Cost Management in Government: A View into the Municipal Department of Education

Abstract

This paper discusses the development of a conceptual cost model for the Public Sector. The case analyzed is the Municipal Department of Education in Salvador (SMEC / SSA). The Fiscal Responsibility Law, particularly art. 50, § 3, prescribes the need for cost control in the public sector demanding as consequence the search for compatible solutions for the public area. From studies and research in loco, this paper presents and discusses a proposed solution to the SMEC / SSA. Despite the peculiarities in the modus operandi of the public area, especially the floating organizational culture, we sought to identify the most important premises for setting up a system of accumulation of costs, even to the cost per school and cost per pupil. The construction cost of the system tried to address the needs assessment, monitoring and control of budgetary, financial and real estate. Was prioritized the development of a general and flexible model that can be improved gradually in accordance with the development of cultural dynamics, organizational and technological public entity.