Recent financial management problems in higher education institutions have repeatedly come into numerous budgetary insufficiencies and rise in some crises. Education, not only at higher levels but also at other levels, is recognized as an essential investment for sustainable development and growth. In addition, proper strategic financial planning for education has factually come to the amaze for most regions. Like other business firms, the financial management skills of the chief executives are important in determining how optimally and effectively to run an educational institution justifiably. Higher education financial issues have been addressed in many articles by different authors, such as Reza Hamzaee, who have identified several challenges these institutions face on matters concerning economics.
Reza G. Hamzaee’s Exploratory Analysis Concerning Higher Education Financial Challenges
Descriptive Overview of The Article
The article is about a critical financial challenge, and therefore an assessment of fiscal management of higher learning institutions in the United States is the key research problem in the article. There seems to be easier expansion and funding in good economic settings and reluctant or wrong contractions in difficult economic conditions (Hamzaee, 2015). The accessibility and quality of higher education have been the main subject for the academic industry. Analysis of several innovative ways through which education institutions can strategize for cheap and profitable policies instantaneously, through a form of “funds-for-results” method is adopted in this article (Hamzaee, 2015). Although a metric system of productivity measurement of faculty members’ exertions has been continually challenging and controversial, some form of competition for obtaining scarce resources can push the education industry toward more responsiveness and productivity.
The type of study used in the article is more exploratory than hypothesis testing. The published data and the literature review provide light and experimental exploration (Hamzaee, 2015). The research questions in the article address practical cheap or profitable methods, an operative university-community maintainable partnership and, efficiency indexation and measurement. The article also has highlighted the State’s government’s more resourceful allocation of partial budgets to improve human capital investments and educational infrastructure.
In the article, the author makes an effort to tackle the ongoing budgetary challenges of higher education institutions by focusing on scholarship, teaching, business facets, and research and development. The eminence of service well-defined in a good environment for practical teaching, scholarship and research and, research and development planning can bring about more scholars (Hamzaee, 2015). Also, it can bring several types of incomes in grants, tuitions, community donations, and campus-side businesses. On the other end, the article points out that good strategies and business planning can create enough funds to support higher education services.
Analysis of the Article
The author has supported his claims on the challenges related to higher education finance through research from a different source. His research in “Waugh’s Conflict Values and Culture: The Managerial Threat to University Governance” aids him in supporting his arguments (Hamzaee, 2015). He claimed that while running an educational institution while concentrating on clients’ best, reimbursements are essential, and tertiary institutions have saved copious costs in several cases. It has been unlucky that most verdicts in abrasion with academic culture and faculty were principally made via corporate-type management style. The top management directed department chairpersons and deans to reorganize most of their faculty contribution and decision-making procedures. He categorically warns that this is an artistic change which is a vibrant aberration (Hamzaee, 2015). Therefore, the main drive of academic institutions, which was grounded on the role and involvement of faculty, is in determining academic priorities and necessities that are undermined. Hence, minimizing costs at any expenditure is what his research is set to disparage.
Most institutions researched by the author depend on a single finance individual. The individual is in charge of all the monetary affairs of the entire school with a comprehensible definitive control of one of the executive vice presidents or the president. While, in most cases, that approach has worked for a long, there are few printed research studies that would provide a perilous assessment or survey other alternate sceneries for an ideal process of policy creation and enactment of those strategies (Hamzaee, 2015). The author reviews the policies and plans of several international and American education institutions, and numerous academic, financial frustrations and stagnations have come to a predictable junction. Therefore, presenting another substitute economic analysis would be fascinating if not essentially the best solution. A fresh approach in fiscal management could provide some administrative control for some local if not international confinements met by a distinctive academic institution (Hamzaee, 2015). The Total Quality Management theories can be used in this case in framing new processes and ideas that will be favorable to a top-level financial constancy and generally a more maintainable academic center.
- How do schools finance themselves, compete, and what social role does each institution play?
- What causes a rapid rise in tuition fees in higher education institutions?
- Might some personnel in the executives contribute to increase or decrease of tuition fees?
Some of the important next steps for the author to take include:
The author can analyze more on the All-You-Get approach, which involves looking for a donation from foremost corporations and businesses with several specified benefits that embrace free consultation by the professional faculty. That is done through the university and giving the corresponding business benefactors a certain block of sequence hours to be registered and used forever every semester (Hamzaee, 2015). The consulting services can then be selected as the faculty’s applied-leaning and professional development services.
Connecting The Article to The Audience
The author, a professional in public policy and economics, has presented a more widespread analysis of the diverse types of income trailed by institutions and their compound inspirations on educational goals. The author has formed a good framework to discover the tautness between the institutional pursuit of research, teaching, and revenue seeking. He explains that achieving goals can confine revenue seeking while snowballing revenue can demoralize an institution’s mission hence recommending administrators to evaluate effects before choosing policies (Hamzaee, 2015). His comprehensive method is particularly useful, exploring a variety of possible revenue sources from donations, tuition, lobbying, endowments to patent and intercollegiate athletics. Therefore, the article is suitable for all individuals involved in the education and administration of higher learning institutions and those involved in expanding higher education programs.
The article is driven by a serious valuation of the financial management of speculative institutions in the United States. There is cooler expansion and funding in good financial conditions and disinclined or frequently unfortunate contractions in hard economic conditions. The government has not correspondingly met the budget; hence the convenience and quality of higher education have been a fundamental task for the academic industry. The author has outlined analyses of numerous advanced ways in which higher learning institutions may organize for some cheap and profitable strategies concurrently through a form of the “funds-for-results” tactic.
Hamzaee, R. G. (2015). An Exploratory Analysis of Higher Education Financial Challenges and Innovations.