why does europe need modernised university management ¿¿¿

7/27/2019 Why does Europe need modernised university management

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Why does Europe need modernised

university management ?

Prof. Dr. Rado Bohinc,

Professor of Law at Faculty of Social Sciences,

University of Ljubljana and at Faculty of management,

University of Primorska

Former Minister for Science and Technology, (SI)


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A primary question is:

Are universities under

increasing pressure to transform?

Yes!

Why?


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Why?

Because:

global (increasing need for internationalisation)

and local (government, business, civil society)

environment have changed

Risk free environment is replaced by marketenvironment.

Traditional ways of governance prove inadequate.


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UNIVERSITY GOVERNANCE:

COMMON PRINCIPLES AND

SPECIFICSFor the university governance inchangingenvironment thereare certainly some common

principles regarding the quality, capability andaccountability of governing structures.

However, there are also specifics, additional

demands, depending on the specific ways in whichindividual institutions operate.


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Universities are becoming powerful national and

regional institutions;

They have to undertake additional new roles,

especially in the areas oflifelong learning and

technology transfer

There are big challenges ahead for university governance.

Universities will become much more difficult to manage.

WHY?

Knowledge economy;

Competition;

Globalisation of higher education;


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Knowledge based economy;

National economic success will depend on

the ability to increase the added value of

products and services;

Hence, investment in intellectual capital has

to be increased


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Globalisation of higher education;

Students are becoming internationally mobile;

International expansion of universities is

inevitable in order to be competitive.


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Competition

Universities are increasingly having tocompete nationally and internationally toattract best teachers and students;

In addition they have to compete for:

- financial resources

- for research and researchinfrastructure, - for contracts with business sector, etc


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The(global educational) race is on(Times, August 20, 2007)

The winners in the new global educationrace will be those countries with institutions

that are the most international at everylevel.

Importing intellectual capital, whilesimultaneously fighting brain drain, will on along term pay off richly.


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Consequence:

Competition among universities

Competitive universities have to

provide high quality and productivity.


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Consequence:

Universities have to find additional sources

of funds.

They have to transform from traditional

universities enjoying steady state and risk

free environment to entrepreneurial

university competing in the changing market

environment


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Consequence:

Prospective students will look for the best

educational (and research) environments.

Ranking of universities, although often

disputed and criticized, becomes an

important information source in selecting an

adequate destination.


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Task:

Universities

have to rethink

their strategies and theircorporate governance


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DILEMAS

In these new circumstances, universitygovernance need to be reflected in a newmanagement style:

Away from consensus oriented collegial academytowards management by executive authority?

Do the universities need to be run as a business

company, as a professionally managed company? Do they need mighty executives or stick to numerous

committees, as it is today?


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Richard Lambert stated in his lecture on

university governance in a market

environment:

So the question is about how far you can

bring management disciplines onto the

campus, without destroying something

precious.


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Definition of a world-class university

(Phillip G. Altbach in The world class university and ranking: aiming beyond status

(UNESCO CEPES, 2007)

Academic freedom and an atmosphere of intellectual excitement(including favourable working conditions, arrangements for jobsecurity, appropriate salaries and benefits)

Governance (internal self governance, academic community hascontrol over the central elements of academic life admission ofstudents, curriculum, basic direction of the academic work of theinstitution)

Adequate facilities for academic work

Adequate funding


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Annual expenditure on public and

private educational institutions per student

(PPS based on full time equivalents)()*

EU 27 7.966.1

USA 19.079.6

SOME DATA * Eurostat 2004


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Shanghai ranking confirms that

despite the good performance ofsome EU countries:

The performance gap between European andAmerican universities is large!

The best European universities lag far behind the

best American universities!

European universities have much accumulatedknowledge, but they are complicated to reform.


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EUs universities reform should take place on both fronts:

-autonomy and

-efficiency of spending
http://razgledi.net/files/2007/09/univerze1.jpg


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It is not simply that more money is good

for research performance

The research performance of a university ispositively affected by university autonomy

More money has much more impact when it iscombined with budget autonomy!

Budget autonomy doubles the effect ofadditional money on university researchperformance!


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According to the linear model of education systems EUis close to mass system.

In a global competition EU higher educationmust befirmly wedded to elite values and practices no matter

even it is a mass system.

To close the gap with the USA, EU would need to spend

on averagean additional 10.000 per higher

education student per year.

EU Universities: elite, mass, universal?


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Managing competitive universities

Qualities to be delivered by management are the following:

Permanent strategic planning and business planning,

Efficient fund raising,

Effective delivery of programmes,

High quality senior management,

Motivation and effective deployment of staff,

Communication and information strategies,

Asset management including intellectual property, staff...

Creation of strategic partnerships, Accountability and cautious financial management.

This is a very demanding mix to deliver, especially in institutionsthat have a high degree of individual freedom.

Merging as a tool to improve


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Merging as a tool to improve

competitiveness

Merging of universities - larger universities are generally morecompetitive than smaller ones (example: stronger, larger andfewer universities in Denmark)

Merging universities and public (government) researchinstitutes makes academic expertise available for educationalpurposes while simultaneously strongly improving researchperformance of the university (example: KIT Karlsruhe Instituteof Technology)

Cooperation of institutes and universities (example:International Max Planck Research School - MP Institutes anduniversities offer especially gifted PhD students fromGermany and abroad excellent research conditions


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Trend: Exporting higher education to

developing and transitional economies

Survey performed by Noir sur Blanc Agency oninternationalisation of universities (1999) shows that:

16% of universities (mainly from US) were seriouslyconsidering opening a campus abroad

57% of universities have aims to open to the entire world

41 % of universities see internationalisation as anabsolute priority

Caution: The creation of global market in highereducation could seriously affect the status and viability ofuniversities in developing countries

Innovative management of


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Innovative management of

universities

Modernisation of universities needs to be

accompanied by innovative management, likewise

business companies increasingly employinnovation management techniques

Management of universities can be described as a:

management of diversity and complexity


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Universitiy for the future?

Research

Autonomus

Integrated

Decentralised

Competitive

Enterprenurial

Well managed

Inovative


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LITERATURE, SOURCES

Resources on internationalisation, The University of York, Forum for the

enhancement of learning and teaching, 2007

Internationalisation of Universities, Noir sur Blanc, 1999

Creating entrepreneurial university: Organisational pathways of transformation,

Pergamon, 1998

The higher education managers handbook: Effective leadership and

management in universities and colleges, RoutledgeFalmer, 2004

Seminar report, Managing universities in critical times, University of Stratchlyde

Business School, 2001

European Commission, Press release, Why European higher education systems

must be modernised?, 2006

why does europe need modernised university management ¿¿¿

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