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Responsibility Centered Management

RCM OHIO is a decentralized approach to budget allocation that assigns greater control over resource decisions to academic colleges and deans. Under this budget approach, revenue-generating areas are referred to as "responsibility centers" with all or most of the institution's revenues and support costs assigned to them. RCM's underlying premise is that the decentralized nature of the model entrusts academic leaders with more control of financial resources, leading to more informed decision-making and better results or outcomes for the University as a whole.

In our current centralized budgeting models, academic program decision-making is largely decoupled from financial responsibility.  By allowing responsibility centers to control the revenues they generate, decision makers are better able to understand both the academic and financial impacts of their decisions.  Academic planning and resource decisions are more transparent within the unit and throughout the institution.  Armed with improved information and the potential to retain increased financial resources, decision makers at the college/campus level may leverage even limited resources more effectively, improving university accomplishments and outcomes.