The feasibility for private universities to apply the performance-based budgeting system implemented at public universities in turkey and the evaluation of faculties' efficacy by data envelopment analysis

Recent developments occurred in technology area have been providing more effective measurement and evaluation methods than in the past, and taking more effective results in interpretation and application of analysis results. In addition, formation of global public concept and change in understanding of global public approaches are results of this process. Education as a global public good, seen as an international value of the human being, and being taxed with this respect. On the other hand, although higher educations are seen as more autonomous than education organizations, they are mentioned as semi-public organizations due to their outputs. However, budgeting, financial reporting or similar issues still evaluated as they are different organizations of public and foundation organizations. Another important development occurred in the accounting and finance applications of public organizations are application of Performance Based Budgeting (PBB) in public organizations. The main reason for application of PBB in public organizations is using of public sources effectively and productively. On the other hand, since PBB has no history required for the parametric data set for vertical analysis, it can not be argued that PBB is absolutely efficient method for budgeting. However, current literature and application data show that PBB is more effective than classical budgeting applications. In this research, Data Envelopment Analysis (DEA) was used, and it is shown that foundation universities and their faculties have different output values even they have similar inputs. This result means that there is a significant productivity loss by using classical budgeting methods. Since foundation universities affect public directly or indirectly with their outputs, it may be argued that there is a loss of public goods. Thus, it is argued in the research that foundation universities also must transfer their budgeting system to PBB with parallel to 5018 numbered law and current literature and applications. Key Words: Data Envelopment Analysis; Performance Based Budgeting; Foundation Universities.