The costing of library systems

Libraries, like other organizations, are bodies trying to achieve certain objectives within set financial constraints and it is desirable that they operate as effectively as possible trying to achieve their objectives. Many libraries and information services have been developed on the understanding that they are ‘a good thing’ and this offers considerable scope for confusion about operating objectives and justification of the library's existence. It is therefore essential that the overall objectives of the library and information service are defined as far as possible and that progress towards these objectives is measured and monitored. The definition of objectives need not be difficult and indeed consideration of a ‘Management by Objectives’ approach could be of use in helping to define meaningful objectives. The hard core of any system that aims at measuring and monitoring progress towards stated objectives is costing. It is therefore essential that libraries are familiar with problems of costing and with the handling of financial information because it is of use in controlling day‐to‐day operations, in improving overall effectiveness, in ensuring an adequate and effective case is made out for the library or information budget and in planning for the future.