Derecho al agua

The reform toward decentralized decision making is the transformation process that required full participation from all the school stakeholders. Furthermore, the financial

management changes also demand adherence to the policies and regulations that bounded the autonomy which has been devolved. Up to this point, the obstacles to successful implementation of school-based financial management come in the form of challenges and problems that require comprehensive understanding of the mechanics of implementation.

Among the major challenges facing schools is the immense increase in the administrative burden and workload held by the internal school members (Al-Taneiji & McLeod, 2008; Cotton, 1992; Ho, 2010; Rodriguez & Slate, 2008). Principals did find that their role now have widened to include more management tasks whereas teachers have to channel their attention to other matters rather than solely on the teaching and learning process. As compared to the traditional way of managing school finances, the internal school members have to be involved in the decision making process, engage in negotiations and administrative meetings and resolve any management issues raised at school level. Thus, this process could not be executed without pure dedication and commitment on the part of principals, teachers and the finance support staff besides understanding the delegation of tasks among themselves.

Another issue of concern to school stakeholders is their ability to carry out the tasks and the procedures involved for effective school financial management. Undoubtedly, all the members involved should be equipped with the necessary skills and knowledge in performing their duties in order to avoid any mismanagement, negligence and failure in allocating the financial resources successfully (Al-Taneiji & McLeod, 2008; Ho, 2010; Rodriguez & Slate, 2008; Shahril@Charil Marzuki, 2005b). Above all, training in the area of budgeting, accounting and decision making is essential in addition to the regulations, circulations or technical guidance passed down by the central authorities. This can increase their qualifications and readiness in doing their job

and help to solve the problem of lack of school operation knowledge, process skills and clarity about the specific roles they have to play (Cotton, 1992).

In some countries that are still in the process of adapting to the management decentralization reform, principals and the school governing body usually become the central attention upon the failure of schools to comply with school financial regulations (Mestry, 2004, 2006; Shahril@Charil Marzuki, 2005a). The report from the Chief Auditor of Malaysia also suggested that continuous training in recommended practices should be provided for school Financial Management and Account Committees in terms of managing the financial resources effectively and efficiently (Jabatan Audit Negara Malaysia, 2002).

In addition, another challenge faced by school-based financial management is the public concern over achievement in school quality and the ultimate educational outcomes. As the transformation from the bureaucratic way of school management to school-based management require substantial changes of new roles and commitment, improvement in education can only take place over time and could take over several years throughout the process (Townsend, 1996). In addition, the school external stakeholders seems to judge the success of reform by test scores or student academic achievement without comprehensively understanding the rationale behind the reform of decentralized decision making. School-based management and its components is not an end in itself but appeared as a means to achieve educational quality that could facilitate the school’s core business of the teaching and learning process (Wohlstetter & Mohrman, 1994; Wohlstetter & Van Kirk, 1995).

The high involvement model incorporated in school-based management also received many different perceptions among different stakeholders in different countries. Particularly in developing countries, parents have very low interest to participate in any school matters and it was hard to make them involved in the school meeting or parent-

teacher association (Werf, Creemers, & Guldemond, 2001). Thus, effort should be made to involve parents and the community in the school-based financial management process to enable financial resources to be allocated effectively, efficiently and transparently.

In some cases, parental involvement in school decision making was resisted by the school internal stakeholders. Parents have been viewed as having less knowledge and skills to join forces in any school resolution and they have been granted with limited approval from the principals and teachers (Al-Taneiji & McLeod, 2008). Furthermore, the areas requiring parent participation are generally limited to external and policy based matters. They are recommended to share their views and opinions in the school policy making, mission and vision but not in managerial tasks that absolutely called for knowledgeable internal school administrators (Gamage, 2008).

2.15 Chapter Summary

Overall, this chapter gives a clear picture of the theories and concepts underpinning school-based financial management reform around the world. The theories and concepts have been discussed in relation to the school financial management operational functions which cover the budgeting management, obtaining resources, financial accounting and also the financial control and evaluation undertaken. In addition, different models of school-based financial management being practiced around the world were also being discussed in order to enable wise and prudent comparisons being made by the practitioners. The key concern is that the decentralized decision making has been adopted by various means and approaches by different countries depending on the devolved autonomy granted by the central government. It is also hoped that this chapter can bring better understanding on the school-based financial management practices in Malaysia and other countries thus supporting this research in a more meaningful way.

CHAPTER 3

METHODOLOGY

3.1 Overview

This study was carried out for the purpose of developing the profile of effective school- based financial management in Malaysia. The research objectives were divided into three main phases that are the phase of needs analysis, the phase of profile design and the phase of profile evaluation. Among the objectives of the needs analysis phase was to identify the importance of developing the profile of effective school-based financial management in Malaysia. In addition, the study would like to identify the relevant people or stakeholders involved in implementing school-based financial management and the necessary needs that should be equipped by the schools’ internal and external members in order to reach the effective level.

Then, the second phase of profile design was aimed at designing the profile which would comprise the most relevant management elements and practices for an effective school-based financial management in Malaysia. The profile was then further evaluated through the study in the last phase of profile evaluation which measures the school-based financial management effectiveness of cluster schools in Malaysia. The study then would come out with the model of effective school-based financial management in Malaysia developed through the analysis of Structural Equation Modelling (SEM).

In order to fulfil the research objectives, a systematic research methodology is required to ensure for good research findings. Therefore, this chapter provides relevant detailed procedures which consist of research design, research instrument, identification of population and sample, procedures for data collection and also the procedures for

analysis of the collected data. In addition, validity and reliability of the research instruments were also verified through pilot studies and other important procedures.