Many important changes such as institutional autonomy, performance highlighting, a high level of responsibility or quality assurance etc. have been occurred since the implementation of new public management in corporate governance area around the World. So performance notion have become significant in public sector, and performance success levels of public institutions and corporations have started to play important roles while allocating treasure grants to them. Thus Performance-based budgeting method is preferred in many developed countries and developing countries. To ensure compliance with global changes, Performance-based Budgeting Based on Strategic Planning have been applied in Turkish public institutions and Corporation since the adoption of Public Financial Management and Control Law No. 5018. Performance tables with indicators, strategic plans or activity reports have become to be taken into consideration while providing treasury grants to Turkish public institutions and corporations. In the context of higher education, similar implementation is valid, and performance goal tables, strategic plans or activity reports etc. are prepared regularly in every year by higher education institutions. However, there are serious problems in Turkish higher education system, when it is compared with developed countries’ higher education system. This study is reviewed a comprehensive literature articles. This paper presents an overview of the current state of performance-based budgeting in Turkish higher education system and emphasizes its deficiencies. Accordingly, the aim of study is the examination of Performance-based Budgeting Based on Strategic Planning in Turkish higher education system, and performing an comprehensive analysis.

Keyword: Performance-based budgeting, strategic planning, performance indicators, higher education