Page 142 - Crisis in Higher Education

A Customer-Focused, Resource Management Perspective • 113

Teaching and learning are not mentioned specifically until the core
goals. Even so, there is no mention of graduates getting good jobs.
The intent is not to say that OSU or any other comprehensive univer-
sity has the wrong strategy and core goals. There are good reasons for
universities to engage in these activities, which are as follows:

1. Research and innovation lead to groundbreaking new ideas that
improve quality of life.
2. Teaching and learning provide graduates with an education that helps
them become better citizens.
3. Outreach and engagement leads to economic expansion and societal
enhancement.
4. Good stewardship of resources is a basic requirement for any insti-
tution, public or private.

When examining these core goals, a number of important questions
emerge about the allocation of university resources, the sources of the
funding, and the beneficiary.

1. How are the three primary goals of universities—research and innova-
tion, teaching and learning, and outreach and engagement—funded?
2. What portion of undergraduate students’ tuition dollars are spent
on research and innovation and how much on outreach and
engagement?
3. How do the payers, whether they are students, parents, other fam-
ily members, friends, and governments, benefit from research and
innovation and outreach and engagement?
4. Students may receive some benefits from these activities, but are the
benefits commensurate with the portion of their tuition spent on
these activities?

5.4 RESOURCE MANAGEMENT

These are important questions about the sources and uses of funds, and
Figure 5.4 is a simplified version of this for public universities. It excludes
funds used for ancillary services, which include athletics, housing, and the
like. For simplicity, this is referred to as the “academic budget.”