Strategy to join the elite: merger and the 2015 agenda for the University of Manchester Luke Georghiou MIoIR, Manchester Business School University of Manchester http://www.mbs.ac.uk/PREST
The “new” University of Manchester • Victoria University of Manchester and UMIST merged in October 2004 to form UK’s largest university • The 2015 Vision of the new institution – overall objective set out in Vision Document Manchester 2015 To make the University of Manchester, already an internationally distinguished centre of research, innovation learning and scholarly inquiry, one of the leading universities in the world by 2015. • Aiming for distinctive identity that equalled but did not emulate the UK’s “Golden Triangle” or the US Ivy League
Rationale • UMIST smaller technical university with management school • Victoria University of Manchester (VUM) large comprehensive university • Internal rationale – Retiring Vice-Chancellors – UMIST vulnerable to shocks in student markets – VUM concerned about investment needs to stay competitive especially in physical sciences – Historical close relationship and adjoining campuses
DRIVERS OF CHANGE FOR HIGHER EDUCATION
INTERNATIONALISATION International mobility
International governance e-learning
New entrants Competition
Tuition fees
Insufficient resources
BUSINESS Globalisation Specialisation Differentiation
Commercialisation
Open innovation
Business
Cooperation
RESEARCH
New research technologies
Student consumerism
STUDENT NUMBERS
Widening participation
Demographic change
External rationale • The global pressures just depicted • National problem of uni-nodal economy • Greater Manchester successful economic regeneration but to shift to knowledge based economy needs world class academic institution
Process of change • 4 options considered – Grassroots collaboration – Federal collaboration – Trade model – Combined institution
• Dissolution and new foundation chosen • Stages of due diligence and obtaining buyin from governing bodies, staff and students
Investment • Total merger cost of £300m estimated, most on estates • Funded through formula allocations, reserves, disposal of surplus assets and contributions from regional and national authorities • Interim legal status of Company Limited by Guarantee • Key appointee new President and ViceChancellor present 8 months ahead of taking office to allow strategy to be developed
Merger seen as success after 4 years • Little or no persistence of old identities • Little or no disruption of students and courses • UK’s biggest ever academic capital programme on time and budget • Main problem area in IT systems • Success factors – – – – – –
Clear strategic rationale Universities similar research standing External support and resources Internal support from staff and students Contiguous campuses No dispute about CEO position
Visions used as driver for ambitions • 2015 Vision at time of merger • Renewal of vision and extension to 2020 in 2010
Three goals Goal 1 World Class Research – To be one of the top 25 research universities in the world where internationally-leading researchers produce research of highest significance and impact. Recognised for interdisciplinary research, for training outstanding researchers and giving parity of esteem to discovery, application, knowledge transfer and impact.
Goal 2 Outstanding Learning & Student Experience • The University will provide a superb higher education and learning experience to outstanding students, irrespective of their backgrounds, and will produce graduates distinguished by their intellectual capabilities, employability, leadership qualities, and their ability and ambition to contribute to society.
Goal 3 Social responsibility • The University will contribute to the social and economic success of the local, national and international community by using our expertise and knowledge to find solutions to the major challenges of the 21st century, and by producing graduates who exercise social leadership and responsibility.
Achievements - Rankings
Achievements - Iconics
Challenges - Financial – Large operating deficit in 2006 (£30m on £601m turnover) – Driven by larger than expected national salary settlements, growth of staff numbers by 2,800, investment ahead of RAE and structural deficit through duplication in merger – Early retirement and voluntary severance scheme reduced staff (mainly admin) by 630 brought budget into balance in 2008 and large surpluses since – But current year seen squeeze with shortfall of student numbers following Government raising of student fees, visa restrictions for foreign students and flat research budget – Highlights marginal nature of academic finances and vulnerability to shocks meaning must maintain drive for productivity gain and growth of high revenue areas
Challenges - Balancing teaching and research – Initial push for research gave students impression of neglect and University punished in National Student Survey (of satisfaction) – University now launched challenging initiative to repersonalise undergraduate education while gaining efficiency through e-learning and Graduate Teaching Assistants – Promotion tracks available for teaching and knowledge transfer specialist as well as conventional careers
The gradient increases as you approach the top‌ Score on HiCi 24.3 100
90
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•Among the 250 most cited researchers per main field in a 20 year rolling period
Looking forward • 2015 getting closer – Short period to build reputation – Is economic situation a crisis or an opportunity
• Achieving top 25 is not an endpoint as nature of modern university and society’s expectations of it still advancing • Seeking to redefine rules for excellence – Revive slogan of the Industrial Revolution
• “What Manchester does today, the World does tomorrow.”
References • Strategic vision documents – http://www.manchester.ac.uk/aboutus/facts/vision/
• Manchester merger – Georghiou, L. (2009) Strategy to Join the Elite: Merger and the 2015 Agenda at the University of Manchester, in McKelvey, M. and Holmen, M., Learning to Compete in European Universities – from Social Institution to Knowledge Business, Edward Elgar: Cheltenham, pp48-65
• University foresight – Georghiou, L. and Cassingena Harper J. (2008) The Higher Education Sector and its Role in Research: Status and impact of International Future-Oriented Technology Analysis, in Cagnin, C.; Keenan, M.; Johnston, R.; Scapolo, F.; Barré, R. (Eds.), Future-Oriented Technology Analysis Strategic Intelligence for an Innovative Economy, Springer