A Study on the Efficiency Analysis of R&D General Management Cost for Domestic R&D Agency Institutes

Abstract

Purpose: This study is aimed to develope effective guidelines of R&D institute with regard to general management cost, by analyzing the management characteristics of 14 domestic R&D institutes general management costs. Methods:The bootstrapping method is applied to obtain the average general management cost of 14 R&D institute and the effective R&D institutes are presented by comparing the general management costs of R&D and the rate of inflation. Results:The results show that the average R&D general management cost of 14 R&D institutes is 3.32% and, in general, it turns out that the R&D general management costs do not reflect the inflation rate after a comparative analysis of the variation of the R&D general management costs. In addition, the results of cost-effective analysis show that only 5 R&D institutes are efficient in R&D activities. Conclusion:Applying a uniform standard of R&D general management costs although their management characteristics are different, can cause the impediment to the independence and transparency of R&D institutes.Therefore it is recommended a strict implementation with respect to the monitoring system of each R&D institute and the budget policy methods which are reflected management characteristics.

Efficiency of Public R&D Management Agency and Its Improvement toward Open Innovation

“…Accordingly, there is always the possibility that the problem of under-or overregulating the planning and evaluation management costs will occur, and from the point of view of R&D management agencies, inefficiencies may occur because the institution's operating costs cannot be reliably guaranteed. Song et al (2015) [4] stated that when planning and evaluation expenses are supported at a uniform ratio of the government subsidy budget, the characteristics of the institution are not reflected, which may cause difficulties in operation and a decrease in the quality of overall research management.…”