A COMPARATIVE STUDY OF EXPENDITURE CONTROLS METHODS IN GOVERNMENT OWNERS AND PRIVATELY OWNED HOSPITAL
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CHAPTER ONE
1.0
INTRODUCTION
Introduction organisation with exception of
every minute and unorganized ones, there is a process known as expenditure
control or cost control which is a part of management control process.
This process is very important to any
organisation be it a profit maximizing organisation or non profit maximizing
organisation. Thus is because lack of
this practice in any organisation will cause misapplication of cash in cash
disbursement process and this will create a very big problem leading the
organisation into deficit and at an extreme case the organisation might fold up
(ie liquidation) Many research have bee conducted in the reason for folding up of companies and
organisation in which lack of expenditure control process had been found
responsible.
Expenditure control has been defined as the
process by which managers utilizes effectively and efficiently the scarce
resources in the achievement of organisational goal. At this juncture let us look at expenditure
and control from a separate perspective.
Expenditure: It is the total
amount spent on the process of trying to achieve a particular goal. This amount spent might be regained if the
goal is not achieved.
Control:
Is the fact of making things world in a way the is required. It is also the used by either government of
official organisation to make restrictions on wages increases, immigrate credit
and so on (which are all expenditure)
As regards to this project topic which is a
comparative study of expenditure control methods in governments ownes and
privately owned hospitals. A case study
of university of Nigerian Teaching Hospital, Enugu. (UNTH) and Toronto hospital and Maternity
Onitsha.
This implying a comparative study of
non-profit-making organisations, since UNTH is government owned hospital while
Toronto is privately owned hospital as a category is of non profit making
organisation are characterized by the following:
a.
There is neither a conscious profit motive nor an expectation of earning
net income.
b.
No part any excess of revenues over expenditure is distributed to those
who contributed support through taxes and voluntary donations.
c.
Any excess of revenue over expenditure that results form operations in
the short run is ordinarily used on later years to further the purpose of the
organisation.
A COMPARATIVE STUDY OF EXPENDITURE CONTROLS METHODS IN GOVERNMENT OWNERS AND PRIVATELY OWNED HOSPITAL
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