Amit Vaidya’s Post

£12,500 University Tuition Fee? You guys gotta be kidding, right? The student numbers are already facing challenges domestically as well as from international students. Vice Chancellors are running a multi-million pound business. Every business faces such challenges balancing the golden triangle of Risks, Revenue, Costs. The Government must not step in and subsidise costs in what is a privatised business model. VCs must manage. They must step up to the mark. They must apply commercial models and mindsets such as trimming the belly fat, trimming admin staff of little value, merge and consolidate courses as well as merge their businesses with other Universities. They MUST trim costs. Cancel infrastructure projects, get rid if courses and staff that fail to attract break-even numbers of students. If they don't have the skills of running a commercial P&L business or staff responsible for the same, they must bring in that expertise. When the going gets tough, the tough get going.......

The UK higher education sector is facing a storm of unprecedented revenue pressures that show no sign of relenting.   We believe that all UK universities will need to rethink their delivery model and move to a lower cost base. While the timescales may vary between institutions, change will be essential.   Nous experts Julie Mercer and James Langlands have identified the key ratios universities need to monitor their financial performance and the initiatives that can help them contain costs without harming performance.   Read more on our website.   #HigherEd #universities #education

🎓 What if universities managed their resources by product lines? In a provocative critique of university finances, Professor Matt Pinnuck argues that soaring tuition fees reflect systemic inefficiencies rather than rising quality. He highlights a glaring accountability gap: while universities report revenue from their two main "products"—teaching and research—they fail to track or report costs at either the product or program level. He suggests this lack of transparency makes students, the public, and even university leaders blind to whether resources are being deployed effectively. I've been writing on similar themes, emphasising that expenditure per student is not a measure of quality and that instead of increasing income the future of universities lies in increasing efficiency and demonstrating the effectiveness of their programs. Tracking costs at the product and program level is a critical step in this transformation, as is benchmarking those costs internationally. My guess is that NZ's universities are among the world's most efficient, given their low income per student yet relatively good performance in rankings. But, we don't really know. Despite technological advances and potential economies of scale, Pinnuck says the real cost of education per student in Australia has risen 18% since 2004—without any corresponding increase in student satisfaction or outcomes. He concludes that the sector needs new incentives to prioritise cost-efficiency without compromising quality. 👉 How can universities balance their dual missions of teaching and research while addressing the rising cost of education? #FutureOfUniversities #Universities #HigherEducation

The saying, "If you don't measure it, you can't manage it" has never been more relevant, especially in higher education. Universities face a complex landscape—public perception, government policy, funding constraints, fluctuating student numbers, evolving industry demands, and rapid technological change. Universities are under financial pressure, with DDP research showing that only a third of Australian institutions returned a profit in 2023. The decline of international student numbers and upcoming government funding changes will intensify these challenges. Efficient resource management is crucial, but beyond financial stability, the priority must shift to enhancing service delivery and experience through the strength of people and culture. The Government’s Managed Growth Targets (MGT) and Needs-Based Funding system will soon increase scrutiny of university efficiency, requiring transparent reporting on fund allocation and expenditure. Inefficiencies will be exposed, making it vital for universities to focus on core services and efficiency. However, it isn’t just about cutting costs; it’s about enhancing service delivery to meet the evolving demands of students, industry, and the public, while fostering continuous improvement. What measurements are in place to manage and improve your institution’s service experience? Are they effective? Without accurate data on service efficiency and effectiveness, institutions can’t identify areas for improvement. Are your systems and processes optimised for delivering the best service experience, or do barriers hinder efficiency? We know that service improvement is driven not just by technology or processes but by the people who deliver and experience these services. Our team has firsthand experience working in universities, giving us deep insight into the sector’s challenges and opportunities. Simple changes can significantly enhance service delivery, generate cost savings, and increase service quality. This boosts morale and fosters a culture of continuous improvement. Success in higher education depends on having people, processes, and systems working towards a common goal supporting universities through these challenging times, improving service delivery while prioritising people and culture. And yes, we can help your teams measure and implement these improvements too! Reach out for a no-cost consultation about how we can work together to make your future brighter. Contact us at [email protected] https://lnkd.in/grxjfA2Z Lakshmi West, Mandy Snashall, Will Henderson, Kailee Fisher, Brendan Doherty, Daniel Lee, Don Matthews, Nandha Kathirgamarajah, Jessica Thompson, Michael Johns, Trisha C.

🆕 A new report has revealed the economic impact delivered by Scotland’s 19 universities and higher education institutions is £17.1 billion. That’s a better economic return on public investment than anywhere else in the UK, outside of London. For every £1 invested, nearly £11 is returned, underscoring universities as key drivers of growth. Read more here 👇 https://abertay.ac.uk/Mzg2

📊 Financial Pressures in UK Higher Education The UK Higher Education sector faces unprecedented financial challenges: 📉 Financial pressures and deficits: According to HESA, a significant number of HE institutions are operating in deficit due to rising operational costs. As universities navigate budget constraints, effective recruitment is more important than ever. 💷 Managing costs in recruitment: With tuition fees set to increase to £9,535 in 2025/26, universities must ensure that additional income is allocated strategically. TPP can support universities in attracting high-quality talent without the high costs often associated with in-house hiring processes. 🌍 Reducing dependency on international income: Many institutions rely heavily on international student income. As global competition rises, there's a need for sustainable funding that reduces this dependency while ensuring the UK remains a top destination for study. 🏢 Navigating staff shortages and retention: Cost pressures and limited budgets make it difficult for universities to attract and retain staff. By accessing a wide network of qualified professionals, TPP can help institutions address short-term staffing needs efficiently, maintaining teaching and research quality. 🤖 Future-proofing workforce needs: Universities UK suggests that AI, collaboration, and new organisational structures could help universities build resilience. TPP are positioned to support universities by providing flexible staffing solutions, strategic hires, and valuable market insights—helping the sector meet today's financial pressures while building resilience for the future.

A radical report calls on #highereducation in the United Kingdom to ditch the ‘world-class university’ model in favour of group or federal approaches and urges greater collaboration rather than competition between providers. The paper, published by the Higher Education Policy Institute (HEPI) under the provocative title of “Down with the World-class #University: How our business models damage universal higher #education”, says that British universities have much to learn from countries such as the United States, France, Germany and China, which encourage a more diverse system of higher education – but still produce centres of excellence

While this is welcome evidence (in the current crisis), this (need for) reducing the value of universities to £ is equally concerning (as part of the crisis itself)

📊 Financial Pressures in UK Higher Education The UK Higher Education sector faces unprecedented financial challenges: 📉 Financial pressures and deficits: According to HESA, a significant number of HE institutions are operating in deficit due to rising operational costs. As universities navigate budget constraints, effective recruitment is more important than ever. 💷 Managing costs in recruitment: With tuition fees set to increase to £9,535 in 2025/26, universities must ensure that additional income is allocated strategically. TPP can support universities in attracting high-quality talent without the high costs often associated with in-house hiring processes. 🌍 Reducing dependency on international income: Many institutions rely heavily on international student income. As global competition rises, there's a need for sustainable funding that reduces this dependency while ensuring the UK remains a top destination for study. 🏢 Navigating staff shortages and retention: Cost pressures and limited budgets make it difficult for universities to attract and retain staff. By accessing a wide network of qualified professionals, TPP can help institutions address short-term staffing needs efficiently, maintaining teaching and research quality. 🤖 Future-proofing workforce needs: Universities UK suggests that AI, collaboration, and new organisational structures could help universities build resilience. TPP are positioned to support universities by providing flexible staffing solutions, strategic hires, and valuable market insights—helping the sector meet today's financial pressures while building resilience for the future.

This report is worth reading. It is about the impact of UK higher education on the economy, and how it generates growth, opportunities, and boost productivity across the country. With data at hand. The full report is available here: https://lnkd.in/dUfxt8dz #UniversityImpact #TeachingAndResearch #GrowthAndOpportunity