The object of the empirical case

The object of the empirical case development is the Faculty of Mathematics and Computer Science (FMCS) of the University of Tartu (UT). UT is a legal person in public law operating in accordance with the Estonian Constitution, the Universities Act, the University of Tartu Act, and the Statutes. These Statutes outline the aims and tasks of UT, its structure, the rules applicable to university governance, the basic principles of the organization of study at the university, the basic rights and obligations of members of the university, the rules applicable to possession and dispositions of university assets, the foundations of university finances, and its systems of internal reporting and auditing. (Annual Report 2006:8)

The core activities of UT are the provision of research-based higher education at all levels of study by professional academics, the advancement of learning in all its areas of activity and the provision of training, research and development services to society. (Ibid.) These main activities were carried out in eleven faculties (in 2006): the Faculty of Theology, the Faculty of Law, the Faculty of Medicine, the Faculty of Philosophy, the Faculty of Biology and Geography, the Faculty of Physics and Chemistry, the Faculty of Education, the Faculty of Exercise and Sport Sciences, the Faculty of Economics and Business Administration, the Faculty of Mathematics and Computer Science, and the Faculty of Social Sciences. Nowadays nine faculties exist: instead of the Faculty of Biology and Geography and the Faculty of Physics and Chemistry, the Faculty of Science and Technology fill the functions of both faculties; the Faculty of Social Sciences and the Faculty of Education form one faculty – the Faculty of Social Sciences and Education. Besides faculties the academic structure includes colleges and institutes as well central service structural units such as the UT Library and Museums. The support structure has eleven administrative units: the Administrative Office, Estates Office, Financial Office, Information Technology Office, Lifelong Learning Centre, Marketing and Communication Office, Office of Academic Affairs, Office of Research and Development, Personnel Office, Rector’s Office, and Student Council. (Faculties, colleges and other units)

For internal management purposes and in order to achieve set objectives UT has introduced a balanced scorecards evaluation for the whole university and for faculties as academic units. The design of balanced scorecards (BSC) in UT follows the structure of 4 critical perspectives described in the theoretical subsection 1.2. The faculties are not required to copy UT’s balanced scorecard, but in general the result indicators are divided into seven main groups: teaching activity, doctoral and complementary study, research and development activity, internalization, evaluation and optimization of resources, and direction to the public. One example of a faculty’s BSC is presented in Annex 2.

The FMCS has been chosen for the empirical development of bookkeeping- based social accounting in the thesis because it has not undergone such major structural changes as some other faculties, as mentioned above, during the last five years. This choice of research object is justified by the fact that the FMCS may be considered a so-called classical faculty of a classical university, where in terms of social externalities no particular specialties appear. This is also important in the light that initial testing of the method and system was done on the Faculty of Economics and Business Administration48 _{(Friedrich and Eerma}

2010, 2012) at UT.

The history of the Faculty of Mathematics as an independent faculty at UT started in 1967. In 2001 the faculty was renamed the Faculty of Mathematics and Computer Science and continues to operate under that name.49

The FMSC consisted of four institutes in the year of research (www.math.ut.ee):

 Institute of Computer Science

 Institute of Mathematics

 Institute of Mathematical Statistics

 Institute of Applied Mathematics

Also, there is the Centre of Excellence in Computer Science within the structure of the FMCS.

In 2006 the faculty had 772 students, including 533 at the bachelor’s level, 188 at the master’s level, and 51 doctoral students. The academic staff consisted of 17 professors and 24 docents, 12 lecturers, 11 assistants, and 18 researchers as well as a support staff, in total 102. (Information from Dean’s Office of the FMCS).

The FMCS’s main tasks are the creation of knowledge at all levels of study (bachelor’s, master’s and doctoral) as well research and preparation to support the academic careers of candidates. The main tasks include the improvement of the knowledge of the teaching staff, scientists, and researchers as well

48 _{The reason for this object choice was that the authors, including the author of the current}

thesis, had more detailed information in use to start a pilot case.

49 _{More information about the FMCS during the time-period 1967-2007 is available in the}

producing publications and long-lasting research results. Through the activities of the main tasks, the increase in the capacity for international co-operation, staff, buildings, and equipment takes place.

Other tasks involve information provision to the public about research results and advice to firms, government, and municipalities, and the promotion of business, contributions to research centers, and the achievement of European funds. The faculty should offer its capacities to political and public decision making and should create income and an economic contribution to South Estonia and to other parts of Estonia.

Based on the abovementioned tasks in society, the network for the FMCS in society is formed (Figure 17).

Figure 17. Network of the FMCS with other institutions in society

Source: Based on Friedrich and Eerma (2010: 47) with the author’s contribution Students FMCS Central state, UT, the UT library Firms, public offices Payments Teaching, vocational training, E-courses Teaching Payments Mo nito rin g Research, consulting Contribution payments

Teaching of faculty members

Project partners (public, private) Colleges Payments for students Contribution, finance Publisher, incl. the UT Publishing Public Research Events, information, public dissemination Payments Ser vice (4 institutes)

The fulfillment of the abovementioned tasks is mostly linked to social success, whereas failures like bachelor’s, master’s and doctoral education without success, research failures, unfinished international projects, accidents, emissions, the leaving of staff, unsuccessful consultancy, the loss of resources through personal consultancy, the blocking of resources for users, political activities, and incidences for the location region represent social disadvantages.

The activities of the FMCSare mainly financed by grants from the central government, donations from the UT budget, contributions in the framework of projects from Estonian ministries, European Union funds, firms, foundations, student fees, and consultancies. In the year 2006, for teaching activities grants from central government formed 90% of financial resources, and for research activities support from different sources of public funding was approximately 75% (Eelarvete statistika). Therefore, the faculty itself acts like a public enterprise. It has partly to sell and finance its activities comparable to a firm. It uses its financial, procurement, production and sales (marketing) instruments and treats closely related institutions such as structure units of the university, students, etc., as clients.

2.1.2. The data and process/methodology