Many institutions of higher education are facing significant financial challenges, resulting in diminished economic viability and, in the worst cases, the threat of closure (Moody’s Investor Services, 2015). The study was designed to explore the effectiveness of competitive strategies for small colleges in terms of financial performance.
Five research questions related to small, accredited, private, non-profit, four-year colleges were addressed in the study. 1. What were the range and variance in the Composite Financial Index (CFI) for small colleges in FY2010 to FY2014? 2. What competitive strategies were employed and with what frequency by small colleges in FY2010 to FY2014? 3. What relationships existed between the employed strategies and the related perceived institutional financial performance, as assessed by college leaders? 4. What relationships existed between the employed strategies and the documented institutional financial performance, as measured by the CFI? 5. What relationships existed between the perceived institutional financial performance resulting from the employed strategies and the documented institutional financial performance, as measured by the CFI?
This quantitative, multi-method, causal-comparative study collected data on a nationwide random sample of small colleges (N = 251). Five years of ex-post facto data on the Composite Financial Index (CFI) were used to determine documented institutional financial performance. Inventory data, collected from vice presidents of finance (N = 51), were used to determine the strategies employed by colleges and the resulting perceived institutional financial performance.
Based on the CFI scores, many small colleges (46%) were identified as seriously or severely under-performing financially. The most frequently employed strategies (≥76%) were: new marketing procedures, new undergraduate programs, tuition discounting, restructured debt, and new or renovated facilities. Significant correlations (p≤.05) were found between 34 of the 39 strategies employed (87%) and perceived institutional financial performance. No significant correlations were found between strategies employed and documented institutional financial performance or between perceived and documented institutional financial performance.
The conclusions and recommendations deal with the need for small college leaders not to seek easy solutions, but to apply strategic planning in the selection of strategies to employ; to identify indicators that relate employed strategies to financial performance; and to test their perceptions of financial performance against documented evidence.
|Advisor:||Ward, Cynthia V. L.|
|Commitee:||DiBattista, Ron, Gable, Robert K.|
|School:||Johnson & Wales University|
|School Location:||United States -- Rhode Island|
|Source:||DAI-A 78/12(E), Dissertation Abstracts International|
|Subjects:||Higher Education Administration, Higher education|
|Keywords:||CFI composite financial index, College financial performance, College leaders, College strategies, Higher education strategic management, Higher education strategies|
Copyright in each Dissertation and Thesis is retained by the author. All Rights Reserved
The supplemental file or files you are about to download were provided to ProQuest by the author as part of a
dissertation or thesis. The supplemental files are provided "AS IS" without warranty. ProQuest is not responsible for the
content, format or impact on the supplemental file(s) on our system. in some cases, the file type may be unknown or
may be a .exe file. We recommend caution as you open such files.
Copyright of the original materials contained in the supplemental file is retained by the author and your access to the
supplemental files is subject to the ProQuest Terms and Conditions of use.
Depending on the size of the file(s) you are downloading, the system may take some time to download them. Please be