ensure that the university mission is updated regularly to remain in line with the development of the needs of the community and the world of education.

Conclusion

In conclusion, this study highlights the importance of budget participation, involvement, consistency, and mission in achieving the goals and objectives of the University of North Sumatra. The findings of this study provide important insights for the management of educational institutions, especially in the context of improving performance. By implementing the recommendations outlined in this study, the University of North Sumatra can improve its performance and become a model for other educational institutions in managing budget and organizational culture.

Limitations of the Study

This study has several limitations. Firstly, the sample size was limited to 96 respondents, which may not be representative of the entire population of the university. Secondly, the study only focused on the University of North Sumatra, which may not be generalizable to other educational institutions. Finally, the study only measured the effect of budget participation, involvement, consistency, adaptability, and mission on the performance of the university, and did not explore other factors that may influence performance.

Future Research Directions

Future research can build on the findings of this study by exploring other factors that may influence the performance of educational institutions. For example, research can investigate the role of technology in improving performance, or the impact of leadership styles on organizational culture. Additionally, research can explore the effectiveness of different strategies for improving budget participation and involvement, and the impact of regular mission updates on organizational performance.

References

[List of references cited in the study]

Appendix

[Appendix materials, such as additional tables or figures, that support the findings of the study]

Abstract

This study aims to measure the effect of budget participation, involvement, consistency, adaptability, and mission on the performance of the University of North Sumatra. The results of the study showed that budget participation, involvement, consistency, and mission had a positive and significant influence on the performance of the university. Conversely, adaptability did not have a significant influence on the performance of the university. The findings of this study provide important insights for the management of educational institutions, especially in the context of improving performance.
Frequently Asked Questions (FAQs) about the Influence of Budget Participation and Organizational Culture on the Performance of the University of North Sumatra

Q: What is the main objective of this study?

A: The main objective of this study is to measure the effect of budget participation, involvement, consistency, adaptability, and mission on the performance of the University of North Sumatra.

Q: What is budget participation, and how does it affect the performance of the university?

A: Budget participation refers to the level of involvement of all members of the organization, including lecturers and staff, in the budget preparation process. When all members are involved in the budget preparation process, they tend to feel they have and are responsible for the decisions taken, which can encourage increased motivation and commitment, and ultimately have a positive impact on the overall performance of the university.

Q: What is the role of involvement in the planning process, and how does it affect the performance of the university?

A: The involvement of all academics in planning increases transparency and accountability, and makes them more willing to support the decisions taken, thus creating a conducive work environment. When all members of the organization are involved in the planning process, they will be more likely to take ownership of the decisions and work towards achieving the goals of the university.

Q: What is the importance of consistency in implementing plans and policies, and how does it affect the performance of the university?

A: Consistency in implementing plans and policies that have been determined are other determinants. When the university can carry out its plans consistently, this will build trust among all stakeholders, including students, parents, and the community. Consistency also helps to create a sense of stability and predictability, which is essential for achieving long-term goals.

Q: What is the role of mission in the performance of the university, and how does it affect the performance of the university?

A: A clear mission is also very important. When all members of the organization understand and support the university's mission, they will be more directed in carrying out their respective duties. A strong mission can motivate all citizens of the university to collaborate and work together to achieve common goals.

Q: What is the limitation of adaptability, and how does it affect the performance of the university?

A: Adaptability that does not have a significant influence may indicate that the University of North Sumatra already has a stable structure and system. However, it is important for institutions to continue to adapt to the times, especially in the digital era and globalization today. Openness to change and innovation still needs to be maintained so that the university remains relevant and can compete with other educational institutions.

Q: What are the recommendations for the University of North Sumatra to improve its performance?

A: The University of North Sumatra needs to continue to increase budget participation and involvement of all academics. Training activities, seminars, or workshops on budget management and decision making can help increase awareness and skills in this regard. In addition, it is important to ensure that the university mission is updated regularly to remain in line with the development of the needs of the community and the world of education.

Q: What are the implications of this study for the management of educational institutions?

A: The findings of this study provide important insights for the management of educational institutions, especially in the context of improving performance. By implementing the recommendations outlined in this study, educational institutions can improve their performance and become more effective in achieving their goals and objectives.

Q: What are the limitations of this study, and what are the future research directions?

A: This study has several limitations, including the sample size and the focus on the University of North Sumatra. Future research can build on the findings of this study by exploring other factors that may influence the performance of educational institutions, such as the role of technology in improving performance, or the impact of leadership styles on organizational culture.